Imperial Hotel, Ltd. Just Recorded A 12% EPS Beat: Here's What Analysts Are Forecasting Next

Simply Wall St

The annual results for Imperial Hotel, Ltd. (TSE:9708) were released last week, making it a good time to revisit its performance. Revenues were JP¥53b, approximately in line with expectations, although statutory earnings per share (EPS) performed substantially better. EPS of JP¥21.79 were also better than expected, beating analyst predictions by 12%. This is an important time for investors, as they can track a company's performance in its report, look at what expert is forecasting for next year, and see if there has been any change to expectations for the business. So we collected the latest post-earnings statutory consensus estimate to see what could be in store for next year.

TSE:9708 Earnings and Revenue Growth May 16th 2025

Following the latest results, Imperial Hotel's sole analyst are now forecasting revenues of JP¥56.1b in 2026. This would be a reasonable 6.6% improvement in revenue compared to the last 12 months. Statutory earnings per share are forecast to crater 36% to JP¥13.90 in the same period. Yet prior to the latest earnings, the analyst had been anticipated revenues of JP¥54.2b and earnings per share (EPS) of JP¥14.30 in 2026. So it's pretty clear consensus is mixed on Imperial Hotel after the latest results; whilethe analyst lifted revenue numbers, they also administered a minor downgrade to per-share earnings expectations.

Check out our latest analysis for Imperial Hotel

The analyst also upgraded Imperial Hotel's price target 12% to JP¥1,060, implying that the higher revenue expected to generate enough value to offset the forecast decline in earnings.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. It's pretty clear that there is an expectation that Imperial Hotel's revenue growth will slow down substantially, with revenues to the end of 2026 expected to display 6.6% growth on an annualised basis. This is compared to a historical growth rate of 12% over the past five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 6.6% annually. Factoring in the forecast slowdown in growth, it looks like Imperial Hotel is forecast to grow at about the same rate as the wider industry.

The Bottom Line

The biggest concern is that the analyst reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Imperial Hotel. They also upgraded their revenue forecasts, although the latest estimates suggest that Imperial Hotel will grow in line with the overall industry. There was also a nice increase in the price target, with the analyst clearly feeling that the intrinsic value of the business is improving.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have analyst estimates for Imperial Hotel going out as far as 2028, and you can see them free on our platform here.

Even so, be aware that Imperial Hotel is showing 2 warning signs in our investment analysis , and 1 of those can't be ignored...

Valuation is complex, but we're here to simplify it.

Discover if Imperial Hotel might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.