Valuation Update With 7 Day Price Move • May 21
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to JP¥4,040, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 15x in the Machinery industry in Japan. Total returns to shareholders of 34% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥7,605 per share. Announcement • May 13
Okuma Corporation, Annual General Meeting, Jun 24, 2026 Okuma Corporation, Annual General Meeting, Jun 24, 2026. Reported Earnings • May 13
Full year 2026 earnings: EPS and revenues exceed analyst expectations Full year 2026 results: EPS: JP¥208 (up from JP¥158 in FY 2025). Revenue: JP¥235.9b (up 14% from FY 2025). Net income: JP¥12.6b (up 31% from FY 2025). Profit margin: 5.3% (up from 4.6% in FY 2025). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 4.1%. Earnings per share (EPS) also surpassed analyst estimates by 10%. Revenue is forecast to grow 3.9% p.a. on average during the next 3 years, compared to a 5.7% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has fallen by 24% per year but the company’s share price has increased by 15% per year, which means it is well ahead of earnings. Live News • May 13
Okuma Delivers Profit Growth With Higher Investments and Steady Dividend Following Stock Split Okuma reported strong year-over-year gains in sales and profit for fiscal 2025 and 2026, supported by robust global demand across its core markets and sectors.
Earnings per share increased following a 2-for-1 stock split, while the company maintained an annual dividend of ¥100.
Capital expenditure is set at elevated levels to expand automation, production capacity and technology, backed by solid operating cash flow and a stronger balance sheet. Management has indicated a positive outlook for fiscal 2027 despite global uncertainties.
The combination of profit growth, ongoing investment and a steady dividend points to a company balancing reinvestment in the business with a focus on shareholder returns and capital efficiency.
For investors, key variables to watch include how effectively Okuma converts its higher order backlog into future revenue and whether global conditions affect the demand that has been supporting its recent performance. Announcement • Apr 10
Okuma Corporation to Report Fiscal Year 2026 Results on May 12, 2026 Okuma Corporation announced that they will report fiscal year 2026 results on May 12, 2026 New Risk • Apr 08
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 6.8% 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 Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (6.8% average weekly change). Upcoming Dividend • Mar 23
Upcoming dividend of JP¥50.00 per share Eligible shareholders must have bought the stock before 30 March 2026. Payment date: 25 June 2026. Payout ratio is a comfortable 28% but the company is not cash flow positive. Trailing yield: 2.8%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.6%). Announcement • Mar 23
Okuma Corporation(TSE:6103) dropped from FTSE All-World Index (USD) Okuma Corporation(TSE:6103) dropped from FTSE All-World Index (USD) Valuation Update With 7 Day Price Move • Mar 09
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to JP¥3,905, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 16x in the Machinery industry in Japan. Total returns to shareholders of 41% over the past three years. New Risk • Feb 05
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 5.3% 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 Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (5.3% average weekly change). Reported Earnings • Feb 05
Third quarter 2026 earnings: EPS and revenues exceed analyst expectations Third quarter 2026 results: EPS: JP¥65.94 (up from JP¥64.75 in 3Q 2025). Revenue: JP¥61.3b (up 14% from 3Q 2025). Net income: JP¥3.99b (up 1.8% from 3Q 2025). Profit margin: 6.5% (down from 7.3% in 3Q 2025). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 9.4%. Earnings per share (EPS) also surpassed analyst estimates by 20%. Revenue is forecast to grow 4.7% p.a. on average during the next 3 years, compared to a 5.3% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has fallen by 24% per year but the company’s share price has increased by 18% per year, which means it is well ahead of earnings. Announcement • Dec 27
Okuma Corporation to Report Q3, 2026 Results on Feb 04, 2026 Okuma Corporation announced that they will report Q3, 2026 results on Feb 04, 2026 Announcement • Dec 10
Okuma Corporation (TSE:6103) announces an Equity Buyback for 3,500,000 shares, representing 5.78% for ¥10,000 million. Okuma Corporation (TSE:6103) announces a share repurchase program. Under the program, the company will repurchase up to 3,500,000 shares, representing 5.78% of its total shares outstanding excluding treasury shares, for a total of ¥10,000 million. The purpose of repurchase program is shareholder returns and the improvement of capital efficiency. The repurchase program is valid till August 31, 2026. As of November 30, 2025, the company had 60,512,819 shares outstanding excluding treasury shares and had 6,997,489 shares in treasury. Declared Dividend • Nov 29
First half dividend of JP¥50.00 announced Dividend of JP¥50.00 is the same as last year. Ex-date: 30th March 2026 Payment date: 25th June 2026 Dividend yield will be 2.7%, which is higher than the industry average of 2.1%. Sustainability & Growth Dividend is covered by earnings (57% 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 11% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 61% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Nov 08
Second quarter 2026 earnings: EPS misses analyst expectations Second quarter 2026 results: EPS: JP¥51.96 (up from JP¥18.91 in 2Q 2025). Revenue: JP¥60.6b (up 21% from 2Q 2025). Net income: JP¥3.14b (up 175% from 2Q 2025). Profit margin: 5.2% (up from 2.3% in 2Q 2025). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 22%. Revenue is forecast to grow 4.2% p.a. on average during the next 3 years, compared to a 4.9% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has fallen by 20% per year but the company’s share price has increased by 11% per year, which means it is well ahead of earnings. Announcement • Oct 02
Okuma Corporation to Report Q2, 2026 Results on Nov 06, 2025 Okuma Corporation announced that they will report Q2, 2026 results on Nov 06, 2025 Upcoming Dividend • Sep 22
Upcoming dividend of JP¥50.00 per share Eligible shareholders must have bought the stock before 29 September 2025. Payment date: 28 November 2025. Payout ratio is a comfortable 71% but the company is paying out more than the cash it is generating. Trailing yield: 2.8%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (2.0%). Reported Earnings • Aug 06
First quarter 2026 earnings: EPS and revenues miss analyst expectations First quarter 2026 results: EPS: JP¥23.29 (down from JP¥40.22 in 1Q 2025). Revenue: JP¥44.6b (down 1.5% from 1Q 2025). Net income: JP¥1.41b (down 42% from 1Q 2025). Profit margin: 3.2% (down from 5.4% in 1Q 2025). Revenue missed analyst estimates by 9.9%. Earnings per share (EPS) also missed analyst estimates by 50%. Revenue is forecast to grow 5.1% p.a. on average during the next 3 years, compared to a 4.6% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has fallen by 14% per year but the company’s share price has increased by 12% per year, which means it is well ahead of earnings. Announcement • Jul 09
Okuma Corporation to Report Q1, 2026 Results on Aug 05, 2025 Okuma Corporation announced that they will report Q1, 2026 results on Aug 05, 2025 Declared Dividend • Jul 09
Final dividend of JP¥50.00 announced Shareholders will receive a dividend of JP¥50.00. Ex-date: 29th September 2025 Payment date: 28th November 2025 Dividend yield will be 2.7%, which is higher than the industry average of 2.1%. Sustainability & Growth Dividend is covered by earnings (44% earnings payout ratio) but not covered by cash flows (144% 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 grow by 55% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Jun 25
Full year 2025 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2025 results: EPS: JP¥158 (down from JP¥315 in FY 2024). Revenue: JP¥206.8b (down 9.3% from FY 2024). Net income: JP¥9.59b (down 51% from FY 2024). Profit margin: 4.6% (down from 8.5% in FY 2024). The decrease in margin was driven by lower revenue. Revenue exceeded analyst estimates by 1.1%. Earnings per share (EPS) missed analyst estimates by 22%. Revenue is forecast to grow 4.9% p.a. on average during the next 3 years, compared to a 3.6% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has fallen by 3% per year but the company’s share price has increased by 12% per year, which means it is well ahead of earnings. Price Target Changed • Jun 16
Price target increased by 7.0% to JP¥3,793 Up from JP¥3,545, the current price target is an average from 6 analysts. New target price is approximately in line with last closing price of JP¥3,765. Stock is up 14% over the past year. The company is forecast to post earnings per share of JP¥251 for next year compared to JP¥158 last year. Reported Earnings • May 10
Full year 2025 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2025 results: EPS: JP¥158 (down from JP¥315 in FY 2024). Revenue: JP¥206.8b (down 9.3% from FY 2024). Net income: JP¥9.59b (down 51% from FY 2024). Profit margin: 4.6% (down from 8.5% in FY 2024). The decrease in margin was driven by lower revenue. Revenue exceeded analyst estimates by 1.1%. Earnings per share (EPS) missed analyst estimates by 22%. Revenue is forecast to grow 4.5% p.a. on average during the next 3 years, compared to a 4.4% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has fallen by 3% per year but the company’s share price has increased by 11% per year, which means it is well ahead of earnings. Announcement • May 09
Okuma Corporation, Annual General Meeting, Jun 24, 2025 Okuma Corporation, Annual General Meeting, Jun 24, 2025. Valuation Update With 7 Day Price Move • Apr 03
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to JP¥3,105, the stock trades at a forward P/E ratio of 13x. Average forward P/E is 12x in the Machinery industry in Japan. Total returns to shareholders of 41% over the past three years. Announcement • Mar 29
Okuma Corporation to Report Fiscal Year 2025 Results on May 09, 2025 Okuma Corporation announced that they will report fiscal year 2025 results on May 09, 2025 Upcoming Dividend • Mar 21
Upcoming dividend of JP¥50.00 per share Eligible shareholders must have bought the stock before 28 March 2025. Payment date: 24 June 2025. Payout ratio is a comfortable 44% and this is well supported by cash flows. Trailing yield: 2.8%. Lower than top quartile of Japanese dividend payers (3.7%). Higher than average of industry peers (2.1%). Reported Earnings • Feb 06
Third quarter 2025 earnings: EPS and revenues exceed analyst expectations Third quarter 2025 results: EPS: JP¥64.75 (down from JP¥70.34 in 3Q 2024). Revenue: JP¥53.7b (down 5.4% from 3Q 2024). Net income: JP¥3.92b (down 9.6% from 3Q 2024). Profit margin: 7.3% (down from 7.6% in 3Q 2024). The decrease in margin was driven by lower revenue. Revenue exceeded analyst estimates by 5.3%. Earnings per share (EPS) also surpassed analyst estimates by 18%. Revenue is forecast to grow 4.9% p.a. on average during the next 3 years, compared to a 4.6% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has increased by 10% per year whereas the company’s share price has increased by 12% per year. Declared Dividend • Nov 29
First half dividend of JP¥50.00 announced Shareholders will receive a dividend of JP¥50.00. Ex-date: 28th March 2025 Payment date: 24th June 2025 Dividend yield will be 4.9%, which is higher than the industry average of 2.1%. Sustainability & Growth Dividend is well covered by both earnings (43% earnings payout ratio) and cash flows (37% cash payout ratio). 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 46% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Nov 02
Second quarter 2025 earnings: Revenues exceed analyst expectations Second quarter 2025 results: Revenue: JP¥49.9b (down 17% from 2Q 2024). Net income: JP¥1.14b (down 72% from 2Q 2024). Profit margin: 2.3% (down from 6.8% in 2Q 2024). The decrease in margin was driven by lower revenue. Revenue exceeded analyst estimates by 3.6%. Revenue is forecast to grow 4.7% p.a. on average during the next 3 years, compared to a 4.8% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has increased by 25% per year but the company’s share price has only increased by 4% per year, which means it is significantly lagging earnings growth. Major Estimate Revision • Oct 02
Consensus EPS estimates fall by 11% The consensus outlook for fiscal year 2025 has been updated. 2025 EPS estimate fell from JP¥218 to JP¥194. Revenue forecast unchanged from JP¥206.7b at last update. Net income forecast to shrink 15% next year vs 11% growth forecast for Machinery industry in Japan . Consensus price target of JP¥3,357 unchanged from last update. Share price rose 3.0% to JP¥3,115 over the past week. Upcoming Dividend • Sep 20
Upcoming dividend of JP¥100.00 per share Eligible shareholders must have bought the stock before 27 September 2024. Payment date: 27 November 2024. Payout ratio is a comfortable 36% but the company is not cash flow positive. Trailing yield: 3.4%. Lower than top quartile of Japanese dividend payers (3.8%). Higher than average of industry peers (2.9%). Major Estimate Revision • Sep 11
Consensus EPS estimates fall by 18% The consensus outlook for earnings per share (EPS) in fiscal year 2025 has deteriorated. 2025 revenue forecast decreased from JP¥218.1b to JP¥211.1b. EPS estimate also fell from JP¥535 per share to JP¥437 per share. Net income forecast to shrink 8.4% next year vs 11% growth forecast for Machinery industry in Japan . Consensus price target broadly unchanged at JP¥6,968. Share price fell 2.5% to JP¥5,537 over the past week. Announcement • Aug 27
Okuma Corporation to Report Q2, 2025 Results on Oct 31, 2024 Okuma Corporation announced that they will report Q2, 2025 results on Oct 31, 2024 Reported Earnings • Aug 07
First quarter 2025 earnings: EPS and revenues miss analyst expectations First quarter 2025 results: EPS: JP¥80.43 (down from JP¥151 in 1Q 2024). Revenue: JP¥45.3b (down 10% from 1Q 2024). Net income: JP¥2.44b (down 48% from 1Q 2024). Profit margin: 5.4% (down from 9.2% in 1Q 2024). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 14%. Earnings per share (EPS) also missed analyst estimates by 36%. Revenue is forecast to grow 4.5% p.a. on average during the next 3 years, compared to a 4.9% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has increased by 34% per year but the company’s share price has only increased by 4% per year, which means it is significantly lagging earnings growth. New Risk • Aug 05
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 6.4% 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 Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (6.4% average weekly change). Announcement • Aug 05
Okuma Corporation Provides Consolidated Earnings Guidance for the Six Months Ending September 30, 2024 and Full Year Ending March 31, 2025 Okuma Corporation provided Consolidated earnings guidance for the six months ending September 30, 2024 and full year ending March 31, 2025. For the six months, the company expects net sales of ¥105,000 million, operating profit of ¥9,000 million and profit attributable to owners of parent of ¥6,500 million or ¥214.61 Basic earnings per share.
For the full year, the company expects net sales of ¥215,000 million, operating profit of ¥21,500 million and profit attributable to owners of parent of ¥15,500 million or ¥511.76 Basic earnings per share. Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment deteriorates as stock falls 23% After last week's 23% share price decline to JP¥5,587, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 12x in the Machinery industry in Japan. Total returns to shareholders of 14% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥6,869 per share. Buy Or Sell Opportunity • Jul 30
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 6.5% to JP¥7,498. The fair value is estimated to be JP¥6,174, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 21% over the last 3 years. Earnings per share has grown by 47%. For the next 3 years, revenue is forecast to grow by 3.7% per annum. Earnings are also forecast to grow by 6.6% per annum over the same time period. Declared Dividend • Jul 11
Final dividend of JP¥100.00 announced Dividend of JP¥100.00 is the same as last year. Ex-date: 27th September 2024 Payment date: 27th November 2024 Dividend yield will be 2.5%, which is higher than the industry average of 2.1%. Sustainability & Growth Dividend is covered by earnings (32% 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 24% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • Jun 30
Okuma Corporation to Report Q1, 2025 Results on Aug 05, 2024 Okuma Corporation announced that they will report Q1, 2025 results on Aug 05, 2024 Buy Or Sell Opportunity • Jun 28
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 1.8% to JP¥7,248. The fair value is estimated to be JP¥6,000, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 21% over the last 3 years. Earnings per share has grown by 47%. For the next 3 years, revenue is forecast to grow by 3.7% per annum. Earnings are also forecast to grow by 6.6% per annum over the same time period. Reported Earnings • Jun 26
Full year 2024 earnings: Revenues and EPS in line with analyst expectations Full year 2024 results: EPS: JP¥630 (up from JP¥616 in FY 2023). Revenue: JP¥228.0b (flat on FY 2023). Net income: JP¥19.4b (up 1.0% from FY 2023). Profit margin: 8.5% (up from 8.4% in FY 2023). Revenue was in line with analyst estimates. Earnings per share (EPS) were also in line with analyst expectations. Revenue is forecast to grow 3.7% p.a. on average during the next 3 years, compared to a 4.8% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has increased by 47% per year but the company’s share price has only increased by 9% per year, which means it is significantly lagging earnings growth. Reported Earnings • May 12
Full year 2024 earnings: Revenues and EPS in line with analyst expectations Full year 2024 results: EPS: JP¥630 (up from JP¥616 in FY 2023). Revenue: JP¥228.0b (flat on FY 2023). Net income: JP¥19.4b (up 1.0% from FY 2023). Profit margin: 8.5% (up from 8.4% in FY 2023). Revenue was in line with analyst estimates. Earnings per share (EPS) were also in line with analyst expectations. Revenue is forecast to grow 3.1% p.a. on average during the next 3 years, compared to a 4.7% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has increased by 47% per year but the company’s share price has only increased by 9% per year, which means it is significantly lagging earnings growth. Announcement • May 12
Okuma Corporation, Annual General Meeting, Jun 21, 2024 Okuma Corporation, Annual General Meeting, Jun 21, 2024. Announcement • Mar 29
Okuma Corporation to Report Q4, 2024 Results on May 10, 2024 Okuma Corporation announced that they will report Q4, 2024 results on May 10, 2024 Upcoming Dividend • Mar 21
Upcoming dividend of JP¥100.00 per share Eligible shareholders must have bought the stock before 28 March 2024. Payment date: 24 June 2024. Payout ratio is a comfortable 32% but the company is not cash flow positive. Trailing yield: 2.7%. Lower than top quartile of Japanese dividend payers (3.2%). Higher than average of industry peers (1.9%). Reported Earnings • Feb 02
Third quarter 2024 earnings: EPS and revenues miss analyst expectations Third quarter 2024 results: EPS: JP¥141 (down from JP¥155 in 3Q 2023). Revenue: JP¥56.8b (down 3.2% from 3Q 2023). Net income: JP¥4.34b (down 10% from 3Q 2023). Profit margin: 7.6% (down from 8.2% in 3Q 2023). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 1.6%. Earnings per share (EPS) also missed analyst estimates by 2.8%. Revenue is forecast to grow 2.7% p.a. on average during the next 3 years, compared to a 4.3% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has increased by 56% per year but the company’s share price has only increased by 4% per year, which means it is significantly lagging earnings growth. Announcement • Feb 01
Okuma Corporation (TSE:6103) announces an Equity Buyback for 1,000,000 shares, representing 3.25% for ¥4,000 million. Okuma Corporation (TSE:6103) announces a share repurchase program. Under the program, the company will repurchase up to 1,000,000 shares, representing 3.25% of its total shares outstanding excluding treasury shares, for a total of ¥4,000 million. The purpose of repurchase program is to return profits to shareholders and to enable the execution of flexible capital policies in response to changes in the business environment. The repurchase program is valid till April 30, 2024. As of December 31, 2023, the company had 30,811,219 shares outstanding excluding treasury shares and had 2,943,935 shares in treasury. Buying Opportunity • Dec 21
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 12%. The fair value is estimated to be JP¥7,555, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 23% over the last 3 years. Earnings per share has grown by 61%. For the next 3 years, revenue is forecast to grow by 2.9% per annum. Earnings is also forecast to grow by 5.7% per annum over the same time period. Price Target Changed • Dec 15
Price target decreased by 7.1% to JP¥7,423 Down from JP¥7,993, the current price target is an average from 3 analysts. New target price is 25% above last closing price of JP¥5,918. Stock is up 17% over the past year. The company is forecast to post earnings per share of JP¥637 for next year compared to JP¥616 last year. Announcement • Nov 17
Okuma Corporation to Report Q3, 2024 Results on Jan 31, 2024 Okuma Corporation announced that they will report Q3, 2024 results on Jan 31, 2024 Reported Earnings • Nov 02
Second quarter 2024 earnings: EPS and revenues miss analyst expectations Second quarter 2024 results: EPS: JP¥142 (down from JP¥155 in 2Q 2023). Revenue: JP¥55.3b (down 7.2% from 2Q 2023). Net income: JP¥4.38b (down 9.2% from 2Q 2023). Profit margin: 7.9% (down from 8.1% in 2Q 2023). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 4.5%. Earnings per share (EPS) also missed analyst estimates by 26%. Revenue is forecast to grow 3.7% p.a. on average during the next 3 years, compared to a 4.1% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has increased by 61% per year but the company’s share price has only increased by 3% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Sep 21
Upcoming dividend of JP¥100.00 per share at 2.9% yield Eligible shareholders must have bought the stock before 28 September 2023. Payment date: 27 November 2023. Payout ratio is a comfortable 29% and this is well supported by cash flows. Trailing yield: 2.9%. Lower than top quartile of Japanese dividend payers (3.3%). Higher than average of industry peers (2.1%). Announcement • Aug 09
Okuma Corporation to Report Q2, 2024 Results on Oct 31, 2023 Okuma Corporation announced that they will report Q2, 2024 results on Oct 31, 2023 Reported Earnings • Aug 01
First quarter 2024 earnings: EPS and revenues miss analyst expectations First quarter 2024 results: EPS: JP¥151 (up from JP¥141 in 1Q 2023). Revenue: JP¥50.6b (up 2.6% from 1Q 2023). Net income: JP¥4.65b (up 5.4% from 1Q 2023). Profit margin: 9.2% (up from 9.0% in 1Q 2023). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 10%. Earnings per share (EPS) also missed analyst estimates by 2.4%. Revenue is forecast to grow 4.5% p.a. on average during the next 3 years, compared to a 4.1% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has increased by 59% per year but the company’s share price has only increased by 17% per year, which means it is significantly lagging earnings growth. Reported Earnings • Jun 28
Full year 2023 earnings: EPS misses analyst expectations Full year 2023 results: EPS: JP¥616 (up from JP¥367 in FY 2022). Revenue: JP¥227.6b (up 32% from FY 2022). Net income: JP¥19.2b (up 66% from FY 2022). Profit margin: 8.4% (up from 6.7% in FY 2022). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 1.7%. Revenue is forecast to grow 4.3% p.a. on average during the next 3 years, compared to a 4.3% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has increased by 48% per year but the company’s share price has only increased by 19% per year, which means it is significantly lagging earnings growth. Price Target Changed • Jun 19
Price target increased by 7.2% to JP¥6,812 Up from JP¥6,354, the current price target is an average from 6 analysts. New target price is 7.7% below last closing price of JP¥7,377. Stock is up 44% over the past year. The company is forecast to post earnings per share of JP¥643 for next year compared to JP¥616 last year. Announcement • May 25
Okuma Corporation to Report Q1, 2024 Results on Jul 31, 2023 Okuma Corporation announced that they will report Q1, 2024 results on Jul 31, 2023 Reported Earnings • May 15
Full year 2023 earnings: EPS misses analyst expectations Full year 2023 results: EPS: JP¥616 (up from JP¥367 in FY 2022). Revenue: JP¥227.6b (up 32% from FY 2022). Net income: JP¥19.2b (up 66% from FY 2022). Profit margin: 8.4% (up from 6.7% in FY 2022). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 1.7%. Revenue is forecast to grow 3.1% p.a. on average during the next 3 years, compared to a 4.2% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has increased by 48% per year but the company’s share price has only increased by 13% per year, which means it is significantly lagging earnings growth. Announcement • May 13
Okuma Corporation, Annual General Meeting, Jun 22, 2023 Okuma Corporation, Annual General Meeting, Jun 22, 2023. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥90.00 per share at 3.1% yield Eligible shareholders must have bought the stock before 30 March 2023. Payment date: 24 June 2023. Payout ratio is a comfortable 24% and this is well supported by cash flows. Trailing yield: 3.1%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (2.4%). Reported Earnings • Feb 01
Third quarter 2023 earnings: EPS misses analyst expectations Third quarter 2023 results: EPS: JP¥155 (up from JP¥93.03 in 3Q 2022). Revenue: JP¥58.7b (up 29% from 3Q 2022). Net income: JP¥4.82b (up 64% from 3Q 2022). Profit margin: 8.2% (up from 6.5% in 3Q 2022). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 8.1%. Revenue is forecast to grow 1.6% p.a. on average during the next 3 years, compared to a 4.4% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has increased by 27% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Announcement • Nov 23
Okuma Corporation to Report Q3, 2023 Results on Jan 31, 2023 Okuma Corporation announced that they will report Q3, 2023 results on Jan 31, 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. 7 non-independent directors. Independent Outside Senior Director Shoji Inoue 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. Buying Opportunity • Nov 04
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 5.6%. The fair value is estimated to be JP¥6,268, however this is not to be taken as a buy recommendation but rather should be used as a guide only. For the next 3 years, revenue is forecast to grow by 1.7% per annum. Earnings is also forecast to grow by 4.5% per annum over the same time period. Reported Earnings • Nov 02
Second quarter 2023 earnings: Revenues exceed analysts expectations while EPS lags behind Second quarter 2023 results: EPS: JP¥155 (up from JP¥73.67 in 2Q 2022). Revenue: JP¥59.6b (up 45% from 2Q 2022). Net income: JP¥4.82b (up 107% from 2Q 2022). Profit margin: 8.1% (up from 5.7% in 2Q 2022). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 3.7%. Earnings per share (EPS) missed analyst estimates by 10%. Revenue is forecast to grow 1.7% p.a. on average during the next 3 years, compared to a 4.1% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has increased by 2% per year but the company’s share price has fallen by 8% per year, which means it is significantly lagging earnings. Announcement • Oct 12
Okuma Corporation to Offer Full Lineup of "Green-Smart Machine" Products Suited for Decarbonized Society Okuma Corporation is set to offer a full lineup of "Green-Smart Machine" products defined as intelligent machine tools that contribute to resolving environmental issues by autonomously achieving both stable dimensional accuracy and reduced energy usage. About Green-Smart Machine: 1. Clearly identifying the machine as a smart machine suited for a decarbonized society (machine with emblem) The emblem will be attached to machines in future orders for domestic shipments from April 2023; 2. Maturity model of machine tools for decarbonization, The "Green-Smart Machine" eliminates operator intervention required to maintain high accuracy and reduce energy usage, and achieves Level 4 of the maturity models, "autonomous energy reduction with accuracy stability," where the machine autonomously controls the equipment; 3. "Green-Smart Machine" manufactured at carbon-neutral factories. Carbon neutrality has already been achieved for the machines at the company's three domestic factories, which are the main production factories, ahead of schedule from October 2022. These automated and smart factories have been proven to reduce energy usage and produce products with high accuracy and high efficiency. Unique technologies to realize "Green-Smart Machine": 1. Autonomously maintaining a stable, high level of accuracy. AI-based innovative Intelligent Technology, "Thermo-Friendly Concept," that combines both machine design technology and control technology and that matches the human senses has been incorporated into more and more machines since its launch in 2001. This technology, now standard on 125 models, has a proven track record in production for customers around the world with a total of over 60,000 units produced in 20 years; 2. Energy-saving system "ECO suite plus" for decarbonized society, An autonomous energy-saving function, "ECO suite plus," is incorporated as standard in Okuma's "OSP" series of NC units. It enables data analysis based on machine-operating information and equipment-specific operating information, supporting the recording of CO2 emissions for traceability. Including its predecessor "ECO suite," more than 42,000 units have been delivered since its launch in 2014, reducing factory energy usage worldwide; 3. New operation control technology for spindle-cooling systems. The cooling system, which has been constantly operating because of the heat generated by the spindle during machining, is stopped based on optimization of cooling system operation needed by the machine, even during the machining process. Demonstration tests on energy usage reduction, including during machining, were conducted on a sample workpiece simulating a stainless steel valve, and the effectiveness of the cooling system was confirmed by a 68% reduction in energy usage. 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: 25 November 2022. Payout ratio is a comfortable 20% and this is well supported by cash flows. Trailing yield: 2.8%. Lower than top quartile of Japanese dividend payers (3.7%). Higher than average of industry peers (2.4%). Announcement • Aug 07
Okuma Corporation to Report Q2, 2023 Results on Oct 31, 2022 Okuma Corporation announced that they will report Q2, 2023 results on Oct 31, 2022 
