【Daikin Industries】 Announces Revision of Executive Compensation System | May 2026

Details of the Revision of Executive Compensation System

Daikin Industries is reviewing its executive compensation system to realize its strategic management plan 'FUSION30', and will revise it to an system that enhances long-term corporate value and meets stakeholder expectations. The new system combines fixed compensation, performance-linked bonuses, and stock-based compensation, and strengthens the involvement of the Compensation Advisory Committee to improve transparency and objectivity. The composition ratio of the President, Chairman, and CEO's compensation and stock ownership guidelines are also established, promoting motivation among directors and sharing shareholder value.

Schedule and Impact on Shareholders

The revised system is scheduled to be implemented after approval at the shareholders' meeting in June 2026. The new system diversifies the executive compensation structure, adjusts the ratio of long-term performance evaluation and stock-based compensation, and aims for sustainable management growth and maximization of shareholder value. Transparency measures and shareholding obligations for directors are also clarified, contributing to strengthening corporate governance.