Announcement • Jun 03
KITZ Corporation to Report Q2, 2026 Results on Aug 07, 2026 KITZ Corporation announced that they will report Q2, 2026 results on Aug 07, 2026 New Risk • Jun 02
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 7.0% 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 Dividend is not well covered by cash flows (175% cash payout ratio). Share price has been volatile over the past 3 months (7.0% average weekly change). Buy Or Sell Opportunity • May 14
Now 24% undervalued The stock has been flat over the last 90 days, currently trading at JP¥2,141. The fair value is estimated to be JP¥2,800, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 3.3% over the last 3 years. Earnings per share has grown by 8.5%. Revenue is forecast to grow by 14% in 2 years. Earnings are forecast to grow by 21% in the next 2 years. Board Change • Apr 18
High number of new directors There are 6 new directors who have joined the board in the last 3 years. Independent Outside Director Yumiko Hosoi was the last director to join the board, commencing their role in 2026. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Valuation Update With 7 Day Price Move • Apr 14
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to JP¥2,277, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 16x in the Machinery industry in Japan. Total returns to shareholders of 185% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥2,977 per share. Declared Dividend • Apr 11
Final dividend of JP¥29.00 announced Shareholders will receive a dividend of JP¥29.00. Ex-date: 29th June 2026 Payment date: 18th September 2026 Dividend yield will be 3.0%, which is higher than the industry average of 2.1%. Sustainability & Growth Dividend is covered by earnings (40% earnings payout ratio) but not covered by cash flows (219% 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 35% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • Apr 06
KITZ Corporation to Report Q1, 2026 Results on May 13, 2026 KITZ Corporation announced that they will report Q1, 2026 results at 9:00 AM, Tokyo Standard Time on May 13, 2026 Announcement • Mar 27
KITZ Corporation (TSE:6498) signed a share transfer agreement to acquire V TEX Corporation from Kanadevia Corporation (TSE:7004) for ¥9.2 billion. KITZ Corporation (TSE:6498) signed a share transfer agreement to acquire V TEX Corporation from Kanadevia Corporation (TSE:7004) for ¥9.2 billion on March 26, 2026. As part of the acquisition, KITZ Corporation will acquire all shares in V TEX Corporation. The consideration will be paid in cash. As a result of the Share Transfer, V TEX Corporation and its wholly owned subsidiaries, V TEX Korea Co., Ltd., VTEX America Inc., and V TEX Shanghai Co.,Ltd. will be excluded from the Kanadevia’s consolidated subsidiaries and affiliated companies and will operate as a wholly owned subsidiary of KITZ Corporation.
For the period ending March 31, 2025, V TEX Corporation reported total revenue of ¥8.5 billion, operating income of ¥395 million and net income of ¥363 million. As of March 31, 2025, V TEX Corporation reported total assets of ¥9.82 billion and net assets of ¥3.27 billion.
The transaction is expected to close on June 1, 2026. Reported Earnings • Feb 14
Full year 2025 earnings: EPS and revenues miss analyst expectations Full year 2025 results: EPS: JP¥132 (down from JP¥133 in FY 2024). Revenue: JP¥176.7b (up 2.7% from FY 2024). Net income: JP¥11.5b (down 3.0% from FY 2024). Profit margin: 6.5% (down from 6.9% in FY 2024). The decrease in margin was driven by higher expenses. Revenue missed analyst estimates by 1.5%. Earnings per share (EPS) also missed analyst estimates by 3.6%. Revenue is forecast to grow 5.8% p.a. on average during the next 2 years, compared to a 5.1% 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 35% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Dec 27
KITZ Corporation to Report Fiscal Year 2025 Results on Feb 12, 2026 KITZ Corporation announced that they will report fiscal year 2025 results on Feb 12, 2026 Upcoming Dividend • Dec 22
Upcoming dividend of JP¥27.00 per share Eligible shareholders must have bought the stock before 29 December 2025. Payment date: 12 March 2026. Payout ratio is a comfortable 36% 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 (1.9%). Reported Earnings • Nov 14
Third quarter 2025 earnings released: EPS: JP¥32.44 (vs JP¥40.09 in 3Q 2024) Third quarter 2025 results: EPS: JP¥32.44 (down from JP¥40.09 in 3Q 2024). Revenue: JP¥44.4b (up 2.2% from 3Q 2024). Net income: JP¥2.82b (down 22% from 3Q 2024). Profit margin: 6.3% (down from 8.3% in 3Q 2024). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 5.6% p.a. on average during the next 3 years, compared to a 5.0% 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 26% per year, which means it is tracking significantly ahead of earnings growth. Declared Dividend • Sep 19
First half dividend of JP¥27.00 announced Shareholders will receive a dividend of JP¥27.00. Ex-date: 29th December 2025 Payment date: 12th March 2026 Dividend yield will be 2.8%, which is higher than the industry average of 2.1%. Sustainability & Growth Dividend is covered by both earnings (34% earnings payout ratio) and cash flows (80% 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 28% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • Sep 01
KITZ Corporation to Report Q3, 2025 Results on Nov 12, 2025 KITZ Corporation announced that they will report Q3, 2025 results on Nov 12, 2025 Reported Earnings • Aug 09
Second quarter 2025 earnings released: EPS: JP¥35.40 (vs JP¥32.46 in 2Q 2024) Second quarter 2025 results: EPS: JP¥35.40 (up from JP¥32.46 in 2Q 2024). Revenue: JP¥44.6b (up 2.4% from 2Q 2024). Net income: JP¥3.08b (up 5.7% from 2Q 2024). Profit margin: 6.9% (up from 6.7% in 2Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 5.4% 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 16% per year whereas the company’s share price has increased by 21% per year. Announcement • Jun 07
KITZ Corporation to Report Q2, 2025 Results on Aug 08, 2025 KITZ Corporation announced that they will report Q2, 2025 results on Aug 08, 2025 Price Target Changed • May 31
Price target increased by 15% to JP¥1,500 Up from JP¥1,300, the current price target is provided by 1 analyst. New target price is 29% above last closing price of JP¥1,167. Stock is up 4.0% over the past year. The company is forecast to post earnings per share of JP¥130 for next year compared to JP¥133 last year. Reported Earnings • May 09
First quarter 2025 earnings released: EPS: JP¥33.25 (vs JP¥27.96 in 1Q 2024) First quarter 2025 results: EPS: JP¥33.25 (up from JP¥27.96 in 1Q 2024). Revenue: JP¥41.7b (up 3.8% from 1Q 2024). Net income: JP¥2.89b (up 15% from 1Q 2024). Profit margin: 6.9% (up from 6.2% in 1Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 4.7% p.a. on average during the next 3 years, compared to a 4.5% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has increased by 19% per year and the company’s share price has also increased by 19% per year. Declared Dividend • Apr 11
Final dividend of JP¥19.00 announced Dividend of JP¥19.00 is the same as last year. Ex-date: 27th June 2025 Payment date: 18th September 2025 Dividend yield will be 4.5%, 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 (47% 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 22% over the next 3 years, which should provide support to the dividend and adequate earnings cover. 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¥965, the stock trades at a forward P/E ratio of 7x. Average forward P/E is 11x in the Machinery industry in Japan. Total returns to shareholders of 67% over the past three years. Announcement • Mar 29
KITZ Corporation to Report Q1, 2025 Results on May 08, 2025 KITZ Corporation announced that they will report Q1, 2025 results on May 08, 2025 Reported Earnings • Feb 15
Full year 2024 earnings: EPS and revenues exceed analyst expectations Full year 2024 results: EPS: JP¥133 (up from JP¥118 in FY 2023). Revenue: JP¥172.0b (up 3.1% from FY 2023). Net income: JP¥11.8b (up 12% from FY 2023). Profit margin: 6.9% (up from 6.3% in FY 2023). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 1.0%. Earnings per share (EPS) also surpassed analyst estimates by 9.3%. Revenue is forecast to grow 4.3% 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 22% per year whereas the company’s share price has increased by 21% per year. Upcoming Dividend • Dec 20
Upcoming dividend of JP¥22.00 per share Eligible shareholders must have bought the stock before 27 December 2024. Payment date: 11 March 2025. Payout ratio is a comfortable 34% and this is well supported by cash flows. Trailing yield: 3.8%. Within top quartile of Japanese dividend payers (3.8%). Higher than average of industry peers (2.3%). Announcement • Dec 03
KITZ Corporation to Report Fiscal Year 2024 Results on Feb 13, 2025 KITZ Corporation announced that they will report fiscal year 2024 results on Feb 13, 2025 Reported Earnings • Nov 09
Third quarter 2024 earnings released: EPS: JP¥40.09 (vs JP¥33.91 in 3Q 2023) Third quarter 2024 results: EPS: JP¥40.09 (up from JP¥33.91 in 3Q 2023). Revenue: JP¥43.5b (up 3.4% from 3Q 2023). Net income: JP¥3.59b (up 18% from 3Q 2023). Profit margin: 8.3% (up from 7.2% in 3Q 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 6.1% 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 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 • Sep 18
KITZ Corporation to Report Q3, 2024 Results on Nov 08, 2024 KITZ Corporation announced that they will report Q3, 2024 results on Nov 08, 2024 Announcement • Aug 26
KITZ Corporation (TSE:6498) announces an Equity Buyback for 3,300,000 shares, representing 3.67% for ¥3,000 million. KITZ Corporation (TSE:6498) announces a share repurchase program. Under the program, the company will repurchase up to 3,300,000 shares, representing 3.67% of its issued share capital (excluding treasury stock), for a total purchase price of ¥3,000 million. The company will repurchase its shares in order to mitigate the impact of the Offering on the supply and demand of its shares, improve capital efficiency, and enable the implementation of a flexible capital policy in response to changes in the business environment. The program will expire on December 31, 2024. As of June 30, 2024, the company had 89,807,052 issued shares (excluding treasury stock) and 589,459 treasury shares. Declared Dividend • Aug 05
First half dividend of JP¥22.00 announced Shareholders will receive a dividend of JP¥22.00. Ex-date: 27th December 2024 Payment date: 11th March 2025 Dividend yield will be 4.0%, which is higher than the industry average of 2.1%. Sustainability & Growth Dividend is covered by both earnings (20% earnings payout ratio) and cash flows (66% 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 23% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Aug 04
Second quarter 2024 earnings released: EPS: JP¥32.46 (vs JP¥23.51 in 2Q 2023) Second quarter 2024 results: EPS: JP¥32.46 (up from JP¥23.51 in 2Q 2023). Revenue: JP¥43.6b (up 3.7% from 2Q 2023). Net income: JP¥2.91b (up 38% from 2Q 2023). Profit margin: 6.7% (up from 5.0% in 2Q 2023). The increase in margin was driven by higher revenue. 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. Reported Earnings • May 16
First quarter 2024 earnings released: EPS: JP¥27.96 (vs JP¥37.65 in 1Q 2023) First quarter 2024 results: EPS: JP¥27.96 (down from JP¥37.65 in 1Q 2023). Revenue: JP¥40.2b (up 2.5% from 1Q 2023). Net income: JP¥2.51b (down 26% from 1Q 2023). Profit margin: 6.2% (down from 8.6% in 1Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 5.3% p.a. on average during the next 3 years, compared to a 4.7% growth forecast for the Machinery industry in Japan. Declared Dividend • Apr 11
Final dividend of JP¥19.00 announced Shareholders will receive a dividend of JP¥19.00. Ex-date: 27th June 2024 Payment date: 19th September 2024 Dividend yield will be 3.0%, which is higher than the industry average of 2.1%. Sustainability & Growth Dividend is well covered by both earnings (30% earnings payout ratio) and cash flows (48% 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 18% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • Mar 28
KITZ Corporation to Report Q1, 2024 Results on May 13, 2024 KITZ Corporation announced that they will report Q1, 2024 results on May 13, 2024 Announcement • Feb 27
KITZ Corporation Announces Cash Dividend for the Fiscal Year Ended December 31, 2023, Payable on March 11, 2024 KITZ Corporation announced at the Board of Directors meeting held on February 27, 2024, resolved to distribute dividends of surplus with record date of December 31, 2023, as JPY 23.00 per share for the fiscal year ended December 31, 2023 against JPY 18.00 per share paid a year ago. Total cash dividend is JPY 2,072 million against JPY 1,622 million paid a year ago. Payable date is March 11, 2024. Dividend source is Retained earnings. Reported Earnings • Feb 14
Full year 2023 earnings: EPS exceeds analyst expectations Full year 2023 results: EPS: JP¥118 (up from JP¥95.35 in FY 2022). Revenue: JP¥166.9b (up 4.4% from FY 2022). Net income: JP¥10.6b (up 24% from FY 2022). Profit margin: 6.3% (up from 5.3% in FY 2022). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 1.4%. Revenue is forecast to grow 5.0% p.a. on average during the next 2 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 34% per year but the company’s share price has only increased by 26% per year, which means it is significantly lagging earnings growth. Announcement • Feb 13
KITZ Corporation Revises Dividend Guidance for the Fiscal Year Ended December 31, 2023 KITZ Corporation revised dividend guidance for the fiscal year ended December 31, 2023. For the period, the company now expected the dividend of JPY 23 per share as previously forecast of JPY 19 per share. Announcement • Dec 29
KITZ Corporation to Report Fiscal Year 2023 Results on Feb 13, 2024 KITZ Corporation announced that they will report fiscal year 2023 results on Feb 13, 2024 Upcoming Dividend • Dec 21
Upcoming dividend of JP¥19.00 per share at 3.3% yield Eligible shareholders must have bought the stock before 28 December 2023. Payment date: 13 March 2024. Payout ratio is a comfortable 30% and the cash payout ratio is 75%. Trailing yield: 3.3%. Lower than top quartile of Japanese dividend payers (3.5%). Higher than average of industry peers (2.2%). Reported Earnings • Nov 09
Third quarter 2023 earnings released: EPS: JP¥33.91 (vs JP¥26.10 in 3Q 2022) Third quarter 2023 results: EPS: JP¥33.91 (up from JP¥26.10 in 3Q 2022). Revenue: JP¥42.1b (up 1.8% from 3Q 2022). Net income: JP¥3.04b (up 30% from 3Q 2022). Profit margin: 7.2% (up from 5.7% in 3Q 2022). Revenue is forecast to grow 5.8% 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 33% per year but the company’s share price has only increased by 22% per year, which means it is significantly lagging earnings growth. Announcement • Nov 08
KITZ Corporation, Annual General Meeting, Mar 28, 2024 KITZ Corporation, Annual General Meeting, Mar 28, 2024. Agenda: To consider transition the structure of the corporate organization from a "Company with Audit & Supervisory Board" to a "Company with a Nominating Committee, etc". Announcement • Sep 23
KITZ Corporation to Report Q3, 2023 Results on Nov 08, 2023 KITZ Corporation announced that they will report Q3, 2023 results on Nov 08, 2023 Reported Earnings • Aug 08
Second quarter 2023 earnings released: EPS: JP¥23.51 (vs JP¥25.45 in 2Q 2022) Second quarter 2023 results: EPS: JP¥23.51 (down from JP¥25.45 in 2Q 2022). Revenue: JP¥42.0b (up 4.6% from 2Q 2022). Net income: JP¥2.11b (down 7.5% from 2Q 2022). Profit margin: 5.0% (down from 5.7% in 2Q 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 5.5% 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 30% per year but the company’s share price has only increased by 12% per year, which means it is significantly lagging earnings growth. Board Change • Jul 01
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 8 experienced directors. 4 highly experienced directors. Independent Outside Director Yukino Kikuma was the last director to join the board, commencing their role in 2020. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. Announcement • Jun 26
KITZ Corporation to Report Q2, 2023 Results on Aug 07, 2023 KITZ Corporation announced that they will report Q2, 2023 results on Aug 07, 2023 Upcoming Dividend • Jun 22
Upcoming dividend of JP¥18.00 per share at 3.0% yield Eligible shareholders must have bought the stock before 29 June 2023. Payment date: 19 September 2023. Payout ratio is a comfortable 29% and this is well supported by cash flows. Trailing yield: 3.0%. Lower than top quartile of Japanese dividend payers (3.5%). Higher than average of industry peers (2.1%). Major Estimate Revision • Jun 21
Consensus revenue estimates increase by 13% The consensus outlook for revenues in fiscal year 2023 has improved. 2023 revenue forecast increased from JP¥150.0b to JP¥170.0b. EPS estimate increased from JP¥74.69 to JP¥111 per share. Net income forecast to grow 0.6% next year vs 3.2% growth forecast for Machinery industry in Japan. Consensus price target up from JP¥900 to JP¥1,200. Share price was steady at JP¥1,089 over the past week. Reported Earnings • May 18
First quarter 2023 earnings released: EPS: JP¥37.65 (vs JP¥20.82 in 1Q 2022) First quarter 2023 results: EPS: JP¥37.65 (up from JP¥20.82 in 1Q 2022). Revenue: JP¥39.2b (up 6.8% from 1Q 2022). Net income: JP¥3.38b (up 81% from 1Q 2022). Profit margin: 8.6% (up from 5.1% in 1Q 2022). The increase in margin was driven by higher revenue. Revenue is forecast to stay flat during the next 2 years compared to a 4.0% 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 only increased by 11% per year, which means it is significantly lagging earnings growth. Reported Earnings • Apr 01
Full year 2022 earnings: EPS and revenues exceed analyst expectations Full year 2022 results: EPS: JP¥95.35 (up from JP¥55.26 in FY 2021). Revenue: JP¥159.9b (up 18% from FY 2021). Net income: JP¥8.55b (up 73% from FY 2021). Profit margin: 5.3% (up from 3.6% in FY 2021). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 2.0%. Earnings per share (EPS) also surpassed analyst estimates by 5.6%. Revenue is forecast to stay flat during the next 2 years compared to a 4.5% growth forecast for the Machinery industry in Japan. Over the last 3 years on average, earnings per share has increased by 21% per year whereas the company’s share price has increased by 17% per year. Reported Earnings • Feb 14
Full year 2022 earnings: EPS and revenues exceed analyst expectations Full year 2022 results: EPS: JP¥95.35 (up from JP¥55.26 in FY 2021). Revenue: JP¥159.9b (up 18% from FY 2021). Net income: JP¥8.55b (up 73% from FY 2021). Profit margin: 5.3% (up from 3.6% in FY 2021). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 2.0%. Earnings per share (EPS) also surpassed analyst estimates by 5.6%. Revenue is expected to decline by 1.5% p.a. on average during the next 3 years, while revenues in the Machinery industry in Japan are expected to grow by 4.4%. Over the last 3 years on average, earnings per share has increased by 21% per year but the company’s share price has only increased by 7% per year, which means it is significantly lagging earnings growth. Announcement • Feb 13
KITZ Corporation Announces Revised Year-End Dividend Forecast KITZ Corporation announced revise the year-end dividend forecast (dividend increase) with a record date of December 31, 2022, as follows JPY 18.00 per share. Announcement • Dec 28
KITZ Corporation to Report Fiscal Year 2022 Results on Feb 13, 2023 KITZ Corporation announced that they will report fiscal year 2022 results on Feb 13, 2023 Upcoming Dividend • Dec 22
Upcoming dividend of JP¥16.00 per share Eligible shareholders must have bought the stock before 29 December 2022. Payment date: 13 March 2022. Payout ratio is a comfortable 31% and the cash payout ratio is 99%. Trailing yield: 3.5%. Lower than top quartile of Japanese dividend payers (3.8%). Higher than average of industry peers (2.6%). Reported Earnings • Nov 16
Third quarter 2022 earnings released: EPS: JP¥26.10 (vs JP¥12.57 in 3Q 2021) Third quarter 2022 results: EPS: JP¥26.10 (up from JP¥12.57 in 3Q 2021). Revenue: JP¥41.3b (up 8.9% from 3Q 2021). Net income: JP¥2.34b (up 108% from 3Q 2021). Profit margin: 5.7% (up from 3.0% in 3Q 2021). The increase in margin was driven by higher revenue. Revenue is forecast to grow 2.2% 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 19% per year but the company’s share price has only increased by 3% per year, which means it is significantly lagging earnings growth. Reported Earnings • Nov 11
Third quarter 2022 earnings released: EPS: JP¥26.10 (vs JP¥12.57 in 3Q 2021) Third quarter 2022 results: EPS: JP¥26.10 (up from JP¥12.57 in 3Q 2021). Revenue: JP¥41.3b (up 8.9% from 3Q 2021). Net income: JP¥2.34b (up 108% from 3Q 2021). Profit margin: 5.7% (up from 3.0% in 3Q 2021). The increase in margin was driven by higher revenue. Revenue is forecast to grow 2.2% 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 19% per year but the company’s share price has only increased by 3% per year, which means it is significantly lagging earnings growth. Buying Opportunity • Sep 13
Now 20% undervalued Over the last 90 days, the stock is up 20%. The fair value is estimated to be JP¥1,019, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 4.0% over the last 3 years. Earnings per share has grown by 14%. Buying Opportunity • Aug 29
Now 21% undervalued Over the last 90 days, the stock is up 19%. The fair value is estimated to be JP¥1,018, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 4.0% over the last 3 years. Earnings per share has grown by 14%. Reported Earnings • Aug 05
Second quarter 2022 earnings released Second quarter 2022 results: EPS: JP¥25.45. Revenue: JP¥40.2b (flat on 2Q 2021). Net income: JP¥2.28b (up JP¥2.28b from 2Q 2021). Profit margin: 5.7% (up from null in 2Q 2021). Over the last 3 years on average, earnings per share has increased by 14% per year but the company’s share price has only increased by 6% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Jun 22
Upcoming dividend of JP¥11.00 per share Eligible shareholders must have bought the stock before 29 June 2022. Payment date: 20 September 2022. Payout ratio is a comfortable 30% but the company is paying out more than the cash it is generating. Trailing yield: 4.2%. Within top quartile of Japanese dividend payers (3.8%). Higher than average of industry peers (2.4%). Reported Earnings • May 11
First quarter 2022 earnings released First quarter 2022 results: EPS: JP¥20.82. Revenue: JP¥36.8b (flat on 1Q 2021). Net income: JP¥1.87b (up JP¥1.87b from 1Q 2021). Profit margin: 5.1% (up from null in 1Q 2021). Over the next year, revenue is expected to shrink by 10% compared to a 8.0% growth forecast for the industry in Japan. Over the last 3 years on average, earnings per share has increased by 5% per year but the company’s share price has fallen by 4% per year, which means it is significantly lagging earnings. Announcement • Feb 12
KITZ Corporation, Annual General Meeting, Mar 29, 2022 KITZ Corporation, Annual General Meeting, Mar 29, 2022. Reported Earnings • Feb 12
Full year 2021 earnings: Revenues and EPS in line with analyst expectations Full year 2021 results: EPS: JP¥55.26 (up from JP¥39.10 in FY 2020). Revenue: JP¥135.8b (up 16% from FY 2020). Net income: JP¥4.95b (up 39% from FY 2020). Profit margin: 3.6% (up from 3.0% in FY 2020). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Over the next year, revenue is expected to shrink by 6.2% 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 4% per year whereas the company’s share price has fallen by 8% per year. Announcement • Feb 11
KITZ Corporation (TSE:6498) announces an Equity Buyback for 70,000 shares, representing 0.08% for ¥45 million. KITZ Corporation (TSE:6498) announces a share repurchase program. Under the program, the company will repurchase 70,000 shares, representing 0.08% of its share capital, for ¥45 million. The company will repurchase its shares for appropriating treasury stock to be delivered to directors (excluding outside directors) and executive officers of the company. The program will run until March 31, 2022. As of December 31, 2021, the company had 89,642,535 shares outstanding (excluding treasury shares) and 753,976 shares in treasury. Upcoming Dividend • Dec 22
Upcoming dividend of JP¥9.00 per share Eligible shareholders must have bought the stock before 29 December 2021. Payment date: 12 March 2022. Payout ratio is a comfortable 49% 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 (1.8%). Price Target Changed • Aug 07
Price target increased to JP¥736 Up from JP¥619, the current price target is an average from 2 analysts. New target price is 7.9% below last closing price of JP¥799. Stock is up 18% over the past year. Major Estimate Revision • Aug 07
Consensus forecasts updated The consensus outlook for 2021 has been updated. 2021 revenue forecast increased from JP¥115.5b to JP¥130.5b. EPS estimate unchanged from JP¥36.81 at last update. Machinery industry in Japan expected to see average net income growth of 29% next year. Consensus price target up from JP¥619 to JP¥736. Share price was steady at JP¥799 over the past week. Major Estimate Revision • Mar 09
Analysts increase revenue estimates to JP¥115.5b The 2021 consensus revenue estimate increased from JP¥91.5b. Earning per share (EPS) estimate also increased from JP¥23.40 to JP¥36.81 for the same period. Net income is expected to shrink by 7.2% next year compared to 22% growth forecast for the Machinery industry in Japan . The consensus price target was lowered from JP¥644 to JP¥619. Share price is up 2.4% to JP¥601 over the past week. Reported Earnings • Feb 14
Third quarter 2021 earnings released: EPS JP¥4.88 (vs JP¥15.77 in 3Q 2020) The company reported a poor third quarter result with weaker earnings, revenues and profit margins. Third quarter 2021 results: Revenue: JP¥28.4b (down 11% from 3Q 2020). Net income: JP¥437.0m (down 70% from 3Q 2020). Profit margin: 1.5% (down from 4.6% in 3Q 2020). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 16% per year but the company’s share price has only fallen by 10% per year, which means it has not declined as severely as earnings. Announcement • Feb 12
KITZ Corporation, Annual General Meeting, Mar 30, 2021 KITZ Corporation, Annual General Meeting, Mar 30, 2021. Announcement • Jan 23
KITZ Corporation to Report Fiscal Year 2020 Results on Feb 12, 2021 KITZ Corporation announced that they will report fiscal year 2020 results on Feb 12, 2021 Is New 90 Day High Low • Jan 08
New 90-day high: JP¥665 The company is up 15% from its price of JP¥578 on 09 October 2020. The Japanese market is up 10.0% over the last 90 days, indicating the company outperformed over that time. However, it underperformed 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¥984 per share. Upcoming Dividend • Dec 22
Upcoming Dividend of JP¥3.00 Per Share Will be paid on the 11th of June to those who are registered shareholders by the 29th of December. The trailing yield of 1.6% is below the top quartile of Japanese dividend payers (3.0%), but it is higher than industry peers (1.2%). Is New 90 Day High Low • Dec 09
New 90-day high: JP¥641 The company is up 4.0% from its price of JP¥616 on 10 September 2020. The Japanese market is up 9.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Machinery industry, which is up 15% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is JP¥832 per share.