Responsibility to Shareholders and Investors
The DENSO Group Declaration of Corporate Behavior describes the responsibility DENSO has to its shareholders and investors to increase corporate value through stable, long-term growth and to improve the transparency of management through the timely and appropriate disclosure of business and financial information as well as through dialogues. Based on this policy, the DENSO Group is disseminating corporate information, such as management strategy and financial information, with an emphasis on timeliness, fairness, accuracy, and sustainability.
In addition, the Group is undertaking investor relations (IR) activities to realize smooth, interactive communication through general shareholders meetings and via its corporate website.
The opinions of shareholders and other investors that the Group obtains through this kind of communication are conveyed regularly at the Board of Directors' meetings and leveraged in the Group's management.
Information Disclosure and IR Activities
In order to ensure fairness and transparency in the disclosure of IR information, DENSO strives not only to observe all legal disclosure standards but also to publish information domestically and overseas without time lags by creating Japanese and English versions of reports at the same time.
DENSO also releases financial information quarterly via its website and holds financial results and technical briefings, as well as plant tours, for institutional investors and financial analysts with the purpose of promoting investment opportunities. DENSO is working to further enhance information disclosure by providing a streaming video of the General Meeting of Shareholders held each June on its website and inviting shareholders to a plant tour after the meeting, among other activities. In addition, we broadcast our results briefings on our corporate website so that an even greater number of people can view them. We also disclose an outline of the Q&A sessions at these briefings.
Content of IR activities
|Domestic institutional investors and securities analysts||Quarterly financial results briefing, ★Disclosure of the outline of the results briefings’ Q&A sessions, “One-on-one meeting”/ individual interviews, small meetings, publication of integrated report, ★technical briefings, ★plant tours, and ★IR conferences at major motor shows|
|Overseas institutional investors||“One-on-one meeting”/ individual interviews, telephone conferences, participation in conferences organized by securities companies, and publication of annual report, ★Disclosure of the outline of the results briefings’ Q&A sessions|
|Individual investors and shareholders||Plant tour (after General Meeting of Shareholders) as well as publication of business reports and Notice of Shareholders’ Meeting announcements, ★Distribution of the IR news e-mail, ★Company information sessions|
★symbol indicates initiatives undertaken during fiscal 2018 in addition to regular IR activities
Policy on Shareholders' Returns and Status of Shares
In addition to carrying out capital investment, R&D, and M&A to achieve sustainable business growth and enhance its corporate value, DENSO issues a stable, long-term dividend while giving consideration to consolidated business performance, payout ratio, and dividend amount. The Company will also repurchase treasury stock after assessing its financial position and the market environment.
In fiscal 2018, based on business performance and the operating environment to date, DENSO paid annual cash dividends per share of ¥130, which is 10 yen more expensive than the previous fiscal year. Going forward, the Company will strive to improve its corporate value and return an even greater amount of profits to its shareholders.
Breakdown of shareholders
Evaluation by Outside Institutions
The DENSO Group is highly regarded by outside institutions when judged by the socially responsible investment (SRI) standard, reflecting its successive inclusion in the Ethibel Sustainability Index,* an important European indicator, and in Japan's Morningstar Socially Responsible Investment Index.
Denso Corp. has been reconfirmed as a constituent of the Ethibel Sustainability Index (ESI) Excellence Global since 19/03/2018.
THE INCLUSION OF Denso Corporation IN ANY MSCI INDEX, AND THE USE OF MSCI LOGOS, TRADEMARKS, SERVICE MARKS OR INDEX NAMES HEREIN, DO NOT CONSTITUTE A SPONSORSHIP, ENDORSEMENT OR PROMOTION OF Denso Corporation BY MSCI OR ANY OF ITS AFFILIATES. THE MSCI INDEXES ARE THE EXCLUSIVE PROPERTY OF MSCI. MSCI AND THE MSCI INDEX NAMES AND LOGOS ARE TRADEMARKS OR SERVICE MARKS OF MSCI OR ITS AFFILIATES.
The Morningstar Socially Responsible Investment Index (MS-SRI) is the first socially responsible investment index in Japan. Morningstar Japan K.K. selects 150 companies from among approximately 4,000 listed companies in Japan by assessing their social responsibility, and converts their stock prices into the index. The Morningstar Socially Responsible Investment Index does not guarantee future performances, including those of the stocks that constitute the index. The index is calculated and managed based on data deemed reliable by Morningstar Japan K.K., but the company does not guarantee its accuracy or completeness. Without limiting the matters mentioned above, even where Morningstar Japan K.K. is notified of direct damage, indirect damage, special damage, punitive damage, enhanced damage, or any other damage (including lost earnings), the company will not assume any liability for such damage. Intellectual property rights, such as copyrights, and all other rights belong to Morningstar Japan K.K. and Morningstar, Inc., and copies, reproductions and citations without permission are prohibited.
FTSE Russell (the trading name of FTSE International Limited and Frank Russell Company) confirms that Denso Corporation has been independently assessed according to the FTSE4Good criteria, and has satisfied the requirements to become a constituent of the FTSE4Good Index Series. Created by the global index provider FTSE Russell, the FTSE4Good Index Series is designed to measure the performance of companies demonstrating strong Environmental, Social and Governance (ESG) practices. The FTSE4Good indices are used by a wide variety of market participants to create and assess responsible investment funds and other products.
June 19, 2017
DENSO CORPRATION announces it has been included in the FTSE Blossom Japan Index.
Created by the global index company FTSE Russell, the FTSE Blossom Japan Index is designed as an industry neutral benchmark that reflects the performance of companies demonstrating strong environmental, social and governance (ESG) practices in Japan.
FTSE Russell evaluations are based on performance in areas such as Corporate Governance, Health & Safety, Anti-Corruption and Climate Change. Businesses included in the FTSE Blossom Japan Index meet a variety of environmental, social and governance criteria.”
While taking into consideration the needs and expectations of our shareholders and other investors as well as society at large, we will continue to raise the level of our activities geared toward enhancing information disclosure with a focus on the disclosure of business and financial information and the creation of opportunities for dialogue.