Governance

With Stakeholders

Basic Concepts

KOKUYO is aware that increasing corporate value is our responsibility to shareholders and investors. KOKUYO strives to implement accurate and timely disclosure of corporate information in order to maintain transparent and sound corporate management.

Systems

Policy and Achievements Regarding Dividends

In our second medium-term management plan which ends in FY2021, KOKUYO aims for a dividend payout ratio of 40% by 2021 as we continue to steadily increase the payout in our efforts to return profit to shareholders.
At the same time, we will strive to enable sustainable growth and improve corporate value while seeking to enhance retained earnings that are necessary capital for capital spending, R&D, M&A deals and so on needed for medium- to long-term growth.
The total annual dividend for the 73rd fiscal year was 39.0 yen per share; the interim dividend was 18.5 yen per share, while the year-end dividend was 20.5 yen per share. For the 74th fiscal year, we expect a payout ratio of 34.6% with a dividend per share of 45.0 yen.
Note that KOKUYO is a company to which consolidated dividend regulations apply.

Making Management More Transparent

1) Investor Relations (IR) Activities

>We strive to fairly and accurately convey to all investors—including our shareholders—the KOKUYO Group businesses, management strategy and vision for the future, as well as achieve two-way communication between investors and us. In 2019, we conducted the following IR activities:

â– For institutional investors:

The financial results briefing was held twice last year. At the briefings, the President spoke about the Group's results and strategies. We also worked to promote understanding about the Group’s status through means such as the conduct of individual meetings and participation in conferences for foreign investors.

â– For individual investors:

Explanations regarding the Group and financial results were given in easy to understand ways to help increase understanding of the Group and to foster a sense of familiarity.

We will continue to proactively engage in IR activities to increase our corporate value.

2) Information Disclosure

We disclose information in accordance with the rules established by the stock exchange on which we are listed for the timely disclosure of corporate information by issuers of listed securities (hereinafter referred to as the "rules of timely disclosure"). With regard to information that may not be subject to the rules of timely disclosure, we also adhere to the fair disclosure rules stated in the Financial Instruments and Exchange Act and endeavor, as a matter of basic policy, to promptly disclose as proactively and fairly as possible by way of appropriate methods so as to help investors to understand our company better.

* Related information: IR News

Shareholder Special Benefit Plans

KOKUYO Group products sent to shareholders at the end of December, 2019

KOKUYO Group products sent to shareholders at the end of December, 2019

To respond to the continuing support of KOKUYO shareholders and with the aim of significantly deepening the understanding of the KOKUYO Group by having shareholders actually use Group products, KOKUYO has established a shareholder special benefit plan. Under this plan, KOKUYO Group products are sent once per year to holders of 500 shares or more.

2019 Initiatives

Conducting Financial Results Briefing for Institutional Investors

Desk disassembly

On August 1, 2019, the “Briefing of Financial Results for the Second Quarter of FY2019” was held for institutional investors and analysts at the Daiwa Conference Hall. Approximately 60 institutional investors and analysts attended the briefing that day. The participants raised various questions, including topics such as the progress of the medium-term management plan and the trend of overseas businesses. Going forward, we will continue to work on disseminating information and encouraging communication so as to allow even more investors to understand KOKUYO and hold expectations about our growth.

Conducting Company Briefing for Individual Investors

Desk disassembly

On February 26, the “Company Briefing for Individual Investors” was held for individual investors at Hotel new Hankyu Osaka. The briefing was attended by approximately 400 individual investors that day. Questions raised by the participants touched on topics such as the future prospects of KOKUYO’s respective businesses and the strengths of our businesses. Going forward, we will continue to work on effectively disseminating information and encouraging communication so as to allow even more investors to understand KOKUYO and hold expectations about our growth.