Corporate Governance Structure and Initiatives | Third-Party Assessment
The Capcom Group is committed to leveraging its strengths per our Management Philosophy to achieve stable medium- to long-term growth and enhance corporate value through our business activities. To accomplish this, we are focused on increasing management transparency and soundness, building a system that can adapt to environmental changes, and continuously improving our corporate governance.
In this section, Capcom will explain the corporate governance structure and systems that it has initiated so far based on the key concepts of “effectiveness and visibility” in terms of the results of third-party assessment.
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Capcom Corporate Governance Guidelines (June 23, 2025)
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Corporate Governance Report (June 23, 2025)
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Third-Party Assessment
Promoting more "visible" governance
An analysis of an assessment performed by a third-party organization into the validity and effectiveness of Capcom’s corporate governance shows that the company ranked 261th among 3,853 listed companies in Japan in the "NEEDS-Cges" assessment developed by Nikkei Inc.
NEEDS-Cges has an established reputation as a system that quantitatively assesses corporate governance using scores on a scale of 1 to 10 for eight categories, including capital efficiency, external regulations, and information disclosure, among others, based on some 150 indicators calculated from data of publicly released company documents, such as financial reports.
As of the end of June 2024, Capcom’s total score was 6.96 points, placing us in the top 7.76% of Japan’s listed companies (excluding some in the financial and other sectors), exceeding the 4.86-point average for all listed companies and the 6.91-point average for the industry. We also received the maximum score of 10 for "capital efficiency" and "equity market’s assessment."
The main evaluation factors are given in the table below, and areas highlighted in yellow indicate measures that received particular notice. Going forward, we will continue making improvements to earn an even stronger assessment and further promote the visibility of our governance.
Third-Party Assessment Results of Capcom’s Corporate Governance
Comparison of the Industry Average and the Average for All Listed Companies
Details of Capcom’s
Corporate Governance
| Total Score | 6.96 |
|---|---|
| Ranking | 261 |
| Categories | Score | |
|---|---|---|
| Capcom | Competitor average |
|
| Capital efficiency |
10 | 8.6 |
| Equity market’s assessment |
10 | 9.0 |
| External regulations |
9 | 8.7 |
| Board of Directors |
5 | 7.8 |
| Officer remuneration |
9 | 5.8 |
| Information disclosure |
8 | 5.3 |
| Capital policies | 8 | 7.2 |
| Effectiveness | 1 | 3.5 |
*A portion of the “Effectiveness” rating is determined by the presence or absence of an "audit opinion" in the Company’s Securities Report, where the presence of an opinion will negatively affect the rating. The low rating given to our company is due to the inclusion of an audit opinion in our Securities Report over the past three years. However, the actual audit opinions included in our reports during this time have merely stated that the content of our Securities Reports have been appropriate and do not in and of themselves reflect negatively on the effectiveness of the Company’s corporate governance.
Details of Highest Rated Categories
| Categories | Score | Areas that Received Particular Notice |
|---|---|---|
| Capital efficiency | 10 | ROA, ROE, Free cash flow |
| Equity market’s assessment |
10 | Tobin’s q |
| External regulations |
9 | Presence (or absence) of takeover defense measures |
| Officer remuneration | 9 | Treasury stock held by directors |
| Information disclosure | 8 | Early timing for distribution of notices of convocation for general meetings of shareholders, availability of electronic voting, and disclosure of materials in English |
| Capital policies |
8 | DOE-related |
| Board of Directors | 5 | Length of director terms, number of independent external directors |
| Effectiveness | 1 | Changes in accounting principles |
Source: NEEDS-Cges from Nikkei Inc.
- Structure
- Directors
- Third-Party
Assessment - Internal Control
System - Information
security
