Write a Shareholder Letter That Builds Trust and Engagement

Lisa Chong

VP, Client Services

A shareholder letter can do more than report results. Use it to tell your story.

Issued together with an earnings report or year-end annual report, a shareholder letter summarizes key performance metrics, business activities and highlights, leadership decisions, and forward-looking guidance. It is also an opportunity for executive management to share the story of the past quarter or year and set the tone for what’s ahead. 

It provides context for a better understanding of the financial results. 

When done well, a shareholder letter delivered with candor, clarity, and purpose builds long-term trust with investors and analysts. When done poorly, it is skimmed over and becomes a lost opportunity to build confidence with your audience.

One thing often overlooked is that design matters as much as the words. Clear visuals in an intentional layout make your message easier to understand and more impactful.  

So, what does an effective shareholder letter look like? Here are five key principles:

1. Lead with Clarity, Not Complexity

Set the tone of the letter with a straightforward summary that’s free of jargon and filler. This means using plain, natural language. Keep the opening brief by focusing on the essentials, such as company achievements, where there’s room for improvement, and what’s next. 

Think of it as the “elevator pitch” version of your past quarter or year, written for everyday people, and not only financial analysts.

Investors care about outcomes, but just as importantly, they want to know the thinking behind leadership decisions. Lead your audience through the letter with clear explanations and insights.

2. Visual Design Is Not Optional

The reality is that text-heavy shareholder letters are often scanned, and key messages are unfortunately missed. 

Design is a storytelling tool where strong, relevant visuals help clarify information and improve understanding. Whitespace, clear headings, and graphics presented in a thoughtful layout make the letter easier to read and even engaging. 

To tell a story across financial and strategic updates and introduce new technology, Nextracker uses bold charts, vivid photography, and well-structured sections.

Some companies are moving from downloadable PDFs to web-only formats. LVMH’s digital shareholder letter is immersive and modern, fitting for a luxury brand and proving that good design in investor communications extends across formats.

Whether in PDF format or online, consider the following elements in your design:

• Charts or graphs that show trends
• Photos of leadership, milestones, or teams
• Pull quotes to reinforce strategic themes
• Iconography or illustrations to explain concepts 
• Consistent typography and a mobile-friendly layout

In short, great design is a powerful tool for better comprehension and connection.

3. Embrace Storytelling with Substance

Data shows what happened. Stories explain why it matters.

Beyond presenting a list of KPIs, share the challenges your team faced and the pivotal decisions you made that brought your mission to life.

According to Harvard Business School, stories are more likely to stick in readers’ minds than statistics alone. They help people understand strategy in context and connect emotionally to the brand behind the numbers.

Stakeholder Labs puts it well: the best shareholder letters are stories that are structured, intentional, and anchored in meaning. They include layers of storytelling with social proof from customer testimonials and media coverage.

4. Balance Optimism with Accountability

A shareholder letter isn’t a highlight reel or a crisis memo. The letter needs a balance of optimism and accountability. 

In addition to celebrating wins, your audience wants to hear about losses. This means acknowledging business challenges or company missteps with maturity and sharing how your team will respond. Rather than just managing reputation, show stakeholders that you’re leading with foresight and accountability.

Airbnb openly addresses the current consumer uncertainty and explains how it is adjusting its core service, pricing, and platform strategy to stay resilient. The letter is thoughtful, measured, and grounded—without spin.

5. Speak to the Whole Stakeholder Ecosystem

Shareholders may be your primary audience, but they’re not the only ones reading a shareholder letter. Your audience may include employees, partners, regulators, and customers. 

With this in mind, the letter can help define how your company shows up in the world. For mission-driven companies, it can demonstrate how team culture and values help shape outcomes. When referencing ESG, for example, describe real, measurable actions instead of vague statements.  

The best letters resonate beyond the investor community. They are cultural artifacts for the company, summarizing not just financial performance, but brand identity. 

In Logitech’s quarterly letter, we get to know the new CEO as she describes her first 60 days in her role, and we learn about the company’s achievements in sustainability.

Final Thoughts

Writing a shareholder letter isn’t only about presenting numbers or checking a box. It’s a chance to lead with clarity, connect through design, and build trust through honesty. 

For some companies, a brief summary with clear takeaways is all that is needed. For others, the shareholder letter is much more.  

Either way, a well-written shareholder letter is more than a company report. It tells a story and inspires belief.

Planning your next earnings report, investor deck, or shareholder letter? We help companies tell their story behind the numbers through intentional design. Ask us how.