Reported Earnings • May 01
Full year 2026 earnings: EPS and revenues exceed analyst expectations Full year 2026 results: EPS: JP¥135 (down from JP¥184 in FY 2025). Revenue: JP¥1.02t (up 2.9% from FY 2025). Net income: JP¥26.9b (down 29% from FY 2025). Profit margin: 2.6% (down from 3.8% in FY 2025). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 1.9%. Earnings per share (EPS) also surpassed analyst estimates by 16%. Revenue is forecast to grow 1.6% p.a. on average during the next 3 years, compared to a 7.7% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 73% per year but the company’s share price has only increased by 20% per year, which means it is significantly lagging earnings growth. Annonce • Apr 30
Alps Alpine Co., Ltd., Annual General Meeting, Jun 25, 2026 Alps Alpine Co., Ltd., Annual General Meeting, Jun 25, 2026. Price Target Changed • Mar 23
Price target increased by 7.1% to JP¥2,141 Up from JP¥2,000, the current price target is an average from 13 analysts. New target price is approximately in line with last closing price of JP¥2,101. Stock is up 32% over the past year. The company is forecast to post earnings per share of JP¥111 for next year compared to JP¥184 last year. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥32.00 per share Eligible shareholders must have bought the stock before 30 March 2026. Payment date: 26 June 2026. Payout ratio is a comfortable 23% and this is well supported by cash flows. Trailing yield: 3.0%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.6%). Annonce • Feb 03
Alps Alpine Co., Ltd. to Report Q4, 2026 Results on Apr 30, 2026 Alps Alpine Co., Ltd. announced that they will report Q4, 2026 results on Apr 30, 2026 Reported Earnings • Jan 31
Third quarter 2026 earnings: EPS and revenues exceed analyst expectations Third quarter 2026 results: EPS: JP¥54.73 (up from JP¥43.27 in 3Q 2025). Revenue: JP¥255.5b (up 2.1% from 3Q 2025). Net income: JP¥10.7b (up 20% from 3Q 2025). Profit margin: 4.2% (up from 3.6% in 3Q 2025). Revenue exceeded analyst estimates by 2.7%. Earnings per share (EPS) also surpassed analyst estimates by 162%. Revenue is forecast to stay flat during the next 3 years compared to a 6.8% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 51% per year but the company’s share price has only increased by 13% per year, which means it is significantly lagging earnings growth. Declared Dividend • Nov 29
First half dividend of JP¥30.00 announced Dividend of JP¥30.00 is the same as last year. Ex-date: 30th March 2026 Payment date: 26th June 2026 Dividend yield will be 3.0%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is well covered by both earnings (25% earnings payout ratio) and cash flows (44% cash payout ratio). The dividend has increased by an average of 12% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to decline by 46% over the next 3 years. However, it would need to fall by 73% to increase the payout ratio to a potentially unsustainable range. Major Estimate Revision • Nov 07
Consensus EPS estimates increase by 33% The consensus outlook for fiscal year 2026 has been updated. 2026 EPS estimate increased from JP¥66.40 to JP¥88.42. Revenue forecast steady at JP¥969.7b. Net income forecast to shrink 61% next year vs 14% growth forecast for Electronic industry in Japan . Consensus price target up from JP¥1,658 to JP¥1,703. Share price was steady at JP¥1,980 over the past week. Annonce • Nov 05
Alps Alpine Co., Ltd. to Report Q3, 2026 Results on Jan 30, 2026 Alps Alpine Co., Ltd. announced that they will report Q3, 2026 results on Jan 30, 2026 Reported Earnings • Nov 01
Second quarter 2026 earnings: EPS exceeds analyst expectations Second quarter 2026 results: EPS: JP¥79.55 (up from JP¥2.77 in 2Q 2025). Revenue: JP¥266.8b (up 3.9% from 2Q 2025). Net income: JP¥16.1b (up JP¥15.5b from 2Q 2025). Profit margin: 6.0% (up from 0.2% in 2Q 2025). Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 131%. Revenue is forecast to stay flat during the next 3 years compared to a 6.6% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 10% per year but the company’s share price has increased by 16% per year, which means it is tracking significantly ahead of earnings growth. Upcoming Dividend • Sep 22
Upcoming dividend of JP¥30.00 per share Eligible shareholders must have bought the stock before 29 September 2025. Payment date: 01 December 2025. Payout ratio is a comfortable 36% and the cash payout ratio is 81%. Trailing yield: 3.1%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.7%). Annonce • Aug 02
Alps Alpine Co., Ltd. to Report Q2, 2026 Results on Oct 31, 2025 Alps Alpine Co., Ltd. announced that they will report Q2, 2026 results on Oct 31, 2025 Reported Earnings • Aug 01
First quarter 2026 earnings: Revenues exceed analysts expectations while EPS lags behind First quarter 2026 results: JP¥13.75 loss per share (down from JP¥2.17 profit in 1Q 2025). Revenue: JP¥238.9b (up 2.3% from 1Q 2025). Net loss: JP¥2.82b (down JP¥3.27b from profit in 1Q 2025). Revenue exceeded analyst estimates by 3.8%. Earnings per share (EPS) missed analyst estimates. Revenue is forecast to stay flat during the next 3 years compared to a 6.2% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has fallen by 30% per year but the company’s share price has increased by 10% per year, which means it is well ahead of earnings. Major Estimate Revision • Aug 01
Consensus EPS estimates fall by 17% The consensus outlook for fiscal year 2026 has been updated. 2026 EPS estimate fell from JP¥58.80 to JP¥49.10 per share. Revenue forecast steady at JP¥944.9b. Net income forecast to shrink 75% next year vs 7.0% growth forecast for Electronic industry in Japan . Consensus price target broadly unchanged at JP¥1,463. Share price rose 3.1% to JP¥1,620 over the past week. Declared Dividend • Jul 09
Final dividend of JP¥30.00 announced Shareholders will receive a dividend of JP¥30.00. Ex-date: 29th September 2025 Payment date: 1st December 2025 Dividend yield will be 3.9%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is covered by both earnings (33% earnings payout ratio) and cash flows (81% cash payout ratio). The dividend has increased by an average of 20% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to decline by 30% over the next 3 years. However, it would need to fall by 64% to increase the payout ratio to a potentially unsustainable range. Reported Earnings • Jun 30
Full year 2025 earnings: EPS and revenues exceed analyst expectations Full year 2025 results: EPS: JP¥184 (up from JP¥145 loss in FY 2024). Revenue: JP¥990.4b (up 2.7% from FY 2024). Net income: JP¥37.8b (up JP¥67.7b from FY 2024). Profit margin: 3.8% (up from net loss in FY 2024). Revenue exceeded analyst estimates by 2.8%. Earnings per share (EPS) also surpassed analyst estimates by 13%. Revenue is forecast to stay flat during the next 3 years compared to a 6.1% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has fallen by 61% per year but the company’s share price has increased by 5% per year, which means it is well ahead of earnings. Major Estimate Revision • May 07
Consensus EPS estimates fall by 33% The consensus outlook for earnings per share (EPS) in fiscal year 2026 has deteriorated. 2026 revenue forecast decreased from JP¥950.9b to JP¥933.1b. EPS estimate also fell from JP¥96.25 per share to JP¥64.61 per share. Net income forecast to shrink 58% next year vs 8.0% growth forecast for Electronic industry in Japan . Consensus price target down from JP¥1,500 to JP¥1,469. Share price fell 3.5% to JP¥1,397 over the past week. Annonce • May 02
Alps Alpine Co., Ltd. to Report Q1, 2026 Results on Jul 31, 2025 Alps Alpine Co., Ltd. announced that they will report Q1, 2026 results on Jul 31, 2025 New Risk • May 01
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 15% per year for the foreseeable future. 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 expected to decline, then in most cases the share price will decline over time as well. 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 are forecast to decline by an average of 15% per year for the foreseeable future. Minor Risks Dividend is not well covered by earnings (dividend per share is over 17x earnings per share). Large one-off items impacting financial results. Reported Earnings • May 01
Full year 2025 earnings: EPS and revenues exceed analyst expectations Full year 2025 results: EPS: JP¥184 (up from JP¥145 loss in FY 2024). Revenue: JP¥990.4b (up 2.7% from FY 2024). Net income: JP¥37.8b (up JP¥67.7b from FY 2024). Profit margin: 3.8% (up from net loss in FY 2024). Revenue exceeded analyst estimates by 2.8%. Earnings per share (EPS) also surpassed analyst estimates by 13%. Revenue is forecast to stay flat during the next 3 years compared to a 6.3% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has fallen by 61% per year but the company’s share price has increased by 2% per year, which means it is well ahead of earnings. Annonce • May 01
Alps Alpine Co., Ltd. (TSE:6770) announces an Equity Buyback for 20,000,000 shares, representing 9.73% for ¥20,000 million. Alps Alpine Co., Ltd. (TSE:6770) announces a share repurchase program. Under the program, the company will repurchase 20,000,000 shares, representing 9.73% of its share capital, for ¥20,000 million. The company will repurchase its shares with the aim of increasing the value per share and improving capital efficiency. The program will run until March 31, 2026. As of March 31, 2025, the company had 205,652,636 shares outstanding (excluding treasury shares) and 13,628,814 shares in treasury. Annonce • Apr 30
Alps Alpine Co., Ltd., Annual General Meeting, Jun 25, 2025 Alps Alpine Co., Ltd., Annual General Meeting, Jun 25, 2025. Upcoming Dividend • Mar 21
Upcoming dividend of JP¥30.00 per share Eligible shareholders must have bought the stock before 28 March 2025. Payment date: 27 June 2025. The company is paying out more than 100% of its profits but is generating plenty of cash to support the dividend. Trailing yield: 3.8%. Within top quartile of Japanese dividend payers (3.7%). Higher than average of industry peers (1.7%). Annonce • Feb 04
Alps Alpine Co., Ltd. to Report Q4, 2025 Results on Apr 30, 2025 Alps Alpine Co., Ltd. announced that they will report Q4, 2025 results on Apr 30, 2025 Reported Earnings • Feb 01
Third quarter 2025 earnings: EPS and revenues exceed analyst expectations Third quarter 2025 results: EPS: JP¥43.27 (up from JP¥132 loss in 3Q 2024). Revenue: JP¥250.3b (down 3.9% from 3Q 2024). Net income: JP¥8.90b (up JP¥36.0b from 3Q 2024). Profit margin: 3.6% (up from net loss in 3Q 2024). Revenue exceeded analyst estimates by 2.1%. Earnings per share (EPS) also surpassed analyst estimates by 50%. Revenue is forecast to grow 1.0% p.a. on average during the next 3 years, compared to a 7.2% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 103 percentage points per year, which is a significant difference in performance. Declared Dividend • Nov 30
First half dividend of JP¥30.00 announced Shareholders will receive a dividend of JP¥30.00. Ex-date: 28th March 2025 Payment date: 27th June 2025 Dividend yield will be 3.9%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is being paid despite the company being loss-making over the last 12 months. However, the dividend is covered by cash flows (51% cash payout ratio). The dividend has increased by an average of 20% per year over the past 10 years. However, payments have been volatile during that time. Annonce • Nov 10
Alps Alpine Co., Ltd. to Report Q3, 2025 Results on Jan 31, 2025 Alps Alpine Co., Ltd. announced that they will report Q3, 2025 results on Jan 31, 2025 Reported Earnings • Nov 01
Second quarter 2025 earnings: EPS misses analyst expectations Second quarter 2025 results: EPS: JP¥2.77 (down from JP¥44.19 in 2Q 2024). Revenue: JP¥256.7b (flat on 2Q 2024). Net income: JP¥569.0m (down 94% from 2Q 2024). Profit margin: 0.2% (down from 3.5% in 2Q 2024). Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 84%. Revenue is forecast to stay flat during the next 3 years compared to a 7.3% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 107 percentage points per year, which is a significant difference in performance. Upcoming Dividend • Sep 20
Upcoming dividend of JP¥30.00 per share Eligible shareholders must have bought the stock before 27 September 2024. Payment date: 02 December 2024. The company is not currently making a profit but it is cash flow positive. Trailing yield: 3.9%. Within top quartile of Japanese dividend payers (3.8%). Higher than average of industry peers (1.5%). Annonce • Aug 29
Alps Alpine Co., Ltd. to Report Q2, 2025 Results on Oct 30, 2024 Alps Alpine Co., Ltd. announced that they will report Q2, 2025 results on Oct 30, 2024 Price Target Changed • Aug 21
Price target increased by 7.3% to JP¥1,523 Up from JP¥1,418, the current price target is an average from 12 analysts. New target price is approximately in line with last closing price of JP¥1,498. Stock is up 25% over the past year. The company is forecast to post earnings per share of JP¥148 next year compared to a net loss per share of JP¥145 last year. Buy Or Sell Opportunity • Aug 13
Now 22% overvalued Over the last 90 days, the stock has fallen 1.7% to JP¥1,456. The fair value is estimated to be JP¥1,197, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 9.5% over the last 3 years. Meanwhile, the company became loss making. Reported Earnings • Aug 02
First quarter 2025 earnings: EPS and revenues exceed analyst expectations First quarter 2025 results: EPS: JP¥2.17 (up from JP¥11.55 loss in 1Q 2024). Revenue: JP¥233.6b (up 6.9% from 1Q 2024). Net income: JP¥445.0m (up JP¥2.82b from 1Q 2024). Profit margin: 0.2% (up from net loss in 1Q 2024). Revenue exceeded analyst estimates by 4.4%. Earnings per share (EPS) also surpassed analyst estimates. Revenue is forecast to stay flat during the next 3 years compared to a 7.2% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 85 percentage points per year, which is a significant difference in performance. Declared Dividend • Jul 11
Final dividend of JP¥30.00 announced Shareholders will receive a dividend of JP¥30.00. Ex-date: 27th September 2024 Payment date: 2nd December 2024 Dividend yield will be 2.5%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is being paid despite the company being loss-making over the last 12 months. However, the dividend is well covered by cash flows (37% cash payout ratio). The dividend has increased by an average of 20% per year over the past 10 years. However, payments have been volatile during that time. Price Target Changed • Jun 08
Price target increased by 7.4% to JP¥1,285 Up from JP¥1,196, the current price target is an average from 13 analysts. New target price is 14% below last closing price of JP¥1,495. Stock is up 20% over the past year. The company is forecast to post earnings per share of JP¥123 next year compared to a net loss per share of JP¥145 last year. Annonce • Jun 02
Alps Alpine Co., Ltd. to Report Q1, 2025 Results on Jul 31, 2024 Alps Alpine Co., Ltd. announced that they will report Q1, 2025 results on Jul 31, 2024 Reported Earnings • May 11
Full year 2024 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2024 results: JP¥145 loss per share (down from JP¥55.77 profit in FY 2023). Revenue: JP¥964.1b (up 3.3% from FY 2023). Net loss: JP¥29.8b (down 360% from profit in FY 2023). Revenue exceeded analyst estimates by 1.3%. Earnings per share (EPS) missed analyst estimates by 42%. Revenue is forecast to stay flat during the next 3 years compared to a 7.0% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has fallen by 49% per year but the company’s share price has increased by 9% per year, which means it is well ahead of earnings. Annonce • Apr 19
Alps Alpine Co., Ltd. to Report Fiscal Year 2024 Results on May 09, 2024 Alps Alpine Co., Ltd. announced that they will report fiscal year 2024 results on May 09, 2024 Upcoming Dividend • Mar 21
Upcoming dividend of JP¥10.00 per share Eligible shareholders must have bought the stock before 28 March 2024. Payment date: 26 June 2024. The company is not currently making a profit and is not cash flow positive. Trailing yield: 1.7%. Lower than top quartile of Japanese dividend payers (3.2%). Higher than average of industry peers (1.4%). Annonce • Mar 08
Alps Alpine Co., Ltd., Annual General Meeting, Jun 26, 2024 Alps Alpine Co., Ltd., Annual General Meeting, Jun 26, 2024. Annonce • Mar 02
Alps Alpine Co., Ltd. to Report Fiscal Year 2024 Results on Apr 30, 2024 Alps Alpine Co., Ltd. announced that they will report fiscal year 2024 results on Apr 30, 2024 New Risk • Feb 06
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 5.5% 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 Risk Dividend is not well covered by earnings and cash flows. Paying a dividend despite being loss-making. Paying a dividend despite having no free cash flows. Minor Risk Share price has been volatile over the past 3 months (5.5% average weekly change). Buy Or Sell Opportunity • Feb 05
Now 22% overvalued Over the last 90 days, the stock has fallen 13% to JP¥1,064. The fair value is estimated to be JP¥875, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 11% over the last 3 years, while earnings per share has been flat. Reported Earnings • Jan 31
Third quarter 2024 earnings: Revenues exceed analysts expectations while EPS lags behind Third quarter 2024 results: JP¥132 loss per share (down from JP¥17.95 profit in 3Q 2023). Revenue: JP¥260.4b (up 5.7% from 3Q 2023). Net loss: JP¥27.1b (down JP¥30.8b from profit in 3Q 2023). Revenue exceeded analyst estimates by 1.3%. Earnings per share (EPS) missed analyst estimates. Revenue is forecast to stay flat during the next 3 years compared to a 6.7% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has fallen by 1% per year but the company’s share price has fallen by 7% per year, which means it is performing significantly worse than earnings. Major Estimate Revision • Jan 31
Consensus EPS estimates fall by 99% The consensus outlook for fiscal year 2024 has been updated. 2024 EPS estimate fell from JP¥87.30 to JP¥1.18 per share. Revenue forecast steady at JP¥951.5b. Net income forecast to grow 1,003% next year vs 7.1% growth forecast for Electronic industry in Japan. Consensus price target down from JP¥1,257 to JP¥1,228. Share price fell 14% to JP¥1,102 over the past week. Annonce • Jan 30
Alps Alpine Co., Ltd. Revises Its Consolidated Earnings Forecast for the Full Fiscal Year Ending March 31, 2024 Alps Alpine Co., Ltd. revised its consolidated earnings forecast for the full fiscal year ending March 31, 2024. The company now expects net sales of JPY 957,000 million against JPY 960,000 million as previously forecasted, operating income of JPY 16,500 million against JPY 32,500 million as previously forecasted, loss attributed to owners of parents of JPY 35,000 million against profit of JPY 20,000 million as previously forecasted and net loss per share of JPY 170.27 against net income per share of JPY 97.33 as previously forecasted. Annonce • Nov 27
Alps Alpine Co., Ltd. to Report Q3, 2024 Results on Jan 30, 2024 Alps Alpine Co., Ltd. announced that they will report Q3, 2024 results on Jan 30, 2024 Reported Earnings • Nov 01
Second quarter 2024 earnings: EPS exceeds analyst expectations Second quarter 2024 results: EPS: JP¥44.19 (down from JP¥72.14 in 2Q 2023). Revenue: JP¥256.5b (up 2.9% from 2Q 2023). Net income: JP¥9.09b (down 39% from 2Q 2023). Profit margin: 3.5% (down from 5.9% in 2Q 2023). Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 103%. Revenue is forecast to grow 1.5% p.a. on average during the next 3 years, compared to a 6.9% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 64% per year but the company’s share price has fallen by 5% per year, which means it is significantly lagging earnings. Annonce • Oct 27
Alps Alpine and Alpine Electronics, Inc Announces Notice of Filing of A Final Appeal, and A Petition for the Acceptance of A Final Appeal, Against Alps Alpine and Alpine Alps Alpine and its subsidiary Alpine Electronics, Inc. had received a judgment from the Tokyo High Court rejecting an appeal. ALPS ALPINE announced that the Companies have been served by the Tokyo High Court with a petition for a final appeal and a petition for the acceptance of a final appeal with respect to such judgment on October 26, 2023. Location and date of the filing of a final appeal and petition for the acceptance of a final appeal The Supreme Court, October 11, 2023 Cause of, and particulars leading up to, the filing of a final appeal and petition for the acceptance of a final appeal ALPS ALPINE conducted a share exchange, effective on January 1, 2019, by which ALPINE became a wholly owned subsidiary of ALPS ALPINE, and ALPS ALPINE the sole parent of ALPINE (the "Share Exchange"). The entities listed in "3" below, which were shareholders of ALPINE immediately prior to the Share Exchange becoming effective (the plaintiffs at the court of first instance; the "Appellants"), asserted that the Share Exchange was unfair, among other claims, and therefore sought the nullification of the Share Exchange, among other remedies. Following that, on March 24, 2022, the Tokyo District Court rendered a judgment rejecting all claims of the Appellants against the Companies. Dissatisfied with the judgment of the Tokyo District Court, the Appellants filed an appeal with the Tokyo High Court on April 7, 2022; however, on September 28, 2023, the Tokyo High Court rendered a judgment rejecting all claims of the Appellants against the Companies. Dissatisfied with the judgment of the Tokyo High Court, the Appellants filed a final appeal and a petition for the acceptance of a final appeal with the Supreme Court. Upcoming Dividend • Sep 21
Upcoming dividend of JP¥20.00 per share at 3.1% yield Eligible shareholders must have bought the stock before 28 September 2023. Payment date: 30 November 2023. The company is paying out more than 100% of its profits and is cash flow negative. Trailing yield: 3.1%. Lower than top quartile of Japanese dividend payers (3.3%). Higher than average of industry peers (1.4%). New Risk • Jul 30
New major risk - Dividend sustainability The dividend is not well covered by earnings and cash flows. Payout ratio: 127% The company is paying a dividend despite having no free cash flows. Dividend yield: 3.3% This is considered a major risk. Companies that pay out too much of their earnings and cash flows are at risk of having to reduce or cut their dividend in future. If earnings or cash flows stagnate or fall, then there may not be enough to maintain the same dividend. Or in extreme cases, companies may opt to dig into capital reserves or take on debt to maintain 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 Dividend is not well covered by earnings and cash flows. Payout ratio: 127% Paying a dividend despite having no free cash flows. Minor Risks Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (0.7% net profit margin). Reported Earnings • Jul 29
First quarter 2024 earnings: EPS and revenues exceed analyst expectations First quarter 2024 results: JP¥11.55 loss per share (down from JP¥12.67 profit in 1Q 2023). Revenue: JP¥218.5b (up 6.6% from 1Q 2023). Net loss: JP¥2.37b (down 191% from profit in 1Q 2023). Revenue exceeded analyst estimates by 5.3%. Earnings per share (EPS) also surpassed analyst estimates by 8.3%. Revenue is forecast to grow 1.5% p.a. on average during the next 3 years, compared to a 6.6% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 87% per year but the company’s share price has fallen by 3% per year, which means it is significantly lagging earnings. Major Estimate Revision • May 30
Consensus EPS estimates fall by 11%, revenue upgraded The consensus outlook for fiscal year 2024 has been updated. 2024 revenue forecast increased from JP¥910.8b to JP¥920.6b. EPS estimate fell from JP¥127 to JP¥113 per share. Net income forecast to grow 104% next year vs 4.0% growth forecast for Electronic industry in Japan. Consensus price target down from JP¥1,496 to JP¥1,453. Share price was steady at JP¥1,250 over the past week. Reported Earnings • Apr 29
Full year 2023 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2023 results: EPS: JP¥55.77 (down from JP¥111 in FY 2022). Revenue: JP¥933.1b (up 16% from FY 2022). Net income: JP¥11.5b (down 50% from FY 2022). Profit margin: 1.2% (down from 2.9% in FY 2022). Revenue exceeded analyst estimates by 3.2%. Earnings per share (EPS) missed analyst estimates by 58%. Revenue is forecast to stay flat during the next 3 years compared to a 3.2% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 101% per year but the company’s share price has only increased by 6% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥20.00 per share at 3.1% yield Eligible shareholders must have bought the stock before 30 March 2023. Payment date: 26 June 2023. Payout ratio is a comfortable 21% but the company is not cash flow positive. Trailing yield: 3.1%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.6%). Reported Earnings • Feb 01
Third quarter 2023 earnings: Revenues exceed analysts expectations while EPS lags behind Third quarter 2023 results: EPS: JP¥17.95 (down from JP¥60.70 in 3Q 2022). Revenue: JP¥246.3b (up 9.1% from 3Q 2022). Net income: JP¥3.69b (down 71% from 3Q 2022). Profit margin: 1.5% (down from 5.6% in 3Q 2022). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 2.3%. Earnings per share (EPS) missed analyst estimates by 66%. Revenue is forecast to stay flat during the next 3 years compared to a 6.7% growth forecast for the Electronic industry in Japan. Over the last 3 years on average, earnings per share has increased by 110% per year but the company’s share price has fallen by 10% per year, which means it is significantly lagging earnings. Buying Opportunity • Dec 20
Now 20% undervalued Over the last 90 days, the stock is up 2.4%. The fair value is estimated to be JP¥1,553, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has grown by 92%. Revenue is forecast to grow by 0.9% in 2 years. Earnings is forecast to decline by 15% in the next 2 years.