Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment improves as stock rises 22% After last week's 22% share price gain to €20.60, the stock trades at a forward P/E ratio of 19x. Average forward P/E is 15x in the Chemicals industry in Germany. Total returns to shareholders of 44% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at €26.33 per share. Declared Dividend • Jul 26
Final dividend of JP¥50.00 announced Shareholders will receive a dividend of JP¥50.00. Ex-date: 29th September 2026 Payment date: 2nd December 2026 Dividend yield will be 262%, which is higher than the industry average of 6.1%. Sustainability & Growth Dividend is covered by earnings (55% 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 4.4% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 68% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Buy Or Sell Opportunity • Jul 09
Now 21% undervalued Over the last 90 days, the stock has risen 2.0% to €20.60. The fair value is estimated to be €25.97, 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. Meanwhile, the company has become profitable. For the next 3 years, revenue is forecast to grow by 6.8% per annum. Earnings are also forecast to grow by 19% per annum over the same time period. Valuation Update With 7 Day Price Move • May 29
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to €23.80, the stock trades at a forward P/E ratio of 25x. Average forward P/E is 17x in the Chemicals industry in Germany. Total returns to shareholders of 60% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at €33.46 per share. Board Change • May 20
Less than half of directors are independent There are 6 new directors who have joined the board in the last 3 years. Of these new board members, 1 was an independent director. The company's board is composed of: 4 independent directors. 5 non-independent directors. Independent Outside Director Rumiko Nakata was the last independent director to join the board, commencing their role in 2024. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of board continuity. Aankondiging • May 13
Denka Company Limited, Annual General Meeting, Jun 19, 2026 Denka Company Limited, Annual General Meeting, Jun 19, 2026. Aankondiging • Mar 26
Denka Company Limited (TSE:4061) completed the acquisition of 77.65% stake in KAINOS Laboratories, Inc. (TSE:4556) from a group of shareholders. Denka Company Limited (TSE:4061) proposed to acquire 77.65% stake in KAINOS Laboratories, Inc. (TSE:4556) from a group of shareholders for ¥7.9 billion on February 6, 2026. A cash consideration of ¥7.89 billion valued at ¥2285 per share will be paid by Denka Company Limited. As part of consideration, ¥7.89 billion is paid towards common equity of KAINOS Laboratories, Inc. Denka Company Limited intends to launch a Squeeze-Out Procedures, if it acquires the minimum tender shares (1,990,000 shares) and fails to acquire all of the KAINOS Laboratories, Inc's Shares (excluding the Shares Agreed Not to Be Tendered and treasury shares).
The transaction is subject to minimum tender. The expected completion of the transaction is March 25, 2026.
Sumitomo Mitsui Banking Corporation acted as financial advisor for Denka Company Limited. AGS Consulting Co., Ltd. acted as financial advisor for KAINOS Laboratories, Inc. Nagashima Ohno & Tsunematsu acted as legal advisor for KAINOS Laboratories, Inc. TMI Associates acted as legal advisor for KAINOS Laboratories, Inc. Mizuho Securities Co., Ltd. acted as financial advisor for KAINOS Laboratories, Inc.
Denka Company Limited (TSE:4061) completed the acquisition of 77.65% stake in KAINOS Laboratories, Inc. (TSE:4556) from a group of shareholders on March 25, 2026. Upon closing of the offer period, 3,223,919 shares were tendered. Since it is more than the minimum number of shares to be purchased (1,990,000 shares), Denka Company Limited will purchase all of the Tendered Share Certificates and intends to implement a series of procedures for the purpose of making the Tender Offeror the sole shareholder of KAINOS Laboratories, Inc. As of today, the KAINOS Laboratories, Inc's Shares are listed on the Standard Market of the Tokyo Stock Exchange. If the procedures are implemented, the KAINOS Laboratories, Inc's Shares will be delisted pursuant to the prescribed procedures, in accordance with the criteria for delisting of Tokyo Stock Exchange. KAINOS Laboratories, Inc's Shares, after being delisted, will no longer be traded on the Standard Market of the Tokyo Stock Exchange. Aankondiging • Mar 10
Denka Company Limited (TSE:4061) enter into a share transfer agreement to acquire an additional 15% stake in Toyo Styrene Co. Ltd from Daicel Corporation (TSE:4202). Denka Company Limited (TSE:4061) enter into a share transfer agreement to acquire an additional 15% stake in Toyo Styrene Co. Ltd from Daicel Corporation (TSE:4202) on March 9, 2026. Upon completion, Denka Company Limited will own 65% stake in Toyo Styrene Co. Ltd. As a result of this transaction, Toyo Styrene is expected to become a consolidated subsidiary of the Company that qualifies as a specified subsidiary. Daicel will cease to be a co-investor in Toyo Styrene, and Toyo Styrene’s Hirohata Plant will be shut down. For a certain period, however, Toyo Styrene will continue to outsource production to Daicel and maintain product sales.
For the period ending March 31, 2025, Toyo Styrene Co. Ltd reported total revenue of ¥48.39 billion, EBIT of ¥1.22 billion and net income of ¥788 million. As of March 31, 2025, Toyo Styrene Co. Ltd reported total assets of ¥27.69 billion and total common equity of ¥11.73 billion.
The completion of this share transfer is subject to the completion of the necessary approvals, permissions, or clearances from the relevant authorities in accordance with the Anti-Monopoly Act and other applicable laws and regulations. The expected completion of the transaction is March 31, 2026. Aankondiging • Feb 09
Denka Company Limited (TSE:4061) proposed to acquire 77.65% stake in KAINOS Laboratories, Inc. (TSE:4556) from a group of shareholders for ¥7.9 billion. Denka Company Limited (TSE:4061) proposed to acquire 77.65% stake in KAINOS Laboratories, Inc. (TSE:4556) from a group of shareholders for ¥7.9 billion on February 6, 2026. A cash consideration of ¥7.89 billion valued at ¥2285 per share will be paid by Denka Company Limited. As part of consideration, ¥7.89 billion is paid towards common equity of KAINOS Laboratories, Inc.
The transaction is subject to minimum tender. The expected completion of the transaction is March 25, 2026.
Sumitomo Mitsui Banking Corporation acted as financial advisor for Denka Company Limited. AGS Consulting Co., Ltd. acted as financial advisor for KAINOS Laboratories, Inc. Nagashima Ohno & Tsunematsu acted as legal advisor for KAINOS Laboratories, Inc. TMI Associates acted as legal advisor for KAINOS Laboratories, Inc. Mizuho Securities Co., Ltd. acted as financial advisor for KAINOS Laboratories, Inc. Aankondiging • Dec 24
Denka Company Limited to Report Q3, 2026 Results on Feb 06, 2026 Denka Company Limited announced that they will report Q3, 2026 results on Feb 06, 2026 Aankondiging • Sep 22
Denka Company Limited(TSE:4061) dropped from FTSE All-World Index (USD) Denka Company Limited(TSE:4061) dropped from FTSE All-World Index (USD) Aankondiging • Sep 03
Denka Company Limited to Report Q2, 2026 Results on Nov 10, 2025 Denka Company Limited announced that they will report Q2, 2026 results on Nov 10, 2025 Aankondiging • Jul 02
Denka Company Limited to Report Q1, 2026 Results on Aug 07, 2025 Denka Company Limited announced that they will report Q1, 2026 results on Aug 07, 2025 Aankondiging • Mar 12
Oriental Shiraishi Corporation (TSE:1786) signed a share transfer agreement to acquire 51% stake in Denka Renotec Co., Ltd. from Denka Company Limited (TSE:4061). Oriental Shiraishi Corporation (TSE:1786) signed a share transfer agreement to acquire 51% stake in Denka Renotec Co., Ltd. from Denka Company Limited (TSE:4061) on March 12, 2025. Even after the transfer of shares, Denka Renotec will remain an equity-method affiliate of Denka Company Limited. Aankondiging • Dec 03
Denka Company Limited to Report Q3, 2025 Results on Feb 07, 2025 Denka Company Limited announced that they will report Q3, 2025 results on Feb 07, 2025 Reported Earnings • Nov 10
Second quarter 2025 earnings released: EPS: JP¥13.02 (vs JP¥49.47 in 2Q 2024) Second quarter 2025 results: EPS: JP¥13.02 (down from JP¥49.47 in 2Q 2024). Revenue: JP¥103.8b (flat on 2Q 2024). Net income: JP¥1.12b (down 74% from 2Q 2024). Profit margin: 1.1% (down from 4.1% in 2Q 2024). Revenue is forecast to grow 2.8% p.a. on average during the next 3 years, compared to a 4.3% growth forecast for the Chemicals industry in Germany. Over the last 3 years on average, earnings per share has fallen by 47% per year but the company’s share price has only fallen by 24% per year, which means it has not declined as severely as earnings. Aankondiging • Sep 27
Denka Company Limited to Report Q2, 2025 Results on Nov 08, 2024 Denka Company Limited announced that they will report Q2, 2025 results on Nov 08, 2024 Upcoming Dividend • Sep 20
Upcoming dividend of JP¥50.00 per share Eligible shareholders must have bought the stock before 27 September 2024. Payment date: 04 December 2024. Payout ratio is a comfortable 72% but the company is not cash flow positive. Trailing yield: 4.5%. Lower than top quartile of German dividend payers (4.8%). Lower than average of industry peers (5.1%). New Risk • Sep 05
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 Paying a dividend despite having no free cash flows. Large one-off items impacting financial results. Buy Or Sell Opportunity • Aug 23
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 6.2% to €13.70. The fair value is estimated to be €11.37, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 3.0% over the last 3 years. Earnings per share has declined by 41%. For the next 3 years, revenue is forecast to grow by 3.6% per annum. Earnings are also forecast to grow by 30% per annum over the same time period. Reported Earnings • Jun 25
Full year 2024 earnings released: EPS: JP¥139 (vs JP¥148 in FY 2023) Full year 2024 results: EPS: JP¥139 (down from JP¥148 in FY 2023). Revenue: JP¥389.3b (down 4.5% from FY 2023). Net income: JP¥11.9b (down 6.4% from FY 2023). Profit margin: 3.1% (in line with FY 2023). Revenue is forecast to grow 3.7% p.a. on average during the next 3 years, compared to a 4.3% growth forecast for the Chemicals industry in Germany. Over the last 3 years on average, earnings per share has fallen by 41% per year but the company’s share price has only fallen by 23% per year, which means it has not declined as severely as earnings. Aankondiging • Jun 15
Denka Company Limited to Report Q1, 2025 Results on Aug 07, 2024 Denka Company Limited announced that they will report Q1, 2025 results on Aug 07, 2024 Reported Earnings • May 13
Full year 2024 earnings released: EPS: JP¥139 (vs JP¥148 in FY 2023) Full year 2024 results: EPS: JP¥139 (down from JP¥148 in FY 2023). Revenue: JP¥389.3b (down 4.5% from FY 2023). Net income: JP¥11.9b (down 6.4% from FY 2023). Profit margin: 3.1% (in line with FY 2023). Revenue is forecast to grow 3.5% p.a. on average during the next 3 years, compared to a 4.2% growth forecast for the Chemicals industry in Germany. Over the last 3 years on average, earnings per share has fallen by 41% per year but the company’s share price has only fallen by 24% per year, which means it has not declined as severely as earnings. Aankondiging • May 12
Denka Company Limited, Annual General Meeting, Jun 20, 2024 Denka Company Limited, Annual General Meeting, Jun 20, 2024. Aankondiging • Apr 24
Denka Company Limited (TSE:4061) agreed to acquire 50% stake in Frontier Carbon Corporation from Mitsubishi Corporation (TSE:8058). Denka Company Limited (TSE:4061) agreed to acquire 50% stake in Frontier Carbon Corporation from Mitsubishi Corporation (TSE:8058) on April 24, 2024. Upcoming Dividend • Mar 21
Upcoming dividend of JP¥40.00 per share Eligible shareholders must have bought the stock before 28 March 2024. Payment date: 24 June 2024. The company is paying out more than 100% of its profits and is cash flow negative. Trailing yield: 4.1%. Lower than top quartile of German dividend payers (5.0%). Lower than average of industry peers (4.9%). Aankondiging • Mar 02
Denka Company Limited to Report Fiscal Year 2024 Results on May 10, 2024 Denka Company Limited announced that they will report fiscal year 2024 results on May 10, 2024 Reported Earnings • Feb 09
Third quarter 2024 earnings released: JP¥34.55 loss per share (vs JP¥63.61 loss in 3Q 2023) Third quarter 2024 results: JP¥34.55 loss per share (improved from JP¥63.61 loss in 3Q 2023). Revenue: JP¥101.5b (down 4.1% from 3Q 2023). Net loss: JP¥2.98b (loss narrowed 46% from 3Q 2023). Revenue is forecast to grow 4.3% p.a. on average during the next 3 years, compared to a 2.7% growth forecast for the Chemicals industry in Germany. Over the last 3 years on average, earnings per share has fallen by 38% per year but the company’s share price has only fallen by 22% per year, which means it has not declined as severely as earnings. Aankondiging • Dec 09
Denka Company Limited to Report Q3, 2024 Results on Feb 07, 2024 Denka Company Limited announced that they will report Q3, 2024 results on Feb 07, 2024 Reported Earnings • Nov 09
Second quarter 2024 earnings released: EPS: JP¥49.47 (vs JP¥116 in 2Q 2023) Second quarter 2024 results: EPS: JP¥49.47 (down from JP¥116 in 2Q 2023). Revenue: JP¥103.5b (down 4.6% from 2Q 2023). Net income: JP¥4.26b (down 57% from 2Q 2023). Profit margin: 4.1% (down from 9.2% in 2Q 2023). Revenue is forecast to grow 3.4% p.a. on average during the next 3 years, compared to a 3.3% growth forecast for the Chemicals industry in Germany. Over the last 3 years on average, earnings per share has fallen by 29% per year but the company’s share price has only fallen by 15% per year, which means it has not declined as severely as earnings. Upcoming Dividend • Sep 21
Upcoming dividend of JP¥60.00 per share at 4.2% yield Eligible shareholders must have bought the stock before 28 September 2023. Payment date: 04 December 2023. Payout ratio is on the higher end at 80% but the company is not cash flow positive. Trailing yield: 4.2%. Lower than top quartile of German dividend payers (4.8%). Lower than average of industry peers (5.9%). Aankondiging • Sep 02
Denka Company Limited to Report Q2, 2024 Results on Nov 08, 2023 Denka Company Limited announced that they will report Q2, 2024 results on Nov 08, 2023 Reported Earnings • Aug 08
First quarter 2024 earnings released: EPS: JP¥26.62 (vs JP¥50.30 in 1Q 2023) First quarter 2024 results: EPS: JP¥26.62 (down from JP¥50.30 in 1Q 2023). Revenue: JP¥87.8b (down 6.9% from 1Q 2023). Net income: JP¥2.30b (down 47% from 1Q 2023). Profit margin: 2.6% (down from 4.6% in 1Q 2023). Revenue is forecast to grow 3.3% p.a. on average during the next 3 years, compared to a 1.8% growth forecast for the Chemicals industry in Germany. Over the last 3 years on average, earnings per share has fallen by 17% per year but the company’s share price has only fallen by 11% per year, which means it has not declined as severely as earnings. Reported Earnings • Jun 28
Full year 2023 earnings released: EPS: JP¥148 (vs JP¥302 in FY 2022) Full year 2023 results: EPS: JP¥148 (down from JP¥302 in FY 2022). Revenue: JP¥407.6b (up 5.9% from FY 2022). Net income: JP¥12.8b (down 51% from FY 2022). Profit margin: 3.1% (down from 6.8% in FY 2022). Revenue is forecast to grow 3.0% p.a. on average during the next 3 years, compared to a 1.7% growth forecast for the Chemicals industry in Germany. Over the last 3 years on average, earnings per share has fallen by 10% per year whereas the company’s share price has fallen by 8% per year. Aankondiging • Jun 09
Denka Company Limited to Report Q1, 2024 Results on Aug 07, 2023 Denka Company Limited announced that they will report Q1, 2024 results on Aug 07, 2023 Reported Earnings • May 14
Full year 2023 earnings released: EPS: JP¥148 (vs JP¥302 in FY 2022) Full year 2023 results: EPS: JP¥148 (down from JP¥302 in FY 2022). Revenue: JP¥407.6b (up 5.9% from FY 2022). Net income: JP¥12.8b (down 51% from FY 2022). Profit margin: 3.1% (down from 6.8% in FY 2022). Revenue is forecast to grow 3.6% p.a. on average during the next 3 years, compared to a 3.3% growth forecast for the Chemicals industry in Germany. Over the last 3 years on average, earnings per share has fallen by 10% per year whereas the company’s share price has fallen by 8% per year. Aankondiging • May 13
Denka Company Limited, Annual General Meeting, Jun 22, 2023 Denka Company Limited, Annual General Meeting, Jun 22, 2023. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥30.00 per share at 5.3% yield Eligible shareholders must have bought the stock before 30 March 2023. Payment date: 23 June 2023. The company is paying out more than 100% of its profits and is cash flow negative. Trailing yield: 5.3%. Within top quartile of German dividend payers (4.7%). In line with average of industry peers (5.7%). Buying Opportunity • Mar 15
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 14%. The fair value is estimated to be €23.26, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 2.8% over the last 3 years. Earnings per share has declined by 3.4%. For the next 3 years, revenue is forecast to grow by 2.8% per annum. Earnings is also forecast to grow by 23% per annum over the same time period. Buying Opportunity • Feb 22
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 13%. The fair value is estimated to be €25.13, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 2.8% over the last 3 years. Earnings per share has declined by 3.4%. For the next 3 years, revenue is forecast to grow by 2.3% per annum. Earnings is also forecast to grow by 24% per annum over the same time period. Reported Earnings • Feb 10
Third quarter 2023 earnings released: JP¥63.61 loss per share (vs JP¥56.43 profit in 3Q 2022) Third quarter 2023 results: JP¥63.61 loss per share (down from JP¥56.43 profit in 3Q 2022). Revenue: JP¥105.8b (up 14% from 3Q 2022). Net loss: JP¥5.49b (down 213% from profit in 3Q 2022). Revenue is forecast to grow 2.3% p.a. on average during the next 3 years, compared to a 1.6% growth forecast for the Chemicals industry in Germany. Over the last 3 years on average, earnings per share has fallen by 3% per year but the company’s share price has fallen by 10% per year, which means it is performing significantly worse than earnings. Valuation Update With 7 Day Price Move • Jan 18
Investor sentiment deteriorated over the past week After last week's 15% share price decline to €17.60, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 12x in the Chemicals industry in Germany. Total loss to shareholders of 22% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at €30.14 per share. Aankondiging • Nov 27
Denka Company Limited to Report Q3, 2023 Results on Feb 07, 2023 Denka Company Limited announced that they will report Q3, 2023 results on Feb 07, 2023 Board Change • Nov 16
Less than half of directors are independent Following the recent departure of a director, there are only 4 independent directors on the board. The company's board is composed of: 4 independent directors. 5 non-independent directors. Independent Outside Director Yoshiyuki Fukuda was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Reported Earnings • Nov 10
Second quarter 2023 earnings released: EPS: JP¥116 (vs JP¥138 in 2Q 2022) Second quarter 2023 results: EPS: JP¥116 (down from JP¥138 in 2Q 2022). Revenue: JP¥108.6b (up 4.0% from 2Q 2022). Net income: JP¥9.99b (down 16% from 2Q 2022). Profit margin: 9.2% (down from 11% in 2Q 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 2.9% p.a. on average during the next 3 years, while revenues in the Chemicals industry in Germany are expected to remain flat. Over the last 3 years on average, earnings per share has increased by 4% per year but the company’s share price has fallen by 6% per year, which means it is significantly lagging earnings. Aankondiging • Oct 27
Denka Plans to Sell Its Cement Sales Business to Taiheiyo Cement Denka Company Limited (TSE:4061) shares rose sharply in early trade on October 26, 2022 after the Japanese chemical company announced it would exit its cement business, which is suffering from high production costs. The shares were recently 8.4% higher at ¥3,490 after rising as much as 8.9% earlier. Denka said after market closed on October 25, 2022 that it planned to sell its cement sales business to Taiheiyo Cement Corporation (TSE:5233) at the end of March 2023 and exit from its cement production business around the first half of 2025. Aankondiging • Sep 28
Denka Company Limited to Report Q2, 2023 Results on Nov 08, 2022 Denka Company Limited announced that they will report Q2, 2023 results on Nov 08, 2022 Upcoming Dividend • Sep 22
Upcoming dividend of JP¥70.00 per share Eligible shareholders must have bought the stock before 29 September 2022. Payment date: 02 December 2022. Payout ratio is a comfortable 52% but the company is paying out more than the cash it is generating. Trailing yield: 4.4%. Lower than top quartile of German dividend payers (5.1%). Lower than average of industry peers (6.1%). Reported Earnings • Aug 07
First quarter 2023 earnings released: EPS: JP¥50.30 (vs JP¥71.40 in 1Q 2022) First quarter 2023 results: EPS: JP¥50.30 (down from JP¥71.40 in 1Q 2022). Revenue: JP¥94.4b (up 8.8% from 1Q 2022). Net income: JP¥4.34b (down 30% from 1Q 2022). Profit margin: 4.6% (down from 7.1% in 1Q 2022). The decrease in margin was driven by higher expenses. Over the next year, revenue is forecast to grow 14%, compared to a 3.7% growth forecast for the industry in Germany. Over the last 3 years on average, earnings per share has increased by 5% per year whereas the company’s share price has increased by 1% per year. Reported Earnings • Jun 26
Full year 2022 earnings released: EPS: JP¥302 (vs JP¥264 in FY 2021) Full year 2022 results: EPS: JP¥302 (up from JP¥264 in FY 2021). Revenue: JP¥384.8b (up 8.6% from FY 2021). Net income: JP¥26.0b (up 14% from FY 2021). Profit margin: 6.8% (up from 6.4% in FY 2021). The increase in margin was driven by higher revenue. Over the next year, revenue is forecast to grow 15%, compared to a 7.1% growth forecast for the industry in Germany. Over the last 3 years on average, earnings per share has increased by 5% per year but the company’s share price has fallen by 5% per year, which means it is significantly lagging earnings. Aankondiging • Jun 15
Denka Company Limited to Report Q1, 2023 Results on Aug 05, 2022 Denka Company Limited announced that they will report Q1, 2023 results on Aug 05, 2022 Reported Earnings • May 13
Full year 2022 earnings released: EPS: JP¥302 (vs JP¥264 in FY 2021) Full year 2022 results: EPS: JP¥302 (up from JP¥264 in FY 2021). Revenue: JP¥384.8b (up 8.6% from FY 2021). Net income: JP¥26.0b (up 14% from FY 2021). Profit margin: 6.8% (up from 6.4% in FY 2021). The increase in margin was driven by higher revenue. Over the next year, revenue is forecast to grow 5.6%, compared to a 6.4% growth forecast for the industry in Germany. Over the last 3 years on average, earnings per share has increased by 5% per year but the company’s share price has fallen by 3% per year, which means it is significantly lagging earnings. Aankondiging • May 13
Denka Company Limited, Annual General Meeting, Jun 22, 2022 Denka Company Limited, Annual General Meeting, Jun 22, 2022. Board Change • Apr 27
Less than half of directors are independent There are 7 new directors who have joined the board in the last 3 years. Of these new board members, 3 were independent directors. The company's board is composed of: 7 new directors. 1 experienced director. 1 highly experienced director. 4 independent directors (5 non-independent directors). Chairman of the Board Manabu Yamamoto is the most experienced director on the board, commencing their role in 2013. Independent Outside Director Yoshiyuki Fukuda was the last independent director to join the board, commencing their role in 2021. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of board continuity. Lack of experienced directors. Aankondiging • Apr 08
Denka Company Limited to Report Fiscal Year 2022 Results on May 11, 2022 Denka Company Limited announced that they will report fiscal year 2022 results on May 11, 2022 Upcoming Dividend • Mar 23
Upcoming dividend of JP¥75.00 per share Eligible shareholders must have bought the stock before 30 March 2022. Payment date: 23 June 2022. Payout ratio is a comfortable 43% and this is well supported by cash flows. Trailing yield: 4.3%. Within top quartile of German dividend payers (3.6%). In line with average of industry peers (4.7%). Reported Earnings • Feb 08
Third quarter 2022 earnings: EPS in line with expectations, revenues disappoint Third quarter 2022 results: EPS: JP¥56.43 (down from JP¥103 in 3Q 2021). Revenue: JP¥92.8b (down 8.7% from 3Q 2021). Net income: JP¥4.87b (down 45% from 3Q 2021). Profit margin: 5.2% (down from 8.7% in 3Q 2021). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 12%. Over the next year, revenue is forecast to grow 5.7%, compared to a 6.0% growth forecast for the industry in Germany. Over the last 3 years on average, earnings per share has increased by 6% per year whereas the company’s share price has increased by 2% per year. Reported Earnings • Feb 08
Third quarter 2022 earnings: EPS in line with expectations, revenues disappoint Third quarter 2022 results: EPS: JP¥56.43 (down from JP¥103 in 3Q 2021). Revenue: JP¥92.8b (down 8.7% from 3Q 2021). Net income: JP¥4.87b (down 45% from 3Q 2021). Profit margin: 5.2% (down from 8.7% in 3Q 2021). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 12%. Over the next year, revenue is forecast to grow 5.7%, compared to a 6.0% growth forecast for the industry in Germany. Over the last 3 years on average, earnings per share has increased by 6% per year whereas the company’s share price has increased by 2% per year. Reported Earnings • Nov 10
Second quarter 2022 earnings released: EPS JP¥138 (vs JP¥67.47 in 2Q 2021) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2022 results: Revenue: JP¥104.4b (up 24% from 2Q 2021). Net income: JP¥11.9b (up 104% from 2Q 2021). Profit margin: 11% (up from 6.9% in 2Q 2021). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 5% per year whereas the company’s share price has remained flat. Upcoming Dividend • Sep 22
Upcoming dividend of JP¥65.00 per share Eligible shareholders must have bought the stock before 29 September 2021. Payment date: 02 December 2021. Trailing yield: 3.5%. Within top quartile of German dividend payers (3.2%). In line with average of industry peers (3.7%). Reported Earnings • Jun 25
Full year 2021 earnings released: EPS JP¥264 (vs JP¥263 in FY 2020) The company reported a mediocre full year result with weaker revenues, although earnings were flat and profit margins improved. Full year 2021 results: Revenue: JP¥354.4b (down 6.9% from FY 2020). Net income: JP¥22.8b (flat on FY 2020). Profit margin: 6.4% (up from 6.0% in FY 2020). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 1% per year whereas the company’s share price has fallen by 2% per year. Reported Earnings • May 14
Full year 2021 earnings released: EPS JP¥264 (vs JP¥263 in FY 2020) The company reported a mediocre full year result with weaker revenues, although earnings were flat and profit margins improved. Full year 2021 results: Revenue: JP¥354.4b (down 6.9% from FY 2020). Net income: JP¥22.8b (flat on FY 2020). Profit margin: 6.4% (up from 6.0% in FY 2020). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 1% per year whereas the company’s share price has fallen by 2% per year. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥65.00 per share Eligible shareholders must have bought the stock before 30 March 2021. Payment date: 22 June 2021. Trailing yield: 2.8%. Lower than top quartile of German dividend payers (3.3%). Lower than average of industry peers (3.6%). Reported Earnings • Feb 07
Third quarter 2021 earnings released: EPS JP¥103 (vs JP¥67.80 in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: JP¥101.7b (up 5.2% from 3Q 2020). Net income: JP¥8.88b (up 52% from 3Q 2020). Profit margin: 8.7% (up from 6.0% in 3Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 1% per year whereas the company’s share price has increased by 2% per year. Analyst Estimate Surprise Post Earnings • Feb 07
Revenue beats expectations Revenue exceeded analyst estimates by 1.5%. Over the next year, revenue is forecast to grow 5.2%, compared to a 5.1% growth forecast for the Chemicals industry in Germany. Is New 90 Day High Low • Jan 22
New 90-day high: €34.00 The company is up 29% from its price of €26.40 on 23 October 2020. The German market is up 12% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Chemicals industry, which is up 21% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €24.49 per share. Aankondiging • Jan 01
Denka Company Limited to Report Q3, 2021 Results on Feb 05, 2021 Denka Company Limited announced that they will report Q3, 2021 results on Feb 05, 2021 Is New 90 Day High Low • Dec 30
New 90-day high: €31.20 The company is up 18% from its price of €26.40 on 01 October 2020. The German market is up 9.0% over the last 90 days, indicating the company outperformed over that time. However, its price trend is similar to the Chemicals industry, which is also up 18% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €23.24 per share. Valuation Update With 7 Day Price Move • Dec 10
Market bids up stock over the past week After last week's 18% share price gain to JP¥30.40, the stock is trading at a trailing P/E ratio of 15.5x, up from the previous P/E ratio of 13.1x. This compares to an average P/E of 27x in the Chemicals industry in Germany. Total returns to shareholders over the past three years are 9.3%. Is New 90 Day High Low • Dec 05
New 90-day high: €26.80 The company is up 14% from its price of €23.60 on 04 September 2020. The German market is up 5.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Chemicals industry, which is up 13% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €19.25 per share. Analyst Estimate Surprise Post Earnings • Nov 16
Revenue misses expectations Revenue missed analyst estimates by 2.6%. Over the next year, revenue is forecast to grow 4.0%, compared to a 3.6% growth forecast for the Chemicals industry in Germany. Analyst Estimate Surprise Post Earnings • Nov 14
Revenue misses expectations Revenue missed analyst estimates by 2.6%. Over the next year, revenue is forecast to grow 4.0%, compared to a 3.6% growth forecast for the Chemicals industry in Germany. Reported Earnings • Nov 11
Second quarter 2021 earnings released: EPS JP¥67.47 The company reported a mediocre second quarter result with weaker revenues, although earnings were flat and profit margins were improved. Second quarter 2021 results: Revenue: JP¥84.1b (down 17% from 2Q 2020). Net income: JP¥5.82b (flat on 2Q 2020). Profit margin: 6.9% (up from 5.8% in 2Q 2020). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 1% per year whereas the company’s share price has fallen by 3% per year. Is New 90 Day High Low • Sep 22
New 90-day high: €25.40 The company is up 18% from its price of €21.60 on 24 June 2020. The German market is up 4.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Chemicals industry, which is up 10.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €19.32 per share. Aankondiging • Sep 12
Denka Company Limited to Report Q2, 2021 Results on Nov 09, 2020 Denka Company Limited announced that they will report Q2, 2021 results on Nov 09, 2020 Aankondiging • Jun 21
Denka Company Limited to Report Q1, 2021 Results on Aug 07, 2020 Denka Company Limited announced that they will report Q1, 2021 results on Aug 07, 2020 
