Announcement • Oct 15
ONTSU Co.,Ltd. to Delist from Standard Section of the Tokyo Stock Exchange, Effective October 18, 2024 ONTSU Co.,Ltd. will be delisted from Standard Section of the Tokyo Stock Exchange effective from October 18, 2024, due to Reverse stock split. Announcement • Aug 15
GENDA Inc. (TSE:9166) Completed the acquisition of 75.17% stake in ONTSU Co.,Ltd. (TSE:7647) from a group of shareholders. GENDA Inc. (TSE:9166) proposed to acquire a 75.17% stake in ONTSU Co.,Ltd. (TSE:7647) from a group of shareholders for ¥5.04 billion on June 27, 2024. The offer price is ¥33 per share. The offeror will acquire approximately 150 million shares. The tender offer will close on August 13, 2024.
YAMADA Business Consulting Co.,Ltd. acted as financial advisor for ONTSU Co.,Ltd. Nishimura & Asahi acted as legal advisor for ONTSU Co.,Ltd. SMBC Nikko Securities Inc. acted as financial advisor for GENDA Inc. Mori Hamada & Matsumoto LPC acted as legal advisor for GENDA Inc.
GENDA Inc. (TSE:9166) Completed the acquisition of 75.17% stake in ONTSU Co.,Ltd. (TSE:7647) from a group of shareholders on August 13, 2024. Reported Earnings • Aug 14
First quarter 2025 earnings released: EPS: JP¥0.28 (vs JP¥0.29 in 1Q 2024) First quarter 2025 results: EPS: JP¥0.28 (down from JP¥0.29 in 1Q 2024). Revenue: JP¥1.16b (up 3.4% from 1Q 2024). Net income: JP¥58.0m (down 3.3% from 1Q 2024). Profit margin: 5.0% (down from 5.4% in 1Q 2024). Over the last 3 years on average, earnings per share has increased by 40% per year but the company’s share price has only increased by 6% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Jun 28
Investor sentiment improves as stock rises 22% After last week's 22% share price gain to JP¥33.00, the stock trades at a trailing P/E ratio of 30.2x. Average trailing P/E is 14x in the Consumer Retailing industry in Japan. Total returns to shareholders of 13% over the past three years. Reported Earnings • Jun 26
Full year 2024 earnings released: EPS: JP¥1.08 (vs JP¥0.83 in FY 2023) Full year 2024 results: EPS: JP¥1.08 (up from JP¥0.83 in FY 2023). Revenue: JP¥4.42b (up 8.2% from FY 2023). Net income: JP¥222.0m (up 31% from FY 2023). Profit margin: 5.0% (up from 4.1% in FY 2023). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 45% per year but the company’s share price has fallen by 1% per year, which means it is significantly lagging earnings. Announcement • Jun 02
ONTSU Co.,Ltd. to Report Q1, 2025 Results on Aug 09, 2024 ONTSU Co.,Ltd. announced that they will report Q1, 2025 results on Aug 09, 2024 Reported Earnings • May 13
Full year 2024 earnings released: EPS: JP¥1.08 (vs JP¥0.83 in FY 2023) Full year 2024 results: EPS: JP¥1.08 (up from JP¥0.83 in FY 2023). Revenue: JP¥4.42b (up 8.2% from FY 2023). Net income: JP¥222.0m (up 31% from FY 2023). Profit margin: 5.0% (up from 4.1% in FY 2023). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 45% per year but the company’s share price has fallen by 1% per year, which means it is significantly lagging earnings. Announcement • May 12
ONTSU Co.,Ltd., Annual General Meeting, Jun 21, 2024 ONTSU Co.,Ltd., Annual General Meeting, Jun 21, 2024. New Risk • Apr 30
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Japanese stocks, typically moving 5.8% 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 Share price has been volatile over the past 3 months (5.8% average weekly change). Market cap is less than US$100m (JP¥5.38b market cap, or US$34.3m). Upcoming Dividend • Mar 21
Upcoming dividend of JP¥0.12 per share Eligible shareholders must have bought the stock before 28 March 2024. Payment date: 26 June 2024. Payout ratio is a comfortable 24% and this is well supported by cash flows. Trailing yield: 0.9%. Lower than top quartile of Japanese dividend payers (3.2%). Lower than average of industry peers (1.5%). Announcement • Mar 02
ONTSU Co.,Ltd. to Report Fiscal Year 2024 Results on May 10, 2024 ONTSU Co.,Ltd. announced that they will report fiscal year 2024 results on May 10, 2024 Reported Earnings • Feb 11
Third quarter 2024 earnings released: EPS: JP¥0.39 (vs JP¥0.29 in 3Q 2023) Third quarter 2024 results: EPS: JP¥0.39 (up from JP¥0.29 in 3Q 2023). Revenue: JP¥1.14b (up 4.1% from 3Q 2023). Net income: JP¥80.0m (up 36% from 3Q 2023). Profit margin: 7.0% (up from 5.4% in 3Q 2023). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 87% per year but the company’s share price has fallen by 11% per year, which means it is significantly lagging earnings. Announcement • Dec 28
ONTSU Co.,Ltd. to Report Q3, 2024 Results on Feb 09, 2024 ONTSU Co.,Ltd. announced that they will report Q3, 2024 results on Feb 09, 2024 New Risk • Nov 13
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: 4.3% Last year net profit margin: 6.8% 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: Minor Risks Profit margins are more than 30% lower than last year (4.3% net profit margin). Market cap is less than US$100m (JP¥6.00b market cap, or US$39.5m). Upcoming Dividend • Sep 21
Upcoming dividend of JP¥0.12 per share at 0.9% yield Eligible shareholders must have bought the stock before 28 September 2023. Payment date: 05 December 2023. Payout ratio is a comfortable 25% and this is well supported by cash flows. Trailing yield: 0.9%. Lower than top quartile of Japanese dividend payers (3.3%). Lower than average of industry peers (1.6%). Announcement • Aug 30
ONTSU Co.,Ltd. to Report Q2, 2024 Results on Nov 10, 2023 ONTSU Co.,Ltd. announced that they will report Q2, 2024 results on Nov 10, 2023 Reported Earnings • Aug 12
First quarter 2024 earnings released: EPS: JP¥0.29 (vs JP¥0.18 in 1Q 2023) First quarter 2024 results: EPS: JP¥0.29 (up from JP¥0.18 in 1Q 2023). Revenue: JP¥1.12b (up 14% from 1Q 2023). Net income: JP¥60.0m (up 62% from 1Q 2023). Profit margin: 5.4% (up from 3.8% in 1Q 2023). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 118% per year but the company’s share price has fallen by 9% per year, which means it is significantly lagging earnings. Announcement • May 28
ONTSU Co.,Ltd. to Report Q1, 2024 Results on Aug 10, 2023 ONTSU Co.,Ltd. announced that they will report Q1, 2024 results on Aug 10, 2023 Reported Earnings • May 14
Full year 2023 earnings released: EPS: JP¥0.83 (vs JP¥0.51 in FY 2022) Full year 2023 results: EPS: JP¥0.83 (up from JP¥0.51 in FY 2022). Revenue: JP¥4.08b (down 50% from FY 2022). Net income: JP¥169.0m (up 64% from FY 2022). Profit margin: 4.1% (up from 1.3% in FY 2022). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 118% per year but the company’s share price has only increased by 3% per year, which means it is significantly lagging earnings growth. Announcement • May 14
ONTSU Co.,Ltd., Annual General Meeting, Jun 23, 2023 ONTSU Co.,Ltd., Annual General Meeting, Jun 23, 2023. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥0.12 per share at 1.0% yield Eligible shareholders must have bought the stock before 30 March 2023. Payment date: 27 June 2023. Payout ratio is a comfortable 44% and this is well supported by cash flows. Trailing yield: 1.0%. Lower than top quartile of Japanese dividend payers (3.6%). Lower than average of industry peers (1.7%). Reported Earnings • Feb 12
Third quarter 2023 earnings released: EPS: JP¥0.29 (vs JP¥1.06 in 3Q 2022) Third quarter 2023 results: EPS: JP¥0.29 (down from JP¥1.06 in 3Q 2022). Revenue: JP¥1.10b (up 11% from 3Q 2022). Net income: JP¥59.0m (down 73% from 3Q 2022). Profit margin: 5.4% (down from 22% in 3Q 2022). Over the last 3 years on average, earnings per share has increased by 103% per year but the company’s share price has fallen by 1% per year, which means it is significantly lagging earnings. Announcement • Nov 30
ONTSU Co.,Ltd. to Report Q3, 2023 Results on Feb 10, 2023 ONTSU Co.,Ltd. announced that they will report Q3, 2023 results on Feb 10, 2023 Board Change • Nov 16
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. 5 highly experienced directors. 1 independent director (7 non-independent directors). Auditor Yoshikazu Yoshida was the last director to join the board, commencing their role in 2022. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Reported Earnings • Nov 13
Second quarter 2023 earnings released: EPS: JP¥0.29 (vs JP¥0.50 loss in 2Q 2022) Second quarter 2023 results: EPS: JP¥0.29 (up from JP¥0.50 loss in 2Q 2022). Revenue: JP¥1.01b (down 67% from 2Q 2022). Net income: JP¥59.0m (up JP¥160.0m from 2Q 2022). Profit margin: 5.8% (up from net loss in 2Q 2022). Over the last 3 years on average, earnings per share has increased by 86% per year but the company’s share price has fallen by 1% per year, which means it is significantly lagging earnings. Upcoming Dividend • Sep 22
Upcoming dividend of JP¥0.12 per share Eligible shareholders must have bought the stock before 29 September 2022. Payment date: 06 December 2022. Payout ratio is a comfortable 45% and this is well supported by cash flows. Trailing yield: 0.9%. Lower than top quartile of Japanese dividend payers (3.7%). Lower than average of industry peers (1.6%). Reported Earnings • Aug 07
First quarter 2023 earnings released: EPS: JP¥0.18 (vs JP¥0.16 in 1Q 2022) First quarter 2023 results: EPS: JP¥0.18 (up from JP¥0.16 in 1Q 2022). Revenue: JP¥983.0m (down 68% from 1Q 2022). Net income: JP¥37.0m (up 16% from 1Q 2022). Profit margin: 3.8% (up from 1.0% in 1Q 2022). Over the last 3 years on average, earnings per share has increased by 61% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Announcement • May 29
ONTSU Co.,Ltd. to Report Q1, 2023 Results on Aug 05, 2022 ONTSU Co.,Ltd. announced that they will report Q1, 2023 results on Aug 05, 2022 Reported Earnings • May 18
Full year 2022 earnings released: EPS: JP¥0.51 (vs JP¥0.22 in FY 2021) Full year 2022 results: EPS: JP¥0.51 (up from JP¥0.22 in FY 2021). Revenue: JP¥8.12b (down 38% from FY 2021). Net income: JP¥103.0m (up 140% from FY 2021). Profit margin: 1.3% (up from 0.3% in FY 2021). Over the last 3 years on average, earnings per share has increased by 33% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Announcement • May 18
ONTSU Co.,Ltd., Annual General Meeting, Jun 24, 2022 ONTSU Co.,Ltd., Annual General Meeting, Jun 24, 2022. Board Change • Apr 27
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. 7 experienced directors. 5 highly experienced directors. 1 independent director (7 non-independent directors). Director Jun Nakagawa was the last director to join the board, commencing their role in 2015. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Announcement • Apr 08
ONTSU Co.,Ltd. to Report Fiscal Year 2022 Results on May 13, 2022 ONTSU Co.,Ltd. announced that they will report fiscal year 2022 results on May 13, 2022 Upcoming Dividend • Mar 23
Upcoming dividend of JP¥0.12 per share Eligible shareholders must have bought the stock before 30 March 2022. Payment date: 28 June 2022. Payout ratio is a comfortable 41% but the company is not cash flow positive. Trailing yield: 0.9%. Lower than top quartile of Japanese dividend payers (3.4%). Lower than average of industry peers (1.6%). Reported Earnings • Feb 13
Third quarter 2022 earnings: Revenues and EPS in line with analyst expectations Third quarter 2022 results: EPS: JP¥1.06 (up from JP¥0.24 in 3Q 2021). Revenue: JP¥988.0m (down 71% from 3Q 2021). Net income: JP¥216.0m (up 350% from 3Q 2021). Profit margin: 22% (up from 1.4% in 3Q 2021). Revenue was in line with analyst estimates. 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. Reported Earnings • Nov 07
Second quarter 2022 earnings released: JP¥0.50 loss per share (vs JP¥0.14 profit in 2Q 2021) The company reported a poor second quarter result with weaker earnings, revenues and control over costs. Second quarter 2022 results: Revenue: JP¥3.06b (down 7.8% from 2Q 2021). Net loss: JP¥101.0m (down 461% from profit in 2Q 2021). Over the last 3 years on average, earnings per share has fallen by 31% per year but the company’s share price has only fallen by 8% per year, which means it has not declined as severely as earnings. Reported Earnings • Aug 09
First quarter 2022 earnings released: EPS JP¥0.16 (vs JP¥0.02 loss in 1Q 2021) The company reported a decent first quarter result with improved earnings and profit margins, although revenues were weaker. First quarter 2022 results: Revenue: JP¥3.10b (down 6.9% from 1Q 2021). Net income: JP¥32.0m (up JP¥36.0m from 1Q 2021). Profit margin: 1.0% (up from net loss in 1Q 2021). The move to profitability was driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 57% 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 • Jul 14
Watts Co., Ltd. (TSE:2735) entered into an agreement to acquire Ontsu F. Retail Co., Ltd. and Nippan Co., Ltd. from ONTSU Co.,Ltd. (TSE:7647). Watts Co., Ltd. (TSE:2735) entered into an agreement to acquire Ontsu F. Retail Co., Ltd. and Nippan Co., Ltd. from ONTSU Co.,Ltd. (TSE:7647) on July 12, 2021. Watts will acquire 1000 shares of Ontsu F. Retail and 400 shares of Nippan. For the year ended March 2021, Ontsu F. Retail had total assets of ¥2.9 billion, sales of ¥9.1 billion, operating income of ¥330 million, ordinary incomes of ¥309 million and net income of ¥209 million. For the year ended March 2021, Nippan had total assets of ¥190 million, sales of ¥526 million, operating income of ¥0 million, ordinary income of ¥2 million and net profit of ¥17 million. The transaction is expected to be completed by October 1, 2021. Reported Earnings • May 09
Full year 2021 earnings released: EPS JP¥0.22 (vs JP¥3.77 loss in FY 2020) The company reported a decent full year result with improved earnings and profit margins, although revenues were weaker. Full year 2021 results: Revenue: JP¥13.0b (down 13% from FY 2020). Net income: JP¥43.0m (up JP¥780.0m from FY 2020). Profit margin: 0.3% (up from net loss in FY 2020). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 83 percentage points per year, which is a significant difference in performance. Announcement • Mar 04
ONTSU Co.,Ltd. to Report Fiscal Year 2021 Results on May 07, 2021 ONTSU Co.,Ltd. announced that they will report fiscal year 2021 results on May 07, 2021 Is New 90 Day High Low • Feb 12
New 90-day high: JP¥35.00 The company is up 13% from its price of JP¥31.00 on 13 November 2020. The Japanese market is also up 13% over the last 90 days, indicating the company’s price trend is similar to the market over that time. However, it outperformed the Retail Distributors industry, which is up 3.0% over the same period. Reported Earnings • Feb 07
Third quarter 2021 earnings released: EPS JP¥0.24 (vs JP¥0.072 in 3Q 2020) The company reported a decent third quarter result with improved earnings and profit margins, although revenues were weaker. Third quarter 2021 results: Revenue: JP¥3.38b (down 10% from 3Q 2020). Net income: JP¥48.0m (up 243% from 3Q 2020). Profit margin: 1.4% (up from 0.4% in 3Q 2020). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 115 percentage points per year, which is a significant difference in performance. Announcement • Nov 29
ONTSU Co.,Ltd. to Report Q3, 2021 Results on Feb 05, 2021 ONTSU Co.,Ltd. announced that they will report Q3, 2021 results on Feb 05, 2021 Announcement • Sep 03
ONTSU Co.,Ltd. to Report Q2, 2021 Results on Nov 06, 2020 ONTSU Co.,Ltd. announced that they will report Q2, 2021 results on Nov 06, 2020 Announcement • Jun 28
ONTSU Co.,Ltd. to Report Q1, 2021 Results on Aug 07, 2020 ONTSU Co.,Ltd. announced that they will report Q1, 2021 results on Aug 07, 2020