Reported Earnings • Jul 13
First quarter 2027 earnings released: EPS: JP¥30.51 (vs JP¥25.12 in 1Q 2026) First quarter 2027 results: EPS: JP¥30.51 (up from JP¥25.12 in 1Q 2026). Revenue: JP¥36.7b (flat on 1Q 2026). Net income: JP¥2.27b (up 22% from 1Q 2026). Profit margin: 6.2% (up from 5.1% in 1Q 2026). Revenue is forecast to grow 5.2% p.a. on average during the next 3 years, compared to a 7.8% growth forecast for the Professional Services industry in Japan. Over the last 3 years on average, earnings per share has increased by 2% per year whereas the company’s share price has fallen by 1% per year. Declared Dividend • Jun 12
Final dividend of JP¥30.00 announced Dividend of JP¥30.00 is the same as last year. Ex-date: 28th August 2026 Dividend yield will be 4.3%, which is higher than the industry average of 1.2%. Sustainability & Growth Dividend is well covered by both earnings (47% earnings payout ratio) and cash flows (29% cash payout ratio). The dividend has increased by an average of 13% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. EPS is expected to grow by 23% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • May 19
BELLSYSTEM24 Holdings, Inc. to Report Q1, 2027 Results on Jul 08, 2026 BELLSYSTEM24 Holdings, Inc. announced that they will report Q1, 2027 results on Jul 08, 2026 Reported Earnings • Apr 10
Full year 2026 earnings: Revenues and EPS in line with analyst expectations Full year 2026 results: EPS: JP¥110 (up from JP¥109 in FY 2025). Revenue: JP¥145.8b (up 1.5% from FY 2025). Net income: JP¥8.18b (up 2.2% from FY 2025). Profit margin: 5.6% (in line with FY 2025). Revenue was in line with analyst estimates. Earnings per share (EPS) were also in line with analyst expectations. Revenue is forecast to grow 4.7% p.a. on average during the next 3 years, compared to a 7.4% growth forecast for the Professional Services industry in Japan. Over the last 3 years on average, earnings per share has fallen by 2% per year whereas the company’s share price has increased by 1% per year. Announcement • Apr 08
BELLSYSTEM24 Holdings, Inc., Annual General Meeting, May 27, 2026 BELLSYSTEM24 Holdings, Inc., Annual General Meeting, May 27, 2026. Upcoming Dividend • Feb 19
Upcoming dividend of JP¥30.00 per share Eligible shareholders must have bought the stock before 26 February 2026. Payment date: 01 June 2026. Payout ratio is a comfortable 47% and this is well supported by cash flows. Trailing yield: 4.1%. Within top quartile of Japanese dividend payers (3.4%). Higher than average of industry peers (1.5%). Announcement • Feb 10
BELLSYSTEM24 Holdings, Inc. to Report Fiscal Year 2026 Results on Apr 08, 2026 BELLSYSTEM24 Holdings, Inc. announced that they will report fiscal year 2026 results on Apr 08, 2026 Reported Earnings • Jan 15
Third quarter 2026 earnings released: EPS: JP¥30.87 (vs JP¥22.53 in 3Q 2025) Third quarter 2026 results: EPS: JP¥30.87 (up from JP¥22.53 in 3Q 2025). Revenue: JP¥36.3b (up 1.2% from 3Q 2025). Net income: JP¥2.30b (up 39% from 3Q 2025). Profit margin: 6.3% (up from 4.6% in 3Q 2025). Revenue is forecast to grow 4.4% p.a. on average during the next 3 years, compared to a 6.8% growth forecast for the Professional Services 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 increased by 1% per year. Announcement • Nov 19
BELLSYSTEM24 Holdings, Inc. to Report Q3, 2026 Results on Jan 14, 2026 BELLSYSTEM24 Holdings, Inc. announced that they will report Q3, 2026 results on Jan 14, 2026 Declared Dividend • Nov 13
First half dividend of JP¥30.00 announced Dividend of JP¥30.00 is the same as last year. Ex-date: 26th February 2026 Payment date: 1st June 2026 Dividend yield will be 4.5%, which is higher than the industry average of 1.2%. Sustainability & Growth Dividend is covered by both earnings (50% earnings payout ratio) and cash flows (31% cash payout ratio). The dividend has increased by an average of 13% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. EPS is expected to grow by 19% over the next 3 years, which should provide support to the dividend and adequate earnings cover. New Risk • Oct 17
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 21% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Minor Risks High level of debt (56% net debt to equity). Large one-off items impacting financial results. Reported Earnings • Oct 09
Second quarter 2026 earnings released: EPS: JP¥26.46 (vs JP¥18.18 in 2Q 2025) Second quarter 2026 results: EPS: JP¥26.46 (up from JP¥18.18 in 2Q 2025). Revenue: JP¥36.5b (up 3.7% from 2Q 2025). Net income: JP¥1.97b (up 47% from 2Q 2025). Profit margin: 5.4% (up from 3.8% in 2Q 2025). Revenue is forecast to grow 4.5% p.a. on average during the next 3 years, compared to a 6.9% growth forecast for the Professional Services industry in Japan. Over the last 3 years on average, earnings per share has fallen by 8% per year but the company’s share price has remained flat, which means it is well ahead of earnings. Announcement • Oct 08
Bellsystem24 Holdings, Inc. Provides Dividend Guidance for Second Quarter-End of Year Ended February 28, 2026, Payable on November 12, 2025 BELLSYSTEM24 Holdings, Inc. announced dividend for Second quarter-end of year ended February 28, 2026 of JPY 30.00 per share compared to JPY 30.00 per share a year ago, payable on November 12, 2025. Record date is August 31, 2025. Price Target Changed • Sep 02
Price target increased by 7.4% to JP¥1,653 Up from JP¥1,540, the current price target is an average from 3 analysts. New target price is 25% above last closing price of JP¥1,327. Stock is down 14% over the past year. The company is forecast to post earnings per share of JP¥111 for next year compared to JP¥109 last year. Announcement • Aug 19
BELLSYSTEM24 Holdings, Inc. to Report Q2, 2026 Results on Oct 08, 2025 BELLSYSTEM24 Holdings, Inc. announced that they will report Q2, 2026 results on Oct 08, 2025 Reported Earnings • Jul 11
First quarter 2026 earnings released: EPS: JP¥25.12 (vs JP¥22.94 in 1Q 2025) First quarter 2026 results: EPS: JP¥25.12 (up from JP¥22.94 in 1Q 2025). Revenue: JP¥36.6b (flat on 1Q 2025). Net income: JP¥1.86b (up 10.0% from 1Q 2025). Profit margin: 5.1% (up from 4.6% in 1Q 2025). Revenue is forecast to grow 5.6% p.a. on average during the next 3 years, compared to a 6.6% growth forecast for the Professional Services industry in Japan. Over the last 3 years on average, earnings per share has fallen by 11% per year but the company’s share price has only fallen by 3% per year, which means it has not declined as severely as earnings. Declared Dividend • Jun 18
Final dividend of JP¥30.00 announced Dividend of JP¥30.00 is the same as last year. Ex-date: 28th August 2025 Payment date: 1st January 1970 Dividend yield will be 4.6%, which is higher than the industry average of 1.2%. Sustainability & Growth Dividend is covered by both earnings (55% earnings payout ratio) and cash flows (28% cash payout ratio). The dividend has increased by an average of 14% per year over the past 9 years and payments have been stable during that time. EPS is expected to grow by 26% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Board Change • Jun 12
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Independent Outside Director Kenji Umekawa was the last director to join the board, commencing their role in 2025. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Reported Earnings • Jun 03
Full year 2025 earnings: EPS and revenues miss analyst expectations Full year 2025 results: EPS: JP¥109 (up from JP¥103 in FY 2024). Revenue: JP¥143.6b (down 3.4% from FY 2024). Net income: JP¥8.00b (up 6.1% from FY 2024). Profit margin: 5.6% (up from 5.1% in FY 2024). Revenue missed analyst estimates by 3.1%. Earnings per share (EPS) also missed analyst estimates by 6.7%. Revenue is forecast to grow 5.3% p.a. on average during the next 3 years, compared to a 6.6% growth forecast for the Professional Services industry in Japan. Over the last 3 years on average, earnings per share has fallen by 13% per year but the company’s share price has only fallen by 4% per year, which means it has not declined as severely as earnings. New Risk • Jun 03
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 24% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Minor Risks High level of debt (66% net debt to equity). Large one-off items impacting financial results. Announcement • May 20
BELLSYSTEM24 Holdings, Inc. to Report Q1, 2026 Results on Jul 09, 2025 BELLSYSTEM24 Holdings, Inc. announced that they will report Q1, 2026 results on Jul 09, 2025 Reported Earnings • Apr 10
Full year 2025 earnings: EPS and revenues miss analyst expectations Full year 2025 results: EPS: JP¥109 (up from JP¥103 in FY 2024). Revenue: JP¥143.6b (down 3.4% from FY 2024). Net income: JP¥8.00b (up 6.1% from FY 2024). Profit margin: 5.6% (up from 5.1% in FY 2024). The increase in margin was driven by lower expenses. Revenue missed analyst estimates by 3.1%. Earnings per share (EPS) also missed analyst estimates by 6.7%. Revenue is forecast to grow 5.4% p.a. on average during the next 3 years, compared to a 7.0% growth forecast for the Professional Services industry in Japan. Over the last 3 years on average, earnings per share has fallen by 13% per year whereas the company’s share price has fallen by 8% per year. Announcement • Apr 09
BELLSYSTEM24 Holdings, Inc., Annual General Meeting, May 29, 2025 BELLSYSTEM24 Holdings, Inc., Annual General Meeting, May 29, 2025. Upcoming Dividend • Feb 20
Upcoming dividend of JP¥30.00 per share Eligible shareholders must have bought the stock before 27 February 2025. Payment date: 27 May 2025. Payout ratio is a comfortable 71% and this is well supported by cash flows. Trailing yield: 4.8%. Within top quartile of Japanese dividend payers (3.8%). Higher than average of industry peers (0.9%). Announcement • Feb 04
BELLSYSTEM24 Holdings, Inc. to Report Fiscal Year 2025 Results on Apr 09, 2025 BELLSYSTEM24 Holdings, Inc. announced that they will report fiscal year 2025 results on Apr 09, 2025 Reported Earnings • Jan 10
Third quarter 2025 earnings released: EPS: JP¥22.53 (vs JP¥20.28 in 3Q 2024) Third quarter 2025 results: EPS: JP¥22.53 (up from JP¥20.28 in 3Q 2024). Revenue: JP¥35.9b (down 1.2% from 3Q 2024). Net income: JP¥1.66b (up 11% from 3Q 2024). Profit margin: 4.6% (up from 4.1% in 3Q 2024). The increase in margin was driven by lower expenses. Revenue is forecast to grow 5.2% p.a. on average during the next 3 years, compared to a 5.8% growth forecast for the Professional Services industry in Japan. Over the last 3 years on average, earnings per share has fallen by 13% per year but the company’s share price has only fallen by 1% per year, which means it has not declined as severely as earnings. Announcement • Dec 18
SIGMAXYZ Holdings Inc. (TSE:6088) signed a letter of intent to acquire 3% stake in CTC First Contact Corporation from BELLSYSTEM24 Holdings, Inc. (TSE:6183) for ¥300 million. SIGMAXYZ Holdings Inc. (TSE:6088) signed a letter of intent to acquire 3% stake in CTC First Contact Corporation from BELLSYSTEM24 Holdings, Inc. (TSE:6183) for ¥300 million on December 16, 2024.
For the period ending February 24, 2024, CTC First Contact Corporation reported total revenue of ¥4.89 billion and net income of ¥581 million. As of February 24, 2024, CTC First Contact Corporation reported total assets of ¥1.86 billion and total common equity of ¥1.18 billion.
The expected date of contract conclusion is January 7, 2025. The expected completion of the transaction is January 16, 2025. Announcement • Dec 03
BELLSYSTEM24 Holdings, Inc. to Report Q3, 2025 Results on Jan 09, 2025 BELLSYSTEM24 Holdings, Inc. announced that they will report Q3, 2025 results on Jan 09, 2025 Announcement • Nov 13
BELLSYSTEM24 Holdings, Inc. (TSE:6183) agreed to acquire 51% stake in Sky Perfect Customer-Relations Corporation from SKY Perfect JSAT Corporation. BELLSYSTEM24 Holdings, Inc. (TSE:6183) agreed to acquire 51% stake in Sky Perfect Customer-Relations Corporation from SKY Perfect JSAT Corporation on November 12, 2024.
The expected completion of the transaction is January 1, 2025. Declared Dividend • Nov 13
First half dividend of JP¥30.00 announced Dividend of JP¥30.00 is the same as last year. Ex-date: 27th February 2025 Payment date: 27th May 2025 Dividend yield will be 4.6%, which is higher than the industry average of 1.2%. Sustainability & Growth Dividend is not covered by earnings (109% earnings payout ratio). However, it is well covered by cash flows (27% cash payout ratio). The dividend has increased by an average of 14% per year over the past 9 years and payments have been stable during that time. The company's earnings per share (EPS) would need to grow by 21% to bring the payout ratio under control. EPS is expected to grow by 49% over the next 3 years, which is sufficient to bring the dividend into a sustainable range. Price Target Changed • Oct 30
Price target decreased by 8.5% to JP¥1,695 Down from JP¥1,853, the current price target is an average from 4 analysts. New target price is 29% above last closing price of JP¥1,310. Stock is down 17% over the past year. The company is forecast to post earnings per share of JP¥103 for next year compared to JP¥103 last year. Reported Earnings • Oct 15
Second quarter 2025 earnings released: EPS: JP¥18.18 (vs JP¥21.17 in 2Q 2024) Second quarter 2025 results: EPS: JP¥18.18 (down from JP¥21.17 in 2Q 2024). Revenue: JP¥35.2b (down 5.6% from 2Q 2024). Net income: JP¥1.34b (down 14% from 2Q 2024). Profit margin: 3.8% (down from 4.2% in 2Q 2024). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 5.0% p.a. on average during the next 3 years, compared to a 5.9% growth forecast for the Professional Services industry in Japan. Over the last 3 years on average, earnings per share has fallen by 8% per year whereas the company’s share price has fallen by 5% per year. Announcement • Aug 27
BELLSYSTEM24 Holdings, Inc. to Report Q2, 2025 Results on Oct 09, 2024 BELLSYSTEM24 Holdings, Inc. announced that they will report Q2, 2025 results on Oct 09, 2024 Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to JP¥1,277, the stock trades at a forward P/E ratio of 11x. Average forward P/E is 15x in the Professional Services industry in Japan. Total loss to shareholders of 15% over the past three years. Reported Earnings • Jul 12
First quarter 2025 earnings released: EPS: JP¥22.94 (vs JP¥40.02 in 1Q 2024) First quarter 2025 results: EPS: JP¥22.94 (down from JP¥40.02 in 1Q 2024). Revenue: JP¥36.8b (down 6.5% from 1Q 2024). Net income: JP¥1.69b (down 43% from 1Q 2024). Profit margin: 4.6% (down from 7.5% in 1Q 2024). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 4.5% p.a. on average during the next 3 years, compared to a 5.8% growth forecast for the Professional Services industry in Japan. Over the last 3 years on average, earnings per share has fallen by 3% per year whereas the company’s share price has fallen by 5% per year. Announcement • May 30
BELLSYSTEM24 Holdings, Inc. to Report Q1, 2025 Results on Jul 10, 2024 BELLSYSTEM24 Holdings, Inc. announced that they will report Q1, 2025 results on Jul 10, 2024 Reported Earnings • Apr 11
Full year 2024 earnings: EPS and revenues miss analyst expectations Full year 2024 results: EPS: JP¥103 (down from JP¥127 in FY 2023). Revenue: JP¥148.7b (down 4.7% from FY 2023). Net income: JP¥7.55b (down 19% from FY 2023). Profit margin: 5.1% (down from 6.0% in FY 2023). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 4.1%. Earnings per share (EPS) also missed analyst estimates by 8.9%. Revenue is forecast to grow 6.2% p.a. on average during the next 3 years, compared to a 6.6% growth forecast for the Professional Services industry in Japan. Over the last 3 years on average, earnings per share has increased by 3% per year but the company’s share price has fallen by 4% per year, which means it is significantly lagging earnings. Announcement • Apr 10
BELLSYSTEM24 Holdings, Inc., Annual General Meeting, May 24, 2024 BELLSYSTEM24 Holdings, Inc., Annual General Meeting, May 24, 2024. Announcement • Feb 28
BELLSYSTEM24 Holdings, Inc. to Report Fiscal Year 2024 Results on Apr 10, 2024 BELLSYSTEM24 Holdings, Inc. announced that they will report fiscal year 2024 results on Apr 10, 2024 Reported Earnings • Jan 11
Third quarter 2024 earnings released: EPS: JP¥20.28 (vs JP¥33.20 in 3Q 2023) Third quarter 2024 results: EPS: JP¥20.28 (down from JP¥33.20 in 3Q 2023). Revenue: JP¥36.4b (down 7.4% from 3Q 2023). Net income: JP¥1.49b (down 39% from 3Q 2023). Profit margin: 4.1% (down from 6.2% in 3Q 2023). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 4.2% p.a. on average during the next 3 years, compared to a 7.6% growth forecast for the Professional Services 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 2% per year, which means it is significantly lagging earnings. Board Change • Dec 20
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Outside Independent Director Hiroshi Kajiwara was the last director to join the board, commencing their role in 2023. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Reported Earnings • Oct 12
Second quarter 2024 earnings released: EPS: JP¥21.17 (vs JP¥36.26 in 2Q 2023) Second quarter 2024 results: EPS: JP¥21.17 (down from JP¥36.26 in 2Q 2023). Revenue: JP¥37.3b (down 4.5% from 2Q 2023). Net income: JP¥1.56b (down 42% from 2Q 2023). Profit margin: 4.2% (down from 6.8% in 2Q 2023). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 4.5% p.a. on average during the next 3 years, compared to a 8.0% growth forecast for the Professional Services industry in Japan. Over the last 3 years on average, earnings per share has increased by 8% per year but the company’s share price has fallen by 5% per year, which means it is significantly lagging earnings. Announcement • Oct 11
BELLSYSTEM24 Holdings, Inc. to Report Q3, 2024 Results on Jan 10, 2024 BELLSYSTEM24 Holdings, Inc. announced that they will report Q3, 2024 results on Jan 10, 2024 Upcoming Dividend • Aug 23
Upcoming dividend of JP¥30.00 per share at 4.0% yield Eligible shareholders must have bought the stock before 30 August 2023. Payment date: 13 November 2023. Payout ratio is a comfortable 45% and this is well supported by cash flows. Trailing yield: 4.0%. Within top quartile of Japanese dividend payers (3.5%). Higher than average of industry peers (1.3%). Board Change • Aug 10
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 not an independent director. The company's board is composed of: 1 new director. 6 experienced directors. 1 highly experienced director. 3 independent directors (4 non-independent directors). Independent Outside Director Makiko Takahashi was the last independent director to join the board, commencing their role in 2017. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Reported Earnings • Jul 13
First quarter 2024 earnings released: EPS: JP¥40.02 (vs JP¥34.78 in 1Q 2023) First quarter 2024 results: EPS: JP¥40.02 (up from JP¥34.78 in 1Q 2023). Revenue: JP¥39.4b (flat on 1Q 2023). Net income: JP¥2.94b (up 15% from 1Q 2023). Profit margin: 7.5% (up from 6.5% in 1Q 2023). Revenue is forecast to grow 4.1% p.a. on average during the next 3 years, compared to a 8.2% growth forecast for the Professional 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 fallen by 6% per year, which means it is significantly lagging earnings. Announcement • Jul 12
BELLSYSTEM24 Holdings, Inc. to Report Q2, 2024 Results on Oct 11, 2023 BELLSYSTEM24 Holdings, Inc. announced that they will report Q2, 2024 results on Oct 11, 2023 Announcement • Jun 02
BELLSYSTEM24 Holdings, Inc. to Report Q1, 2024 Results on Jul 12, 2023 BELLSYSTEM24 Holdings, Inc. announced that they will report Q1, 2024 results on Jul 12, 2023 Reported Earnings • May 30
Full year 2023 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2023 results: EPS: JP¥127 (up from JP¥122 in FY 2022). Revenue: JP¥156.1b (up 6.5% from FY 2022). Net income: JP¥9.33b (up 4.3% from FY 2022). Profit margin: 6.0% (down from 6.1% in FY 2022). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 1.3%. Earnings per share (EPS) missed analyst estimates by 2.4%. Revenue is forecast to grow 4.1% p.a. on average during the next 3 years, compared to a 8.2% growth forecast for the Professional 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 only increased by 1% per year, which means it is significantly lagging earnings growth. Reported Earnings • Apr 13
Full year 2023 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2023 results: EPS: JP¥127 (up from JP¥122 in FY 2022). Revenue: JP¥156.1b (up 6.5% from FY 2022). Net income: JP¥9.33b (up 4.3% from FY 2022). Profit margin: 6.0% (down from 6.1% in FY 2022). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 1.3%. Earnings per share (EPS) missed analyst estimates by 2.4%. Revenue is forecast to grow 3.4% p.a. on average during the next 3 years, compared to a 9.0% growth forecast for the Professional Services industry in Japan. 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 8% per year. Upcoming Dividend • Feb 20
Upcoming dividend of JP¥30.00 per share at 4.1% yield Eligible shareholders must have bought the stock before 27 February 2023. Payment date: 30 May 2023. Payout ratio is a comfortable 48% and this is well supported by cash flows. Trailing yield: 4.1%. Within top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.7%). Announcement • Jan 13
BELLSYSTEM24 Holdings, Inc. to Report Q3, 2023 Results on Jan 11, 2023 BELLSYSTEM24 Holdings, Inc. announced that they will report Q3, 2023 results on Jan 11, 2023 Reported Earnings • Jan 12
Third quarter 2023 earnings released: EPS: JP¥33.20 (vs JP¥32.86 in 3Q 2022) Third quarter 2023 results: EPS: JP¥33.20 (up from JP¥32.86 in 3Q 2022). Revenue: JP¥39.3b (up 7.8% from 3Q 2022). Net income: JP¥2.44b (up 1.1% from 3Q 2022). Profit margin: 6.2% (down from 6.6% in 3Q 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 2.6% p.a. on average during the next 3 years, compared to a 6.7% growth forecast for the IT 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 fallen by 5% per year, which means it is significantly lagging earnings. Board Change • Nov 16
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Corporate Officer, Senior VP & Director Takehiko Go was the last director to join the board, commencing their role in 2022. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Reported Earnings • Oct 13
Second quarter 2023 earnings: EPS exceeds analyst expectations Second quarter 2023 results: EPS: JP¥36.26 (up from JP¥35.30 in 2Q 2022). Revenue: JP¥39.0b (up 6.5% from 2Q 2022). Net income: JP¥2.67b (up 2.8% from 2Q 2022). Profit margin: 6.8% (down from 7.1% in 2Q 2022). The decrease in margin was driven by higher expenses. Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 18%. Revenue is forecast to grow 2.9% p.a. on average during the next 3 years, compared to a 6.8% growth forecast for the IT 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 fallen by 8% per year, which means it is significantly lagging earnings. Upcoming Dividend • Aug 23
Upcoming dividend of JP¥30.00 per share Eligible shareholders must have bought the stock before 30 August 2022. Payment date: 14 November 2022. Payout ratio is a comfortable 43% and this is well supported by cash flows. Trailing yield: 4.1%. Within top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.6%). Upcoming Dividend • Aug 23
Upcoming dividend of JP¥30.00 per share Eligible shareholders must have bought the stock before 30 August 2022. Payment date: 14 November 2022. Payout ratio is a comfortable 43% and this is well supported by cash flows. Trailing yield: 4.1%. Within top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.6%). Reported Earnings • Jul 15
First quarter 2023 earnings released: EPS: JP¥34.78 (vs JP¥31.61 in 1Q 2022) First quarter 2023 results: EPS: JP¥34.78 (up from JP¥31.61 in 1Q 2022). Revenue: JP¥39.2b (up 7.6% from 1Q 2022). Net income: JP¥2.56b (up 10% from 1Q 2022). Profit margin: 6.5% (up from 6.4% in 1Q 2022). The increase in margin was driven by higher revenue. Over the next year, revenue is forecast to stay flat compared to a 11% growth forecast for the 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 fallen by 4% per year, which means it is significantly lagging earnings. Price Target Changed • Jul 08
Price target decreased to JP¥1,890 Down from JP¥2,038, the current price target is an average from 5 analysts. New target price is 34% above last closing price of JP¥1,413. Stock is down 19% over the past year. The company is forecast to post earnings per share of JP¥124 for next year compared to JP¥122 last year. Board Change • Jun 08
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Corporate Officer, Senior VP & Director Takehiko Go was the last director to join the board, commencing their role in 2022. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Reported Earnings • Jun 02
Full year 2022 earnings: EPS and revenues exceed analyst expectations Full year 2022 results: EPS: JP¥122 (up from JP¥98.65 in FY 2021). Revenue: JP¥146.5b (up 7.9% from FY 2021). Net income: JP¥8.94b (up 23% from FY 2021). Profit margin: 6.1% (up from 5.3% in FY 2021). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 1.7%. Earnings per share (EPS) also surpassed analyst estimates by 1.2%. Over the next year, revenue is forecast to stay flat 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 15% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Reported Earnings • Apr 08
Full year 2022 earnings: EPS and revenues exceed analyst expectations Full year 2022 results: EPS: JP¥122 (up from JP¥98.65 in FY 2021). Revenue: JP¥146.5b (up 7.9% from FY 2021). Net income: JP¥8.94b (up 23% from FY 2021). Profit margin: 6.1% (up from 5.3% in FY 2021). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 1.7%. Earnings per share (EPS) also surpassed analyst estimates by 1.2%. Over the next year, revenue is forecast to stay flat compared to a 7.9% growth forecast for the 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 fallen by 3% per year, which means it is significantly lagging earnings. Upcoming Dividend • Feb 18
Upcoming dividend of JP¥30.00 per share Eligible shareholders must have bought the stock before 25 February 2022. Payment date: 31 May 2022. Payout ratio is a comfortable 41% and this is well supported by cash flows. Trailing yield: 3.4%. Within top quartile of Japanese dividend payers (3.4%). Higher than average of industry peers (1.5%). Reported Earnings • Jan 13
Third quarter 2022 earnings: Revenues exceed analysts expectations while EPS lags behind Third quarter 2022 results: EPS: JP¥32.86 (up from JP¥29.58 in 3Q 2021). Revenue: JP¥36.4b (up 3.3% from 3Q 2021). Net income: JP¥2.42b (up 11% from 3Q 2021). Profit margin: 6.6% (up from 6.2% in 3Q 2021). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 2.4%. Earnings per share (EPS) missed analyst estimates by 7.2%. Earnings per share (EPS) missed analyst estimates by 7.2%. Over the next year, revenue is forecast to stay flat compared to a 7.4% growth forecast for the 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 fallen by 5% per year, which means it is significantly lagging earnings. Reported Earnings • Oct 14
Second quarter 2022 earnings released: EPS JP¥35.30 (vs JP¥31.68 in 2Q 2021) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2022 results: Revenue: JP¥36.7b (up 7.2% from 2Q 2021). Net income: JP¥2.60b (up 11% from 2Q 2021). Profit margin: 7.1% (up from 6.8% in 2Q 2021). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 12% per year but the company’s share price has fallen by 1% per year, which means it is significantly lagging earnings. Upcoming Dividend • Aug 23
Upcoming dividend of JP¥24.00 per share Eligible shareholders must have bought the stock before 30 August 2021. Payment date: 13 November 2021. Trailing yield: 3.0%. Lower than top quartile of Japanese dividend payers (3.1%). Higher than average of industry peers (1.4%). Reported Earnings • Jul 09
First quarter 2022 earnings released: EPS JP¥31.61 (vs JP¥26.13 in 1Q 2021) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2022 results: Revenue: JP¥36.5b (up 12% from 1Q 2021). Net income: JP¥2.32b (up 21% from 1Q 2021). Profit margin: 6.4% (up from 5.9% in 1Q 2021). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 11% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Reported Earnings • Jun 02
Full year 2021 earnings released: EPS JP¥98.65 (vs JP¥95.30 in FY 2020) The company reported a solid full year result with improved earnings and revenues, although profit margins were weaker. Full year 2021 results: Revenue: JP¥135.7b (up 7.2% from FY 2020). Net income: JP¥7.25b (up 3.5% from FY 2020). Profit margin: 5.3% (down from 5.5% in FY 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 10% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Reported Earnings • Apr 09
Full year 2021 earnings released: EPS JP¥98.65 (vs JP¥95.30 in FY 2020) The company reported a solid full year result with improved earnings and revenues, although profit margins were weaker. Full year 2021 results: Revenue: JP¥135.7b (up 7.2% from FY 2020). Net income: JP¥7.25b (up 3.5% from FY 2020). Profit margin: 5.3% (down from 5.5% in FY 2020). The decrease in margin was driven by higher expenses. 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 6% per year. Is New 90 Day High Low • Jan 14
New 90-day high: JP¥1,745 The company is up 4.0% from its price of JP¥1,677 on 16 October 2020. The Japanese market is up 13% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Commercial Services industry, which is up 3.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is JP¥2,946 per share. Reported Earnings • Jan 07
Third quarter 2021 earnings released: EPS JP¥29.58 The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: JP¥35.3b (up 8.9% from 3Q 2020). Net income: JP¥2.18b (up 17% from 3Q 2020). Profit margin: 6.2% (up from 5.7% in 3Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 11% per year but the company’s share price has only increased by 2% per year, which means it is significantly lagging earnings growth. Analyst Estimate Surprise Post Earnings • Jan 07
Revenue beats expectations Revenue exceeded analyst estimates by 4.6%. Earnings per share (EPS) were mostly in line with analyst estimates. Over the next year, revenue is forecast to grow 2.0%, compared to a 3.2% growth forecast for the Commercial Services industry in Japan.