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Suzuki Remains a Constituent of the JPX Prime 150 Index
for the Fourth Consecutive Year

Suzuki Motor Corporation has remained a constituent of the JPX Prime 150 Index, which is calculated and published by JPX Market Innovation & Research, Inc., for the fourth consecutive year.

Launched in 2023, the JPX Prime 150 Index is composed of stocks selected from among the top-ranked companies listed on the Tokyo Stock Exchange Prime Market by market capitalization. The index consists of companies regarded as representative Japanese companies that are estimated to create value, based on two measures of value creation: “capital profitability,” which is based on financial performance, and “market valuation,” which incorporates future-oriented and non-financial information.

Capital profitability is measured using the Equity Spread^*1, which is the difference between ROE (return on equity) and the cost of equity, representing investors’ expected return, while market valuation is measured using the Price-to-Book Ratio (PBR), which is calculated by dividing a company’s share price by its BPS (Book Value per Share) ^*2.

• *1 When ROE exceeds the cost of equity, which is the return expected by investors, the equity spread becomes positive and the value creation is estimated.
• *2 When the stock price exceeds the BPS, the PBR exceeds 1x, and the value creation is estimated.

To achieve the goals of its Mid-Term Management Plan “By Your Side,” Suzuki is promoting initiatives to enhance corporate value through sustainable growth. By staying close to customers and society and pursuing its vision of becoming an infrastructure mobility closely connected with people’s lives, Suzuki will continue to grow together with its stakeholders.

(Reference)

JPX Prime 150 Index
https://www.jpx.co.jp/english/markets/indices/jpx-prime150/index.html