Reported Earnings • May 12
Full year 2026 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2026 results: EPS: JP¥205 (up from JP¥174 in FY 2025). Revenue: JP¥55.6b (up 1.4% from FY 2025). Net income: JP¥5.60b (up 16% from FY 2025). Profit margin: 10% (up from 8.8% in FY 2025). Revenue missed analyst estimates by 2.3%. Earnings per share (EPS) exceeded analyst estimates by 6.9%. Revenue is forecast to grow 4.4% p.a. on average during the next 2 years, compared to a 5.6% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has increased by 9% per year and the company’s share price has also increased by 9% per year. Announcement • May 11
Airman Corporation, Annual General Meeting, Jun 26, 2026 Airman Corporation, Annual General Meeting, Jun 26, 2026. New Risk • May 11
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). Valuation Update With 7 Day Price Move • May 11
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to JP¥1,727, the stock trades at a forward P/E ratio of 9x. Average forward P/E is 16x in the Machinery industry in Japan. Total returns to shareholders of 45% over the past three years. Announcement • May 02
Airman Corporation to Report Fiscal Year 2026 Results on May 11, 2026 Airman Corporation announced that they will report fiscal year 2026 results at 1:00 PM, Tokyo Standard Time on May 11, 2026 Upcoming Dividend • Mar 23
Upcoming dividend of JP¥40.00 per share Eligible shareholders must have bought the stock before 30 March 2026. Payment date: 29 June 2026. Payout ratio is a comfortable 30% 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 (1.6%). Reported Earnings • Jan 31
Third quarter 2026 earnings released: EPS: JP¥65.60 (vs JP¥52.96 in 3Q 2025) Third quarter 2026 results: EPS: JP¥65.60 (up from JP¥52.96 in 3Q 2025). Revenue: JP¥14.9b (up 13% from 3Q 2025). Net income: JP¥1.78b (up 22% from 3Q 2025). Profit margin: 12% (in line with 3Q 2025). Revenue is forecast to grow 2.7% p.a. on average during the next 3 years, compared to a 5.2% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has increased by 9% per year whereas the company’s share price has increased by 12% per year. Announcement • Jan 30
Airman Corporation (TSE:6364) announces an Equity Buyback for 250,000 shares, representing 0.9% for ¥400 million. Airman Corporation (TSE:6364) announces a share repurchase program. Under the program, the company will repurchase 250,000 shares, representing 0.9% of its share capital, for ¥400 million. The company will repurchase its shares in order to return profits to shareholders and improve capital efficiency. The program will run until March 31, 2026. As of December 31, 2025 , the company had 27,749,812 shares outstanding (excluding treasury shares) and 2,415,606 shares in treasury. Announcement • Dec 27
Airman Corporation to Report Q3, 2026 Results on Jan 30, 2026 Airman Corporation announced that they will report Q3, 2026 results on Jan 30, 2026 Declared Dividend • Dec 04
First half dividend of JP¥40.00 announced Shareholders will receive a dividend of JP¥40.00. Ex-date: 30th March 2026 Payment date: 29th June 2026 Dividend yield will be 3.3%, which is higher than the industry average of 2.1%. Sustainability & Growth Dividend is covered by both earnings (32% earnings payout ratio) and cash flows (67% cash payout ratio). 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 17% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Nov 08
Second quarter 2026 earnings released: EPS: JP¥53.59 (vs JP¥30.11 in 2Q 2025) Second quarter 2026 results: EPS: JP¥53.59 (up from JP¥30.11 in 2Q 2025). Revenue: JP¥14.6b (up 2.5% from 2Q 2025). Net income: JP¥1.47b (up 76% from 2Q 2025). Profit margin: 10% (up from 5.9% in 2Q 2025). The increase in margin was primarily driven by higher revenue. Revenue is forecast to grow 2.7% 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 10% per year but the company’s share price has increased by 17% per year, which means it is tracking significantly ahead of earnings growth. Buy Or Sell Opportunity • Nov 06
Now 20% overvalued Over the last 90 days, the stock has fallen 9.5% to JP¥1,889. The fair value is estimated to be JP¥1,574, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 8.9% over the last 3 years. Earnings per share has grown by 12%. Revenue is forecast to grow by 5.7% in 2 years. Earnings are forecast to grow by 20% in the next 2 years. Announcement • Oct 03
Airman Corporation to Report Q2, 2026 Results on Nov 06, 2025 Airman Corporation announced that they will report Q2, 2026 results on Nov 06, 2025 Upcoming Dividend • Sep 22
Upcoming dividend of JP¥20.00 per share Eligible shareholders must have bought the stock before 29 September 2025. Payment date: 03 December 2025. Payout ratio is a comfortable 36% and this is well supported by cash flows. Trailing yield: 3.0%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (2.0%). Reported Earnings • Jul 31
First quarter 2026 earnings released: EPS: JP¥39.63 (vs JP¥56.07 in 1Q 2025) First quarter 2026 results: EPS: JP¥39.63 (down from JP¥56.07 in 1Q 2025). Revenue: JP¥13.3b (flat on 1Q 2025). Net income: JP¥1.09b (down 30% from 1Q 2025). Profit margin: 8.2% (down from 12% in 1Q 2025). Revenue is forecast to grow 3.5% 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 12% per year but the company’s share price has increased by 30% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Jul 11
Airman Corporation (TSE:6364) announces an Equity Buyback for 600,000 shares, representing 2.13% for ¥1,000 million. Airman Corporation (TSE:6364) announces a share repurchase program. Under the program, the company will repurchase 600,000 shares, representing 2.12% of its share capital, for ¥1,000 million. The company will repurchase its shares in order to return profits to shareholders and improve capital efficiency. The program will run until January 31, 2026. As of March 31, 2025, the company had 28,181,931 shares outstanding (excluding treasury shares) and 1,983,487 shares in treasury. Declared Dividend • Jul 09
Final dividend of JP¥20.00 announced Shareholders will receive a dividend of JP¥20.00. Ex-date: 29th September 2025 Payment date: 3rd December 2025 Dividend yield will be 2.9%, which is higher than the industry average of 2.1%. Sustainability & Growth Dividend is covered by both earnings (31% earnings payout ratio) and cash flows (58% cash payout ratio). The dividend has increased by an average of 13% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 21% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • Jun 27
Airman Corporation to Report Q1, 2026 Results on Jul 30, 2025 Airman Corporation announced that they will report Q1, 2026 results on Jul 30, 2025 Reported Earnings • May 10
Full year 2025 earnings: EPS misses analyst expectations Full year 2025 results: EPS: JP¥174 (down from JP¥182 in FY 2024). Revenue: JP¥54.8b (up 5.6% from FY 2024). Net income: JP¥4.81b (down 5.6% from FY 2024). Profit margin: 8.8% (down from 9.8% in FY 2024). The decrease in margin was driven by higher expenses. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 7.8%. Revenue is forecast to grow 4.8% p.a. on average during the next 2 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 18% per year but the company’s share price has increased by 27% per year, which means it is tracking significantly ahead of earnings growth. Announcement • May 09
Airman Corporation, Annual General Meeting, Jun 26, 2025 Airman Corporation, Annual General Meeting, Jun 26, 2025. Valuation Update With 7 Day Price Move • Apr 07
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to JP¥1,572, the stock trades at a forward P/E ratio of 8x. Average forward P/E is 11x in the Machinery industry in Japan. Total returns to shareholders of 109% over the past three years. Upcoming Dividend • Mar 21
Upcoming dividend of JP¥37.00 per share Eligible shareholders must have bought the stock before 28 March 2025. Payment date: 27 June 2025. Payout ratio is a comfortable 31% 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 (3.7%). Higher than average of industry peers (2.1%). Announcement • Mar 08
Hokuetsu Industries Co., Ltd. to Report Fiscal Year 2025 Results on May 09, 2025 Hokuetsu Industries Co., Ltd. announced that they will report fiscal year 2025 results on May 09, 2025 Reported Earnings • Feb 01
Third quarter 2025 earnings released: EPS: JP¥52.95 (vs JP¥31.34 in 3Q 2024) Third quarter 2025 results: EPS: JP¥52.95 (up from JP¥31.34 in 3Q 2024). Revenue: JP¥13.2b (down 2.2% from 3Q 2024). Net income: JP¥1.47b (up 67% from 3Q 2024). Profit margin: 11% (up from 6.5% in 3Q 2024). The increase in margin was driven by lower expenses. Revenue is forecast to grow 6.1% 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 increased by 22% per year but the company’s share price has increased by 30% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Dec 19
Hokuetsu Industries Co., Ltd. to Report Q3, 2025 Results on Jan 31, 2025 Hokuetsu Industries Co., Ltd. announced that they will report Q3, 2025 results on Jan 31, 2025 Declared Dividend • Dec 04
First half dividend of JP¥37.00 announced Dividend of JP¥37.00 is the same as last year. Ex-date: 28th March 2025 Payment date: 27th June 2025 Dividend yield will be 3.4%, which is higher than the industry average of 2.1%. Sustainability & Growth Dividend is covered by earnings (23% earnings payout ratio) but not covered by cash flows (dividend approximately 158x free cash flows). The dividend has increased by an average of 14% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 60% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Nov 08
Second quarter 2025 earnings released: EPS: JP¥30.11 (vs JP¥50.68 in 2Q 2024) Second quarter 2025 results: EPS: JP¥30.11 (down from JP¥50.68 in 2Q 2024). Revenue: JP¥14.2b (up 1.8% from 2Q 2024). Net income: JP¥836.8m (down 41% from 2Q 2024). Profit margin: 5.9% (down from 10% in 2Q 2024). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 7.2% 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 23% per year whereas the company’s share price has increased by 20% per year. Announcement • Nov 06
Hokuetsu Industries Co., Ltd. (TSE:6364) announces an Equity Buyback for 320,000 shares, representing 1.13% for ¥700 million. Hokuetsu Industries Co., Ltd. (TSE:6364) announces a share repurchase program. Under the program, the company will repurchase 320,000 shares, representing 1.13% of its share capital, for ¥700 million. The company will repurchase its shares in order to return profits to shareholders and to enable flexible execution of capital policy in response to changes in the business environment. The program will run until February 28, 2025. As of September 30, 2024, the company had 28,262,057 shares outstanding (excluding treasury shares) and 1,903,361 shares in treasury. Upcoming Dividend • Sep 20
Upcoming dividend of JP¥20.00 per share Eligible shareholders must have bought the stock before 27 September 2024. Payment date: 04 December 2024. Payout ratio is a comfortable 31% and the cash payout ratio is 80%. Trailing yield: 3.1%. Lower than top quartile of Japanese dividend payers (3.8%). In line with average of industry peers (2.9%). Announcement • Aug 27
Hokuetsu Industries Co., Ltd. to Report Q2, 2025 Results on Nov 06, 2024 Hokuetsu Industries Co., Ltd. announced that they will report Q2, 2025 results on Nov 06, 2024 Valuation Update With 7 Day Price Move • Aug 06
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to JP¥1,782, the stock trades at a forward P/E ratio of 9x. Average forward P/E is 10x in the Machinery industry in Japan. Total returns to shareholders of 81% over the past three years. Reported Earnings • Aug 01
First quarter 2025 earnings released: EPS: JP¥56.07 (vs JP¥53.38 in 1Q 2024) First quarter 2025 results: EPS: JP¥56.07 (up from JP¥53.38 in 1Q 2024). Revenue: JP¥13.2b (up 12% from 1Q 2024). Net income: JP¥1.56b (up 3.5% from 1Q 2024). Profit margin: 12% (in line with 1Q 2024). Revenue is forecast to grow 5.7% 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 28% per year whereas the company’s share price has increased by 26% per year. Declared Dividend • Jul 11
Final dividend of JP¥20.00 announced Dividend of JP¥20.00 is the same as last year. Ex-date: 27th September 2024 Payment date: 4th December 2024 Dividend yield will be 2.5%, which is higher than the industry average of 2.1%. Sustainability & Growth Dividend is covered by both earnings (30% earnings payout ratio) and cash flows (89% cash payout ratio). The dividend has increased by an average of 14% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 38% over the next 3 years, which should provide support to the dividend and adequate earnings cover. New Risk • Jul 10
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 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 (5.3% average weekly change). Buy Or Sell Opportunity • Jul 07
Now 25% undervalued Over the last 90 days, the stock has risen 19% to JP¥2,292. The fair value is estimated to be JP¥3,061, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 18% over the last 3 years. Earnings per share has grown by 31%. For the next 3 years, revenue is forecast to grow by 6.1% per annum. Earnings are also forecast to grow by 11% per annum over the same time period. Buy Or Sell Opportunity • Jul 05
Now 25% undervalued Over the last 90 days, the stock has risen 20% to JP¥2,292. The fair value is estimated to be JP¥3,059, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 18% over the last 3 years. Earnings per share has grown by 31%. For the next 3 years, revenue is forecast to grow by 6.1% per annum. Earnings are also forecast to grow by 11% per annum over the same time period. Buy Or Sell Opportunity • Jul 05
Now 25% undervalued Over the last 90 days, the stock has risen 20% to JP¥2,292. The fair value is estimated to be JP¥3,060, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 18% over the last 3 years. Earnings per share has grown by 31%. For the next 3 years, revenue is forecast to grow by 6.1% per annum. Earnings are also forecast to grow by 11% per annum over the same time period. Buy Or Sell Opportunity • Jul 03
Now 22% undervalued Over the last 90 days, the stock has risen 23% to JP¥2,353. The fair value is estimated to be JP¥3,020, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 18% over the last 3 years. Earnings per share has grown by 31%. For the next 3 years, revenue is forecast to grow by 6.1% per annum. Earnings are also forecast to grow by 11% per annum over the same time period. Buy Or Sell Opportunity • Jul 02
Now 22% undervalued Over the last 90 days, the stock has risen 24% to JP¥2,356. The fair value is estimated to be JP¥3,023, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 18% over the last 3 years. Earnings per share has grown by 31%. For the next 3 years, revenue is forecast to grow by 6.1% per annum. Earnings are also forecast to grow by 11% per annum over the same time period. Buy Or Sell Opportunity • Jul 01
Now 21% undervalued Over the last 90 days, the stock has risen 25% to JP¥2,371. The fair value is estimated to be JP¥3,020, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 18% over the last 3 years. Earnings per share has grown by 31%. For the next 3 years, revenue is forecast to grow by 6.1% per annum. Earnings are also forecast to grow by 11% per annum over the same time period. Buy Or Sell Opportunity • Jun 28
Now 21% undervalued Over the last 90 days, the stock has risen 18% to JP¥2,388. The fair value is estimated to be JP¥3,021, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 18% over the last 3 years. Earnings per share has grown by 31%. For the next 3 years, revenue is forecast to grow by 6.1% per annum. Earnings are also forecast to grow by 11% per annum over the same time period. Reported Earnings • May 11
Full year 2024 earnings: EPS and revenues exceed analyst expectations Full year 2024 results: EPS: JP¥182 (up from JP¥132 in FY 2023). Revenue: JP¥51.9b (up 5.9% from FY 2023). Net income: JP¥5.10b (up 36% from FY 2023). Profit margin: 9.8% (up from 7.7% in FY 2023). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 1.2%. Earnings per share (EPS) also surpassed analyst estimates by 3.8%. Revenue is forecast to grow 4.2% 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 increased by 31% per year but the company’s share price has only increased by 25% per year, which means it is significantly lagging earnings growth. Announcement • May 11
Hokuetsu Industries Co., Ltd., Annual General Meeting, Jun 26, 2024 Hokuetsu Industries Co., Ltd., Annual General Meeting, Jun 26, 2024. Upcoming Dividend • Mar 21
Upcoming dividend of JP¥20.00 per share Eligible shareholders must have bought the stock before 28 March 2024. Payment date: 01 July 2024. Payout ratio is a comfortable 30% and this is well supported by cash flows. Trailing yield: 2.0%. Lower than top quartile of Japanese dividend payers (3.2%). In line with average of industry peers (1.9%). Announcement • Mar 02
Hokuetsu Industries Co., Ltd. to Report Fiscal Year 2024 Results on May 09, 2024 Hokuetsu Industries Co., Ltd. announced that they will report fiscal year 2024 results on May 09, 2024 Announcement • Feb 09
Hokuetsu Industries Co., Ltd. Provides Dividend Guidance for the Fiscal Year Ending March 31, 2024 Hokuetsu Industries Co., Ltd. provided dividend guidance for the fiscal year ending March 31, 2024. For the year, the company expects to pay a dividend of ¥20.00 per share against ¥30.00 per share a year ago. Reported Earnings • Feb 02
Third quarter 2024 earnings released: EPS: JP¥31.36 (vs JP¥25.76 in 3Q 2023) Third quarter 2024 results: EPS: JP¥31.36 (up from JP¥25.76 in 3Q 2023). Revenue: JP¥13.5b (down 1.2% from 3Q 2023). Net income: JP¥875.4m (up 20% from 3Q 2023). Profit margin: 6.5% (up from 5.3% in 3Q 2023). The increase in margin was driven by lower expenses. Revenue is forecast to grow 3.8% 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 31% per year whereas the company’s share price has increased by 32% per year. Announcement • Dec 02
Hokuetsu Industries Co., Ltd. to Report Q3, 2024 Results on Jan 31, 2024 Hokuetsu Industries Co., Ltd. announced that they will report Q3, 2024 results on Jan 31, 2024 Reported Earnings • Nov 07
Second quarter 2024 earnings released: EPS: JP¥50.68 (vs JP¥42.37 in 2Q 2023) Second quarter 2024 results: EPS: JP¥50.68 (up from JP¥42.37 in 2Q 2023). Revenue: JP¥14.0b (up 17% from 2Q 2023). Net income: JP¥1.42b (up 18% from 2Q 2023). Profit margin: 10% (in line with 2Q 2023). Revenue is forecast to grow 2.1% 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 30% per year but the company’s share price has only increased by 21% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Sep 21
Upcoming dividend of JP¥20.00 per share at 1.9% yield Eligible shareholders must have bought the stock before 28 September 2023. Payment date: 04 December 2023. Payout ratio is a comfortable 30% and this is well supported by cash flows. Trailing yield: 1.9%. Lower than top quartile of Japanese dividend payers (3.3%). In line with average of industry peers (2.1%). Announcement • Sep 06
Hokuetsu Industries Co., Ltd. (TSE:6364) announces an Equity Buyback for 568,000 shares, representing 1.99% for ¥700 million. Hokuetsu Industries Co., Ltd. (TSE:6364) announces a share repurchase program. Under the program, the company will repurchase 568,000 shares, representing 1.99% of its share capital, for ¥700 million. The company will repurchase its shares in order to return profits to shareholders and to enable flexible execution of capital policy in response to changes in the business environment. The program will run until March 29, 2024. As of June 30, 2023, the company had 28,576,306 shares outstanding (excluding treasury shares) and 1,589,112 shares in treasury. New Risk • Sep 05
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 7.6% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (7.8% average weekly change). Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Shareholders have been diluted in the past year (7.6% increase in shares outstanding). Announcement • Aug 27
Hokuetsu Industries Co., Ltd. to Report Q2, 2024 Results on Nov 06, 2023 Hokuetsu Industries Co., Ltd. announced that they will report Q2, 2024 results on Nov 06, 2023 Announcement • Aug 10
Hokuetsu Industries Co., Ltd. Updates Consolidated Earnings Guidance for the Six Months Ending September 30, 2023 and Fiscal Year Ending March 31, 2024 Hokuetsu Industries Co., Ltd. updated consolidated earnings guidance for the six months ending September 30, 2023 and fiscal year ending March 31, 2024. For the six months, the company expects net sales of ¥25,500 million, operating profit of ¥3,630 million, profit attributable to owners of parent of ¥2,590 million and basic earnings per share of ¥91.82.For the year, the company expects et sales of ¥49,600 million, operating profit of ¥6,550 million, profit attributable to owners of parent of ¥4,535 million and basic earnings per share of ¥160.77. Valuation Update With 7 Day Price Move • Aug 04
Investor sentiment improves as stock rises 25% After last week's 25% share price gain to JP¥1,891, the stock trades at a forward P/E ratio of 17x. Average forward P/E is 12x in the Machinery industry in Japan. Total returns to shareholders of 103% over the past three years. New Risk • Aug 01
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Japanese stocks, typically moving 8.1% a week. This is considered a major risk. Share price volatility 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. It may also indicate 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. This is currently the only risk that has been identified for the company. Reported Earnings • Jul 29
First quarter 2024 earnings released: EPS: JP¥53.38 (vs JP¥33.33 in 1Q 2023) First quarter 2024 results: EPS: JP¥53.38 (up from JP¥33.33 in 1Q 2023). Revenue: JP¥11.8b (up 12% from 1Q 2023). Net income: JP¥1.50b (up 59% from 1Q 2023). Profit margin: 13% (up from 9.0% in 1Q 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 1.5% 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 23% per year but the company’s share price has only increased by 12% per year, which means it is significantly lagging earnings growth. Announcement • May 23
Hokuetsu Industries Co., Ltd. to Report Q1, 2024 Results on Jul 28, 2023 Hokuetsu Industries Co., Ltd. announced that they will report Q1, 2024 results on Jul 28, 2023 Reported Earnings • May 12
Full year 2023 earnings released: EPS: JP¥132 (vs JP¥95.74 in FY 2022) Full year 2023 results: EPS: JP¥132 (up from JP¥95.74 in FY 2022). Revenue: JP¥49.0b (up 34% from FY 2022). Net income: JP¥3.75b (up 37% from FY 2022). Profit margin: 7.7% (up from 7.5% in FY 2022). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 13% per year whereas the company’s share price has increased by 10% per year. Announcement • May 10
Hokuetsu Industries Co., Ltd., Annual General Meeting, Jun 28, 2023 Hokuetsu Industries Co., Ltd., Annual General Meeting, Jun 28, 2023. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥20.00 per share at 2.6% yield Eligible shareholders must have bought the stock before 30 March 2023. Payment date: 29 June 2023. Payout ratio is a comfortable 27% and this is well supported by cash flows. Trailing yield: 2.6%. Lower than top quartile of Japanese dividend payers (3.6%). In line with average of industry peers (2.5%). Reported Earnings • Feb 01
Third quarter 2023 earnings released: EPS: JP¥25.76 (vs JP¥23.19 in 3Q 2022) Third quarter 2023 results: EPS: JP¥25.76 (up from JP¥23.19 in 3Q 2022). Revenue: JP¥13.7b (up 40% from 3Q 2022). Net income: JP¥729.0m (up 9.5% from 3Q 2022). Profit margin: 5.3% (down from 6.8% in 3Q 2022). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 4% per year whereas the company’s share price has increased by 2% per year. Announcement • Dec 15
Hokuetsu Industries Co., Ltd. to Report Q3, 2023 Results on Jan 31, 2023 Hokuetsu Industries Co., Ltd. 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 3 independent directors on the board. The company's board is composed of: 3 independent directors. 4 non-independent directors. Independent Outside Director Yoshikane Saito 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 09
Second quarter 2023 earnings released: EPS: JP¥42.37 (vs JP¥27.14 in 2Q 2022) Second quarter 2023 results: EPS: JP¥42.37 (up from JP¥27.14 in 2Q 2022). Revenue: JP¥11.9b (up 29% from 2Q 2022). Net income: JP¥1.20b (up 54% from 2Q 2022). Profit margin: 10% (up from 8.5% in 2Q 2022). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 5% per year whereas the company’s share price has fallen by 4% per year. Upcoming Dividend • Sep 22
Upcoming dividend of JP¥10.00 per share Eligible shareholders must have bought the stock before 29 September 2022. Payment date: 02 December 2022. Payout ratio is a comfortable 26% and this is well supported by cash flows. Trailing yield: 3.1%. Lower than top quartile of Japanese dividend payers (3.7%). Higher than average of industry peers (2.4%). Announcement • Sep 03
Hokuetsu Industries Co., Ltd. to Report Q2, 2023 Results on Nov 07, 2022 Hokuetsu Industries Co., Ltd. announced that they will report Q2, 2023 results on Nov 07, 2022 Reported Earnings • Jul 31
First quarter 2023 earnings released: EPS: JP¥33.33 (vs JP¥15.73 in 1Q 2022) First quarter 2023 results: EPS: JP¥33.33 (up from JP¥15.73 in 1Q 2022). Revenue: JP¥10.5b (up 37% from 1Q 2022). Net income: JP¥946.0m (up 109% from 1Q 2022). Profit margin: 9.0% (up from 5.9% in 1Q 2022). The increase in margin was driven by higher revenue. 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 8% per year. Announcement • Jun 05
Hokuetsu Industries Co., Ltd. to Report Q1, 2023 Results on Jul 29, 2022 Hokuetsu Industries Co., Ltd. announced that they will report Q1, 2023 results on Jul 29, 2022 Announcement • May 24
Hokuetsu Industries Co., Ltd. Provides Consolidated Earnings Guidance for the Six Months Ending September 30, 2022 and Year Ending March 31, 2023 Hokuetsu Industries Co., Ltd. provided consolidated earnings guidance for the Six months ending September 30, 2022 and year ending March 31, 2023. For the Six months, the company expects Net sales of JPY 19,500 million, Operating profit of JPY 1,620 million, Profit attributable to owners of parent of JPY 1,190 million and Earnings per share of JPY 41.93.For the year, the company expects Net sales of JPY 40,000 million, Operating profit of JPY 3,820 million, Profit attributable to owners of parent of JPY 2,760 million and Earnings per share of JPY 97.25. Reported Earnings • May 11
Full year 2022 earnings released: EPS: JP¥95.74 (vs JP¥67.18 in FY 2021) Full year 2022 results: EPS: JP¥95.74 (up from JP¥67.18 in FY 2021). Revenue: JP¥36.7b (up 11% from FY 2021). Net income: JP¥2.75b (up 41% from FY 2021). Profit margin: 7.5% (up from 5.9% in FY 2021). The increase in margin was driven by higher revenue. 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 12% per year, which means it has not declined as severely as earnings. Announcement • May 10
Hokuetsu Industries Co., Ltd., Annual General Meeting, Jun 28, 2022 Hokuetsu Industries Co., Ltd., Annual General Meeting, Jun 28, 2022. Board Change • Apr 27
Less than half of directors are independent There is 1 new director who has joined the board in the last 3 years. The new board member was an independent director. The company's board is composed of: 1 new director. 5 experienced directors. 1 highly experienced director. 3 independent directors (4 non-independent directors). Independent Outside Director Yoshikane Saito 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. Insufficient board refreshment. Announcement • Apr 08
Hokuetsu Industries Co., Ltd. to Report Fiscal Year 2022 Results on May 10, 2022 Hokuetsu Industries Co., Ltd. announced that they will report fiscal year 2022 results on May 10, 2022 