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 2021 was forwarded to shareholders 37 days before the meeting. Even prior to this, the convocation notice was posted on the OMRON website 36 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 annual general meeting of shareholders held in June 2021, we engaged in various measures to prevent the infection and spread of COVID-19, as we did in the previous meeting. We measured shareholder temperatures before entering the venue and asked attendees to wear masks inside the venue. In setting up the venue, we made sure seats were spaced widely, placed transparent acrylic panels in front of the speakers' seats, and thoroughly disinfected microphones. Further, we cancelled the informal get-together held traditionally after the general meeting. Due to our continued requests to refrain from physical attendance and to exercise voting rights in advance, only 56 shareholders showed up the venue, which was 16 less than in the previous year. However, the ratio of shareholders exercising voting rights increased by 1 percentage point to 89.1%, a record high for the second consecutive year.
We made greater use of the internet for shareholders who were unable to physically attend the meeting. Our convocation notice also provided more detailed information compared with previous meetings regarding the acceptance of questions in advance and the online broadcast of the proceedings. As we limited the broadcast to shareholders, only 120 individuals viewed the live stream. However, we believe we were able to broadcast the entire content of the meeting from beginning to end, including the question-and-answer session.
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 engage in productive communications leading to enhanced corporate value, OMRON has defined the number of actions leading to stronger relations with investors as a KPI. We are also working harder on activities that target individual investors and ESG investors. For individual investors, OMRON offers briefing meetings and information online to increase the number of “fan” shareholders. For ESG investors, OMRON provides information on our corporate websites, holds briefing meetings, and conducts individual interviews. Through these efforts we communicate our progress in sustainability goals related to the environment, human resources, human rights, and other areas. We provide feedback gained through dialogue to management for greater progress in these initiatives.
During fiscal 2020, we used more of web conference system amid the pandemic. We hosted two web meetings for individual investors, joined by 752 investors in total. We also held our fourth ESG Meeting online, welcoming 225 participants, mainly institutional investors and analysts among others.
As for dialogue with institutional investors, we have expanded opportunities by flexibly communicating with them online and other tools, holding a total of more than 570 meetings during fiscal 2020.
We have used the knowledge learned from this engagement to improve our management initiatives. We will continue to engage actively in dialogues and strive to achieve improved corporate value reflecting this feedback.
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.