Promoting communication with investors as the core of investor relations
General Shareholders Meeting
In an effort to make its shareholders meeting more open and easier for shareholders to attend, OMRON schedules meetings at least three working days before the day on which the shareholders meetings of other large companies are concentrated. OMRON also uses a conveniently located hotel at the JR Kyoto Station as a venue.
To give shareholders more time to prepare for the meeting, which is strongly requested especially by institutional investors, the printed convocation notice for the ordinary general meeting of shareholders in June 2019 was forwarded to shareholders 25 days before the meeting. Even prior to this, the convocation notice was posted on the OMRON website 32 days before the meeting.
For improved shareholder convenience, OMRON has adopted an electronic voting system, which allows shareholders to exercise their voting rights via PC, smartphone, or other mobile devices, in addition to exercise by mail. OMRON has also been participating in the Electronic Voting Platform, so that institutional investors in Japan and abroad can quickly access documents for the general meeting and smoothly exercise voting rights.
Should institutional investors who hold shares in street names express, in advance of the general shareholders meeting, an interest in exercising voting rights at the meeting, the OMRON Group will consult with the trust bank and/or custodial institutions over this possibility. Should such institutional investor(s) desire to observe the general shareholders meeting, such admission will be accepted after the investor(s) undergo specified procedures.
At the ordinary general meeting of shareholders in June 2019, the number of shareholders in attendance was 853, increased 99 from the previous year. The voting ratio was 84.4%, down 2.0% from the previous year.
After the close of the general meeting, a roundtable discussion with shareholders was set up to offer shareholders further information on OMRON's initiatives that was not communicated during the general meeting.
Going forward, OMRON will continue striving to organize a more open and constructive shareholders meeting by reflecting feedback from shareholders.
With its investor relations basic policy to communicate interactively with shareholders and investors through engagement, OMRON is working to provide timely and accurate information on the company's business conditions and management policies. OMRON also aims to reflect their opinions and requests on its management strategies in order to maximize corporate value.
Specifically, in order to have productive communication that can lead to enhance corporate value, OMRON has IR KPIs in place: the ratio of the number of meetings held vs. targeted; the number of engagement events. The company is also working harder on activities targeting individual investors and ESG investors. As for individual investors, OMRON is aiming to increase fan shareholders through meetings and other events with KPIs, including the increase in the number of long-term shareholders and new shareholders, and the number of ESG meeting participants. Regarding ESG, OMRON set the number of engagement events with ESG investors as a KPI and explains to them the progress in sustainability goals in the environment, human resources and human rights among others, making the most of their opinions to realize progress in its initiatives.
In fiscal 2018, OMRON held its first facility tours for individual shareholders, taking 140 participants to 5 tours in 3 days. Following fiscal 2017, the company held its second ESG meeting, with 129 participants, including institutional investors and analysts.
OMRON also strives to enhance direct engagement with institutional investors, and held 729 meetings in total in fiscal 2018.
What has been learned from such engagement has contributed to the improvement in the management initiatives, leading to external evaluations such as IR Special Award from the Japan Investor Relations Association. OMRON will keep working on proactive engagement with investors and other stakeholders, and enhancement of corporate value through such engagement.
To support interactive communication with shareholders and investors, OMRON discloses its information on product development, sales and marketing, financial performance and other information using various tools, including IR website.
Specifically, OMRON's IR website offers a wide range of data to help better understand OMRON, such as materials for investors and integrated reports. Not only does the site mention strategies and performance, it offers streaming videos as well.
To ensure timely and appropriate disclosure and to minimize information divide between investors in Japan and abroad, OMRON posts financial statements and other related information online, in English and Japanese at the same time.
In addition, to respond to the international society’s growing interest in the realization of sustainable society, OMRON is actively working to better offer non-financial information on its sustainability website.