TSE:9948Consumer Retailing
ARCS (TSE:9948) Margin Gain Reinforces Stable Earnings Narrative Despite Muted Growth Outlook
ARCS (TSE:9948) reported a current net profit margin of 1.9%, edging up from 1.8% a year ago, as earnings grew 7.4% over the past year. This is well ahead of its 0.2% 5-year average annual growth. Forward guidance calls for EPS to grow at 1.6% per year, trailing the 8.1% annual growth expected from the broader Japanese market. Revenue is projected to increase 2.8% annually, remaining below the market’s 4.4% average. With steadily improving profitability, a below-fair-value share price, and a...