Skylark Holdings
Market Cap
JP¥353.3b
Last Updated
2020/06/06 18:14 UTC
Data Sources
Company Financials +
Executive Summary
Skylark Holdings Co., Ltd. operates restaurants in Japan and internationally.
Rewards
Risk Analysis
Snowflake Analysis
Adequate balance sheet and slightly overvalued.
Share Price & News
How has Skylark Holdings's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 3197 has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
2.4%
3197
0.09%
JP Hospitality
2.8%
JP Market
1 Year Return
-9.7%
3197
0.7%
JP Hospitality
5.4%
JP Market
Return vs Industry: 3197 underperformed the JP Hospitality industry which returned 0.7% over the past year.
Return vs Market: 3197 underperformed the JP Market which returned 5.4% over the past year.
Shareholder returns
| 3197 | Industry | Market | |
|---|---|---|---|
| 7 Day | 2.4% | 0.09% | 2.8% |
| 30 Day | 12.0% | 14.5% | 12.4% |
| 90 Day | 10.0% | 14.6% | 9.3% |
| 1 Year | -8.9%-9.7% | 1.4%0.7% | 8.2%5.4% |
| 3 Year | 7.1%1.4% | 35.0%31.5% | 9.9%2.4% |
| 5 Year | 20.1%8.5% | 42.4%36.2% | 14.2%1.7% |
Price Volatility Vs. Market
How volatile is Skylark Holdings's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Valuation
Is Skylark Holdings undervalued compared to its fair value and its price relative to the market?
31.0%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: 3197 (¥1789) is trading below our estimate of fair value (¥2591.14)
Significantly Below Fair Value: 3197 is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: 3197 is poor value based on its PE Ratio (50.3x) compared to the Hospitality industry average (27.4x).
PE vs Market: 3197 is poor value based on its PE Ratio (50.3x) compared to the JP market (15.3x).
Price to Earnings Growth Ratio
PEG Ratio: 3197 is poor value based on its PEG Ratio (3.9x)
Price to Book Ratio
PB vs Industry: 3197 is overvalued based on its PB Ratio (2.7x) compared to the JP Hospitality industry average (2.2x).
Next Steps
Future Growth
How is Skylark Holdings forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
12.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 3197's forecast earnings growth (12.9% per year) is above the savings rate (0.05%).
Earnings vs Market: 3197's earnings (12.9% per year) are forecast to grow faster than the JP market (12.2% per year).
High Growth Earnings: 3197's earnings are forecast to grow, but not significantly.
Revenue vs Market: 3197's revenue (1.9% per year) is forecast to grow slower than the JP market (3.1% per year).
High Growth Revenue: 3197's revenue (1.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 3197's Return on Equity is forecast to be low in 3 years time (5.3%).
Next Steps
Past Performance
How has Skylark Holdings performed over the past 5 years?
-6.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 3197 has a large one-off loss of ¥4.3B impacting its March 31 2020 financial results.
Growing Profit Margin: 3197's current net profit margins (1.9%) are lower than last year (3.1%).
Past Earnings Growth Analysis
Earnings Trend: 3197's earnings have declined by -6.7% per year over the past 5 years.
Accelerating Growth: 3197's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: 3197 had negative earnings growth (-38.1%) over the past year, making it difficult to compare to the Hospitality industry average (-10%).
Return on Equity
High ROE: 3197's Return on Equity (5.4%) is considered low.
Next Steps
Financial Health
How is Skylark Holdings's financial position?
Financial Position Analysis
Short Term Liabilities: 3197's short term assets (¥34.4B) do not cover its short term liabilities (¥98.5B).
Long Term Liabilities: 3197's short term assets (¥34.4B) do not cover its long term liabilities (¥226.9B).
Debt to Equity History and Analysis
Debt Level: 3197's debt to equity ratio (9.9%) is considered satisfactory.
Reducing Debt: 3197's debt to equity ratio has reduced from 141.2% to 9.9% over the past 5 years.
Debt Coverage: 3197's debt is well covered by operating cash flow (429.9%).
Interest Coverage: 3197's interest payments on its debt are well covered by EBIT (6.1x coverage).
Balance Sheet
Next Steps
Dividend
What is Skylark Holdings's current dividend yield, its reliability and sustainability?
1.06%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: 3197's dividend (1.06%) isn’t notable compared to the bottom 25% of dividend payers in the JP market (1.44%).
High Dividend: 3197's dividend (1.06%) is low compared to the top 25% of dividend payers in the JP market (3.33%).
Stability and Growth of Payments
Stable Dividend: 3197 has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: 3197 has only been paying a dividend for 5 years, and since then payments have fallen.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (53.4%), 3197's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
0.4yrs
Average management tenure
CEO
Makoto Tani (68yo)
11.83yrs
Tenure
JP¥382,000,000
Compensation
Mr. Makoto Tani has been the Chief Executive Officer at Skylark Holdings Co., Ltd. (Previous name Skylark Co., Ltd) since August 2008. Mr. Tani has been the President of Skylark Holdings Co., Ltd. (Previou ...
CEO Compensation Analysis
Compensation vs Market: Makoto's total compensation ($USD3.48M) is above average for companies of similar size in the JP market ($USD1.17M).
Compensation vs Earnings: Makoto's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 11.83yrs | JP¥382.00m | 0.025% ¥89.5m | |
| Executive Officer & MD of Financial Division | 0.33yr | no data | no data | |
| Executive Officer and MD of IT & Marketing Division | 0.42yr | no data | no data | |
| Executive Officer & MD of Human Capital Management Division | 1.67yrs | no data | no data | |
| Executive Officer | 0.083yr | no data | no data | |
| Managing Executive Officer & Corporate Director | 0.25yr | no data | no data | |
| Managing Exec. Officer | 2.25yrs | no data | 0.0030% ¥10.7m | |
| Executive Officer & MD of Store Development Division | 7.42yrs | no data | no data | |
| Executive Officer & MD of Supply Chain Production Division | 0.083yr | no data | no data | |
| Managing Executive Officer | 2.25yrs | no data | 0.0025% ¥8.9m |
0.4yrs
Average Tenure
Experienced Management: 3197's management team is not considered experienced ( 0.4 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 11.83yrs | JP¥382.00m | 0.025% ¥89.5m | |
| Managing Executive Officer & Corporate Director | 0.25yr | no data | no data | |
| Managing Exec. Officer | 2.25yrs | no data | 0.0030% ¥10.7m | |
| Managing Executive Officer | 2.25yrs | no data | 0.0025% ¥8.9m | |
| Independent Outside Director | 6.25yrs | no data | 0.0015% ¥5.4m | |
| Corporate Auditor | 9.25yrs | no data | 0.0010% ¥3.6m | |
| Independent Outside Director | 2.25yrs | no data | 0.00051% ¥1.8m | |
| Outside Corporate Auditor | 4.17yrs | no data | 0.00051% ¥1.8m | |
| Corporate Director | 3.25yrs | no data | 0.0051% ¥17.9m | |
| Independent Outside Director | 1.25yrs | no data | no data |
2.3yrs
Average Tenure
69.5yo
Average Age
Experienced Board: 3197's board of directors are not considered experienced ( 2.3 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Skylark Holdings Co., Ltd.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Skylark Holdings Co., Ltd.
- Ticker: 3197
- Exchange: TSE
- Founded: 1962
- Industry: Restaurants
- Sector: Consumer Services
- Market Cap: JP¥353.331b
- Shares outstanding: 197.50m
- Website: https://www.skylark.co.jp
Number of Employees
Location
- Skylark Holdings Co., Ltd.
- 1-25-8 Nishikubo
- Musashino-shi
- Musashino
- Tokyo
- 180-8580
- Japan
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 3197 | TSE (The Tokyo Stock Exchange) | Yes | Common Stock | JP | JPY | Oct 2014 |
| SKX | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Oct 2014 |
| SKLY.F | OTCPK (Pink Sheets LLC) | Yes | Common Stock | US | USD | Oct 2014 |
Biography
Skylark Holdings Co., Ltd. operates restaurants in Japan and internationally. The company operates Western, Chinese, Japanese, Sushi, and Italian restaurants primarily under the Gusto, Bamiyan, Jonathan´s, Syabuyo, Yumean, Steak Gusto, Grazie Gardens, Aiya, S Gusto, Totoyamichi, chawan, miwami, Tonkaratei, Katsukyu, Karayoshi, Bamiyan Ken, MUSASHI NO MORI COFFEE, Tomato and Onion, Jyu-Jyu Karubi, and FLO PRESTIGE brand names. It also provides delivery and take-out services. As of September 30, 2019, it operated 3,235 stores in Japan and internationally. The company was formerly known as Skylark Co., Ltd. and changed its name to Skylark Holdings Co., Ltd. in July 2018. Skylark Holdings Co., Ltd. was founded in 1962 and is based in Musashino, Japan.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/06/06 18:14 |
| End of Day Share Price | 2020/06/05 00:00 |
| Earnings | 2020/03/31 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.