Buy Or Sell Opportunity • May 22
Now 22% overvalued after recent price rise Over the last 90 days, the stock has risen 15% to JP¥5,250. The fair value is estimated to be JP¥4,310, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 7.2% over the last 3 years. Earnings per share has grown by 16%. For the next 3 years, revenue is forecast to grow by 6.4% per annum. Earnings are also forecast to grow by 2.0% per annum over the same time period. Reported Earnings • May 18
First quarter 2026 earnings released: EPS: JP¥306 (vs JP¥238 in 1Q 2025) First quarter 2026 results: EPS: JP¥306 (up from JP¥238 in 1Q 2025). Revenue: JP¥10.6b (up 20% from 1Q 2025). Net income: JP¥2.91b (up 29% from 1Q 2025). Profit margin: 27% (up from 26% in 1Q 2025). The increase in margin was driven by higher revenue. Revenue is forecast to grow 6.4% p.a. on average during the next 3 years, compared to a 4.3% growth forecast for the Commercial Services industry in Japan. Over the last 3 years on average, earnings per share has increased by 16% per year but the company’s share price has increased by 27% per year, which means it is tracking significantly ahead of earnings growth. Declared Dividend • Apr 11
Final dividend of JP¥55.00 announced Shareholders will receive a dividend of JP¥55.00. Ex-date: 29th June 2026 Payment date: 11th September 2026 Dividend yield will be 2.3%, which is higher than the industry average of 1.8%. Sustainability & Growth Dividend is covered by both earnings (46% earnings payout ratio) and cash flows (74% cash payout ratio). The dividend has increased by an average of 9.6% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 20% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Apr 04
Full year 2025 earnings: EPS and revenues miss analyst expectations Full year 2025 results: EPS: JP¥229 (up from JP¥222 in FY 2024). Revenue: JP¥24.9b (up 10.0% from FY 2024). Net income: JP¥2.18b (up 3.2% from FY 2024). Profit margin: 8.8% (down from 9.4% in FY 2024). 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 7.2%. Revenue is forecast to grow 7.2% p.a. on average during the next 3 years, compared to a 4.1% growth forecast for the Commercial Services industry in Japan. Over the last 3 years on average, earnings per share has increased by 15% per year but the company’s share price has increased by 29% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Feb 16
Full year 2025 earnings: EPS and revenues miss analyst expectations Full year 2025 results: EPS: JP¥229 (up from JP¥222 in FY 2024). Revenue: JP¥24.9b (up 10.0% from FY 2024). Net income: JP¥2.18b (up 3.2% from FY 2024). Profit margin: 8.8% (down from 9.4% in FY 2024). 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 7.2%. Revenue is forecast to grow 8.1% p.a. on average during the next 2 years, compared to a 3.8% growth forecast for the Commercial Services industry in Japan. Over the last 3 years on average, earnings per share has increased by 15% 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 • Feb 13
NJS Co., Ltd., Annual General Meeting, Mar 27, 2026 NJS Co., Ltd., Annual General Meeting, Mar 27, 2026. Upcoming Dividend • Dec 22
Upcoming dividend of JP¥55.00 per share Eligible shareholders must have bought the stock before 29 December 2025. Payment date: 26 March 2026. Payout ratio is a comfortable 44% and this is well supported by cash flows. Trailing yield: 2.0%. Lower than top quartile of Japanese dividend payers (3.6%). In line with average of industry peers (2.0%). Reported Earnings • Nov 12
Third quarter 2025 earnings released: JP¥82.94 loss per share (vs JP¥43.85 loss in 3Q 2024) Third quarter 2025 results: JP¥82.94 loss per share (further deteriorated from JP¥43.85 loss in 3Q 2024). Revenue: JP¥4.12b (up 7.9% from 3Q 2024). Net loss: JP¥790.0m (loss widened 89% from 3Q 2024). Revenue is forecast to grow 8.7% p.a. on average during the next 3 years, compared to a 4.3% growth forecast for the Commercial Services industry in Japan. Over the last 3 years on average, earnings per share has increased by 14% per year but the company’s share price has increased by 36% per year, which means it is tracking significantly ahead of earnings growth. Declared Dividend • Sep 12
First half dividend of JP¥50.00 announced Shareholders will receive a dividend of JP¥50.00. Ex-date: 29th December 2025 Payment date: 26th March 2026 Dividend yield will be 1.7%, which is lower than the industry average of 1.8%. Sustainability & Growth Dividend is well covered by both earnings (38% earnings payout ratio) and cash flows (48% cash payout ratio). The dividend has increased by an average of 9.6% 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 • Sep 01
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to JP¥6,380, the stock trades at a forward P/E ratio of 26x. Average forward P/E is 15x in the Commercial Services industry in Japan. Total returns to shareholders of 256% over the past three years. Announcement • Aug 26
NJS Co., Ltd. Revises Consolidated Earnings Guidance for the Fiscal Year Ending December 31, 2025 NJS Co., Ltd. revised consolidated earnings guidance for the fiscal year ending December 31, 2025. For the year, the company now expects consolidated net sales to be JPY 25,500 million compared to previous guidance of JPY 25,000 million, consolidated operating profit to be JPY 3,600 million compared to previous guidance of JPY 3,050 million, profit attributable to owners of parent to be JPY 2,350 million compared to previous guidance of JPY 2,150 million, earnings per share to be JPY 246.90 compared to previous guidance of JPY 226.00. This revision is based on the steady progress of net sales for domestic consulting projects, which has led to an upward revision of net sales and a corresponding change in profit forecasts. Reported Earnings • Aug 13
Second quarter 2025 earnings released: EPS: JP¥44.38 (vs JP¥48.04 in 2Q 2024) Second quarter 2025 results: EPS: JP¥44.38 (down from JP¥48.04 in 2Q 2024). Revenue: JP¥5.44b (up 9.0% from 2Q 2024). Net income: JP¥422.5m (down 7.6% from 2Q 2024). Profit margin: 7.8% (down from 9.1% in 2Q 2024). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 8.2% p.a. on average during the next 3 years, compared to a 4.2% growth forecast for the Commercial Services 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 40% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Jun 02
Investor sentiment improves as stock rises 26% After last week's 26% share price gain to JP¥5,860, the stock trades at a forward P/E ratio of 25x. Average forward P/E is 14x in the Commercial Services industry in Japan. Total returns to shareholders of 217% over the past three years. Reported Earnings • May 18
First quarter 2025 earnings released: EPS: JP¥238 (vs JP¥191 in 1Q 2024) First quarter 2025 results: EPS: JP¥238 (up from JP¥191 in 1Q 2024). Revenue: JP¥8.85b (up 5.9% from 1Q 2024). Net income: JP¥2.26b (up 24% from 1Q 2024). Profit margin: 26% (up from 22% in 1Q 2024). Revenue is forecast to grow 4.6% p.a. on average during the next 2 years, compared to a 4.0% growth forecast for the Commercial Services industry in Japan. Over the last 3 years on average, earnings per share has increased by 11% per year but the company’s share price has increased by 28% per year, which means it is tracking significantly ahead of earnings growth. Declared Dividend • Apr 11
Final dividend of JP¥50.00 announced Shareholders will receive a dividend of JP¥50.00. Ex-date: 27th June 2025 Payment date: 11th September 2025 Dividend yield will be 2.5%, which is higher than the industry average of 1.8%. Sustainability & Growth Dividend is covered by both earnings (33% earnings payout ratio) and cash flows (68% cash payout ratio). The dividend has increased by an average of 9.6% per year over the past 10 years. However, payments have been volatile during that time. Earnings per share has grown by 4.9% over the last 5 years. Unless this trend reverses, it 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 19% After last week's 19% share price decline to JP¥3,525, the stock trades at a trailing P/E ratio of 15.9x. Average trailing P/E is 12x in the Commercial Services industry in Japan. Total returns to shareholders of 92% over the past three years. Announcement • Mar 26
NJS Co., Ltd. (TSE:2325) signed a letter of intent to acquire Cdc Aqua Service K.K. from CDC Information System Co., Ltd. NJS Co., Ltd. (TSE:2325) signed a letter of intent to acquire Cdc Aqua Service K.K. from CDC Information System Co., Ltd. on March 25, 2025.
For the period ending March 31, 2024, Cdc Aqua Service K.K. reported total revenue of ¥15.4 million, EBIT of ¥4.62 million and net income of ¥3.12 million. As of March 31, 2024, Cdc Aqua Service K.K. reported total assets of ¥72 million and total common equity of ¥22.26 million.
The expected completion of the transaction is April 1, 2025 to April 10, 2025. New Risk • Mar 06
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 7.6% 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. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (7.6% average weekly change). Minor Risk Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Reported Earnings • Feb 16
Full year 2024 earnings released: EPS: JP¥222 (vs JP¥209 in FY 2023) Full year 2024 results: EPS: JP¥222 (up from JP¥209 in FY 2023). Revenue: JP¥22.6b (up 2.6% from FY 2023). Net income: JP¥2.12b (up 5.9% from FY 2023). Profit margin: 9.4% (up from 9.1% in FY 2023). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 9% per year but the company’s share price has increased by 29% per year, which means it is tracking significantly ahead of earnings growth. New Risk • Jan 30
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 5.6% 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 (5.6% average weekly change). Large one-off items impacting financial results. Valuation Update With 7 Day Price Move • Jan 30
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to JP¥3,760, the stock trades at a trailing P/E ratio of 13.9x. Average trailing P/E is 13x in the Commercial Services industry in Japan. Total returns to shareholders of 110% over the past three years. Upcoming Dividend • Dec 20
Upcoming dividend of JP¥50.00 per share Eligible shareholders must have bought the stock before 27 December 2024. Payment date: 27 March 2025. Payout ratio is a comfortable 33% and this is well supported by cash flows. Trailing yield: 2.7%. Lower than top quartile of Japanese dividend payers (3.8%). Higher than average of industry peers (2.1%). Announcement • Dec 03
NJS Co., Ltd. to Report Q4, 2024 Results on Feb 14, 2025 NJS Co., Ltd. announced that they will report Q4, 2024 results on Feb 14, 2025 Reported Earnings • Nov 13
Third quarter 2024 earnings released: JP¥43.82 loss per share (vs JP¥36.89 loss in 3Q 2023) Third quarter 2024 results: JP¥43.82 loss per share (further deteriorated from JP¥36.89 loss in 3Q 2023). Revenue: JP¥3.82b (down 13% from 3Q 2023). Net loss: JP¥417.0m (loss widened 19% from 3Q 2023). 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 23% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Oct 07
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to JP¥3,975, the stock trades at a trailing P/E ratio of 14.4x. Average trailing P/E is 12x in the Commercial Services industry in Japan. Total returns to shareholders of 114% over the past three years. Announcement • Aug 30
NJS Co., Ltd. to Report Q3, 2024 Results on Nov 11, 2024 NJS Co., Ltd. announced that they will report Q3, 2024 results on Nov 11, 2024 Reported Earnings • Aug 17
Second quarter 2024 earnings released: EPS: JP¥120 (vs JP¥60.48 in 2Q 2023) Second quarter 2024 results: EPS: JP¥120 (up from JP¥60.48 in 2Q 2023). Revenue: JP¥6.68b (up 16% from 2Q 2023). Net income: JP¥1.14b (up 98% from 2Q 2023). Profit margin: 17% (up from 10.0% in 2Q 2023). Over the last 3 years on average, earnings per share has increased by 6% per year but the company’s share price has increased by 27% per year, which means it is tracking significantly ahead of earnings growth. Declared Dividend • Aug 15
Dividend increased to JP¥50.00 Dividend of JP¥50.00 is 11% higher than last year. Ex-date: 27th December 2024 Payment date: 27th March 2025 Dividend yield will be 2.5%, which is higher than the industry average of 1.8%. Sustainability & Growth Dividend is covered by both earnings (29% earnings payout ratio) and cash flows (82% cash payout ratio). The dividend has increased by an average of 8.4% per year over the past 10 years. However, payments have been volatile during that time. Earnings per share has grown by 5.1% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment deteriorates as stock falls 21% After last week's 21% share price decline to JP¥3,035, the stock trades at a trailing P/E ratio of 10.5x. Average trailing P/E is 12x in the Commercial Services industry in Japan. Total returns to shareholders of 75% over the past three years. New Risk • Jul 25
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 5.2% 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 (5.2% average weekly change). Large one-off items impacting financial results. Reported Earnings • May 16
First quarter 2024 earnings released: EPS: JP¥191 (vs JP¥112 in 1Q 2023) First quarter 2024 results: EPS: JP¥191 (up from JP¥112 in 1Q 2023). Revenue: JP¥8.35b (up 22% from 1Q 2023). Net income: JP¥1.83b (up 70% from 1Q 2023). Profit margin: 22% (up from 16% in 1Q 2023). Over the last 3 years on average, earnings per share has remained flat but the company’s share price has increased by 15% per year, which means it is well ahead of earnings. Declared Dividend • Apr 11
Final dividend of JP¥45.00 announced Shareholders will receive a dividend of JP¥45.00. Ex-date: 27th June 2024 Payment date: 12th September 2024 Dividend yield will be 2.9%, which is higher than the industry average of 1.8%. Sustainability & Growth Dividend is covered by both earnings (63% earnings payout ratio) and cash flows (82% cash payout ratio). The dividend has increased by an average of 8.4% per year over the past 10 years. However, payments have been volatile during that time. Earnings per share has grown by 1.1% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. Reported Earnings • Feb 19
Full year 2023 earnings released: EPS: JP¥209 (vs JP¥181 in FY 2022) Full year 2023 results: EPS: JP¥209 (up from JP¥181 in FY 2022). Revenue: JP¥22.0b (up 14% from FY 2022). Net income: JP¥2.00b (up 16% from FY 2022). Profit margin: 9.1% (up from 9.0% in FY 2022). Over the last 3 years on average, earnings per share has fallen by 6% per year but the company’s share price has increased by 13% per year, which means it is well ahead of earnings. Upcoming Dividend • Dec 21
Upcoming dividend of JP¥45.00 per share at 2.9% yield Eligible shareholders must have bought the stock before 28 December 2023. Payment date: 29 March 2024. Payout ratio is a comfortable 63% but the company is not cash flow positive. Trailing yield: 2.9%. Lower than top quartile of Japanese dividend payers (3.5%). Higher than average of industry peers (1.9%). Reported Earnings • Nov 13
Third quarter 2023 earnings released: JP¥36.89 loss per share (vs JP¥34.69 loss in 3Q 2022) Third quarter 2023 results: JP¥36.89 loss per share (further deteriorated from JP¥34.69 loss in 3Q 2022). Revenue: JP¥4.37b (up 33% from 3Q 2022). Net loss: JP¥352.0m (loss widened 6.3% from 3Q 2022). 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 12% per year, which means it is well ahead of earnings. New Risk • Aug 17
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 31% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. Currently, the following risks have been identified for the company: Major Risks Earnings have declined by 1.0% per year over the past 5 years. High level of non-cash earnings (31% accrual ratio). Minor Risks Paying a dividend despite having no free cash flows. Profit margins are more than 30% lower than last year (6.0% net profit margin). New Risk • Aug 12
New major risk - Revenue and earnings growth Earnings have declined by 1.0% per year over the past 5 years. 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 declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. 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 have declined by 1.0% per year over the past 5 years. Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Profit margins are more than 30% lower than last year (6.0% net profit margin). Reported Earnings • Aug 12
Second quarter 2023 earnings released: EPS: JP¥60.48 (vs JP¥106 in 2Q 2022) Second quarter 2023 results: EPS: JP¥60.48 (down from JP¥106 in 2Q 2022). Revenue: JP¥5.77b (up 20% from 2Q 2022). Net income: JP¥577.0m (down 43% from 2Q 2022). Profit margin: 10.0% (down from 21% in 2Q 2022). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has remained flat but the company’s share price has increased by 20% per year, which means it is well ahead of earnings. Upcoming Dividend • Jun 22
Upcoming dividend of JP¥40.00 per share at 2.9% yield Eligible shareholders must have bought the stock before 29 June 2023. Payment date: 13 September 2023. Payout ratio is a comfortable 43% and this is well supported by cash flows. Trailing yield: 2.9%. Lower than top quartile of Japanese dividend payers (3.5%). Higher than average of industry peers (2.0%). Reported Earnings • May 14
First quarter 2023 earnings released: EPS: JP¥112 (vs JP¥119 in 1Q 2022) First quarter 2023 results: EPS: JP¥112 (down from JP¥119 in 1Q 2022). Revenue: JP¥6.85b (up 7.1% from 1Q 2022). Net income: JP¥1.07b (down 5.3% from 1Q 2022). Profit margin: 16% (down from 18% in 1Q 2022). 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 10% per year. Reported Earnings • Feb 17
Full year 2022 earnings released: EPS: JP¥181 (vs JP¥202 in FY 2021) Full year 2022 results: EPS: JP¥181 (down from JP¥202 in FY 2021). Revenue: JP¥19.2b (flat on FY 2021). Net income: JP¥1.73b (down 11% from FY 2021). Profit margin: 9.0% (down from 10.0% in FY 2021). Over the last 3 years on average, earnings per share has increased by 10% per year whereas the company’s share price has increased by 8% per year. Upcoming Dividend • Dec 22
Upcoming dividend of JP¥35.00 per share Eligible shareholders must have bought the stock before 29 December 2022. Payment date: 28 March 2023. Payout ratio is a comfortable 31% and this is well supported by cash flows. Trailing yield: 3.5%. Lower than top quartile of Japanese dividend payers (3.8%). Higher than average of industry peers (2.4%). Announcement • Dec 06
NJS Co., Ltd. to Report Fiscal Year 2022 Results on Mar 28, 2023 NJS Co., Ltd. announced that they will report fiscal year 2022 results on Mar 28, 2023 Board Change • Nov 16
Less than half of directors are independent There are 8 new directors who have joined the board in the last 3 years. Of these new board members, 2 were independent directors. The company's board is composed of: 8 new directors. 2 experienced directors. 1 highly experienced director. 4 independent directors (5 non-independent directors). President, CEO & Representative Director Masaaki Murakami is the most experienced director on the board, commencing their role in 2014. Independent Outside Director Misao Konishi was the last independent director to join the board, commencing their role in 2022. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of board continuity. Lack of experienced directors. Reported Earnings • Nov 12
Third quarter 2022 earnings released: JP¥34.69 loss per share (vs JP¥19.20 loss in 3Q 2021) Third quarter 2022 results: JP¥34.69 loss per share (further deteriorated from JP¥19.20 loss in 3Q 2021). Revenue: JP¥3.30b (up 16% from 3Q 2021). Net loss: JP¥331.0m (loss widened 81% from 3Q 2021). Over the last 3 years on average, earnings per share has increased by 11% per year whereas the company’s share price has increased by 6% per year. Reported Earnings • Aug 16
Second quarter 2022 earnings released: EPS: JP¥106 (vs JP¥61.79 in 2Q 2021) Second quarter 2022 results: EPS: JP¥106 (up from JP¥61.79 in 2Q 2021). Revenue: JP¥4.83b (down 9.7% from 2Q 2021). Net income: JP¥1.01b (up 72% from 2Q 2021). Profit margin: 21% (up from 11% in 2Q 2021). The increase in margin was driven by lower expenses. 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 8% per year. Upcoming Dividend • Jun 22
Upcoming dividend of JP¥35.00 per share Eligible shareholders must have bought the stock before 29 June 2022. Payment date: 13 September 2022. Payout ratio is a comfortable 33% but the company is not cash flow positive. Trailing yield: 3.6%. Lower than top quartile of Japanese dividend payers (3.8%). Higher than average of industry peers (2.3%). Reported Earnings • May 15
First quarter 2022 earnings released: EPS: JP¥119 (vs JP¥125 in 1Q 2021) First quarter 2022 results: EPS: JP¥119 (down from JP¥125 in 1Q 2021). Revenue: JP¥6.40b (up 14% from 1Q 2021). Net income: JP¥1.13b (down 4.7% from 1Q 2021). Profit margin: 18% (down from 21% in 1Q 2021). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 2% per year but the company’s share price has increased by 8% per year, which means it is tracking significantly ahead of earnings growth. Board Change • Apr 27
No independent directors There are 7 new directors who have joined the board in the last 3 years. Of these new board members, none were independent directors. The company's board is composed of: 7 new directors. 2 experienced directors. 1 highly experienced director. No independent directors (8 non-independent directors). President & Representative Director Masaaki Murakami is the most experienced director on the board, commencing their role in 2014. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of independent directors. Lack of board continuity. Lack of experienced directors. Announcement • Feb 17
NJS Co., Ltd., Annual General Meeting, Mar 25, 2022 NJS Co., Ltd., Annual General Meeting, Mar 25, 2022. Reported Earnings • Feb 17
Full year 2021 earnings: Revenues and EPS in line with analyst expectations Full year 2021 results: EPS: JP¥202 (up from JP¥179 in FY 2020). Revenue: JP¥19.3b (up 1.9% from FY 2020). Net income: JP¥1.93b (up 13% from FY 2020). Profit margin: 10.0% (up from 9.0% in FY 2020). Revenue was in line with analyst estimates. Over the last 3 years on average, earnings per share has remained flat but the company’s share price has increased by 10% per year, which means it is well ahead of earnings. Upcoming Dividend • Dec 22
Upcoming dividend of JP¥30.00 per share Eligible shareholders must have bought the stock before 29 December 2021. Payment date: 29 March 2022. Payout ratio is a comfortable 35% and the cash payout ratio is 86%. Trailing yield: 3.1%. Lower than top quartile of Japanese dividend payers (3.3%). Higher than average of industry peers (2.1%). Reported Earnings • Nov 11
Third quarter 2021 earnings released: JP¥19.19 loss per share (vs JP¥14.27 profit in 3Q 2020) The company reported a poor third quarter result with weaker earnings, revenues and control over costs. Third quarter 2021 results: Revenue: JP¥2.83b (down 26% from 3Q 2020). Net loss: JP¥183.0m (down 235% from profit in 3Q 2020). Over the last 3 years on average, earnings per share has fallen by 3% per year but the company’s share price has increased by 4% per year, which means it is well ahead of earnings. Upcoming Dividend • Jun 23
Upcoming dividend of JP¥30.00 per share Eligible shareholders must have bought the stock before 29 June 2021. Payment date: 11 September 2021. Trailing yield: 3.0%. Within top quartile of Japanese dividend payers (3.0%). Higher than average of industry peers (2.0%). Reported Earnings • May 14
First quarter 2021 earnings released: EPS JP¥125 (vs JP¥89.42 in 1Q 2020) The company reported a decent first quarter result with improved earnings and profit margins, although revenues were weaker. First quarter 2021 results: Revenue: JP¥5.60b (down 4.8% from 1Q 2020). Net income: JP¥1.19b (up 39% from 1Q 2020). Profit margin: 21% (up from 14% in 1Q 2020). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 2% per year whereas the company’s share price has increased by 4% per year. Reported Earnings • Apr 05
Full year 2020 earnings released: EPS JP¥179 (vs JP¥175 in FY 2019) The company reported a solid full year result with improved earnings and revenues, although profit margins were flat. Full year 2020 results: Revenue: JP¥19.0b (up 9.3% from FY 2019). Net income: JP¥1.70b (up 1.6% from FY 2019). Profit margin: 9.0% (in line with FY 2019). Over the last 3 years on average, earnings per share has increased by 7% per year whereas the company’s share price has increased by 9% per year. Is New 90 Day High Low • Feb 17
New 90-day low: JP¥1,904 The company is down 2.0% from its price of JP¥1,938 on 19 November 2020. The Japanese market is up 14% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Commercial Services industry, which is up 4.0% over the same period. Reported Earnings • Feb 14
Full year 2020 earnings released: EPS JP¥179 (vs JP¥175 in FY 2019) The company reported a solid full year result with improved earnings and revenues, although profit margins were flat. Full year 2020 results: Revenue: JP¥19.0b (up 9.3% from FY 2019). Net income: JP¥1.70b (up 1.6% from FY 2019). Profit margin: 9.0% (in line with FY 2019). Over the last 3 years on average, earnings per share has increased by 7% per year and the company’s share price has also increased by 7% per year.