New Risk • May 15
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 0.5% per year for the foreseeable future. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are expected to decline, then in most cases the share price will decline over time as well. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings are forecast to decline by an average of 0.5% per year for the foreseeable future. Minor Risk Dividend is not well covered by cash flows (103% cash payout ratio). Reported Earnings • May 15
Full year 2026 earnings: EPS exceeds analyst expectations Full year 2026 results: EPS: JP¥249 (up from JP¥214 in FY 2025). Revenue: JP¥206.4b (up 3.0% from FY 2025). Net income: JP¥14.6b (up 17% from FY 2025). Profit margin: 7.1% (up from 6.3% in FY 2025). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 11%. Revenue is forecast to grow 5.4% p.a. on average during the next 2 years, compared to a 3.1% growth forecast for the Consumer Durables industry in Japan. 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 5% per year, which means it is well ahead of earnings. Announcement • May 13
Sangetsu Corporation, Annual General Meeting, Jun 24, 2026 Sangetsu Corporation, Annual General Meeting, Jun 24, 2026. Announcement • May 10
Sangetsu Corporation to Report Fiscal Year 2026 Results on May 13, 2026 Sangetsu Corporation announced that they will report fiscal year 2026 results on May 13, 2026 Upcoming Dividend • Mar 23
Upcoming dividend of JP¥77.50 per share Eligible shareholders must have bought the stock before 30 March 2026. Payment date: 19 June 2026. Payout ratio is a comfortable 64% but the company is paying out more than the cash it is generating. Trailing yield: 5.0%. Within top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.6%). Reported Earnings • Feb 16
Third quarter 2026 earnings released: EPS: JP¥65.82 (vs JP¥64.78 in 3Q 2025) Third quarter 2026 results: EPS: JP¥65.82 (up from JP¥64.78 in 3Q 2025). Revenue: JP¥52.5b (down 1.7% from 3Q 2025). Net income: JP¥3.87b (up 1.7% from 3Q 2025). Profit margin: 7.4% (up from 7.1% in 3Q 2025). The increase in margin was driven by lower expenses. Revenue is forecast to grow 5.1% p.a. on average during the next 3 years, compared to a 2.1% growth forecast for the Consumer Durables industry in Japan. 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 11% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Dec 03
Sangetsu Corporation to Report Q3, 2026 Results on Feb 13, 2026 Sangetsu Corporation announced that they will report Q3, 2026 results on Feb 13, 2026 New Risk • Dec 02
New minor risk - Dividend sustainability The dividend is not well covered by cash flows. Cash payout ratio: 103% Dividend yield: 5.0% This is considered a minor risk. Dividends are ultimately paid out of the company's available cash reserves. Companies that pay out too much of their cash flow are at risk of having to reduce or cut their dividend in future. If cash flow growth slows or cash flows fall, then there may not be enough cash reserves to maintain the same dividend. Or in extreme cases, companies may opt to take on debt to maintain the dividend. This risk is mitigated by the fact the dividend is covered by earnings, however, cash flows are generally more important. For dividend paying companies, any reduction in the dividend can significantly impact the share price. This is currently the only risk that has been identified for the company. Declared Dividend • Dec 02
First half dividend of JP¥77.50 announced Shareholders will receive a dividend of JP¥77.50. Ex-date: 30th March 2026 Payment date: 19th June 2026 Dividend yield will be 5.0%, which is higher than the industry average of 1.6%. Sustainability & Growth Dividend is covered by both earnings (65% 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 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. Reported Earnings • Nov 08
Second quarter 2026 earnings released: EPS: JP¥60.10 (vs JP¥43.50 in 2Q 2025) Second quarter 2026 results: EPS: JP¥60.10 (up from JP¥43.50 in 2Q 2025). Revenue: JP¥49.5b (up 5.0% from 2Q 2025). Net income: JP¥3.53b (up 38% from 2Q 2025). Profit margin: 7.1% (up from 5.4% in 2Q 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 1.5% growth forecast for the Consumer Durables industry in Japan. 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 15% per year. Upcoming Dividend • Sep 22
Upcoming dividend of JP¥77.50 per share Eligible shareholders must have bought the stock before 29 September 2025. Payment date: 02 December 2025. Payout ratio is a comfortable 68% and this is well supported by cash flows. Trailing yield: 4.9%. Within top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.4%). Announcement • Sep 02
Sangetsu Corporation to Report Q2, 2026 Results on Nov 07, 2025 Sangetsu Corporation announced that they will report Q2, 2026 results on Nov 07, 2025 Reported Earnings • Aug 08
First quarter 2026 earnings released: EPS: JP¥47.30 (vs JP¥42.52 in 1Q 2025) First quarter 2026 results: EPS: JP¥47.30 (up from JP¥42.52 in 1Q 2025). Revenue: JP¥49.4b (up 5.2% from 1Q 2025). Net income: JP¥2.78b (up 11% from 1Q 2025). Profit margin: 5.6% (up from 5.3% in 1Q 2025). The increase in margin was driven by higher revenue. Revenue is forecast to grow 6.2% p.a. on average during the next 3 years, compared to a 1.4% growth forecast for the Consumer Durables 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 24% per year. Declared Dividend • Jul 09
Final dividend of JP¥77.50 announced Shareholders will receive a dividend of JP¥77.50. Ex-date: 29th September 2025 Payment date: 2nd December 2025 Dividend yield will be 5.1%, which is higher than the industry average of 1.6%. Sustainability & Growth Dividend is covered by both earnings (72% 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 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 24% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Jun 20
Full year 2025 earnings: EPS and revenues exceed analyst expectations Full year 2025 results: EPS: JP¥214 (down from JP¥243 in FY 2024). Revenue: JP¥200.4b (up 5.5% from FY 2024). Net income: JP¥12.6b (down 12% from FY 2024). Profit margin: 6.3% (down from 7.5% in FY 2024). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 1.4%. Earnings per share (EPS) also surpassed analyst estimates by 1.3%. Revenue is forecast to grow 5.9% p.a. on average during the next 3 years, compared to a 1.1% growth forecast for the Consumer Durables industry in Japan. Over the last 3 years on average, earnings per share has increased by 35% per year but the company’s share price has only increased by 24% per year, which means it is significantly lagging earnings growth. Announcement • Jun 07
Sangetsu Corporation to Report Q1, 2026 Results on Aug 07, 2025 Sangetsu Corporation announced that they will report Q1, 2026 results on Aug 07, 2025 Announcement • May 14
Sangetsu Corporation, Annual General Meeting, Jun 18, 2025 Sangetsu Corporation, Annual General Meeting, Jun 18, 2025. Upcoming Dividend • Mar 21
Upcoming dividend of JP¥75.00 per share Eligible shareholders must have bought the stock before 28 March 2025. Payment date: 20 June 2025. Payout ratio is a comfortable 72% and this is well supported by cash flows. Trailing yield: 5.1%. Within top quartile of Japanese dividend payers (3.7%). Higher than average of industry peers (1.5%). Announcement • Mar 07
Sangetsu Corporation (TSE:8130) agreed to acquire SDS Co., Ltd. Sangetsu Corporation (TSE:8130) agreed to acquire SDS Co., Ltd. on March 5, 2025.
The expected completion of the transaction is April 1, 2025. Announcement • Mar 05
Sangetsu Corporation to Report Fiscal Year 2025 Results on May 14, 2025 Sangetsu Corporation announced that they will report fiscal year 2025 results on May 14, 2025 Price Target Changed • Mar 04
Price target increased by 17% to JP¥3,250 Up from JP¥2,780, the current price target is provided by 1 analyst. New target price is 10% above last closing price of JP¥2,950. Stock is down 12% over the past year. The company is forecast to post earnings per share of JP¥211 for next year compared to JP¥243 last year. Reported Earnings • Feb 08
Third quarter 2025 earnings released: EPS: JP¥64.78 (vs JP¥64.14 in 3Q 2024) Third quarter 2025 results: EPS: JP¥64.78 (up from JP¥64.14 in 3Q 2024). Revenue: JP¥53.4b (up 8.2% from 3Q 2024). Net income: JP¥3.81b (up 1.1% from 3Q 2024). Profit margin: 7.1% (down from 7.6% in 3Q 2024). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 7.4% p.a. on average during the next 3 years, while revenues in the Consumer Durables industry in Japan are expected to remain flat. Over the last 3 years on average, earnings per share has increased by 42% per year but the company’s share price has only increased by 23% per year, which means it is significantly lagging earnings growth. Declared Dividend • Dec 03
First half dividend of JP¥75.00 announced Shareholders will receive a dividend of JP¥75.00. Ex-date: 28th March 2025 Payment date: 20th June 2025 Dividend yield will be 5.1%, which is higher than the industry average of 1.6%. Sustainability & Growth Dividend is covered by both earnings (36% earnings payout ratio) and cash flows (69% cash payout ratio). The dividend has increased by an average of 15% 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 16% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • Nov 28
Sangetsu Corporation to Report Q3, 2025 Results on Feb 07, 2025 Sangetsu Corporation announced that they will report Q3, 2025 results on Feb 07, 2025 Reported Earnings • Nov 09
Second quarter 2025 earnings released: EPS: JP¥43.49 (vs JP¥56.60 in 2Q 2024) Second quarter 2025 results: EPS: JP¥43.49 (down from JP¥56.60 in 2Q 2024). Revenue: JP¥47.2b (up 4.0% from 2Q 2024). Net income: JP¥2.56b (down 23% from 2Q 2024). Profit margin: 5.4% (down from 7.3% in 2Q 2024). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 3.6% p.a. on average during the next 3 years, compared to a 1.5% growth forecast for the Consumer Durables industry in Japan. Over the last 3 years on average, earnings per share has increased by 49% per year but the company’s share price has only increased by 20% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Sep 20
Upcoming dividend of JP¥75.00 per share Eligible shareholders must have bought the stock before 27 September 2024. Payment date: 02 December 2024. Payout ratio is a comfortable 64% and the cash payout ratio is 98%. Trailing yield: 5.3%. Within top quartile of Japanese dividend payers (3.8%). Higher than average of industry peers (1.8%). Announcement • Aug 09
Sangetsu Corporation to Report Q2, 2025 Results on Nov 08, 2024 Sangetsu Corporation announced that they will report Q2, 2025 results on Nov 08, 2024 Reported Earnings • Aug 07
First quarter 2025 earnings released: EPS: JP¥41.54 (vs JP¥64.72 in 1Q 2024) First quarter 2025 results: EPS: JP¥41.54 (down from JP¥64.72 in 1Q 2024). Revenue: JP¥46.7b (up 3.2% from 1Q 2024). Net income: JP¥2.44b (down 36% from 1Q 2024). Profit margin: 5.2% (down from 8.4% in 1Q 2024). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 3.6% p.a. on average during the next 3 years, compared to a 1.9% growth forecast for the Consumer Durables industry in Japan. Over the last 3 years on average, earnings per share has increased by 56% per year but the company’s share price has only increased by 21% per year, which means it is significantly lagging earnings growth. Declared Dividend • Jul 11
Final dividend of JP¥75.00 announced Shareholders will receive a dividend of JP¥75.00. Ex-date: 27th September 2024 Payment date: 2nd December 2024 Dividend yield will be 5.1%, which is higher than the industry average of 1.6%. Sustainability & Growth Dividend is covered by earnings (58% earnings payout ratio) but not covered by cash flows (113% cash payout ratio). The dividend has increased by an average of 15% 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 decline by 1.1% over the next 3 years. However, it would need to fall by 36% to increase the payout ratio to a potentially unsustainable range. Reported Earnings • Jun 23
Full year 2024 earnings: EPS misses analyst expectations Full year 2024 results: EPS: JP¥243 (up from JP¥239 in FY 2023). Revenue: JP¥189.9b (up 7.9% from FY 2023). Net income: JP¥14.3b (up 2.0% from FY 2023). Profit margin: 7.5% (down from 8.0% in FY 2023). The decrease in margin was driven by higher expenses. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 2.0%. Revenue is forecast to grow 3.5% p.a. on average during the next 3 years, compared to a 1.9% growth forecast for the Consumer Durables industry in Japan. Over the last 3 years on average, earnings per share has increased by 59% per year but the company’s share price has only increased by 23% per year, which means it is significantly lagging earnings growth. Major Estimate Revision • Jun 15
Consensus EPS estimates fall by 14% The consensus outlook for fiscal year 2025 has been updated. 2025 EPS estimate fell from JP¥260 to JP¥224 per share. Revenue forecast steady at JP¥197.0b. Net income forecast to shrink 8.1% next year vs 2.7% growth forecast for Consumer Durables industry in Japan . Consensus price target down from JP¥3,650 to JP¥2,930. Share price was steady at JP¥3,015 over the past week. Announcement • Jun 08
Sangetsu Corporation to Report Q1, 2025 Results on Aug 02, 2024 Sangetsu Corporation announced that they will report Q1, 2025 results on Aug 02, 2024 Reported Earnings • May 12
Full year 2024 earnings: EPS misses analyst expectations Full year 2024 results: EPS: JP¥243 (up from JP¥239 in FY 2023). Revenue: JP¥189.9b (up 7.9% from FY 2023). Net income: JP¥14.3b (up 2.0% from FY 2023). Profit margin: 7.5% (down from 8.0% in FY 2023). The decrease in margin was driven by higher expenses. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 2.0%. Revenue is forecast to grow 4.0% p.a. on average during the next 2 years, compared to a 2.3% growth forecast for the Consumer Durables industry in Japan. Over the last 3 years on average, earnings per share has increased by 59% per year but the company’s share price has only increased by 25% per year, which means it is significantly lagging earnings growth. Announcement • May 12
Sangetsu Corporation, Annual General Meeting, Jun 19, 2024 Sangetsu Corporation, Annual General Meeting, Jun 19, 2024. Buy Or Sell Opportunity • Mar 28
Now 22% undervalued Over the last 90 days, the stock has risen 6.5% to JP¥3,300. The fair value is estimated to be JP¥4,218, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 10% over the last 3 years. Meanwhile, the company has become profitable. Revenue is forecast to grow by 7.9% in 2 years. Earnings are forecast to grow by 9.5% in the next 2 years. Upcoming Dividend • Mar 21
Upcoming dividend of JP¥75.00 per share Eligible shareholders must have bought the stock before 28 March 2024. Payment date: 24 June 2024. Payout ratio is a comfortable 53% and this is well supported by cash flows. Trailing yield: 4.5%. Within top quartile of Japanese dividend payers (3.2%). Higher than average of industry peers (1.6%). Buy Or Sell Opportunity • Mar 05
Now 21% undervalued Over the last 90 days, the stock has risen 17% to JP¥3,365. The fair value is estimated to be JP¥4,263, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 10% over the last 3 years. Meanwhile, the company has become profitable. Revenue is forecast to grow by 7.9% in 2 years. Earnings are forecast to grow by 9.5% in the next 2 years. Announcement • Mar 03
Sangetsu Corporation to Report Fiscal Year 2024 Results on May 10, 2024 Sangetsu Corporation announced that they will report fiscal year 2024 results on May 10, 2024 Reported Earnings • Feb 10
Third quarter 2024 earnings released: EPS: JP¥64.14 (vs JP¥70.47 in 3Q 2023) Third quarter 2024 results: EPS: JP¥64.14 (down from JP¥70.47 in 3Q 2023). Revenue: JP¥49.4b (up 9.0% from 3Q 2023). Net income: JP¥3.77b (down 8.9% from 3Q 2023). Profit margin: 7.6% (down from 9.1% in 3Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 1.3% p.a. on average during the next 3 years, compared to a 2.3% growth forecast for the Consumer Durables industry in Japan. Over the last 3 years on average, earnings per share has increased by 70% per year but the company’s share price has only increased by 28% per year, which means it is significantly lagging earnings growth. Announcement • Dec 03
Sangetsu Corporation to Report Q3, 2024 Results on Feb 09, 2024 Sangetsu Corporation announced that they will report Q3, 2024 results on Feb 09, 2024 Reported Earnings • Nov 11
Second quarter 2024 earnings released: EPS: JP¥56.60 (vs JP¥61.23 in 2Q 2023) Second quarter 2024 results: EPS: JP¥56.60 (down from JP¥61.23 in 2Q 2023). Revenue: JP¥45.4b (up 5.5% from 2Q 2023). Net income: JP¥3.32b (down 7.5% from 2Q 2023). Profit margin: 7.3% (down from 8.4% in 2Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 1.8% p.a. on average during the next 3 years, compared to a 2.4% growth forecast for the Consumer Durables industry in Japan. Over the last 3 years on average, earnings per share has increased by 80% per year but the company’s share price has only increased by 20% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Sep 21
Upcoming dividend of JP¥65.00 per share at 4.3% yield Eligible shareholders must have bought the stock before 28 September 2023. Payment date: 01 December 2023. Payout ratio is a comfortable 41% and this is well supported by cash flows. Trailing yield: 4.3%. Within top quartile of Japanese dividend payers (3.3%). Higher than average of industry peers (1.6%). Announcement • Aug 19
Sangetsu Corporation to Report Q2, 2024 Results on Nov 10, 2023 Sangetsu Corporation announced that they will report Q2, 2024 results on Nov 10, 2023 Major Estimate Revision • Aug 11
Consensus EPS estimates increase by 28% The consensus outlook for fiscal year 2024 has been updated. 2024 EPS estimate increased from JP¥190 to JP¥243. Revenue forecast steady at JP¥185.5b. Net income forecast to shrink 5.0% next year vs 7.6% growth forecast for Consumer Durables industry in Japan . Consensus price target up from JP¥2,720 to JP¥3,300. Share price rose 3.9% to JP¥2,903 over the past week. Price Target Changed • Aug 10
Price target increased by 15% to JP¥3,300 Up from JP¥2,880, the current price target is provided by 1 analyst. New target price is 14% above last closing price of JP¥2,903. Stock is up 82% over the past year. The company is forecast to post earnings per share of JP¥243 for next year compared to JP¥239 last year. New Risk • Aug 04
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 1.2% per year for the foreseeable future. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are expected to decline, then in most cases the share price will decline over time as well. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. This is currently the only risk that has been identified for the company. Reported Earnings • Aug 03
First quarter 2024 earnings released: EPS: JP¥64.72 (vs JP¥45.10 in 1Q 2023) First quarter 2024 results: EPS: JP¥64.72 (up from JP¥45.10 in 1Q 2023). Revenue: JP¥45.2b (up 17% from 1Q 2023). Net income: JP¥3.80b (up 44% from 1Q 2023). Profit margin: 8.4% (up from 6.8% in 1Q 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 2.1% p.a. on average during the next 3 years, compared to a 3.1% growth forecast for the Consumer Durables industry in Japan. Over the last 3 years on average, earnings per share has increased by 83% per year but the company’s share price has only increased by 22% per year, which means it is significantly lagging earnings growth. Reported Earnings • Jun 25
Full year 2023 earnings: EPS and revenues exceed analyst expectations Full year 2023 results: EPS: JP¥239 (up from JP¥4.65 in FY 2022). Revenue: JP¥176.0b (up 18% from FY 2022). Net income: JP¥14.0b (up JP¥13.7b from FY 2022). Profit margin: 8.0% (up from 0.2% in FY 2022). 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 10%. Revenue is forecast to grow 3.0% p.a. on average during the next 3 years, compared to a 3.0% growth forecast for the Consumer Durables industry in Japan. Over the last 3 years on average, earnings per share has increased by 76% per year but the company’s share price has only increased by 17% per year, which means it is significantly lagging earnings growth. Major Estimate Revision • Jun 08
Consensus EPS estimates fall by 19% The consensus outlook for fiscal year 2024 has been updated. 2024 EPS estimate fell from JP¥233 to JP¥190 per share. Revenue forecast steady at JP¥184.2b. Net income forecast to shrink 21% next year vs 3.1% growth forecast for Consumer Durables industry in Japan . Consensus price target down from JP¥2,880 to JP¥2,720. Share price was steady at JP¥2,380 over the past week. Announcement • Jun 03
Sangetsu Corporation to Report Q1, 2024 Results on Aug 02, 2023 Sangetsu Corporation announced that they will report Q1, 2024 results on Aug 02, 2023 Reported Earnings • May 17
Full year 2023 earnings: EPS and revenues exceed analyst expectations Full year 2023 results: EPS: JP¥239 (up from JP¥4.65 in FY 2022). Revenue: JP¥176.0b (up 18% from FY 2022). Net income: JP¥14.0b (up JP¥13.7b from FY 2022). Profit margin: 8.0% (up from 0.2% in FY 2022). 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 10%. Revenue is forecast to grow 3.7% p.a. on average during the next 2 years, compared to a 2.9% growth forecast for the Consumer Durables industry in Japan. Over the last 3 years on average, earnings per share has increased by 76% per year but the company’s share price has only increased by 20% per year, which means it is significantly lagging earnings growth. Announcement • May 12
Sangetsu Corporation, Annual General Meeting, Jun 21, 2023 Sangetsu Corporation, Annual General Meeting, Jun 21, 2023. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥65.00 per share at 5.7% yield Eligible shareholders must have bought the stock before 30 March 2023. Payment date: 23 June 2023. Payout ratio is a comfortable 58% and this is well supported by cash flows. Trailing yield: 5.7%. Within top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.8%). Announcement • Feb 13
Sangetsu Corporation Provides Consolidated Earnings Guidance for the Fiscal Year Ending March 31, 2023 Sangetsu Corporation provided consolidated earnings guidance for the fiscal year ending March 31, 2023. For the year, the company expects sales of JPY 174,000 million, operating profit of JPY 20,000 million, Profit attributable to owners of parent of JPY 13,500 million and earnings per share of JPY 230.10. Reported Earnings • Feb 12
Third quarter 2023 earnings released: EPS: JP¥70.46 (vs JP¥23.83 in 3Q 2022) Third quarter 2023 results: EPS: JP¥70.46 (up from JP¥23.83 in 3Q 2022). Revenue: JP¥45.3b (up 21% from 3Q 2022). Net income: JP¥4.14b (up 194% from 3Q 2022). Profit margin: 9.1% (up from 3.7% in 3Q 2022). Revenue is forecast to grow 5.1% p.a. on average during the next 3 years, compared to a 3.4% growth forecast for the Consumer Durables industry in Japan. Over the last 3 years on average, earnings per share has increased by 35% per year but the company’s share price has only increased by 10% per year, which means it is significantly lagging earnings growth. Buying Opportunity • Jan 04
Now 21% undervalued Over the last 90 days, the stock is up 32%. The fair value is estimated to be JP¥2,673, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has grown by 4.0%. Revenue is forecast to grow by 16% in 2 years. Earnings is forecast to grow by 189% in the next 2 years. Buying Opportunity • Dec 20
Now 22% undervalued Over the last 90 days, the stock is up 30%. The fair value is estimated to be JP¥2,677, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has grown by 4.0%. Revenue is forecast to grow by 16% in 2 years. Earnings is forecast to grow by 189% in the next 2 years. Major Estimate Revision • Dec 09
Consensus EPS estimates increase by 80% The consensus outlook for earnings per share (EPS) in 2023 has improved. 2023 revenue forecast increased from JP¥160.9b to JP¥172.6b. EPS estimate increased from JP¥120 to JP¥216 per share. Net income forecast to grow 170% next year vs 12% growth forecast for Consumer Durables industry in Japan. Consensus price target up from JP¥2,170 to JP¥2,880. Share price rose 3.6% to JP¥2,112 over the past week. Announcement • Nov 27
Sangetsu Corporation to Report Q3, 2023 Results on Feb 10, 2023 Sangetsu Corporation announced that they will report Q3, 2023 results on Feb 10, 2023 Reported Earnings • Nov 16
Second quarter 2023 earnings released: EPS: JP¥61.23 (vs JP¥17.15 in 2Q 2022) Second quarter 2023 results: EPS: JP¥61.23 (up from JP¥17.15 in 2Q 2022). Revenue: JP¥43.0b (up 21% from 2Q 2022). Net income: JP¥3.59b (up 251% from 2Q 2022). Profit margin: 8.4% (up from 2.9% in 2Q 2022). Revenue is forecast to grow 3.2% p.a. on average during the next 3 years, compared to a 3.5% growth forecast for the Consumer Durables industry in Japan. Over the last 3 years on average, earnings per share has increased by 4% per year but the company’s share price has fallen by 3% per year, which means it is significantly lagging earnings. Price Target Changed • Nov 16
Price target increased to JP¥2,170 Up from JP¥2,000, the current price target is provided by 1 analyst. New target price is 11% above last closing price of JP¥1,959. Stock is up 24% over the past year. The company is forecast to post earnings per share of JP¥120 for next year compared to JP¥4.65 last year. Announcement • Nov 14
Sangetsu Corporation Revises Earnings Guidance for the Second Quarter Ended September 30, 2022 and Year Ending March 31, 2023 Sangetsu Corporation revised earnings guidance for the second quarter ended September 30, 2022 and year ending March 31, 2023. For the quarter, the company now expected Net Sales to be JPY 81,500 million from JPY 78,000 million; Operating income to be JPY 8,950 million from JPY 5,450 million; Net income attributable to owners of the parent to be JPY 6,200 million from JPY 3,700 million and Net income per share to be JPY 105.69 from JPY 63.09.For the year, the company expected Net Sales to be JPY 170,000 million from JPY 159,000 million; Operating income to be JPY 17,500 million from JPY 10,000 million; Net income attributable to owners of the parent to be JPY 12,000million from JPY 7,000 million and Net income per share to be JPY 204.56 from JPY 119.36. Reported Earnings • Nov 11
Second quarter 2023 earnings released: EPS: JP¥61.23 (vs JP¥17.15 in 2Q 2022) Second quarter 2023 results: EPS: JP¥61.23 (up from JP¥17.15 in 2Q 2022). Revenue: JP¥43.0b (up 21% from 2Q 2022). Net income: JP¥3.59b (up 251% from 2Q 2022). Profit margin: 8.4% (up from 2.9% in 2Q 2022). Revenue is forecast to grow 3.2% p.a. on average during the next 3 years, compared to a 3.4% growth forecast for the Consumer Durables industry in Japan. Over the last 3 years on average, earnings per share has increased by 4% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Nov 02
Investor sentiment improved over the past week After last week's 15% share price gain to JP¥1,800, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 11x in the Consumer Durables industry in Japan. Total loss to shareholders of 5.8% over the past three years. Announcement • Oct 01
Sangetsu Corporation to Report Q2, 2023 Results on Nov 09, 2022 Sangetsu Corporation announced that they will report Q2, 2023 results at 2:00 PM, Tokyo Standard Time on Nov 09, 2022 Upcoming Dividend • Sep 22
Upcoming dividend of JP¥35.00 per share Eligible shareholders must have bought the stock before 29 September 2022. Payment date: 06 December 2022. The company is paying out more than 100% of its earnings and cash flow. Trailing yield: 4.4%. Within top quartile of Japanese dividend payers (3.7%). Higher than average of industry peers (1.9%). Announcement • Aug 12
Sangetsu Corporation to Report Q2, 2022 Results on Sep 11, 2022 Sangetsu Corporation announced that they will report Q2, 2022 results on Sep 11, 2022 Reported Earnings • Aug 05
First quarter 2023 earnings released: EPS: JP¥45.10 (vs JP¥10.03 in 1Q 2022) First quarter 2023 results: EPS: JP¥45.10 (up from JP¥10.03 in 1Q 2022). Revenue: JP¥38.7b (up 12% from 1Q 2022). Net income: JP¥2.65b (up 338% from 1Q 2022). Profit margin: 6.8% (up from 1.8% in 1Q 2022). Over the next year, revenue is forecast to grow 5.7%, compared to a 11% growth forecast for the 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 6% per year, which means it has not declined as severely as earnings. Reported Earnings • Jun 26
Full year 2022 earnings: Revenues exceed analyst expectations Full year 2022 results: Revenue: JP¥149.5b (up 2.9% from FY 2021). Net income: JP¥276.0m (down 94% from FY 2021). Profit margin: 0.2% (down from 3.3% in FY 2021). Revenue exceeded analyst estimates by 2.1%. Over the next year, revenue is forecast to grow 7.6%, compared to a 9.1% growth forecast for the industry in Japan. Over the last 3 years on average, earnings per share has remained flat but the company’s share price has fallen by 8% per year, which means it is significantly lagging earnings. Major Estimate Revision • Jun 17
Consensus EPS estimates increase by 21% The consensus outlook for earnings per share (EPS) in 2023 has improved. 2023 revenue forecast increased from JP¥155.8b to JP¥160.9b. EPS estimate increased from JP¥99.80 to JP¥120 per share. Net income forecast to grow 2,458% next year vs 1.5% growth forecast for Consumer Durables industry in Japan. Consensus price target up from JP¥2,000 to JP¥2,170. Share price was steady at JP¥1,536 over the past week. Announcement • Jun 16
Sangetsu Corporation to Report Q1, 2023 Results on Aug 03, 2022 Sangetsu Corporation announced that they will report Q1, 2023 results on Aug 03, 2022 Reported Earnings • May 19
Full year 2022 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2022 results: EPS: JP¥4.65 (down from JP¥78.97 in FY 2021). Revenue: JP¥149.5b (up 2.9% from FY 2021). Net income: JP¥276.0m (down 94% from FY 2021). Profit margin: 0.2% (down from 3.3% in FY 2021). Revenue exceeded analyst estimates by 2.1%. Earnings per share (EPS) missed analyst estimates by 94%. Over the next year, revenue is forecast to grow 4.2%, compared to a 7.5% growth forecast for the 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 10% per year. Announcement • May 15
Sangetsu Corporation, Annual General Meeting, Jun 22, 2022 Sangetsu Corporation, Annual General Meeting, Jun 22, 2022. Agenda: AGM. Announcement • Apr 08
Sangetsu Corporation to Report Fiscal Year 2022 Results on May 13, 2022 Sangetsu Corporation announced that they will report fiscal year 2022 results on May 13, 2022 Upcoming Dividend • Mar 23
Upcoming dividend of JP¥35.00 per share Eligible shareholders must have bought the stock before 30 March 2022. Payment date: 25 June 2022. Payout ratio is on the higher end at 88%, and the cash payout ratio is above 100%. Trailing yield: 4.4%. Within top quartile of Japanese dividend payers (3.4%). Higher than average of industry peers (1.6%). Reported Earnings • Feb 04
Third quarter 2022 earnings: EPS exceeds analyst expectations Third quarter 2022 results: EPS: JP¥23.83 (down from JP¥24.28 in 3Q 2021). Revenue: JP¥37.5b (flat on 3Q 2021). Net income: JP¥1.41b (down 4.4% from 3Q 2021). Profit margin: 3.7% (down from 3.9% in 3Q 2021). Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 5.7%. Over the next year, revenue is forecast to grow 5.2%, compared to a 5.1% growth forecast for the industry in Japan. Over the last 3 years on average, earnings per share has fallen by 5% per year whereas the company’s share price has fallen by 8% per year.