New Risk • Aug 09
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 0.6% Last year net profit margin: 0.9% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (currently running at an operating cash loss). Earnings have declined by 19% per year over the past 5 years. Minor Risks Paying a dividend despite having no free cash flows. Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (0.6% net profit margin). Market cap is less than US$100m (JP¥14.3b market cap, or US$90.7m). Reported Earnings • Aug 09
First quarter 2027 earnings released: JP¥4.24 loss per share (vs JP¥2.67 profit in 1Q 2026) First quarter 2027 results: JP¥4.24 loss per share (down from JP¥2.67 profit in 1Q 2026). Revenue: JP¥33.1b (up 6.6% from 1Q 2026). Net loss: JP¥124.0m (down 259% from profit in 1Q 2026). Over the last 3 years on average, earnings per share has fallen by 24% per year but the company’s share price has increased by 7% per year, which means it is well ahead of earnings. Declared Dividend • Jul 25
Final dividend of JP¥6.00 announced Dividend of JP¥6.00 is the same as last year. Ex-date: 29th September 2026 Payment date: 8th December 2026 Dividend yield will be 2.4%, which is higher than the industry average of 1.6%. Sustainability & Growth Dividend is covered by earnings (33% earnings payout ratio) but the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has increased by an average of 2.9% per year over the past 10 years. However, payments have been volatile during that time. The company's earnings per share (EPS) would need to decline by 64% to shift the payout ratio to a potentially unsustainable range, which is more than the 13% EPS decline seen over the last 5 years. Announcement • Jun 13
Medical System Network Co., Ltd. to Report Q1, 2027 Results on Aug 07, 2026 Medical System Network Co., Ltd. announced that they will report Q1, 2027 results on Aug 07, 2026 Reported Earnings • May 09
Full year 2026 earnings released: EPS: JP¥36.61 (vs JP¥43.18 in FY 2025) Full year 2026 results: EPS: JP¥36.61 (down from JP¥43.18 in FY 2025). Revenue: JP¥132.2b (up 8.0% from FY 2025). Net income: JP¥1.07b (down 15% from FY 2025). Profit margin: 0.8% (down from 1.0% in FY 2025). Over the last 3 years on average, earnings per share has fallen by 18% per year but the company’s share price has increased by 8% per year, which means it is well ahead of earnings. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥6.00 per share Eligible shareholders must have bought the stock before 30 March 2026. Payment date: 25 June 2026. Payout ratio is a comfortable 42% and this is well supported by cash flows. Trailing yield: 2.3%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.7%). Reported Earnings • Feb 07
Third quarter 2026 earnings released: EPS: JP¥19.09 (vs JP¥42.36 in 3Q 2025) Third quarter 2026 results: EPS: JP¥19.09 (down from JP¥42.36 in 3Q 2025). Revenue: JP¥34.8b (up 8.4% from 3Q 2025). Net income: JP¥558.0m (down 55% from 3Q 2025). Profit margin: 1.6% (down from 3.9% in 3Q 2025). Over the last 3 years on average, earnings per share has fallen by 13% per year but the company’s share price has increased by 9% per year, which means it is well ahead of earnings. Announcement • Dec 10
Medical System Network Co., Ltd. to Report Q3, 2026 Results on Feb 06, 2026 Medical System Network Co., Ltd. announced that they will report Q3, 2026 results on Feb 06, 2026 Declared Dividend • Dec 09
First half dividend of JP¥6.00 announced Dividend of JP¥6.00 is the same as last year. Ex-date: 30th March 2026 Payment date: 25th June 2026 Dividend yield will be 2.4%, which is higher than the industry average of 1.6%. Sustainability & Growth Dividend is well covered by both earnings (23% earnings payout ratio) and cash flows (29% cash payout ratio). The dividend has increased by an average of 4.1% per year over the past 10 years. However, payments have been volatile during that time. The company's earnings per share (EPS) would need to decline by 74% to shift the payout ratio to a potentially unsustainable range, which is more than the 1.5% EPS decline seen over the last 5 years. Reported Earnings • Nov 08
Second quarter 2026 earnings released: EPS: JP¥12.80 (vs JP¥1.27 in 2Q 2025) Second quarter 2026 results: EPS: JP¥12.80 (up from JP¥1.27 in 2Q 2025). Revenue: JP¥32.8b (up 8.0% from 2Q 2025). Net income: JP¥374.0m (up JP¥337.0m from 2Q 2025). Profit margin: 1.1% (up from 0.1% in 2Q 2025). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 5% per year but the company’s share price has increased by 7% per year, which means it is well ahead of earnings. Upcoming Dividend • Sep 22
Upcoming dividend of JP¥6.00 per share Eligible shareholders must have bought the stock before 29 September 2025. Payment date: 09 December 2025. Payout ratio is a comfortable 30% and this is well supported by cash flows. Trailing yield: 2.5%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.6%). Announcement • Sep 04
Medical System Network Co., Ltd. to Report Q2, 2026 Results on Nov 07, 2025 Medical System Network Co., Ltd. announced that they will report Q2, 2026 results on Nov 07, 2025 Reported Earnings • Aug 10
First quarter 2026 earnings released: EPS: JP¥2.67 (vs JP¥5.82 in 1Q 2025) First quarter 2026 results: EPS: JP¥2.67 (down from JP¥5.82 in 1Q 2025). Revenue: JP¥31.1b (up 5.7% from 1Q 2025). Net income: JP¥78.0m (down 54% from 1Q 2025). Profit margin: 0.3% (down from 0.6% in 1Q 2025). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 7% per year but the company’s share price has increased by 5% per year, which means it is well ahead of earnings. Declared Dividend • Jul 09
Final dividend of JP¥6.00 announced Dividend of JP¥6.00 is the same as last year. Ex-date: 29th September 2025 Payment date: 9th December 2025 Dividend yield will be 2.4%, which is higher than the industry average of 1.6%. Sustainability & Growth Dividend is well covered by both earnings (28% earnings payout ratio) and cash flows (26% cash payout ratio). The dividend has increased by an average of 4.1% per year over the past 10 years. However, payments have been volatile during that time. Earnings per share has grown by 16% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. Reported Earnings • Jun 27
Full year 2025 earnings released: EPS: JP¥43.18 (vs JP¥61.86 in FY 2024) Full year 2025 results: EPS: JP¥43.18 (down from JP¥61.86 in FY 2024). Revenue: JP¥122.4b (up 6.1% from FY 2024). Net income: JP¥1.26b (down 32% from FY 2024). Profit margin: 1.0% (down from 1.6% in FY 2024). The decrease in margin was driven by higher expenses. 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 3% per year, which means it is well ahead of earnings. Announcement • Jun 03
Medical System Network Co., Ltd. to Report Q1, 2026 Results on Aug 08, 2025 Medical System Network Co., Ltd. announced that they will report Q1, 2026 results on Aug 08, 2025 Reported Earnings • May 10
Full year 2025 earnings released: EPS: JP¥43.18 (vs JP¥61.86 in FY 2024) Full year 2025 results: EPS: JP¥43.18 (down from JP¥61.86 in FY 2024). Revenue: JP¥122.4b (up 6.1% from FY 2024). Net income: JP¥1.26b (down 32% from FY 2024). Profit margin: 1.0% (down from 1.6% in FY 2024). The decrease in margin was driven by higher expenses. 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 3% per year, which means it is well ahead of earnings. Announcement • May 09
Medical System Network Co., Ltd., Annual General Meeting, Jun 24, 2025 Medical System Network Co., Ltd., Annual General Meeting, Jun 24, 2025. Valuation Update With 7 Day Price Move • Apr 16
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to JP¥456, the stock trades at a trailing P/E ratio of 8.3x. Average trailing P/E is 13x in the Consumer Retailing industry in Japan. Total loss to shareholders of 7.4% over the past three years. Upcoming Dividend • Mar 21
Upcoming dividend of JP¥6.00 per share Eligible shareholders must have bought the stock before 28 March 2025. Payment date: 23 June 2025. Payout ratio is a comfortable 22% and this is well supported by cash flows. Trailing yield: 3.0%. Lower than top quartile of Japanese dividend payers (3.7%). Higher than average of industry peers (1.7%). Announcement • Mar 04
Medical System Network Co., Ltd. to Report Fiscal Year 2025 Results on May 09, 2025 Medical System Network Co., Ltd. announced that they will report fiscal year 2025 results on May 09, 2025 Reported Earnings • Feb 08
Third quarter 2025 earnings released: EPS: JP¥42.36 (vs JP¥27.57 in 3Q 2024) Third quarter 2025 results: EPS: JP¥42.36 (up from JP¥27.57 in 3Q 2024). Revenue: JP¥32.1b (up 8.1% from 3Q 2024). Net income: JP¥1.24b (up 49% from 3Q 2024). Profit margin: 3.9% (up from 2.8% in 3Q 2024). The increase in margin was driven by higher revenue. 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 9% per year. Declared Dividend • Dec 10
First half dividend of JP¥6.00 announced Dividend of JP¥6.00 is the same as last year. Ex-date: 28th March 2025 Payment date: 23rd June 2025 Dividend yield will be 2.8%, which is higher than the industry average of 1.6%. Sustainability & Growth Dividend is well covered by both earnings (29% earnings payout ratio) and cash flows (18% cash payout ratio). The dividend has increased by an average of 4.1% per year over the past 10 years. However, payments have been volatile during that time. Earnings per share has grown by 17% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. Announcement • Dec 06
Medical System Network Co., Ltd. to Report Q3, 2025 Results on Feb 07, 2025 Medical System Network Co., Ltd. announced that they will report Q3, 2025 results on Feb 07, 2025 Reported Earnings • Nov 10
Second quarter 2025 earnings released: EPS: JP¥1.27 (vs JP¥23.63 in 2Q 2024) Second quarter 2025 results: EPS: JP¥1.27 (down from JP¥23.63 in 2Q 2024). Revenue: JP¥30.3b (up 5.3% from 2Q 2024). Net income: JP¥37.0m (down 95% from 2Q 2024). Profit margin: 0.1% (down from 2.5% in 2Q 2024). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 4.8% p.a. on average during the next 3 years, compared to a 2.6% growth forecast for the Consumer Retailing industry in Japan. Over the last 3 years on average, earnings per share has fallen by 15% per year and the company’s share price has also fallen by 15% per year. Upcoming Dividend • Sep 20
Upcoming dividend of JP¥6.00 per share Eligible shareholders must have bought the stock before 27 September 2024. Payment date: 11 December 2024. Payout ratio is a comfortable 19% 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 (1.6%). Announcement • Sep 05
Medical System Network Co., Ltd. to Report Q2, 2025 Results on Nov 08, 2024 Medical System Network Co., Ltd. announced that they will report Q2, 2025 results on Nov 08, 2024 Reported Earnings • Aug 09
First quarter 2025 earnings released: EPS: JP¥5.82 (vs JP¥4.90 in 1Q 2024) First quarter 2025 results: EPS: JP¥5.82 (up from JP¥4.90 in 1Q 2024). Revenue: JP¥29.4b (up 6.4% from 1Q 2024). Net income: JP¥170.0m (up 15% from 1Q 2024). Profit margin: 0.6% (up from 0.5% in 1Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 4.9% p.a. on average during the next 3 years, compared to a 3.4% growth forecast for the Consumer Retailing industry in Japan. Over the last 3 years on average, earnings per share has fallen by 16% per year whereas the company’s share price has fallen by 21% per year. New Risk • Aug 05
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 6.4% 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 High level of debt (103% net debt to equity). 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 (6.4% average weekly change). Market cap is less than US$100m (JP¥12.0b market cap, or US$84.2m). Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment deteriorates as stock falls 25% After last week's 25% share price decline to JP¥410, the stock trades at a forward P/E ratio of 6x. Average forward P/E is 15x in the Consumer Retailing industry in Japan. Total loss to shareholders of 40% over the past three years. New Risk • Aug 02
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: JP¥14.1b (US$95.1m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Minor Risks High level of debt (103% net debt to equity). Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Market cap is less than US$100m (JP¥14.1b market cap, or US$95.1m). Declared Dividend • Jul 11
Final dividend of JP¥6.00 announced Dividend of JP¥6.00 is the same as last year. Ex-date: 27th September 2024 Payment date: 11th December 2024 Dividend yield will be 2.1%, which is higher than the industry average of 1.6%. Sustainability & Growth Dividend is well covered by both earnings (17% earnings payout ratio) and cash flows (6% cash payout ratio). The dividend has increased by an average of 4.1% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 55% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Jun 26
Full year 2024 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2024 results: EPS: JP¥61.86 (up from JP¥53.35 in FY 2023). Revenue: JP¥115.4b (up 5.3% from FY 2023). Net income: JP¥1.86b (up 16% from FY 2023). Profit margin: 1.6% (up from 1.5% in FY 2023). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 1.0%. Earnings per share (EPS) missed analyst estimates by 4.8%. Revenue is forecast to grow 4.9% p.a. on average during the next 3 years, compared to a 3.4% growth forecast for the Consumer Retailing industry in Japan. Over the last 3 years on average, earnings per share has fallen by 15% per year but the company’s share price has only fallen by 7% per year, which means it has not declined as severely as earnings. Reported Earnings • May 13
Full year 2024 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2024 results: EPS: JP¥61.86 (up from JP¥53.35 in FY 2023). Revenue: JP¥115.4b (up 5.3% from FY 2023). Net income: JP¥1.86b (up 16% from FY 2023). Profit margin: 1.6% (up from 1.5% in FY 2023). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 1.0%. Earnings per share (EPS) missed analyst estimates by 4.8%. Revenue is forecast to grow 4.9% p.a. on average during the next 3 years, compared to a 4.4% growth forecast for the Consumer Retailing industry in Japan. Over the last 3 years on average, earnings per share has fallen by 15% per year but the company’s share price has only fallen by 2% per year, which means it has not declined as severely as earnings. Announcement • May 12
Medical System Network Co., Ltd., Annual General Meeting, Jun 20, 2024 Medical System Network Co., Ltd., Annual General Meeting, Jun 20, 2024. Upcoming Dividend • Mar 21
Upcoming dividend of JP¥6.00 per share Eligible shareholders must have bought the stock before 28 March 2024. Payment date: 24 June 2024. Payout ratio is a comfortable 17% and this is well supported by cash flows. Trailing yield: 1.8%. Lower than top quartile of Japanese dividend payers (3.2%). Higher than average of industry peers (1.5%). Announcement • Mar 06
Medical System Network Co., Ltd. to Report Fiscal Year 2024 Results on May 10, 2024 Medical System Network Co., Ltd. announced that they will report fiscal year 2024 results on May 10, 2024 Announcement • Feb 19
Medical System Network Co., Ltd. (TSE:4350) announces an Equity Buyback for 950,000 shares, for ¥555.75 million. Medical System Network Co., Ltd. (TSE:4350) announces a share repurchase program. Under the program, the company will repurchase 950,000 shares, representing 3.11% of its share capital, for ¥555.75 million. The shares will be repurchased at a price of ¥585 per share. The company will repurchase its shares in order to enable flexible capital policy implementation in response to changes in the business environment. The program will run until February 19, 2024. As of December 31, 2023, the company had 30,579,545 shares outstanding (excluding treasury shares) and 63,055 shares in treasury. Reported Earnings • Feb 08
Third quarter 2024 earnings released: EPS: JP¥27.57 (vs JP¥22.96 in 3Q 2023) Third quarter 2024 results: EPS: JP¥27.57 (up from JP¥22.96 in 3Q 2023). Revenue: JP¥29.7b (up 4.1% from 3Q 2023). Net income: JP¥832.0m (up 20% from 3Q 2023). Profit margin: 2.8% (up from 2.4% in 3Q 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 3.1% p.a. on average during the next 3 years, compared to a 2.7% growth forecast for the Consumer Retailing industry in Japan. Over the last 3 years on average, earnings per share has fallen by 6% per year whereas the company’s share price has fallen by 9% per year. New Risk • Jan 17
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 7.8% 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 (7.8% average weekly change). Minor Risks High level of debt (107% net debt to equity). Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Announcement • Dec 08
Medical System Network Co., Ltd. to Report Q3, 2024 Results on Feb 06, 2024 Medical System Network Co., Ltd. announced that they will report Q3, 2024 results on Feb 06, 2024 Major Estimate Revision • Nov 24
Consensus EPS estimates increase by 73% The consensus outlook for fiscal year 2024 has been updated. 2024 EPS estimate increased from JP¥36.40 to JP¥63.00. Revenue forecast steady at JP¥114.2b. Net income forecast to grow 4.1% next year vs 7.4% growth forecast for Consumer Retailing industry in Japan. Consensus price target up from JP¥420 to JP¥600. Share price rose 14% to JP¥577 over the past week. Price Target Changed • Nov 22
Price target increased by 50% to JP¥600 Up from JP¥400, the current price target is provided by 1 analyst. New target price is approximately in line with last closing price of JP¥577. Stock is up 43% over the past year. The company is forecast to post earnings per share of JP¥63.00 for next year compared to JP¥53.35 last year. Reported Earnings • Nov 08
Second quarter 2024 earnings released: EPS: JP¥23.63 (vs JP¥13.62 in 2Q 2023) Second quarter 2024 results: EPS: JP¥23.63 (up from JP¥13.62 in 2Q 2023). Revenue: JP¥28.8b (up 6.5% from 2Q 2023). Net income: JP¥713.0m (up 74% from 2Q 2023). Profit margin: 2.5% (up from 1.5% in 2Q 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 2.6% p.a. on average during the next 3 years, compared to a 2.7% growth forecast for the Consumer Retailing industry in Japan. Over the last 3 years on average, earnings per share has increased by 10% per year but the company’s share price has fallen by 4% per year, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Nov 08
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to JP¥550, the stock trades at a forward P/E ratio of 14x. Average forward P/E is 15x in the Consumer Retailing industry in Japan. Total loss to shareholders of 4.7% over the past three years. Upcoming Dividend • Sep 21
Upcoming dividend of JP¥5.00 per share at 2.5% yield Eligible shareholders must have bought the stock before 28 September 2023. Payment date: 12 December 2023. Payout ratio is a comfortable 22% and this is well supported by cash flows. Trailing yield: 2.5%. Lower than top quartile of Japanese dividend payers (3.3%). Higher than average of industry peers (1.6%). Announcement • Sep 13
Medical System Network Co., Ltd. to Report Q2, 2024 Results on Nov 07, 2023 Medical System Network Co., Ltd. announced that they will report Q2, 2024 results on Nov 07, 2023 Reported Earnings • Aug 09
First quarter 2024 earnings released: EPS: JP¥4.90 (vs JP¥3.02 in 1Q 2023) First quarter 2024 results: EPS: JP¥4.90 (up from JP¥3.02 in 1Q 2023). Revenue: JP¥27.7b (up 5.2% from 1Q 2023). Net income: JP¥148.0m (up 63% from 1Q 2023). Profit margin: 0.5% (up from 0.3% in 1Q 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 2.6% p.a. on average during the next 3 years, compared to a 2.4% growth forecast for the Consumer Retailing industry in Japan. Over the last 3 years on average, earnings per share has increased by 31% per year but the company’s share price has fallen by 7% per year, which means it is significantly lagging earnings. Reported Earnings • Jun 28
Full year 2023 earnings: EPS exceeds analyst expectations Full year 2023 results: EPS: JP¥53.35 (down from JP¥79.35 in FY 2022). Revenue: JP¥109.6b (up 2.7% from FY 2022). Net income: JP¥1.61b (down 33% from FY 2022). Profit margin: 1.5% (down from 2.2% in FY 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 11%. Revenue is forecast to grow 2.8% p.a. on average during the next 3 years, compared to a 2.3% growth forecast for the Consumer Retailing 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 fallen by 7% per year, which means it is significantly lagging earnings. Announcement • Jun 14
Medical System Network Co., Ltd. to Report Q1, 2024 Results on Aug 08, 2023 Medical System Network Co., Ltd. announced that they will report Q1, 2024 results on Aug 08, 2023 Buying Opportunity • May 10
Now 26% undervalued after recent price drop Over the last 90 days, the stock is down 2.7%. The fair value is estimated to be JP¥535, 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. Meanwhile, the company has become profitable. For the next 3 years, revenue is forecast to grow by 4.4% per annum. Earnings is also forecast to grow by 11% per annum over the same time period. Announcement • May 10
Medical System Network Co., Ltd., Annual General Meeting, Jun 21, 2023 Medical System Network Co., Ltd., Annual General Meeting, Jun 21, 2023. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥6.00 per share at 3.0% yield Eligible shareholders must have bought the stock before 30 March 2023. Payment date: 23 June 2023. Payout ratio is a comfortable 25% and this is well supported by cash flows. Trailing yield: 3.0%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.7%). Reported Earnings • Feb 04
Third quarter 2023 earnings released: EPS: JP¥22.96 (vs JP¥23.63 in 3Q 2022) Third quarter 2023 results: EPS: JP¥22.96 (down from JP¥23.63 in 3Q 2022). Revenue: JP¥28.5b (up 3.0% from 3Q 2022). Net income: JP¥693.0m (down 2.8% from 3Q 2022). Profit margin: 2.4% (down from 2.6% in 3Q 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 4.3% p.a. on average during the next 3 years, compared to a 1.7% growth forecast for the Consumer Retailing industry in Japan. Over the last 3 years on average, earnings per share has increased by 57% per year but the company’s share price has fallen by 7% per year, which means it is significantly lagging earnings. Announcement • Dec 10
Medical System Network Co., Ltd. to Report Q3, 2023 Results on Feb 03, 2023 Medical System Network Co., Ltd. announced that they will report Q3, 2023 results on Feb 03, 2023 Board Change • Nov 16
Less than half of directors are independent No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 5 experienced directors. 7 highly experienced directors. 2 independent directors (10 non-independent directors). Independent Outside Director Toshiko Ibe was the last independent director to join the board, commencing their role in 2019. 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 • Nov 06
Second quarter 2023 earnings released: EPS: JP¥13.62 (vs JP¥28.10 in 2Q 2022) Second quarter 2023 results: EPS: JP¥13.62 (down from JP¥28.10 in 2Q 2022). Revenue: JP¥27.0b (up 3.0% from 2Q 2022). Net income: JP¥411.0m (down 52% from 2Q 2022). Profit margin: 1.5% (down from 3.2% in 2Q 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 4.3% p.a. on average during the next 3 years, compared to a 2.1% growth forecast for the Consumer Retailing industry in Japan. Over the last 3 years on average, earnings per share has increased by 63% per year but the company’s share price has fallen by 12% per year, which means it is significantly lagging earnings. Announcement • Nov 05
Medical System Network Co., Ltd. Provides Earnings Guidance for Full Year Ending March 31, 2023 Medical System Network Co., Ltd. Provides Earnings Guidance for Full Year Ending March 31, 2023. For the year, the company expects net sales of JPY 110,000 million, operating profit to be JPY 3,500 million, Profit attributable to owners of parent to be JPY 1,750 million and earnings per share to be JPY 57.99. For the year, the company expects net sales of JPY 110,000 million, operating profit to be JPY 3,500 million, Profit attributable to owners of parent to be JPY 1,750 million and earnings per share to be JPY 57.99. Upcoming Dividend • Sep 22
Upcoming dividend of JP¥6.00 per share Eligible shareholders must have bought the stock before 29 September 2022. Payment date: 13 December 2022. Payout ratio is a comfortable 17% and this is well supported by cash flows. Trailing yield: 3.0%. Lower than top quartile of Japanese dividend payers (3.7%). Higher than average of industry peers (1.6%). Announcement • Sep 07
Medical System Network Co., Ltd. to Report Q2, 2023 Results on Nov 04, 2022 Medical System Network Co., Ltd. announced that they will report Q2, 2023 results on Nov 04, 2022 Reported Earnings • Aug 08
First quarter 2023 earnings released: EPS: JP¥3.02 (vs JP¥19.33 in 1Q 2022) First quarter 2023 results: EPS: JP¥3.02 (down from JP¥19.33 in 1Q 2022). Revenue: JP¥26.3b (up 1.5% from 1Q 2022). Net income: JP¥91.0m (down 84% from 1Q 2022). Profit margin: 0.3% (down from 2.2% in 1Q 2022). The decrease in margin was driven by higher expenses. Over the next year, revenue is forecast to grow 3.8%, compared to a 11% growth forecast for the 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 fallen by 9% per year, which means it is significantly lagging earnings. Announcement • Jun 08
Medical System Network Co., Ltd. to Report Q1, 2023 Results on Aug 05, 2022 Medical System Network Co., Ltd. announced that they will report Q1, 2023 results on Aug 05, 2022 Major Estimate Revision • May 13
Consensus forecasts updated The consensus outlook for 2023 has been updated. 2023 EPS estimate fell from JP¥79.50 to JP¥64.60 per share. Revenue forecast steady at JP¥109.9b. Net income forecast to shrink 19% next year vs 9.2% growth forecast for Consumer Retailing industry in Japan . Consensus price target down from JP¥1,000 to JP¥900. Share price fell 13% to JP¥438 over the past week. Reported Earnings • May 11
Full year 2022 earnings: EPS exceeds analyst expectations Full year 2022 results: EPS: JP¥79.35 (up from JP¥72.51 in FY 2021). Revenue: JP¥106.7b (up 2.3% from FY 2021). Net income: JP¥2.39b (up 8.9% from FY 2021). Profit margin: 2.2% (in line with FY 2021). Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 1.9%. Over the next year, revenue is forecast to grow 3.0%, compared to a 20% growth forecast for the retail industry in Japan. Over the last 3 years on average, earnings per share has increased by 73% per year but the company’s share price has fallen by 3% per year, which means it is significantly lagging earnings. Announcement • May 06
Medical System Network Co., Ltd., Annual General Meeting, Jun 22, 2022 Medical System Network Co., Ltd., Annual General Meeting, Jun 22, 2022. Price Target Changed • Apr 27
Price target decreased to JP¥1,000 Down from JP¥1,100, the current price target is provided by 1 analyst. New target price is 98% above last closing price of JP¥505. Stock is down 37% over the past year. The company is forecast to post earnings per share of JP¥77.90 for next year compared to JP¥72.51 last year.