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.

Parent-Subsidiary Listing Issues Lead to Reasons Why ROE Is Not Increasing

P/B Reform: Effective Disclosure to Include that “going Private" Is an Option

Will Parent Company Valuations Remain Undervalued Until the Parent-Subsidiary Listing Is Dissolved?

Nominating Committee Is Becoming More Active in a Few Companies, but No Sign yet of Spreading to All

Market Shakeout Should Come with Business Portfolio Restructuring Especially for Small-Cap Companies

Executive Director, Metrical Inc

Aki Matsumoto

Executive Director

<ul>
<li>The measure to implement 100% inclusion or separation of subsidiary profits from parent company profits is only the first step, and this alone won't reflect positively on the stock price.</li>
<li>The key is the second phase of measures to strengthen the parent company's overall ability to generate cash flow by investing in highly profitable businesses after restructuring its business portfolio.</li>
<li>Hitachi is one of the few cases where it quickly implemented the second phase and reflected growth in corporate value in its stock price through realization of cash flow expansion.</li>
</ul>


The measure to implement 100% inclusion or separation of subsidiary profits from parent company profits is only the first step, and this alone won't reflect positively on the stock price.
The key is the second phase of measures to strengthen the parent company's overall ability to generate cash flow by investing in highly profitable businesses after restructuring its business portfolio.
Hitachi is one of the few cases where it quickly implemented the second phase and reflected growth in corporate value in its stock price through realization of cash flow expansion.


In the Dissolution of the Parent-Subsidiary Listing, the Second Step Is Key for the Parent Company

TSE Tokyo Price Index TOPIX

In the Dissolution of the Parent-Subsidiary Listing, the Second Step Is Key for the Parent Company