Independent Leading Corporate Governance Research

Metrical Inc

METRICAL INC. is an independent leading Corporate Governance research firm in Japan where Corporate Governance is increasingly recognized as an important element on corporate management in these days. Thus, CG research and solutions would become an essential component of global capital markets and play important to contribute to transparency of the markets and maximize shareholders’ value in Japan. 

METRICAL INC. provides Corporate Governance research and analysis including rating services, and  also offers investment research and IR services with solutions and customized profound research on CG and IR issues.

Even Though the June AGM Was Spread over 4 Days, 26.4% of the Companies Were Concentrated on June 29

Companies with High Frequency of Share Retirements Tend to Have a High Awareness of Cash Allocation

Isn't Long-Term Human Resource Strategy More Necessary than Immediate Solution to Labor Shortage?

Japanese Managers Have Always Wanted to Distance Themselves from Market Pressures

Changing Japanese Companies Is Not TSE Request but Inflation that Changes Mindset of All Managers

Risk Taking by Managers Is Key, Weather Changing the Game or Creating a New Business

Can Many Companies that over Years Could Not Suddenly Transform Themselves Thanks to TSE Requests?

Shouldn't Shareholders Raise Voice for a Company that Is Building up Cash While Its ROE Is Sluggish?

Executive Director, Metrical Inc

Aki Matsumoto

Executive Director

<ul>
<li>Share buybacks are likely to increase considerably in FY2023. One of the reasons for this is that the TSE has requested companies with stagnant stock prices to disclose improvement measures.</li>
<li>More important than the amount of share repurchase is how much ROE increased as a result. Whether shareholder returns were adequate for cash reserves and cash flow should be examined.</li>
<li>While Japanese companies today are in a cash cow situation as a whole, they are very cautious about investing aggressively.</li>
</ul>


Share buybacks are likely to increase considerably in FY2023. One of the reasons for this is that the TSE has requested companies with stagnant stock prices to disclose improvement measures.
More important than the amount of share repurchase is how much ROE increased as a result. Whether shareholder returns were adequate for cash reserves and cash flow should be examined.
While Japanese companies today are in a cash cow situation as a whole, they are very cautious about investing aggressively.


Might Consider Creating Mechanism to Allocate Companies' Cash in Cash Cow to Companies that Can Grow

TSE Tokyo Price Index TOPIX

Might Consider Creating Mechanism to Allocate Companies' Cash in Cash Cow to Companies that Can Grow