Announcement • Jun 03
ARE Holdings, Inc. to Report Q1, 2027 Results on Aug 04, 2026 ARE Holdings, Inc. announced that they will report Q1, 2027 results at 9:00 AM, Tokyo Standard Time on Aug 04, 2026 Major Estimate Revision • May 09
Consensus EPS estimates increase by 10% The consensus outlook for earnings per share (EPS) in fiscal year 2027 has improved. 2027 revenue forecast increased from JP¥618.0b to JP¥671.0b. EPS estimate increased from JP¥287 to JP¥317 per share. Net income forecast to grow 11% next year vs 8.8% growth forecast for Metals and Mining industry in Japan. Consensus price target of JP¥4,400 unchanged from last update. Share price rose 16% to JP¥4,075 over the past week. Valuation Update With 7 Day Price Move • May 08
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to JP¥4,075, the stock trades at a forward P/E ratio of 13x. Average forward P/E is 12x in the Metals and Mining industry in Japan. Total returns to shareholders of 134% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥2,179 per share. Reported Earnings • May 06
Full year 2026 earnings: EPS and revenues exceed analyst expectations Full year 2026 results: EPS: JP¥315 (up from JP¥187 in FY 2025). Revenue: JP¥570.0b (up 13% from FY 2025). Net income: JP¥24.4b (up 71% from FY 2025). Profit margin: 4.3% (up from 2.8% in FY 2025). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 4.0%. Earnings per share (EPS) also surpassed analyst estimates by 6.8%. Revenue is forecast to grow 5.7% p.a. on average during the next 3 years, compared to a 4.5% growth forecast for the Metals and Mining industry in Japan. Over the last 3 years on average, earnings per share has increased by 37% per year but the company’s share price has only increased by 21% per year, which means it is significantly lagging earnings growth. Announcement • May 01
ARE Holdings, Inc., Annual General Meeting, Jun 16, 2026 ARE Holdings, Inc., Annual General Meeting, Jun 16, 2026. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥65.00 per share Eligible shareholders must have bought the stock before 30 March 2026. Payment date: 03 June 2026. Payout ratio is a comfortable 34% but the company is not cash flow positive. Trailing yield: 3.9%. Within top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (2.5%). Valuation Update With 7 Day Price Move • Mar 09
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to JP¥3,825, the stock trades at a forward P/E ratio of 13x. Average forward P/E is 14x in the Metals and Mining industry in Japan. Total returns to shareholders of 115% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥2,077 per share. New Risk • Feb 13
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Japanese stocks, typically moving 5.6% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (currently running at an operating cash loss). High level of non-cash earnings (29% accrual ratio). Minor Risks Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (5.6% average weekly change). Announcement • Feb 10
ARE Holdings, Inc. to Report Fiscal Year 2026 Results on May 01, 2026 ARE Holdings, Inc. announced that they will report fiscal year 2026 results on May 01, 2026 New Risk • Feb 05
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 29% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (currently running at an operating cash loss). High level of non-cash earnings (29% accrual ratio). Minor Risk Paying a dividend despite having no free cash flows. Announcement • Dec 05
ARE Holdings, Inc. to Report Q3, 2026 Results on Feb 03, 2026 ARE Holdings, Inc. announced that they will report Q3, 2026 results on Feb 03, 2026 Declared Dividend • Nov 22
First half dividend of JP¥60.00 announced Shareholders will receive a dividend of JP¥60.00. Ex-date: 30th March 2026 Payment date: 3rd June 2026 Dividend yield will be 4.3%, which is higher than the industry average of 3.4%. Sustainability & Growth Dividend is covered by earnings (17% earnings payout ratio) but the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has increased by an average of 15% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 25% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Major Estimate Revision • Nov 05
Consensus EPS estimates increase by 38% The consensus outlook for fiscal year 2026 has been updated. 2026 EPS estimate increased from JP¥213 to JP¥295. Revenue forecast unchanged at JP¥519.0b. Net income forecast to grow 21% next year vs 11% growth forecast for Metals and Mining industry in Japan. Consensus price target of JP¥2,500 unchanged from last update. Share price rose 12% to JP¥2,560 over the past week. Reported Earnings • Oct 30
Second quarter 2026 earnings released: EPS: JP¥94.10 (vs JP¥44.58 in 2Q 2025) Second quarter 2026 results: EPS: JP¥94.10 (up from JP¥44.58 in 2Q 2025). Revenue: JP¥101.1b (down 32% from 2Q 2025). Net income: JP¥7.21b (up 112% from 2Q 2025). Profit margin: 7.1% (up from 2.3% in 2Q 2025). The increase in margin was driven by lower expenses. Revenue is forecast to grow 4.5% p.a. on average during the next 3 years, compared to a 3.0% growth forecast for the Metals and Mining industry in Japan. Over the last 3 years on average, earnings per share has increased by 9% per year and the company’s share price has also increased by 9% per year. Upcoming Dividend • Sep 22
Upcoming dividend of JP¥40.00 per share Eligible shareholders must have bought the stock before 29 September 2025. Payment date: 17 November 2025. Payout ratio is a comfortable 41% but the company is paying out more than the cash it is generating. Trailing yield: 3.7%. Within top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (3.2%). Major Estimate Revision • Aug 06
Consensus revenue estimates increase by 10% The consensus outlook for revenues in fiscal year 2026 has improved. 2026 revenue forecast increased from JP¥485.5b to JP¥535.5b. EPS estimate increased from JP¥210 to JP¥213 per share. Net income forecast to grow 13% next year vs 0.5% growth forecast for Metals and Mining industry in Japan. Consensus price target of JP¥2,500 unchanged from last update. Share price fell 4.0% to JP¥1,893 over the past week. Announcement • Aug 04
ARE Holdings, Inc. to Report Q2, 2026 Results on Oct 29, 2025 ARE Holdings, Inc. announced that they will report Q2, 2026 results on Oct 29, 2025 Reported Earnings • Jul 31
First quarter 2026 earnings released: EPS: JP¥47.50 (vs JP¥41.83 in 1Q 2025) First quarter 2026 results: EPS: JP¥47.50 (up from JP¥41.83 in 1Q 2025). Revenue: JP¥137.1b (up 49% from 1Q 2025). Net income: JP¥3.64b (up 14% from 1Q 2025). Profit margin: 2.7% (down from 3.5% in 1Q 2025). The decrease in margin was driven by higher expenses. Revenue is expected to decline by 4.9% p.a. on average during the next 3 years, while revenues in the Metals and Mining industry in Japan are expected to grow by 2.5%. Over the last 3 years on average, earnings per share has fallen by 6% per year whereas the company’s share price has fallen by 4% per year. Declared Dividend • Jul 09
Final dividend of JP¥40.00 announced Dividend of JP¥40.00 is the same as last year. Ex-date: 29th September 2025 Payment date: 17th November 2025 Dividend yield will be 4.2%, which is higher than the industry average of 3.4%. Sustainability & Growth Dividend is covered by both earnings (45% earnings payout ratio) and cash flows (88% cash payout ratio). The dividend has increased by an average of 10% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 24% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Jun 21
Full year 2025 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2025 results: EPS: JP¥187 (up from JP¥111 in FY 2024). Revenue: JP¥506.2b (up 57% from FY 2024). Net income: JP¥14.3b (up 68% from FY 2024). Profit margin: 2.8% (up from 2.6% in FY 2024). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 1.1%. Earnings per share (EPS) missed analyst estimates by 2.5%. Revenue is expected to decline by 1.7% p.a. on average during the next 3 years, while revenues in the Metals and Mining industry in Japan are expected to grow by 2.2%. Over the last 3 years on average, earnings per share has fallen by 15% per year but the company’s share price has only fallen by 4% per year, which means it has not declined as severely as earnings. Buy Or Sell Opportunity • Jun 12
Now 20% overvalued Over the last 90 days, the stock has fallen 9.5% to JP¥1,786. The fair value is estimated to be JP¥1,488, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 30% over the last 3 years. Earnings per share has declined by 15%. For the next 3 years, revenue is forecast to decline by 1.7% per annum. Earnings are forecast to grow by 7.5% per annum over the same time period. Buy Or Sell Opportunity • May 26
Now 20% overvalued Over the last 90 days, the stock has fallen 5.3% to JP¥1,754. The fair value is estimated to be JP¥1,460, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 30% over the last 3 years. Earnings per share has declined by 15%. For the next 3 years, revenue is forecast to decline by 1.7% per annum. Earnings are forecast to grow by 7.5% per annum over the same time period. Announcement • May 02
ARE Holdings, Inc. to Report Q1, 2026 Results on Jul 30, 2025 ARE Holdings, Inc. announced that they will report Q1, 2026 results on Jul 30, 2025 Price Target Changed • May 01
Price target increased by 14% to JP¥2,500 Up from JP¥2,200, the current price target is provided by 1 analyst. New target price is 43% above last closing price of JP¥1,749. Stock is down 12% over the past year. The company is forecast to post earnings per share of JP¥210 for next year compared to JP¥187 last year. Reported Earnings • Apr 26
Full year 2025 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2025 results: EPS: JP¥187 (up from JP¥111 in FY 2024). Revenue: JP¥506.2b (up 57% from FY 2024). Net income: JP¥14.3b (up 68% from FY 2024). Profit margin: 2.8% (up from 2.6% in FY 2024). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 1.1%. Earnings per share (EPS) missed analyst estimates by 2.5%. Revenue is forecast to grow 2.3% p.a. on average during the next 2 years, while revenues in the Metals and Mining industry in Japan are expected to remain flat. Over the last 3 years on average, earnings per share has fallen by 15% per year but the company’s share price has only fallen by 3% per year, which means it has not declined as severely as earnings. Announcement • Apr 25
ARE Holdings, Inc., Annual General Meeting, Jun 17, 2025 ARE Holdings, Inc., Annual General Meeting, Jun 17, 2025. Valuation Update With 7 Day Price Move • Apr 07
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to JP¥1,623, the stock trades at a forward P/E ratio of 8x. Average forward P/E is 7x in the Metals and Mining industry in Japan. Total loss to shareholders of 16% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥1,141 per share. Upcoming Dividend • Mar 21
Upcoming dividend of JP¥40.00 per share Eligible shareholders must have bought the stock before 28 March 2025. Payment date: 04 June 2025. Payout ratio is a comfortable 45% and this is well supported by cash flows. Trailing yield: 4.0%. Within top quartile of Japanese dividend payers (3.7%). In line with average of industry peers (4.1%). Announcement • Feb 12
ARE Holdings, Inc. to Report Fiscal Year 2025 Results on Apr 25, 2025 ARE Holdings, Inc. announced that they will report fiscal year 2025 results on Apr 25, 2025 Major Estimate Revision • Feb 05
Consensus EPS estimates increase by 15% The consensus outlook for earnings per share (EPS) in fiscal year 2025 has improved. 2025 revenue forecast increased from JP¥480.0b to JP¥500.0b. EPS estimate increased from JP¥170 to JP¥196 per share. Net income forecast to grow 4.0% next year vs 9.2% growth forecast for Metals and Mining industry in Japan. Consensus price target up from JP¥2,200 to JP¥2,300. Share price rose 13% to JP¥1,890 over the past week. Reported Earnings • Jan 30
Third quarter 2025 earnings released: EPS: JP¥62.40 (vs JP¥23.97 in 3Q 2024) Third quarter 2025 results: EPS: JP¥62.40 (up from JP¥23.97 in 3Q 2024). Revenue: JP¥132.6b (up 59% from 3Q 2024). Net income: JP¥4.78b (up 160% from 3Q 2024). Profit margin: 3.6% (up from 2.2% in 3Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 5.2% p.a. on average during the next 3 years, compared to a 1.5% growth forecast for the Metals and Mining industry in Japan. Over the last 3 years on average, earnings per share has fallen by 33% per year but the company’s share price has only fallen by 6% per year, which means it has not declined as severely as earnings. Announcement • Jan 29
ARE Holdings, Inc. Provides Dividend Guidance for the Year Ending March 31, 2025 ARE Holdings, Inc. provided dividend guidance for the year ending March 31, 2025. For the year, the company expected to pay dividend of JPY 40.00 per share compared to JPY 45.00 per share paid a year ago. Announcement • Dec 13
ARE Holdings, Inc. to Report Q3, 2025 Results on Jan 29, 2025 ARE Holdings, Inc. announced that they will report Q3, 2025 results on Jan 29, 2025 Declared Dividend • Nov 16
First half dividend of JP¥40.00 announced Shareholders will receive a dividend of JP¥40.00. Ex-date: 28th March 2025 Payment date: 4th June 2025 Dividend yield will be 4.5%, which is higher than the industry average of 3.4%. Sustainability & Growth Dividend is covered by earnings (60% earnings payout ratio) but not covered by cash flows (161% cash payout ratio). The dividend has increased by an average of 10% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 36% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Nov 01
Second quarter 2025 earnings released: EPS: JP¥44.58 (vs JP¥37.36 in 2Q 2024) Second quarter 2025 results: EPS: JP¥44.58 (up from JP¥37.36 in 2Q 2024). Revenue: JP¥148.1b (up 73% from 2Q 2024). Net income: JP¥3.41b (up 19% from 2Q 2024). Profit margin: 2.3% (down from 3.4% in 2Q 2024). The decrease in margin was driven by higher expenses. Revenue is expected to decline by 1.6% p.a. on average during the next 3 years, while revenues in the Metals and Mining industry in Japan are expected to grow by 2.0%. Over the last 3 years on average, earnings per share has fallen by 42% per year but the company’s share price has only fallen by 4% per year, which means it has not declined as severely as earnings. Upcoming Dividend • Sep 20
Upcoming dividend of JP¥40.00 per share Eligible shareholders must have bought the stock before 27 September 2024. Payment date: 18 November 2024. Payout ratio is a comfortable 71% but the company is paying out more than the cash it is generating. Trailing yield: 4.4%. Within top quartile of Japanese dividend payers (3.8%). In line with average of industry peers (4.3%). Announcement • Aug 28
ARE Holdings, Inc. to Report Q2, 2025 Results on Oct 30, 2024 ARE Holdings, Inc. announced that they will report Q2, 2025 results on Oct 30, 2024 Reported Earnings • Aug 02
First quarter 2025 earnings released: EPS: JP¥41.83 (vs JP¥31.26 in 1Q 2024) First quarter 2025 results: EPS: JP¥41.83 (up from JP¥31.26 in 1Q 2024). Revenue: JP¥92.3b (up 39% from 1Q 2024). Net income: JP¥3.20b (up 33% from 1Q 2024). Profit margin: 3.5% (in line with 1Q 2024). Revenue is forecast to grow 4.1% p.a. on average during the next 3 years, compared to a 3.3% growth forecast for the Metals and Mining industry in Japan. Over the last 3 years on average, earnings per share has fallen by 45% per year but the company’s share price has only fallen by 5% per year, which means it has not declined as severely as earnings. Declared Dividend • Jul 11
Final dividend of JP¥40.00 announced Shareholders will receive a dividend of JP¥40.00. Ex-date: 27th September 2024 Payment date: 18th November 2024 Dividend yield will be 4.1%, which is higher than the industry average of 3.4%. Sustainability & Growth Dividend is covered by earnings (88% earnings payout ratio) but not covered by cash flows (145% cash payout ratio). The dividend has increased by an average of 10% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 59% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Jun 23
Full year 2024 earnings: EPS and revenues exceed analyst expectations Full year 2024 results: EPS: JP¥111 (down from JP¥141 in FY 2023). Revenue: JP¥322.3b (up 10% from FY 2023). Net income: JP¥8.51b (down 22% from FY 2023). Profit margin: 2.6% (down from 3.7% in FY 2023). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 2.3%. Earnings per share (EPS) also surpassed analyst estimates by 155%. Revenue is forecast to grow 6.3% p.a. on average during the next 3 years, compared to a 3.1% growth forecast for the Metals and Mining industry in Japan. Over the last 3 years on average, earnings per share has fallen by 44% per year but the company’s share price has only fallen by 3% per year, which means it has not declined as severely as earnings. Reported Earnings • Apr 26
Full year 2024 earnings: EPS and revenues exceed analyst expectations Full year 2024 results: EPS: JP¥111 (down from JP¥141 in FY 2023). Revenue: JP¥322.3b (up 10% from FY 2023). Net income: JP¥8.51b (down 22% from FY 2023). Profit margin: 2.6% (down from 3.7% in FY 2023). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 2.3%. Earnings per share (EPS) also surpassed analyst estimates by 155%. Revenue is forecast to stay flat during the next 2 years compared to a 3.3% growth forecast for the Metals and Mining industry in Japan. Over the last 3 years on average, earnings per share has fallen by 44% per year but the company’s share price has only fallen by 3% per year, which means it has not declined as severely as earnings. Announcement • Apr 02
Renatus Co.,Ltd completed the acquisition of Japan Waste Corporation from ARE Holdings, Inc. (TSE:5857) Renatus Co.,Ltd agreed to acquire Japan Waste Corporation from ARE Holdings, Inc. (TSE:5857) on October 26, 2023. As of March 31, 2023, Japan Waste Corporation reported net assets of ¥41.5 billion, total assets of ¥110 billion, net sales of ¥280 billion, operating profit of ¥17.4 billion, and net income of ¥12.7 billion. The agreement is expected to be signed in the End of February, 2024, and the deal is expected to be completed in the end of March, 2024.
Renatus Co.,Ltd completed the acquisition of Japan Waste Corporation from ARE Holdings, Inc. (TSE:5857) on March 31, 2024. Announcement • Mar 27
ARE Holdings, Inc. Announces Change of Corporate Officers, as of April 1,2024 ARE Holdings, Inc. announced changes in Directors and Officers of the Company and Group Companies effective as of April 1,2024, it Newly appointed Yoshihito Iwasa also announced Hiroyuki Nakanishi and Shohei Yasuda is Retiring. Upcoming Dividend • Mar 21
Upcoming dividend of JP¥45.00 per share Eligible shareholders must have bought the stock before 28 March 2024. Payment date: 05 June 2024. Payout ratio is on the higher end at 88%, however this is supported by cash flows. Trailing yield: 4.6%. Within top quartile of Japanese dividend payers (3.2%). Higher than average of industry peers (3.5%). Announcement • Mar 02
ARE Holdings, Inc. to Report Fiscal Year 2024 Results on Apr 25, 2024 ARE Holdings, Inc. announced that they will report fiscal year 2024 results on Apr 25, 2024 Announcement • Feb 29
ARE Holdings, Inc. Provides Consolidated Earnings Guidance for the Fiscal Year Ending in March 2024 ARE Holdings, Inc. provided consolidated earnings guidance for the fiscal year ending in March 2024. The company announced that, as stated in the "Notice on Conclusion of Basic Agreement on Share Exchange between Japan Waste, Consolidated Subsidiary, and Renatus Co. Ltd." dated October 26, 2023, the Company concluded a basic agreement with Renatus Co. Ltd. (hereinafter "Renatus") and J-STAR NO.5-A, LP to conduct a share exchange (hereinafter the "Share Exchange") in which Renatus would become the wholly owning parent company, and consolidated subsidiary, Japan Waste Corporation (hereinafter "Japan Waste"), would become the wholly owned subsidiary company, as of the same day. Due to the Share Exchange, Japan Waste will be classified as discontinued operations from the fourth quarter of the fiscal year ending March 2024. The impact of the Share Exchange on the Company's consolidated financial performance for the fiscal year ending in March 2024 is expected to be the decreases in revenue and operating profit from continued operations by approximately JPY 16,500 million and JPY 3,200 million, respectively. Reported Earnings • Feb 02
Third quarter 2024 earnings released: EPS: JP¥23.98 (vs JP¥37.59 in 3Q 2023) Third quarter 2024 results: EPS: JP¥23.98 (down from JP¥37.59 in 3Q 2023). Revenue: JP¥83.2b (up 14% from 3Q 2023). Net income: JP¥1.84b (down 36% from 3Q 2023). Profit margin: 2.2% (down from 3.9% in 3Q 2023). Revenue is expected to decline by 2.5% p.a. on average during the next 3 years, while revenues in the Metals and Mining industry in Japan are expected to grow by 2.5%. Over the last 3 years on average, earnings per share has fallen by 34% per year but the company’s share price has only fallen by 2% per year, which means it has not declined as severely as earnings. Announcement • Dec 30
ARE Holdings, Inc. to Report Q3, 2024 Results on Jan 31, 2024 ARE Holdings, Inc. announced that they will report Q3, 2024 results on Jan 31, 2024 Reported Earnings • Oct 29
Second quarter 2024 earnings released: EPS: JP¥37.36 (vs JP¥38.93 in 2Q 2023) Second quarter 2024 results: EPS: JP¥37.36 (down from JP¥38.93 in 2Q 2023). Revenue: JP¥85.4b (up 17% from 2Q 2023). Net income: JP¥2.86b (down 5.4% from 2Q 2023). Profit margin: 3.4% (down from 4.1% in 2Q 2023). Revenue is expected to decline by 2.6% p.a. on average during the next 3 years, while revenues in the Metals and Mining industry in Japan are expected to grow by 1.3%. Over the last 3 years on average, earnings per share has fallen by 23% per year but the company’s share price has increased by 3% per year, which means it is well ahead of earnings. Major Estimate Revision • Oct 28
Consensus revenue estimates increase by 12%, EPS downgraded The consensus outlook for fiscal year 2024 has been updated. 2024 revenue forecast increased from JP¥260.0b to JP¥290.0b. EPS estimate fell from JP¥164 to JP¥147. Net income forecast to grow 29% next year vs 6.3% decline forecast for Metals and Mining industry in Japan. Consensus price target of JP¥2,600 unchanged from last update. Share price was steady at JP¥1,865 over the past week. Upcoming Dividend • Sep 21
Upcoming dividend of JP¥45.00 per share at 4.6% yield Eligible shareholders must have bought the stock before 28 September 2023. Payment date: 20 November 2023. Payout ratio is on the higher end at 76%, however this is supported by cash flows. Trailing yield: 4.6%. Within top quartile of Japanese dividend payers (3.3%). Higher than average of industry peers (3.2%). Announcement • Aug 27
ARE Holdings, Inc. to Report Q2, 2024 Results on Oct 26, 2023 ARE Holdings, Inc. announced that they will report Q2, 2024 results on Oct 26, 2023 New Risk • Jul 29
New major risk - Financial position The company's debt is not well covered by operating cash flow. Operating cash flow to total debt ratio: 20% This is considered a major risk. If the company's operating cash flows are too small relative to the size of their debt, it increases their balance sheet risk. The company has less cash from operations to cover its expenses from servicing large debt and it increases the risk of liquidity issues. It also extends the time it would take for the company to pay back the debt in full, meaning it may not be able to easily pay it all off in a distress scenario. Currently, the following risks have been identified for the company: Major Risk Debt is not well covered by operating cash flow (20% operating cash flow to total debt). Minor Risks Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (3.0% net profit margin). Reported Earnings • Jul 28
First quarter 2024 earnings released: EPS: JP¥31.26 (vs JP¥54.27 in 1Q 2023) First quarter 2024 results: EPS: JP¥31.26 (down from JP¥54.27 in 1Q 2023). Revenue: JP¥66.5b (up 11% from 1Q 2023). Net income: JP¥2.40b (down 44% from 1Q 2023). Profit margin: 3.6% (down from 7.1% in 1Q 2023). Revenue is expected to decline by 5.7% p.a. on average during the next 3 years, while revenues in the Metals and Mining industry in Japan are expected to grow by 1.1%. Over the last 3 years on average, earnings per share has fallen by 12% per year but the company’s share price has increased by 1% per year, which means it is well ahead of earnings. Reported Earnings • Jun 24
Full year 2023 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2023 results: EPS: JP¥141 (down from JP¥238 in FY 2022). Revenue: JP¥292.4b (up 52% from FY 2022). Net income: JP¥10.9b (down 42% from FY 2022). Profit margin: 3.7% (down from 9.7% in FY 2022). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 5.8%. Earnings per share (EPS) missed analyst estimates by 28%. Revenue is forecast to decline by 4.6% p.a. on average during the next 3 years, while revenues in the Metals and Mining industry in Japan are expected to remain flat. Over the last 3 years on average, earnings per share has increased by 1% per year but the company’s share price has increased by 10% per year, which means it is tracking significantly ahead of earnings growth. Announcement • May 31
Asahi Holdings, Inc. to Report Q1, 2024 Results on Jul 27, 2023 Asahi Holdings, Inc. announced that they will report Q1, 2024 results on Jul 27, 2023 Announcement • May 20
Asahi Holdings, Inc. Announces Notice on the Change of Directors Asahi Holdings, Inc. announces that the Company has decided to submit a proposal for "Candidate for Director (excluding Directors who are Audit and Supervisory Committee Members)" and "Candidates for Directors who are Audit and Supervisory Committee Members" to the 14th Annual General Meeting of Shareholders to be convened on June 20, 2023. The Company also announces Directors and Officers of the Company and Group Companies scheduled to be appointed on June 20, 2023. Directors Planning to Retire (Scheduled on June 20, 2023). Name: Mitsuharu Terayama, Yuji Kimura, Kyoko Kanazawa. Current Position: Director and Chairman, Outside Director /Audit and Supervisory Committee Member, Outside Director /Audit and Supervisory Committee Member. Reported Earnings • Apr 29
Full year 2023 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2023 results: EPS: JP¥141 (down from JP¥238 in FY 2022). Revenue: JP¥292.4b (up 52% from FY 2022). Net income: JP¥10.9b (down 42% from FY 2022). Profit margin: 3.7% (down from 9.7% in FY 2022). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 5.8%. Earnings per share (EPS) missed analyst estimates by 28%. Revenue is forecast to decline by 5.1% p.a. on average during the next 2 years, while revenues in the Metals and Mining industry in Japan are expected to remain flat. Over the last 3 years on average, earnings per share has increased by 1% per year but the company’s share price has increased by 18% per year, which means it is tracking significantly ahead of earnings growth. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥45.00 per share at 4.4% yield Eligible shareholders must have bought the stock before 30 March 2023. Payment date: 30 May 2023. Payout ratio is a comfortable 46% but the company is not cash flow positive. Trailing yield: 4.4%. Within top quartile of Japanese dividend payers (3.6%). In line with average of industry peers (4.6%). Reported Earnings • Feb 01
Third quarter 2023 earnings released: EPS: JP¥37.59 (vs JP¥49.77 in 3Q 2022) Third quarter 2023 results: EPS: JP¥37.59 (down from JP¥49.77 in 3Q 2022). Revenue: JP¥73.2b (up 54% from 3Q 2022). Net income: JP¥2.88b (down 26% from 3Q 2022). Profit margin: 3.9% (down from 8.2% in 3Q 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to decline by 1.6% p.a. on average during the next 3 years, while revenues in the Metals and Mining industry in Japan are expected to remain flat. Over the last 3 years on average, earnings per share has increased by 13% per year whereas the company’s share price has increased by 15% per year. Announcement • Dec 17
Asahi Holdings, Inc. to Report Q3, 2023 Results on Jan 31, 2023 Asahi Holdings, Inc. announced that they will report Q3, 2023 results on Jan 31, 2023 Price Target Changed • Nov 16
Price target decreased to JP¥2,740 Down from JP¥3,100, the current price target is an average from 2 analysts. New target price is 40% above last closing price of JP¥1,958. Stock is down 4.3% over the past year. The company is forecast to post earnings per share of JP¥204 for next year compared to JP¥238 last year. Major Estimate Revision • Nov 03
Consensus forecasts updated The consensus outlook for 2023 has been updated. 2023 revenue forecast increased from JP¥222.6b to JP¥270.0b. EPS estimate fell from JP¥215 to JP¥204. Net income forecast to grow 2.7% next year vs 16% decline forecast for Metals and Mining industry in Japan. Consensus price target of JP¥2,740 unchanged from last update. Share price was steady at JP¥1,915 over the past week. Buying Opportunity • Nov 01
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 7.2%. The fair value is estimated to be JP¥2,369, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 18% over the last 3 years. Earnings per share has grown by 23%. Revenue is forecast to grow by 1.8% in 2 years. Earnings is forecast to grow by 14% in the next 2 years. 
