CSR / Environment

Communicating with Shareholders and Investors

Communicating with Shareholders and Investors

Fiscal 2018 Objectives Fiscal 2018 Achievements Self-Evaluation
  • Enhance IR communications by senior executives by having them participate whenever possible in conferences
  • Sharp strengthened communication with shareholders and investors in Japan and overseas by having senior executives participate in conferences and by holding ongoing management briefings for shareholders. Based on fiscal 2017 achievements and other factors, in May 2018 Sharp paid dividends for the first time in six years.
★★
Priority Objectives for Fiscal 2019
  • Step up the provision of information through IR events such as business policy briefings
  • Self-evaluation: ★★★ Achieved more than targeted / ★★ Achieved as targeted / ★ Achieved to some extent

IR Disclosure Policy

Sharp discloses information to shareholders and investors in a fair and timely manner, in order to increase trust in its IR activities and to ensure a proper assessment of Sharp’s corporate value in capital markets.

Sharp discloses information designated under the laws and regulations of Japan, and it also adequately discloses other information, such as business overview, management policy, and strategy.

Basic Policy on Allocating Profits

Sharp considers distributing profits to shareholders to be one of management’s top priorities. Comprehensively taking into account consolidated business performance, financial situation, and future business development, in addition to active investments in R&D and other areas and strengthening the financial constitution from a long-term perspective, Sharp will pay dividends from surplus. For an annual dividend for common shares in fiscal 2018, the dividend per share was 20 yen, a 10-yen increase over the previous year. To boost the quality of equity and raise the value of common shares, of the 200,000 shares of Class A stock (which have preferred dividends, a risk of dilution, and other considerations), we acquired and cancelled 92,000 shares on January 30, 2019 and acquired and cancelled the remaining 108,000 shares on June 21, 2019.

Communicating with Investors

In fiscal 2018, besides holding one-on-one meetings with institutional investors and analysts, Sharp held financial results briefings. In addition, Sharp senior executives took part whenever possible in conferences sponsored by securities companies in Japan and overseas, where they explained and answered questions on financial results, management policy, and business strategy.

Sharp will continue to use IR activities to help a wide range of investors gain a proper understanding of Sharp’s management situation and business policy. At the same time, senior executives will lead more thorough IR activities.

General Shareholders’ Meeting, Management Briefings

Sharp holds ordinary general shareholders’ meetings earlier than many other Japanese companies, sends out early notices of the meetings, and discloses notices of the meetings before they are sent out. It also strives to create an environment that enables shareholders to easily exercise their voting rights. Efforts include participating in an electronic voting platform (for institutional investors), posting English notices about the meetings on its website, and allowing shareholders to exercise voting rights via the Internet.

Also, after the general shareholders’ meetings, Sharp holds management briefings to exchange opinions with shareholders on topics which are not limited to the agenda of the general shareholders’ meetings.

IR Activities Designed to Meet the Diversifying Needs of Investors

In response to diversifying needs, Sharp makes every effort to properly disclose a wide range of information promptly and accurately, and enhance its communication with shareholders and investors in Japan and overseas.

Detailed financial information is disclosed in IR documents that include summaries of financial results and presentation materials.

In addition to updating and expanding information on the IR website, Sharp has made the site compatible with smartphone viewing. Sharp also strives to provide information needed by investors in a timely manner, including financial materials and reports given at briefings. There is also a site for individual investors, where they can easily access relevant information presented in an easy-to-understand format.

Investor relations website

2018 Annual Report

Preventing Insider Trading

Sharp has effectuated regulations restricting insider trading, established strict controls on undisclosed material facts (“insider tips”), and instituted restrictions on the buying and selling of stocks and other securities. Sharp has also implemented in-house training related to insider trading. This training includes, among other approaches, an educational campaign on the corporate intranet that targets Sharp Group employees in Japan with the aim of preventing insider trading by Sharp Group directors, audit and supervisory board members, executive officers, or employees.

In addition, given the importance of disclosure, when “material facts specified in the Financial Instruments and Exchange Act” and/or “important company information that should be disclosed in a timely manner as stipulated by securities exchanges” is generated, Sharp does its utmost to promptly disclose and publicize the relevant details. Further, regarding media and analyst coverage, Sharp deals with it while fully honoring the spirit of disclosure and remaining attentive so as not to violate insider-trading regulations.