Kirin Holdings Company, Limited Just Missed EPS By 49%: Here's What Analysts Think Will Happen Next

Kirin Holdings Company, Limited (TSE:2503) shareholders are probably feeling a little disappointed, since its shares fell 2.4% to JP¥2,170 in the week after its latest quarterly results. It looks like a pretty bad result, all things considered. Although revenues of JP¥604b were in line with analyst predictions, statutory earnings fell badly short, missing estimates by 49% to hit JP¥27.22 per share. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

See our latest analysis for Kirin Holdings Company

Taking into account the latest results, Kirin Holdings Company's eleven analysts currently expect revenues in 2025 to be JP¥2.32t, approximately in line with the last 12 months. Per-share earnings are expected to jump 27% to JP¥170. Yet prior to the latest earnings, the analysts had been anticipated revenues of JP¥2.32t and earnings per share (EPS) of JP¥170 in 2025. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

The analysts reconfirmed their price target of JP¥2,282, showing that the business is executing well and in line with expectations. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. The most optimistic Kirin Holdings Company analyst has a price target of JP¥2,600 per share, while the most pessimistic values it at JP¥2,100. The narrow spread of estimates could suggest that the business' future is relatively easy to value, or thatthe analysts have a strong view on its prospects.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. It's pretty clear that there is an expectation that Kirin Holdings Company's revenue growth will slow down substantially, with revenues to the end of 2025 expected to display 1.1% growth on an annualised basis. This is compared to a historical growth rate of 3.6% over the past five years. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 1.8% annually. Factoring in the forecast slowdown in growth, it seems obvious that Kirin Holdings Company is also expected to grow slower than other industry participants.

The Bottom Line

The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. At Simply Wall St, we have a full range of analyst estimates for Kirin Holdings Company going out to 2026, and you can see them free on our platform here..

Even so, be aware that Kirin Holdings Company is showing 1 warning sign in our investment analysis , you should know about...

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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.