New Risk • Aug 06
New major risk - Financial position The company's debt is not well covered by operating cash flow. Operating cash flow to total debt ratio: 6.9% 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 Risks Debt is not well covered by operating cash flow (6.9% operating cash flow to total debt). Earnings have declined by 2.5% per year over the past 5 years. Minor Risks Paying a dividend despite having no free cash flows. Profit margins are more than 30% lower than last year (3.1% net profit margin). Reported Earnings • Aug 05
Full year 2026 earnings released: EPS: US$0.59 (vs US$0.79 in FY 2025) Full year 2026 results: EPS: US$0.59 (down from US$0.79 in FY 2025). Revenue: US$402.8m (up 8.4% from FY 2025). Net income: US$12.4m (down 26% from FY 2025). Profit margin: 3.1% (down from 4.5% in FY 2025). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 7% per year but the company’s share price has increased by 7% per year, which means it is well ahead of earnings. New Risk • Feb 15
New major risk - Financial position The company's interest payments are not well covered by earnings. Net interest cover: 2.9x This is considered a major risk. If the company is unable to fund interest repayments on its debt through profits, it may be forced into reducing its debt burden through selling assets, undertaking a potentially costly capital raising or even into bankruptcy in the worst case scenario. Currently, the following risks have been identified for the company: Major Risks Interest payments are not well covered by earnings (2.9x net interest cover). Dividend is not well covered by earnings and cash flows. Payout ratio: 0% Cash payout ratio: 239% Earnings have declined by 2.6% per year over the past 5 years. New Risk • Nov 23
New minor risk - Dividend sustainability The company has an unstable dividend paying track record. The dividend has had an annual drop of over 20% in the past. Dividend yield: 5.0% This is considered a minor risk. If the company has cut or reduced its dividend in the past, it may be a sign that the underlying business is too cyclical to consistently maintain or grow the dividend over the long-term. It may also indicate the company prioritizes other outcomes instead of maintaining the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 1.8% per year over the past 5 years. Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Profit margins are more than 30% lower than last year (2.9% net profit margin). New Risk • Nov 17
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 2.9% Last year net profit margin: 4.4% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 1.8% per year over the past 5 years. Minor Risk Profit margins are more than 30% lower than last year (2.9% net profit margin). Reported Earnings • Nov 17
Second quarter 2026 earnings released: EPS: US$0.20 (vs US$0.28 in 2Q 2025) Second quarter 2026 results: EPS: US$0.20 (down from US$0.28 in 2Q 2025). Revenue: US$110.8m (up 12% from 2Q 2025). Net income: US$4.12m (down 29% from 2Q 2025). Profit margin: 3.7% (down from 5.9% in 2Q 2025). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 7% per year but the company’s share price has increased by 16% per year, which means it is well ahead of earnings. Buy Or Sell Opportunity • Oct 31
Now 21% undervalued The stock has been flat over the last 90 days, currently trading at JP¥803. The fair value is estimated to be JP¥1,011, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 4.7% over the last 3 years. Earnings per share has declined by 3.3%. Buy Or Sell Opportunity • Oct 16
Now 20% undervalued Over the last 90 days, the stock has risen 4.6% to JP¥800. The fair value is estimated to be JP¥1,005, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 4.7% over the last 3 years. Earnings per share has declined by 3.3%. New Risk • Aug 16
New major risk - Revenue and earnings growth Earnings have declined by 0.3% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. This is currently the only risk that has been identified for the company. Reported Earnings • Aug 16
First quarter 2026 earnings released First quarter 2026 results: Revenue: US$104.5m (up 5.1% from 1Q 2025). Net income: US$2.85m (down 53% from 1Q 2025). Profit margin: 2.7% (down from 6.1% in 1Q 2025). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 2% per year but the company’s share price has increased by 14% per year, which means it is well ahead of earnings. Anuncio • Jul 31
Omni-Plus System Limited to Report Q1, 2026 Results on Aug 14, 2025 Omni-Plus System Limited announced that they will report Q1, 2026 results on Aug 14, 2025 New Risk • May 21
New major risk - Revenue and earnings growth Earnings have declined by 0.2% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 0.2% per year over the past 5 years. Minor Risk Share price has been volatile over the past 3 months (9.4% average weekly change). Reported Earnings • May 20
Full year 2025 earnings released Full year 2025 results: Revenue: US$371.6m (up 20% from FY 2024). Net income: US$16.2m (up 54% from FY 2024). Profit margin: 4.3% (up from 3.4% in FY 2024). The increase in margin was driven by higher revenue. New Risk • Apr 04
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: JP¥14.3b (US$98.7m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 0.2% per year over the past 5 years. Minor Risks Share price has been volatile over the past 3 months (6.2% average weekly change). Market cap is less than US$100m (JP¥14.3b market cap, or US$98.7m). Anuncio • Apr 04
Omni-Plus System Limited to Report Fiscal Year 2025 Results on May 15, 2025 Omni-Plus System Limited announced that they will report fiscal year 2025 results on May 15, 2025 Valuation Update With 7 Day Price Move • Apr 03
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to JP¥714, the stock trades at a trailing P/E ratio of 7.4x. Average trailing P/E is 11x in the Chemicals industry in Japan. Total returns to shareholders of 37% over the past three years. Anuncio • Feb 27
Omni-Plus System Limited (TSE:7699) completed the acquisition of 90% stake in Plastech Trading (Shanghai) Co., Ltd. from Plastech (China) Company Limited and Victory Chemical Company Limited. Omni-Plus System Limited (TSE:7699) agreed to acquire 90% stake in Plastech Trading (Shanghai) Co., Ltd. from Plastech (China) Company Limited and Victory Chemical Company Limited for approximately ¥220 million on November 14, 2024. A cash consideration of ¥217 million will be paid by Omni-Plus System Limited. The expected completion of the transaction is December 31, 2024.
Omni-Plus System Limited (TSE:7699) completed the acquisition of 90% stake in Plastech Trading (Shanghai) Co., Ltd. from Plastech (China) Company Limited and Victory Chemical Company Limited on February 26, 2025. Reported Earnings • Feb 18
Third quarter 2025 earnings released: EPS: US$0.086 (vs US$0.18 in 3Q 2024) Third quarter 2025 results: EPS: US$0.086 (down from US$0.18 in 3Q 2024). Revenue: US$84.0m (up 18% from 3Q 2024). Net income: US$1.81m (down 52% from 3Q 2024). Profit margin: 2.2% (down from 5.3% in 3Q 2024). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 5% per year but the company’s share price has increased by 12% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Nov 21
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to JP¥634, the stock trades at a trailing P/E ratio of 5.5x. Average trailing P/E is 12x in the Chemicals industry in Japan. Total loss to shareholders of 2.0% over the past three years. New Risk • Nov 18
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 5.9% 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: Minor Risks Share price has been volatile over the past 3 months (5.9% average weekly change). Market cap is less than US$100m (JP¥14.5b market cap, or US$93.8m). Reported Earnings • Nov 16
Second quarter 2025 earnings released: EPS: US$0.28 (vs US$0.23 in 2Q 2024) Second quarter 2025 results: EPS: US$0.28 (up from US$0.23 in 2Q 2024). Revenue: US$98.8m (up 12% from 2Q 2024). Net income: US$5.81m (up 20% from 2Q 2024). Profit margin: 5.9% (up from 5.5% in 2Q 2024). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 3% per year whereas the company’s share price has fallen by 5% per year. Reported Earnings • Aug 17
First quarter 2025 earnings released First quarter 2025 results: Revenue: US$99.4m (up 48% from 1Q 2024). Net income: US$6.04m (up 233% from 1Q 2024). Profit margin: 6.1% (up from 2.7% in 1Q 2024). The increase in margin was driven by higher revenue. Anuncio • Jun 08
Omni-Plus System Limited (TSE:7699) completed the acquisition of International Material Supplier Co., Ltd. Omni-Plus System Limited (TSE:7699) agreed to acquire International Material Supplier Co., Ltd. for $11.1 million on March 29, 2024. The deal is expected to be completed on March 29, 2024. Omni-Plus System Limited (TSE:7699) completed the acquisition of International Material Supplier Co., Ltd. on June 6, 2024.