Valuation Update With 7 Day Price Move • Jun 03
Investor sentiment improves as stock rises 30% After last week's 30% share price gain to JP¥2,430, the stock trades at a forward P/E ratio of 33x. Average forward P/E is 16x in the Machinery industry in Japan. Total returns to shareholders of 45% over the past three years. Valuation Update With 7 Day Price Move • May 19
Investor sentiment deteriorates as stock falls 20% After last week's 20% share price decline to JP¥1,578, the stock trades at a forward P/E ratio of 20x. Average forward P/E is 16x in the Machinery industry in Japan. Total loss to shareholders of 8.6% over the past three years. New Risk • May 13
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 7.3% 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 Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (7.3% average weekly change). Reported Earnings • May 13
Full year 2026 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2026 results: EPS: JP¥86.77 (up from JP¥59.86 in FY 2025). Revenue: JP¥32.3b (down 33% from FY 2025). Net income: JP¥1.31b (up 45% from FY 2025). Profit margin: 4.1% (up from 1.9% in FY 2025). The increase in margin was driven by lower expenses. Revenue exceeded analyst estimates by 4.1%. Earnings per share (EPS) missed analyst estimates by 18%. Revenue is expected to decline by 5.8% p.a. on average during the next 2 years, while revenues in the Machinery industry in Japan are expected to grow by 5.7%. Over the last 3 years on average, earnings per share has fallen by 28% per year but the company’s share price has only fallen by 6% per year, which means it has not declined as severely as earnings. Announcement • May 12
HIRANO TECSEED Co.,Ltd., Annual General Meeting, Jun 25, 2026 HIRANO TECSEED Co.,Ltd., Annual General Meeting, Jun 25, 2026. Announcement • May 09
HIRANO TECSEED Co.,Ltd. to Report Fiscal Year 2026 Results on May 12, 2026 HIRANO TECSEED Co.,Ltd. announced that they will report fiscal year 2026 results on May 12, 2026 Upcoming Dividend • Mar 23
Upcoming dividend of JP¥42.00 per share Eligible shareholders must have bought the stock before 30 March 2026. Payment date: 29 June 2026. Payout ratio is on the higher end at 89%, however this is supported by cash flows. Trailing yield: 4.9%. Within top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.6%). Reported Earnings • Feb 14
Third quarter 2026 earnings released: EPS: JP¥30.65 (vs JP¥42.12 in 3Q 2025) Third quarter 2026 results: EPS: JP¥30.65 (down from JP¥42.12 in 3Q 2025). Revenue: JP¥7.52b (down 49% from 3Q 2025). Net income: JP¥464.0m (down 27% from 3Q 2025). Profit margin: 6.2% (up from 4.4% in 3Q 2025). Revenue is expected to decline by 11% p.a. on average during the next 3 years, while revenues in the Machinery industry in Japan are expected to grow by 5.1%. Over the last 3 years on average, earnings per share has fallen by 27% per year but the company’s share price has only fallen by 4% per year, which means it has not declined as severely as earnings. Announcement • Feb 14
HIRANO TECSEED Co.,Ltd. Revises Consolidated Earnings Guidance for the Fiscal Year Ending March 31, 2026 HIRANO TECSEED Co.,Ltd. revised consolidated earnings guidance for the fiscal year ending March 31, 2026. For the full year, the company expects net sales to be JPY 31,000 million. Operating income to be JPY 2,100 million. Net income attributable to owners of parent to be JPY 1,600 million. Basic earnings per share to be JPY 105.82. Announcement • Dec 28
HIRANO TECSEED Co.,Ltd. to Report Q3, 2026 Results on Feb 13, 2026 HIRANO TECSEED Co.,Ltd. announced that they will report Q3, 2026 results on Feb 13, 2026 Declared Dividend • Dec 03
First half dividend of JP¥42.00 announced Shareholders will receive a dividend of JP¥42.00. Ex-date: 30th March 2026 Payment date: 29th June 2026 Dividend yield will be 5.5%, which is higher than the industry average of 2.1%. Sustainability & Growth Dividend is covered by both earnings (72% earnings payout ratio) and cash flows (18% cash payout ratio). The dividend has increased by an average of 24% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 23% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Nov 18
Second quarter 2026 earnings released: EPS: JP¥17.18 (vs JP¥35.65 in 2Q 2025) Second quarter 2026 results: EPS: JP¥17.18 (down from JP¥35.65 in 2Q 2025). Revenue: JP¥7.44b (down 40% from 2Q 2025). Net income: JP¥260.0m (down 52% from 2Q 2025). Profit margin: 3.5% (down from 4.4% in 2Q 2025). Revenue is expected to decline by 8.8% p.a. on average during the next 3 years, while revenues in the Machinery industry in Japan are expected to grow by 5.3%. Over the last 3 years on average, earnings per share has fallen by 19% per year but the company’s share price has only fallen by 6% per year, which means it has not declined as severely as earnings. Announcement • Oct 24
HIRANO TECSEED Co.,Ltd. to Report Q2, 2026 Results on Nov 14, 2025 HIRANO TECSEED Co.,Ltd. announced that they will report Q2, 2026 results on Nov 14, 2025 Upcoming Dividend • Sep 22
Upcoming dividend of JP¥42.00 per share Eligible shareholders must have bought the stock before 29 September 2025. Payment date: 03 December 2025. The company is paying out more than 100% of its profits and is cash flow negative. Trailing yield: 5.1%. Within top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (2.0%). Reported Earnings • Aug 13
First quarter 2026 earnings released: EPS: JP¥42.38 (vs JP¥28.69 in 1Q 2025) First quarter 2026 results: EPS: JP¥42.38 (up from JP¥28.69 in 1Q 2025). Revenue: JP¥10.7b (down 12% from 1Q 2025). Net income: JP¥641.0m (up 48% from 1Q 2025). Profit margin: 6.0% (up from 3.6% in 1Q 2025). Revenue is expected to decline by 13% p.a. on average during the next 3 years, while revenues in the Machinery industry in Japan are expected to grow by 4.7%. Over the last 3 years on average, earnings per share has fallen by 15% per year but the company’s share price has only fallen by 8% per year, which means it has not declined as severely as earnings. Buy Or Sell Opportunity • Jul 31
Now 20% overvalued Over the last 90 days, the stock has fallen 2.2% to JP¥1,550. The fair value is estimated to be JP¥1,288, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 10.0% over the last 3 years. Earnings per share has declined by 13%. For the next 3 years, revenue is forecast to decline by 13% per annum. Earnings are forecast to grow by 7.5% per annum over the same time period. Announcement • Jul 15
HIRANO TECSEED Co.,Ltd. to Report Q1, 2026 Results on Aug 08, 2025 HIRANO TECSEED Co.,Ltd. announced that they will report Q1, 2026 results on Aug 08, 2025 Declared Dividend • Jul 09
Final dividend of JP¥42.00 announced Shareholders will receive a dividend of JP¥42.00. Ex-date: 29th September 2025 Payment date: 3rd December 2025 Dividend yield will be 5.9%, which is higher than the industry average of 2.1%. Sustainability & Growth Dividend is covered by earnings (79% 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 24% 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. New Risk • Jun 24
New major risk - Dividend sustainability The dividend is not well covered by earnings and cash flows. Payout ratio: 150% The company is paying a dividend despite having no free cash flows. Dividend yield: 5.9% 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: 150% 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 (1.9% net profit margin). New Risk • Jun 04
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 Risk Paying a dividend despite having no free cash flows. New Risk • May 12
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 1.9% Last year net profit margin: 5.2% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. Currently, the following risks have been identified for the company: Minor Risks Paying a dividend despite having no free cash flows. Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (1.9% net profit margin). Announcement • May 09
HIRANO TECSEED Co.,Ltd., Annual General Meeting, Jun 26, 2025 HIRANO TECSEED Co.,Ltd., Annual General Meeting, Jun 26, 2025. Announcement • May 03
HIRANO TECSEED Co.,Ltd. to Report Fiscal Year 2025 Results on May 09, 2025 HIRANO TECSEED Co.,Ltd. announced that they will report fiscal year 2025 results on May 09, 2025 Valuation Update With 7 Day Price Move • Apr 07
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to JP¥1,365, the stock trades at a forward P/E ratio of 13x. Average forward P/E is 11x in the Machinery industry in Japan. Total loss to shareholders of 22% over the past three years. Upcoming Dividend • Mar 21
Upcoming dividend of JP¥45.00 per share Eligible shareholders must have bought the stock before 28 March 2025. Payment date: 27 June 2025. Payout ratio is on the higher end at 79% but the company is not cash flow positive. Trailing yield: 5.2%. Within top quartile of Japanese dividend payers (3.7%). Higher than average of industry peers (2.1%). Reported Earnings • Feb 16
Third quarter 2025 earnings released: EPS: JP¥42.12 (vs JP¥90.18 in 3Q 2024) Third quarter 2025 results: EPS: JP¥42.12 (down from JP¥90.18 in 3Q 2024). Revenue: JP¥14.6b (up 18% from 3Q 2024). Net income: JP¥637.0m (down 53% from 3Q 2024). Profit margin: 4.4% (down from 11% in 3Q 2024). The decrease in margin was driven by higher expenses. Revenue is expected to decline by 1.8% p.a. on average during the next 3 years, while revenues in the Machinery industry in Japan are expected to grow by 4.7%. 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 6% per year. Announcement • Jan 03
HIRANO TECSEED Co.,Ltd. to Report Q3, 2025 Results on Feb 14, 2025 HIRANO TECSEED Co.,Ltd. announced that they will report Q3, 2025 results on Feb 14, 2025 New Risk • Dec 05
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 2.0% 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 2.0% per year for the foreseeable future. Minor Risk Paying a dividend despite having no free cash flows. Declared Dividend • Dec 04
First half dividend of JP¥45.00 announced Shareholders will receive a dividend of JP¥45.00. Ex-date: 28th March 2025 Payment date: 27th June 2025 Dividend yield will be 5.0%, which is higher than the industry average of 2.1%. Sustainability & Growth Dividend is covered by earnings (33% 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 1.9% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Nov 16
Second quarter 2025 earnings released: EPS: JP¥35.65 (vs JP¥6.43 in 2Q 2024) Second quarter 2025 results: EPS: JP¥35.65 (up from JP¥6.43 in 2Q 2024). Revenue: JP¥12.3b (up 26% from 2Q 2024). Net income: JP¥539.0m (up 456% from 2Q 2024). Profit margin: 4.4% (up from 1.0% in 2Q 2024). The increase in margin was driven by higher revenue. Revenue is expected to decline by 1.6% p.a. on average during the next 3 years, while revenues in the Machinery industry in Japan are expected to grow by 4.8%. Over the last 3 years on average, earnings per share has fallen by 12% per year whereas the company’s share price has fallen by 14% per year. Announcement • Oct 23
HIRANO TECSEED Co.,Ltd. to Report Q2, 2025 Results on Nov 12, 2024 HIRANO TECSEED Co.,Ltd. announced that they will report Q2, 2025 results on Nov 12, 2024 Upcoming Dividend • Sep 20
Upcoming dividend of JP¥45.00 per share Eligible shareholders must have bought the stock before 27 September 2024. Payment date: 04 December 2024. Payout ratio is a comfortable 58% and this is well supported by cash flows. Trailing yield: 5.7%. Within top quartile of Japanese dividend payers (3.8%). Higher than average of industry peers (2.9%). Reported Earnings • Aug 14
First quarter 2025 earnings released: EPS: JP¥21.70 (vs JP¥30.99 in 1Q 2024) First quarter 2025 results: EPS: JP¥21.70 (down from JP¥30.99 in 1Q 2024). Revenue: JP¥12.1b (down 3.9% from 1Q 2024). Net income: JP¥328.0m (down 30% from 1Q 2024). Profit margin: 2.7% (down from 3.7% in 1Q 2024). The decrease in margin was driven by lower revenue. Revenue is forecast to stay flat 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 fallen by 13% per year whereas the company’s share price has fallen by 16% per year. Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to JP¥1,525, the stock trades at a forward P/E ratio of 11x. Average forward P/E is 12x in the Machinery industry in Japan. Total loss to shareholders of 38% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥1,610 per share. Declared Dividend • Jul 11
Final dividend of JP¥45.00 announced Shareholders will receive a dividend of JP¥45.00. Ex-date: 27th September 2024 Payment date: 4th December 2024 Dividend yield will be 5.6%, which is higher than the industry average of 2.1%. Sustainability & Growth Dividend is well covered by both earnings (34% earnings payout ratio) and cash flows (28% cash payout ratio). The dividend has increased by an average of 16% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 14% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • Jun 30
HIRANO TECSEED Co.,Ltd. to Report Q1, 2025 Results on Aug 09, 2024 HIRANO TECSEED Co.,Ltd. announced that they will report Q1, 2025 results on Aug 09, 2024 Major Estimate Revision • Jun 25
Consensus EPS estimates fall by 22% The consensus outlook for fiscal year 2025 has been updated. 2025 consensus EPS estimate fell from JP¥181 to JP¥142. Revenue forecast reaffirmed at JP¥44.0b. Net income forecast to shrink 12% next year vs 11% growth forecast for Machinery industry in Japan . Consensus price target of JP¥2,470 unchanged from last update. Share price was steady at JP¥1,843 over the past week. Reported Earnings • May 12
Full year 2024 earnings: EPS and revenues exceed analyst expectations Full year 2024 results: EPS: JP¥162 (up from JP¥149 in FY 2023). Revenue: JP¥46.9b (up 11% from FY 2023). Net income: JP¥2.44b (up 8.7% from FY 2023). Profit margin: 5.2% (down from 5.3% in FY 2023). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 6.1%. Earnings per share (EPS) also surpassed analyst estimates by 9.3%. Revenue is forecast to grow 1.1% p.a. on average during the next 2 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 fallen by 8% per year whereas the company’s share price has fallen by 9% per year. Announcement • May 12
HIRANO TECSEED Co.,Ltd., Annual General Meeting, Jun 26, 2024 HIRANO TECSEED Co.,Ltd., Annual General Meeting, Jun 26, 2024. Upcoming Dividend • Mar 21
Upcoming dividend of JP¥60.00 per share Eligible shareholders must have bought the stock before 28 March 2024. Payment date: 28 June 2024. Payout ratio is a comfortable 34% but the company is not cash flow positive. Trailing yield: 2.5%. Lower than top quartile of Japanese dividend payers (3.2%). Higher than average of industry peers (1.9%). Announcement • Mar 10
HIRANO TECSEED Co.,Ltd. to Report Fiscal Year 2024 Results on May 10, 2024 HIRANO TECSEED Co.,Ltd. announced that they will report fiscal year 2024 results on May 10, 2024 Reported Earnings • Feb 17
Third quarter 2024 earnings released: EPS: JP¥90.18 (vs JP¥39.61 in 3Q 2023) Third quarter 2024 results: EPS: JP¥90.18 (up from JP¥39.61 in 3Q 2023). Revenue: JP¥12.4b (up 3.4% from 3Q 2023). Net income: JP¥1.36b (up 128% from 3Q 2023). Profit margin: 11% (up from 5.0% in 3Q 2023). The increase in margin was primarily driven by higher revenue. Revenue is forecast to stay flat 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 remained flat whereas the company’s share price has fallen by 5% per year. New Risk • Feb 16
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 6.5% 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 High level of non-cash earnings (31% accrual ratio). Minor Risks Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (6.5% average weekly change). Profit margins are more than 30% lower than last year (3.7% net profit margin). Valuation Update With 7 Day Price Move • Feb 15
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to JP¥2,057, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 12x in the Machinery industry in Japan. Total loss to shareholders of 16% over the past three years. Announcement • Jan 12
HIRANO TECSEED Co.,Ltd. to Report Q3, 2024 Results on Feb 14, 2024 HIRANO TECSEED Co.,Ltd. announced that they will report Q3, 2024 results on Feb 14, 2024 Reported Earnings • Nov 11
Second quarter 2024 earnings released: EPS: JP¥6.43 (vs JP¥38.03 in 2Q 2023) Second quarter 2024 results: EPS: JP¥6.43 (down from JP¥38.03 in 2Q 2023). Revenue: JP¥9.76b (up 7.9% from 2Q 2023). Net income: JP¥97.0m (down 83% from 2Q 2023). Profit margin: 1.0% (down from 6.3% in 2Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 3.2% 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 8% per year whereas the company’s share price has increased by 3% per year. Upcoming Dividend • Sep 21
Upcoming dividend of JP¥28.00 per share at 2.6% yield Eligible shareholders must have bought the stock before 28 September 2023. Payment date: 04 December 2023. Payout ratio is a comfortable 38% but the company is not cash flow positive. Trailing yield: 2.6%. Lower than top quartile of Japanese dividend payers (3.3%). Higher than average of industry peers (2.1%). Announcement • Sep 01
HIRANO TECSEED Co.,Ltd. to Report Q2, 2024 Results on Nov 10, 2023 HIRANO TECSEED Co.,Ltd. announced that they will report Q2, 2024 results on Nov 10, 2023 Reported Earnings • Aug 12
First quarter 2024 earnings released: EPS: JP¥30.99 (vs JP¥33.53 in 1Q 2023) First quarter 2024 results: EPS: JP¥30.99 (down from JP¥33.53 in 1Q 2023). Revenue: JP¥12.6b (up 36% from 1Q 2023). Net income: JP¥467.0m (down 7.5% from 1Q 2023). Profit margin: 3.7% (down from 5.5% in 1Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 3.1% 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 12% per year whereas the company’s share price has increased by 16% per year. Announcement • Jul 06
HIRANO TECSEED Co.,Ltd. to Report Q1, 2024 Results on Aug 10, 2023 HIRANO TECSEED Co.,Ltd. announced that they will report Q1, 2024 results on Aug 10, 2023 Valuation Update With 7 Day Price Move • May 19
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to JP¥1,892, the stock trades at a forward P/E ratio of 9x. Average forward P/E is 12x in the Machinery industry in Japan. Total returns to shareholders of 68% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥1,433 per share. Reported Earnings • May 16
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: EPS: JP¥149 (down from JP¥206 in FY 2022). Revenue: JP¥42.4b (up 12% from FY 2022). Net income: JP¥2.24b (down 28% from FY 2022). Profit margin: 5.3% (down from 8.2% in FY 2022). The decrease in margin was driven by higher expenses. Revenue missed analyst estimates by 2.5%. Earnings per share (EPS) also missed analyst estimates by 16%. Revenue is forecast to grow 7.6% p.a. on average during the next 2 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 13% per year but the company’s share price has increased by 19% per year, which means it is tracking significantly ahead of earnings growth. Announcement • May 14
HIRANO TECSEED Co.,Ltd., Annual General Meeting, Jun 27, 2023 HIRANO TECSEED Co.,Ltd., Annual General Meeting, Jun 27, 2023. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥28.00 per share at 2.8% yield Eligible shareholders must have bought the stock before 30 March 2023. Payment date: 28 June 2023. Payout ratio is a comfortable 37% 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 (2.4%). Reported Earnings • Feb 14
Third quarter 2023 earnings released: EPS: JP¥39.61 (vs JP¥35.65 in 3Q 2022) Third quarter 2023 results: EPS: JP¥39.61 (up from JP¥35.65 in 3Q 2022). Revenue: JP¥12.0b (up 33% from 3Q 2022). Net income: JP¥597.0m (up 11% from 3Q 2022). Profit margin: 5.0% (down from 6.0% in 3Q 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 7.7% 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 7% per year but the company’s share price has increased by 17% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Jan 12
HIRANO TECSEED Co.,Ltd. to Report Q3, 2023 Results on Feb 10, 2023 HIRANO TECSEED Co.,Ltd. announced that they will report Q3, 2023 results on Feb 10, 2023 Valuation Update With 7 Day Price Move • Nov 28
Investor sentiment improved over the past week After last week's 20% share price gain to JP¥2,200, the stock trades at a forward P/E ratio of 11x. Average forward P/E is 11x in the Machinery industry in Japan. Total returns to shareholders of 29% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥1,147 per share. Price Target Changed • Nov 16
Price target decreased to JP¥1,960 Down from JP¥4,900, the current price target is provided by 1 analyst. New target price is approximately in line with last closing price of JP¥1,870. Stock is down 33% over the past year. The company is forecast to post earnings per share of JP¥184 for next year compared to JP¥206 last year. Board Change • Nov 16
Less than half of directors are independent Following the recent departure of a director, there are only 3 independent directors on the board. The company's board is composed of: 3 independent directors. 7 non-independent directors. Independent External Director Mantaro Fujimoto 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 13
Second quarter 2023 earnings released: EPS: JP¥38.03 (vs JP¥72.78 in 2Q 2022) Second quarter 2023 results: EPS: JP¥38.03 (down from JP¥72.78 in 2Q 2022). Revenue: JP¥9.04b (down 7.3% from 2Q 2022). Net income: JP¥573.0m (down 48% from 2Q 2022). Profit margin: 6.3% (down from 11% in 2Q 2022). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 9.1% 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 fallen by 2% per year whereas the company’s share price has increased by 3% per year. Announcement • Sep 28
HIRANO TECSEED Co.,Ltd. to Report Q2, 2023 Results on Nov 11, 2022 HIRANO TECSEED Co.,Ltd. announced that they will report Q2, 2023 results on Nov 11, 2022 Upcoming Dividend • Sep 22
Upcoming dividend of JP¥28.00 per share Eligible shareholders must have bought the stock before 29 September 2022. Payment date: 02 December 2022. Payout ratio is a comfortable 31% and this is well supported by cash flows. Trailing yield: 3.0%. Lower than top quartile of Japanese dividend payers (3.7%). Higher than average of industry peers (2.4%). Reported Earnings • Aug 15
First quarter 2023 earnings released: EPS: JP¥33.53 (vs JP¥59.24 in 1Q 2022) First quarter 2023 results: EPS: JP¥33.53 (down from JP¥59.24 in 1Q 2022). Revenue: JP¥9.23b (up 4.3% from 1Q 2022). Net income: JP¥505.0m (down 43% from 1Q 2022). Profit margin: 5.5% (down from 10% in 1Q 2022). The decrease in margin was driven by higher expenses. Over the next year, revenue is forecast to grow 17%, compared to a 8.7% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has fallen by 2% per year but the company’s share price has increased by 13% per year, which means it is well ahead of earnings. Announcement • Jul 09
HIRANO TECSEED Co.,Ltd. to Report Q1, 2023 Results on Aug 12, 2022 HIRANO TECSEED Co.,Ltd. announced that they will report Q1, 2023 results on Aug 12, 2022 Major Estimate Revision • May 25
Consensus forecasts updated The consensus outlook for 2023 has been updated. 2023 revenue forecast increased from JP¥38.5b to JP¥43.5b. EPS estimate fell from JP¥246 to JP¥184. Net income forecast to shrink 11% next year vs 8.8% growth forecast for Machinery industry in Japan . Consensus price target down from JP¥4,900 to JP¥1,960. Share price fell 5.5% to JP¥1,820 over the past week. Reported Earnings • May 20
Full year 2022 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2022 results: EPS: JP¥206 (up from JP¥119 in FY 2021). Revenue: JP¥37.9b (up 47% from FY 2021). Net income: JP¥3.10b (up 74% from FY 2021). Profit margin: 8.2% (up from 6.9% in FY 2021). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 3.0%. Earnings per share (EPS) missed analyst estimates by 7.6%. Over the next year, revenue is forecast to grow 1.7%, compared to a 7.9% growth forecast for the industry in Japan. Over the last 3 years on average, earnings per share has fallen by 7% per year but the company’s share price has increased by 8% per year, which means it is well ahead of earnings. Announcement • May 18
HIRANO TECSEED Co.,Ltd., Annual General Meeting, Jun 27, 2022 HIRANO TECSEED Co.,Ltd., Annual General Meeting, Jun 27, 2022. Price Target Changed • Apr 27
Price target increased to JP¥4,900 Up from JP¥3,100, the current price target is an average from 2 analysts. New target price is 148% above last closing price of JP¥1,978. Stock is down 27% over the past year. The company is forecast to post earnings per share of JP¥223 for next year compared to JP¥119 last year. Board Change • Apr 27
Less than half of directors are independent Following the recent departure of a director, there are only 3 independent directors on the board. The company's board is composed of: 3 independent directors. 7 non-independent directors. Independent External Director Mantaro Fujimoto 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. Announcement • Apr 08
HIRANO TECSEED Co.,Ltd. to Report Fiscal Year 2022 Results on May 16, 2022 HIRANO TECSEED Co.,Ltd. announced that they will report fiscal year 2022 results on May 16, 2022 Upcoming Dividend • Mar 23
Upcoming dividend of JP¥28.00 per share Eligible shareholders must have bought the stock before 30 March 2022. Payment date: 28 June 2022. Payout ratio is a comfortable 22% and this is well supported by cash flows. Trailing yield: 2.7%. Lower than top quartile of Japanese dividend payers (3.4%). Higher than average of industry peers (2.0%). Valuation Update With 7 Day Price Move • Feb 18
Investor sentiment deteriorated over the past week After last week's 16% share price decline to JP¥2,134, the stock trades at a forward P/E ratio of 9x. Average forward P/E is 12x in the Machinery industry in Japan. Total returns to shareholders of 35% over the past three years. Reported Earnings • Feb 12
Third quarter 2022 earnings: EPS and revenues exceed analyst expectations Third quarter 2022 results: EPS: JP¥35.65 (up from JP¥23.31 in 3Q 2021). Revenue: JP¥8.96b (up 16% from 3Q 2021). Net income: JP¥537.0m (up 53% from 3Q 2021). Profit margin: 6.0% (up from 4.6% in 3Q 2021). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 20%. Earnings per share (EPS) also surpassed analyst estimates by 23%. Over the next year, revenue is forecast to grow 2.4%, compared to a 8.1% growth forecast for the industry in Japan. Over the last 3 years on average, earnings per share has fallen by 8% per year but the company’s share price has increased by 13% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Dec 24
Investor sentiment improved over the past week After last week's 18% share price gain to JP¥3,335, the stock trades at a forward P/E ratio of 14x. Average forward P/E is 12x in the Machinery industry in Japan. Total returns to shareholders of 172% over the past three years. Reported Earnings • Nov 15
Second quarter 2022 earnings released: EPS JP¥72.78 (vs JP¥22.98 in 2Q 2021) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2022 results: Revenue: JP¥9.76b (up 119% from 2Q 2021). Net income: JP¥1.10b (up 217% from 2Q 2021). Profit margin: 11% (up from 7.8% in 2Q 2021). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 11% per year but the company’s share price has increased by 19% per year, which means it is well ahead of earnings. Upcoming Dividend • Sep 22
Upcoming dividend of JP¥20.00 per share Eligible shareholders must have bought the stock before 29 September 2021. Payment date: 02 December 2021. Trailing yield: 1.6%. Lower than top quartile of Japanese dividend payers (3.0%). Higher than average of industry peers (1.4%). Reported Earnings • Aug 13
First quarter 2022 earnings released: EPS JP¥59.24 (vs JP¥8.31 in 1Q 2021) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2022 results: Revenue: JP¥8.85b (up 97% from 1Q 2021). Net income: JP¥892.0m (up JP¥767.0m from 1Q 2021). Profit margin: 10% (up from 2.8% in 1Q 2021). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 15% per year but the company’s share price has increased by 7% per year, which means it is well ahead of earnings. Reported Earnings • May 18
Full year 2021 earnings released: EPS JP¥119 (vs JP¥156 in FY 2020) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2021 results: Revenue: JP¥25.8b (down 19% from FY 2020). Net income: JP¥1.79b (down 24% from FY 2020). Profit margin: 6.9% (down from 7.4% in FY 2020). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 14% per year but the company’s share price has only fallen by 6% per year, which means it has not declined as severely as earnings. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥15.00 per share Eligible shareholders must have bought the stock before 30 March 2021. Payment date: 29 June 2021. Trailing yield: 1.1%. Lower than top quartile of Japanese dividend payers (2.7%). In line with average of industry peers (1.1%). Reported Earnings • Feb 12
Third quarter 2021 earnings released: EPS JP¥23.31 (vs JP¥12.96 in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: JP¥7.71b (up 23% from 3Q 2020). Net income: JP¥351.0m (up 80% from 3Q 2020). Profit margin: 4.6% (up from 3.1% in 3Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 12% per year but the company’s share price has only fallen by 2% per year, which means it has not declined as severely as earnings. Analyst Estimate Surprise Post Earnings • Feb 12
Revenue beats expectations, earnings disappoint Revenue exceeded analyst estimates by 10%. Earnings per share (EPS) missed analyst estimates by 13%. Over the next year, revenue is expected to shrink by 10% compared to a 9.3% growth forecast for the Machinery industry in Japan. Is New 90 Day High Low • Feb 12
New 90-day high: JP¥2,868 The company is up 58% from its price of JP¥1,819 on 13 November 2020. The Japanese market is up 13% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Machinery industry, which is up 17% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is JP¥7,339 per share. Is New 90 Day High Low • Jan 08
New 90-day high: JP¥2,426 The company is up 72% from its price of JP¥1,411 on 09 October 2020. The Japanese market is up 10.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Machinery industry, which is up 18% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is JP¥26,310 per share. Valuation Update With 7 Day Price Move • Dec 16
Investor sentiment improved over the past week After last week's 18% share price gain to JP¥2,305, the stock is trading at a trailing P/E ratio of 38.4x, up from the previous P/E ratio of 32.6x. This compares to an average P/E of 16x in the Machinery industry in Japan. Total returns to shareholders over the past three years were flat. Is New 90 Day High Low • Dec 04
New 90-day high: JP¥1,980 The company is up 43% from its price of JP¥1,381 on 04 September 2020. The Japanese market is up 10.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Machinery industry, which is up 18% over the same period. 