Improving corporate value
The Suzuki Group established the Mid-Term Management Plan SUZUKI NEXT 100, a five-year plan from 2015, and had been making efforts toward its accomplishment. In FY2017, the third year of the plan, we were able to accomplish the net sales target of ¥3,700 billion and operating income margin target of 7% ahead of schedule.
On the other hand, the management environment surrounding the automobile industry is undergoing a period of great transformation, and it is necessary for Suzuki to accelerate R&D for environment and safety, as well as the investments for growth centred in India by standing in long-term outlook.
We will continuously make efforts in providing value-packed products and services, and consistently promote initiatives toward improving corporate value by balancing between investments for growth and strengthening of management base.
Topics TSE Corporate Value Improvement Award of Excellence for Suzuki
The Company was selected for an Excellence Award in the 6th Corporate Value Improvement Award presented by the Tokyo Stock Exchange (TSE).
The Corporate Value Improvement Award is an initiative to reward listed companies who attain improved corporate value through management practices that demonstrate a keen awareness of the viewpoint of investors, including the capital cost. As a recipient of an Excellence Award, the Company was recognised as engaging in management practices toward improving corporate value at a high level, making use of management indexes such as ROE with the aim of creating corporate value exceeding the capital cost.
For our shareholders and investors
Under the Mid-Term Management Plan SUZUKI NEXT 100 (from FY2015 to FY2019), the company prioritises investment for growth, and set the dividend payout ratio target to 15% or more.
The company was able to achieve the FY2019 net sales target of ¥3,700 billion and operating income margin target of 7% in this fiscal year, which is ahead of schedule. On the other hand, improvement of shareholders’ equity ratio is becoming an urgent issue.
Taking the above into consideration, the Company applied the dividend payout ratio target of 15% to the annual dividends, which became ¥74.00 per share, up by ¥30.00 per share from the previous fiscal year, and to the year-end dividends, which became ¥44.00 per share. The annual dividends of ¥74.00 per share is the eighth consecutive increase in annual dividends.
*The dividend payout ratio in FY2015 and FY2016 keeps more than 15%, based on net income after excluding gain on sales of investment securities.
Shareholder benefit program
As a token of appreciation for the shareholders’ continuous support for Suzuki and in hope of further patronage of Suzuki’s products, we offer a shareholder benefit program.
This program was established in December 2005 in commemoration of winning two awards: "RJC Car of The Year" and "2005-2006 Japanese Car of The Year" ("Most Fun" Prize) for the Suzuki's world strategic model "SWIFT" in hope of further patronage of Suzuki's shareholders.
The number of shareholders has been changing as shown below.
Shareholders who hold a minimum unit of shares (100 shares) as of 31 March every year
The gift consists of a set of acacia honey, which is a specialty product of Hungary where our European production base MAGYAR SUZUKI CORPORATION is located, and a pack of German-made rock salt that contains lots of well-balanced natural mineral. Both of them are imported and sold by the Suzuki Group.
This product is also available by mail from our related company Suzuki Business Co., Ltd.
Suzuki Group has been trying to be a company reliable for our stakeholders including shareholders, customers, business partners, local societies, employees, etc. that further contributes to international society and continues development through fair and efficient corporate activities. We will disclose the information defined by applicable laws and regulations immediately, correctly and fairly so that we can be more reliable for stakeholders and societies, also try to actively release the information considered to be effective in having us understood better and further improve transparency of the corporate.
IR materials on homepage
In particular, we provide investor relations information such as briefings, corporate information and data, which are required in making investment decisions, through the Global Suzuki homepage. (http://www.globalsuzuki.com/ir/index.html)
Within the same website, we disclose the Suzuki Disclosure Policy which indicates Suzuki’s basic policy on disclosure, internal system for timely disclosure and policy for constructive dialogue with shareholders.
In FY2017, ESG Information was fulfilled and index was added to enhance retrieval of such information.
*IR (Investor Relations) means activities of a company to offer the company information necessary for investment for shareholders and investors in a timely, fair and continuous manner.
Open periodical seminar for analysts and institutional investors
The settlement briefing for analysts is held every quarter of the year. Voice file and the actual major Q&A at the briefing are uploaded on our website for the convenience of shareholders and investors (voice files are uploaded only on Japanese website in Japanese language).
In addition, investors' conference and other presentation meetings, domestic/international IR meetings, new model announcement shows (to invite analysts), and plant tour events for analysts are held as well.
Set-up of department for IR
For IR-related sections, we have Corporate Management/IR Dept. under Corporate Planning Office as an IR contact in the headquarters, Tokyo IR Group as an IR contact in Tokyo, and Accounting Group of Finance under Finance Department for materials to be disclosed, such as brief note on the settlement of accounts.
IR for foreign investors
The following IR activities are conducted for foreign investors.
- Providing IR information for foreign investors on the website
The equivalent information to that on the Japanese IR page for domestic investors is disclosed in English (http://www.globalsuzuki.com/ir/index.html), such as the brief note on the settlement of accounts, presentation documents for explanatory meeting for investors, proxy statement, resolution notice of shareholders' meeting, timely disclosure by the Tokyo Stock Exchange, and IR news.
- Attending domestic IR conferences for foreign investors
- Providing English data on brief note on the settlement of accounts to TDnet (Timely Disclosure Network) Database Service of the Tokyo Stock Exchange
IR event for individuals
The Company periodically holds IR presentations for individual investors by officers or IR representative, along with the securities company.
Since the 142nd annual meeting of shareholders held in June 2008, we have been inviting shareholders to the Suzuki Plaza, after the meeting, for better understanding of Suzuki. The Suzuki Plaza is a facility, which has been open to the public since April 2009, for showing the history of Suzuki, introducing its worldwide business activities, and comprehensively explaining the automobile production process under the theme of Suzuki's way of manufacturing.