Basic approach to corporate governance
Our Management Philosophy is “Moriroku Group will create high value with its future-oriented creativity and advanced technologies, while contributing to the global society.” By practicing this, the Moriroku Group's basic approach to corporate governance is to ensure transparency, fairness, and timeliness in management decision-making. The aim is to continuously increase its corporate value over the medium and long term, as well as to fulfill the Group's social responsibilities by maintaining close relations with all types of stakeholders, including customers, business partners, employees, local communities, and shareholders, in order to earn their trust.
Compliance with the Corporate Governance Code
The status of the Company's compliance with the Corporate Governance Code is shown in the attachment.
Strategic Shareholding Policy
The Company acquires and holds strategically-held shares only if doing so is considered reasonable and otherwise justified after considering factors including: the maintenance and enhancement of business relationships; continued growth and increase in the Company’s medium- and long-term corporate value; and the risk involved in holding these shares.
The Board of Directors periodically reviews the Company’s holdings of shares and makes decisions on whether or not to continue holding them, based on quantitative evaluations such as transaction value and profit margins, as well as qualitative evaluations such as future outlook.
During the fiscal year under review, as a result of the reverification of the significance and rationality of holdings, the Company did not divest or acquire any strategically-held shares.
As a result, as of March 31, 2026, the total value of strategically-held shares stood at 5,578 million yen across eight brands.
As the Company did not divest any of its holdings during the fiscal year under review and the valuation of the holdings increased as a result of the rise in share prices, strategically-held shares accounted for 10.1% of net assets.
