Valuation Update With 7 Day Price Move • 8h
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to JP¥5,804, the stock trades at a forward P/E ratio of 18x. Average forward P/E is 12x in the Basic Materials industry in Japan. Total returns to shareholders of 74% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥10,510 per share. Major Estimate Revision • Jun 12
Consensus EPS estimates fall by 16% The consensus outlook for fiscal year 2027 has been updated. 2027 EPS estimate fell from JP¥377 to JP¥317 per share. Revenue forecast steady at JP¥235.7b. Net income forecast to shrink 11% next year vs 6.7% growth forecast for Basic Materials industry in Japan . Consensus price target up from JP¥4,750 to JP¥5,233. Share price rose 3.7% to JP¥5,630 over the past week. Price Target Changed • Jun 02
Price target increased by 9.7% to JP¥4,750 Up from JP¥4,330, the current price target is an average from 6 analysts. New target price is 7.7% below last closing price of JP¥5,146. Stock is up 36% over the past year. The company is forecast to post earnings per share of JP¥377 for next year compared to JP¥350 last year. Board Change • May 27
Less than half of directors are independent Following the recent departure of a director, there are only 3 independent directors on the board. The company's board is composed of: 3 independent directors. 6 non-independent directors. Outside Independent Director Tatsuya Inagawa was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Live News • May 15
Sumitomo Osaka Cement Targets Balanced Growth as FY2027 Profit Guidance Flags Challenges Sumitomo Osaka Cement reported a strong profit increase in FY2026, supported by higher cement prices and growth in its advanced materials business, while keeping dividends stable.
The company expects sales and operating profit to continue to grow in FY2027 but is guiding for a 10.8% decline in net profit attributable to owners of the parent, citing pressure on the bottom line.
A new FY2026–28 medium-term plan outlines more than ¥100b in investment to expand growth fields, shift the portfolio toward a roughly 50:50 split between cement and non-cement operations, and introduce ROIC-based targets and stricter profitability and efficiency KPIs, alongside a total payout ratio target of at least 50% and a minimum annual dividend of ¥120 per share.
The combination of higher recent profitability, a clear capital allocation framework and business-specific ROIC targets signals that management is prioritizing both returns on growth investment and discipline around underperforming operations.
At the same time, the forecast net profit decline and large planned capex highlight earnings and execution risk, so you may want to watch how cash flows, payout ratios and progress toward the balance between cement and non-cement operations track against the plan over the next few years. Announcement • May 13
Sumitomo Osaka Cement Co., Ltd., Annual General Meeting, Jun 25, 2026 Sumitomo Osaka Cement Co., Ltd., Annual General Meeting, Jun 25, 2026. Announcement • May 09
Sumitomo Osaka Cement Co., Ltd. to Report Fiscal Year 2026 Results on May 13, 2026 Sumitomo Osaka Cement Co., Ltd. announced that they will report fiscal year 2026 results on May 13, 2026 Announcement • Jan 28
Sumitomo Osaka Cement Co., Ltd. Announces to Discontinue Operations of the Power Plant Sumitomo Osaka Cement Co., Ltd. announced with respect to the Ako Power Plant, the facility has been operated as a coal-fired power plant and has primarily supplied electricity to the Company's cement plants. However, after careful consideration of the planned commencement of an emissions trading scheme (GX-ETS), the Company resolved at the Board of Directors' meeting held on January 27, 2026 to discontinue operations of the power plant by the end of March 2026. As a result, the Company will record an extraordinary loss of ¥2,905 million as an impairment loss on non-current assets related to the power plant. Major Estimate Revision • Jan 08
Consensus EPS estimates fall by 12% The consensus outlook for fiscal year 2026 has been updated. 2026 EPS estimate fell from JP¥361 to JP¥319 per share. Revenue forecast steady at JP¥224.5b. Net income forecast to shrink 13% next year vs 4.0% decline forecast for Basic Materials industry in Japan. Consensus price target broadly unchanged at JP¥4,122. Share price was steady at JP¥3,830 over the past week. Announcement • Dec 27
Sumitomo Osaka Cement Co., Ltd. to Report Q3, 2026 Results on Feb 10, 2026 Sumitomo Osaka Cement Co., Ltd. announced that they will report Q3, 2026 results on Feb 10, 2026 Major Estimate Revision • Dec 05
Consensus EPS estimates fall by 14% The consensus outlook for earnings per share (EPS) in fiscal year 2026 has deteriorated. 2026 revenue forecast decreased from JP¥229.9b to JP¥227.6b. EPS estimate also fell from JP¥440 per share to JP¥378 per share. Net income forecast to grow 0.5% next year vs 0.7% growth forecast for Basic Materials industry in Japan. Consensus price target down from JP¥4,425 to JP¥4,222. Share price fell 4.3% to JP¥3,684 over the past week. Declared Dividend • Dec 03
First half dividend of JP¥60.00 announced Dividend of JP¥60.00 is the same as last year. Ex-date: 30th March 2026 Payment date: 29th June 2026 Dividend yield will be 3.2%, which is higher than the industry average of 2.5%. Sustainability & Growth Dividend is covered by earnings (29% earnings payout ratio) but not covered by cash flows (244% cash payout ratio). The dividend has increased by an average of 9.1% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. EPS is expected to grow by 25% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Nov 13
Second quarter 2026 earnings released: EPS: JP¥128 (vs JP¥7.74 in 2Q 2025) Second quarter 2026 results: EPS: JP¥128 (up from JP¥7.74 in 2Q 2025). Revenue: JP¥54.2b (down 2.1% from 2Q 2025). Net income: JP¥4.11b (up JP¥3.85b from 2Q 2025). Profit margin: 7.6% (up from 0.5% in 2Q 2025). Revenue is forecast to grow 4.3% p.a. on average during the next 3 years, compared to a 3.7% growth forecast for the Basic Materials industry in Japan. Over the last 3 years on average, earnings per share has increased by 71% per year but the company’s share price has only increased by 6% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Sep 22
Upcoming dividend of JP¥60.00 per share Eligible shareholders must have bought the stock before 29 September 2025. Payment date: 03 December 2025. Payout ratio is a comfortable 40% but the company is not cash flow positive. Trailing yield: 3.0%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (2.7%). Announcement • Sep 10
Sumitomo Osaka Cement Co., Ltd. to Report Q2, 2026 Results on Nov 11, 2025 Sumitomo Osaka Cement Co., Ltd. announced that they will report Q2, 2026 results on Nov 11, 2025 Reported Earnings • Aug 07
First quarter 2026 earnings released: EPS: JP¥45.12 (vs JP¥20.17 in 1Q 2025) First quarter 2026 results: EPS: JP¥45.12 (up from JP¥20.17 in 1Q 2025). Revenue: JP¥51.5b (down 3.2% from 1Q 2025). Net income: JP¥1.48b (up 116% from 1Q 2025). Profit margin: 2.9% (up from 1.3% in 1Q 2025). Revenue is forecast to grow 4.7% p.a. on average during the next 3 years, compared to a 4.2% growth forecast for the Basic Materials 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 only increased by 3% per year, which means it is significantly lagging earnings growth. Declared Dividend • Jul 09
Final dividend of JP¥60.00 announced Dividend of JP¥60.00 is the same as last year. Ex-date: 29th September 2025 Payment date: 3rd December 2025 Dividend yield will be 3.2%, which is higher than the industry average of 2.5%. Sustainability & Growth Dividend is covered by earnings (35% 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 5.5% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 56% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • Jul 02
Sumitomo Osaka Cement Co., Ltd. to Report Q1, 2026 Results on Aug 05, 2025 Sumitomo Osaka Cement Co., Ltd. announced that they will report Q1, 2026 results on Aug 05, 2025 Announcement • May 16
Sumitomo Osaka Cement Co., Ltd. Announces Dividend for the Fiscal Year March 31, 2025, Payable on June 27, 2025; Provides Dividend Guidance for the Second Quarter and Fiscal Year Ending March, 31 2026 Sumitomo Osaka Cement Co., Ltd. announced a dividend of JPY 60.00 per share for the Fiscal Year March 31, 2025 as compared to JPY 60.00 per share paid a year ago. Scheduled date to commence dividend payments is June 27, 2025.
The company provided dividend guidance for the second quarter and fiscal Year Ending March, 31 2026. For the second quarter, the company expects to pay a dividend of JPY 60.00 per share as compared to JPY 60.00 per share paid a year ago.
For the fiscal Year Ending March, 31 2026, the company expects to pay a dividend of JPY 60.00 per share as compared to JPY 60.00 per share paid a year ago. Reported Earnings • May 15
Full year 2025 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2025 results: EPS: JP¥270 (down from JP¥448 in FY 2024). Revenue: JP¥219.5b (down 1.4% from FY 2024). Net income: JP¥9.01b (down 41% from FY 2024). Profit margin: 4.1% (down from 6.9% in FY 2024). Revenue missed analyst estimates by 1.4%. Earnings per share (EPS) exceeded analyst estimates by 1.0%. Revenue is forecast to grow 4.7% p.a. on average during the next 3 years, compared to a 5.2% growth forecast for the Basic Materials 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 only increased by 4% per year, which means it is significantly lagging earnings growth. New Risk • May 15
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: 4.1% Last year net profit margin: 6.9% 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: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (4.1% net profit margin). Announcement • May 14
Sumitomo Osaka Cement Co., Ltd. (TSE:5232) announces an Equity Buyback for 1,500,000 shares, representing 4.54% for ¥5,000 million. Sumitomo Osaka Cement Co., Ltd. (TSE:5232) announces a share repurchase program. Under the program, the company will repurchase up to 1,500,000 shares, representing 4.54% of its issued share capital (excluding treasury stock), for a total purchase price of ¥5,000 million. The purpose of the program is to return profits to shareholders by improving capital efficiency. The program will continue through September 30, 2025. As of March 31, 2025, the company had 33,063,062 issued shares (excluding treasury stock) and 173,955 treasury shares. Buy Or Sell Opportunity • May 13
Now 20% overvalued after recent price rise Over the last 90 days, the stock has risen 16% to JP¥3,971. The fair value is estimated to be JP¥3,303, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 6.5% over the last 3 years. Earnings per share has grown by 32%. For the next 3 years, revenue is forecast to grow by 4.4% per annum. Earnings are also forecast to grow by 17% per annum over the same time period. Upcoming Dividend • Mar 21
Upcoming dividend of JP¥60.00 per share Eligible shareholders must have bought the stock before 28 March 2025. Payment date: 27 June 2025. Payout ratio is a comfortable 18% and this is well supported by cash flows. Trailing yield: 3.1%. Lower than top quartile of Japanese dividend payers (3.7%). Higher than average of industry peers (2.8%). Announcement • Mar 05
Sumitomo Osaka Cement Co., Ltd. to Report Fiscal Year 2025 Results on May 13, 2025 Sumitomo Osaka Cement Co., Ltd. announced that they will report fiscal year 2025 results on May 13, 2025 Reported Earnings • Feb 15
Third quarter 2025 earnings released: EPS: JP¥174 (vs JP¥138 in 3Q 2024) Third quarter 2025 results: EPS: JP¥174 (up from JP¥138 in 3Q 2024). Revenue: JP¥57.6b (flat on 3Q 2024). Net income: JP¥5.73b (up 21% from 3Q 2024). Profit margin: 10.0% (up from 8.2% in 3Q 2024). Revenue is forecast to grow 5.4% p.a. on average during the next 3 years, compared to a 4.8% growth forecast for the Basic Materials industry in Japan. Over the last 3 years on average, earnings per share has increased by 32% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Announcement • Dec 05
Sumitomo Osaka Cement Co., Ltd. to Report Q3, 2025 Results on Feb 13, 2025 Sumitomo Osaka Cement Co., Ltd. announced that they will report Q3, 2025 results on Feb 13, 2025 Declared Dividend • Dec 04
First half dividend of JP¥60.00 announced Dividend of JP¥60.00 is the same as last year. Ex-date: 28th March 2025 Payment date: 27th June 2025 Dividend yield will be 3.6%, which is higher than the industry average of 2.5%. Sustainability & Growth Dividend is covered by both earnings (39% earnings payout ratio) and cash flows (54% cash payout ratio). The dividend has increased by an average of 9.1% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 76% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Major Estimate Revision • Nov 20
Consensus EPS estimates fall by 10% The consensus outlook for fiscal year 2025 has been updated. 2025 EPS estimate fell from JP¥315 to JP¥283 per share. Revenue forecast steady at JP¥226.3b. Net income forecast to grow 26% next year vs 11% growth forecast for Basic Materials industry in Japan. Consensus price target broadly unchanged at JP¥4,420. Share price was steady at JP¥3,198 over the past week. Reported Earnings • Nov 15
Second quarter 2025 earnings released: EPS: JP¥7.74 (vs JP¥20.29 in 2Q 2024) Second quarter 2025 results: EPS: JP¥7.74 (down from JP¥20.29 in 2Q 2024). Revenue: JP¥55.4b (down 2.9% from 2Q 2024). Net income: JP¥257.0m (down 63% from 2Q 2024). Profit margin: 0.5% (down from 1.2% in 2Q 2024). Revenue is forecast to grow 5.5% p.a. on average during the next 3 years, compared to a 4.6% growth forecast for the Basic Materials industry in Japan. Over the last 3 years on average, earnings per share has increased by 8% per year but the company’s share price has fallen by 1% per year, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Nov 14
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to JP¥3,146, the stock trades at a forward P/E ratio of 9x. Average forward P/E is 9x in the Basic Materials industry in Japan. Total returns to shareholders of 4.1% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥5,260 per share. Upcoming Dividend • Sep 20
Upcoming dividend of JP¥60.00 per share Eligible shareholders must have bought the stock before 27 September 2024. Payment date: 02 December 2024. Payout ratio is a comfortable 38% and this is well supported by cash flows. Trailing yield: 3.0%. Lower than top quartile of Japanese dividend payers (3.8%). In line with average of industry peers (2.9%). Announcement • Aug 28
Sumitomo Osaka Cement Co., Ltd. to Report Q2, 2025 Results on Nov 12, 2024 Sumitomo Osaka Cement Co., Ltd. announced that they will report Q2, 2025 results on Nov 12, 2024 Reported Earnings • Aug 09
First quarter 2025 earnings released: EPS: JP¥20.17 (vs JP¥151 in 1Q 2024) First quarter 2025 results: EPS: JP¥20.17 (down from JP¥151 in 1Q 2024). Revenue: JP¥53.2b (flat on 1Q 2024). Net income: JP¥686.0m (down 87% from 1Q 2024). Profit margin: 1.3% (down from 9.8% in 1Q 2024). Revenue is forecast to grow 5.5% p.a. on average during the next 3 years, compared to a 3.9% growth forecast for the Basic Materials industry in Japan. Over the last 3 years on average, earnings per share has fallen by 11% per year but the company’s share price has increased by 3% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to JP¥3,460, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 11x in the Basic Materials industry in Japan. Total returns to shareholders of 24% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥6,326 per share. Declared Dividend • Jul 11
Final dividend of JP¥60.00 announced Dividend of JP¥60.00 is the same as last year. Ex-date: 27th September 2024 Payment date: 2nd December 2024 Dividend yield will be 2.8%, which is higher than the industry average of 2.5%. Sustainability & Growth Dividend is well covered by both earnings (27% earnings payout ratio) and cash flows (27% cash payout ratio). The dividend has increased by an average of 9.1% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 27% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • Jun 29
Sumitomo Osaka Cement Co., Ltd. to Report Q1, 2025 Results on Aug 06, 2024 Sumitomo Osaka Cement Co., Ltd. announced that they will report Q1, 2025 results on Aug 06, 2024 Reported Earnings • May 18
Full year 2024 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2024 results: EPS: JP¥448 (up from JP¥167 loss in FY 2023). Revenue: JP¥222.5b (up 8.7% from FY 2023). Net income: JP¥15.3b (up JP¥21.1b from FY 2023). Profit margin: 6.9% (up from net loss in FY 2023). Revenue missed analyst estimates by 1.1%. Earnings per share (EPS) exceeded analyst estimates by 26%. Revenue is forecast to grow 4.5% p.a. on average during the next 3 years, compared to a 3.3% growth forecast for the Basic Materials industry in Japan. Over the last 3 years on average, earnings per share has fallen by 30% per year but the company’s share price has increased by 7% per year, which means it is well ahead of earnings. Announcement • May 16
Sumitomo Osaka Cement Co., Ltd., Annual General Meeting, Jun 26, 2024 Sumitomo Osaka Cement Co., Ltd., Annual General Meeting, Jun 26, 2024. Announcement • May 15
Sumitomo Osaka Cement Co., Ltd. (TSE:5232) announces an Equity Buyback for 1,500,000 shares, representing 4.37% for ¥5,000 million. Sumitomo Osaka Cement Co., Ltd. (TSE:5232) announces a share repurchase program. Under the program, the company will repurchase up to 1,500,000 shares, representing 4.37% of its issued share capital (excluding treasury stock), for a total purchase price of ¥5,000 million. The purpose of the program is to return profits to shareholders by improving capital efficiency. The program will continue through August 30, 2024. As of March 31, 2024, the company had 34,287,766 issued shares (excluding treasury stock) and 41,751 treasury shares. Announcement • Apr 03
Sumitomo Osaka Cement Co., Ltd.(TSE:5232) dropped from Nikkei 225 Index Sumitomo Osaka Cement Co., Ltd. has been removed from Nikkei 225 Index. Announcement • Mar 28
Sumitomo Osaka Cement Co., Ltd. to Report Fiscal Year 2024 Results on May 14, 2024 Sumitomo Osaka Cement Co., Ltd. announced that they will report fiscal year 2024 results on May 14, 2024 Upcoming Dividend • Mar 21
Upcoming dividend of JP¥60.00 per share Eligible shareholders must have bought the stock before 28 March 2024. Payment date: 01 July 2024. Payout ratio is a comfortable 62% but the company is not cash flow positive. Trailing yield: 3.1%. Lower than top quartile of Japanese dividend payers (3.2%). Higher than average of industry peers (2.4%). Reported Earnings • Feb 10
Third quarter 2024 earnings released: EPS: JP¥138 (vs JP¥35.17 in 3Q 2023) Third quarter 2024 results: EPS: JP¥138 (up from JP¥35.17 in 3Q 2023). Revenue: JP¥57.7b (up 5.2% from 3Q 2023). Net income: JP¥4.73b (up 292% from 3Q 2023). Profit margin: 8.2% (up from 2.2% in 3Q 2023). Revenue is forecast to grow 4.3% p.a. on average during the next 3 years, compared to a 3.1% growth forecast for the Basic Materials industry in Japan. Over the last 3 years on average, earnings per share has fallen by 61% per year but the company’s share price has increased by 1% per year, which means it is well ahead of earnings. Buy Or Sell Opportunity • Feb 08
Now 20% undervalued Over the last 90 days, the stock has risen 1.5% to JP¥3,711. The fair value is estimated to be JP¥4,655, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 5.7% over the last 3 years. Earnings per share has declined by 69%. For the next 3 years, revenue is forecast to grow by 4.4% per annum. Earnings are also forecast to grow by 26% per annum over the same time period. Announcement • Dec 24
Sumitomo Osaka Cement Co., Ltd. to Report Q3, 2024 Results on Feb 09, 2024 Sumitomo Osaka Cement Co., Ltd. announced that they will report Q3, 2024 results on Feb 09, 2024 Reported Earnings • Nov 10
Second quarter 2024 earnings released: EPS: JP¥20.29 (vs JP¥52.60 loss in 2Q 2023) Second quarter 2024 results: EPS: JP¥20.29 (up from JP¥52.60 loss in 2Q 2023). Revenue: JP¥57.0b (up 14% from 2Q 2023). Net income: JP¥695.0m (up JP¥2.50b from 2Q 2023). Profit margin: 1.2% (up from net loss in 2Q 2023). Revenue is forecast to grow 4.1% p.a. on average during the next 3 years, compared to a 3.6% growth forecast for the Basic Materials industry in Japan. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 73 percentage points per year, which is a significant difference in performance. Buying Opportunity • Oct 30
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 14%. The fair value is estimated to be JP¥4,300, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 7.8% over the last 3 years. Earnings per share has declined by 65%. For the next 3 years, revenue is forecast to grow by 4.6% per annum. Earnings is also forecast to grow by 32% per annum over the same time period. Announcement • Sep 29
Sumitomo Osaka Cement Co., Ltd. to Report Q2, 2024 Results on Nov 09, 2023 Sumitomo Osaka Cement Co., Ltd. announced that they will report Q2, 2024 results on Nov 09, 2023 Upcoming Dividend • Sep 21
Upcoming dividend of JP¥60.00 per share at 3.1% yield Eligible shareholders must have bought the stock before 28 September 2023. Payment date: 01 December 2023. The company is paying out more than 100% of its profits and is cash flow negative. Trailing yield: 3.1%. Lower than top quartile of Japanese dividend payers (3.3%). Higher than average of industry peers (2.6%). Major Estimate Revision • Sep 04
Consensus EPS estimates increase by 17% The consensus outlook for fiscal year 2024 has been updated. 2024 EPS estimate increased from JP¥231 to JP¥270. Revenue forecast steady at JP¥231.4b. Net income forecast to grow 1,896% next year vs 14% growth forecast for Basic Materials industry in Japan. Consensus price target broadly unchanged at JP¥3,933. Share price was steady at JP¥4,118 over the past week. Reported Earnings • Aug 09
First quarter 2024 earnings released: EPS: JP¥151 (vs JP¥32.19 loss in 1Q 2023) First quarter 2024 results: EPS: JP¥151 (up from JP¥32.19 loss in 1Q 2023). Revenue: JP¥52.8b (up 16% from 1Q 2023). Net income: JP¥5.18b (up JP¥6.29b from 1Q 2023). Profit margin: 9.8% (up from net loss in 1Q 2023). Revenue is forecast to grow 5.0% p.a. on average during the next 3 years, compared to a 4.1% growth forecast for the Basic Materials industry in Japan. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 69 percentage points per year, which is a significant difference in performance. Announcement • Aug 03
Sumitomo Osaka Cement Co., Ltd. to Report Q1, 2024 Results on Aug 08, 2023 Sumitomo Osaka Cement Co., Ltd. announced that they will report Q1, 2024 results on Aug 08, 2023 Buying Opportunity • May 30
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 7.8%. The fair value is estimated to be JP¥4,390, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 9.5% over the last 3 years. Meanwhile, the company became loss making. Reported Earnings • May 13
Full year 2023 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2023 results: JP¥167 loss per share (down from JP¥263 profit in FY 2022). Revenue: JP¥204.7b (up 11% from FY 2022). Net loss: JP¥5.72b (down 159% from profit in FY 2022). Revenue exceeded analyst estimates by 1.0%. Earnings per share (EPS) missed analyst estimates significantly. Revenue is forecast to grow 4.3% p.a. on average during the next 3 years, compared to a 5.2% growth forecast for the Basic Materials industry in Japan. Over the last 3 years on average, earnings per share has fallen by 53% per year but the company’s share price has only fallen by 1% per year, which means it has not declined as severely as earnings. Announcement • May 13
Sumitomo Osaka Cement Co., Ltd., Annual General Meeting, Jun 28, 2023 Sumitomo Osaka Cement Co., Ltd., Annual General Meeting, Jun 28, 2023. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥60.00 per share at 3.2% yield Eligible shareholders must have bought the stock before 30 March 2023. Payment date: 29 June 2023. The company is not currently making a profit and is not cash flow positive. Trailing yield: 3.2%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (2.8%). Price Target Changed • Mar 06
Price target increased by 11% to JP¥3,678 Up from JP¥3,328, the current price target is an average from 6 analysts. New target price is approximately in line with last closing price of JP¥3,810. Stock is up 15% over the past year. The company is forecast to post a net loss per share of JP¥26.89 compared to earnings per share of JP¥263 last year. Reported Earnings • Feb 12
Third quarter 2023 earnings released: EPS: JP¥35.17 (vs JP¥60.77 in 3Q 2022) Third quarter 2023 results: EPS: JP¥35.17 (down from JP¥60.77 in 3Q 2022). Revenue: JP¥54.8b (up 14% from 3Q 2022). Net income: JP¥1.21b (down 46% from 3Q 2022). Profit margin: 2.2% (down from 4.7% in 3Q 2022). Revenue is forecast to grow 5.4% p.a. on average during the next 3 years, compared to a 5.3% growth forecast for the Basic Materials industry in Japan. 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 6% per year, which means it has not declined as severely as earnings. Major Estimate Revision • Jan 16
Consensus forecasts updated The consensus outlook for 2023 has been updated. 2023 expected loss increased from -JP¥26.95 to -JP¥39.36 per share. Revenue forecast unchanged at JP¥204.4b. Basic Materials industry in Japan expected to see average net income growth of 27% next year. Consensus price target broadly unchanged at JP¥3,148. Share price was steady at JP¥3,180 over the past week. Announcement • Jan 14
Sumitomo Osaka Cement Co., Ltd. to Report Q3, 2023 Results on Feb 09, 2023 Sumitomo Osaka Cement Co., Ltd. announced that they will report Q3, 2023 results on Feb 09, 2023 Major Estimate Revision • Jan 12
Consensus forecasts updated The consensus outlook for 2023 has been updated. 2023 expected loss increased from -JP¥26.95 to -JP¥39.36 per share. Revenue forecast unchanged at JP¥203.7b. Basic Materials industry in Japan expected to see average net income growth of 27% next year. Consensus price target up from JP¥3,145 to JP¥3,212. Share price was steady at JP¥3,165 over the past week. Major Estimate Revision • Dec 07
Consensus forecasts updated The consensus outlook for 2023 has been updated. Expected to report loss instead of -JP¥21.44 instead of JP¥9.13 per share profit previously forecast. . Revenue forecast unchanged at JP¥205.2b Basic Materials industry in Japan expected to see average net income growth of 21% next year. Consensus price target down from JP¥3,228 to JP¥3,145. Share price was steady at JP¥3,185 over the past week. Major Estimate Revision • Nov 29
Consensus forecasts updated The consensus outlook for 2023 has been updated. 2023 EPS estimate fell from JP¥70.89 to JP¥9.13 per share. Revenue forecast steady at JP¥204.8b. Net income forecast to grow 667% next year vs 23% growth forecast for Basic Materials industry in Japan. Consensus price target up from JP¥3,118 to JP¥3,228. Share price rose 2.5% to JP¥3,345 over the past week. Reported Earnings • Nov 16
Second quarter 2023 earnings released: JP¥52.60 loss per share (vs JP¥88.32 profit in 2Q 2022) Second quarter 2023 results: JP¥52.60 loss per share (down from JP¥88.32 profit in 2Q 2022). Revenue: JP¥50.2b (up 11% from 2Q 2022). Net loss: JP¥1.80b (down 155% from profit in 2Q 2022). Revenue is forecast to grow 4.9% p.a. on average during the next 3 years, compared to a 5.8% growth forecast for the Basic Materials industry in Japan. Over the last 3 years on average, earnings per share has fallen by 15% per year whereas the company’s share price has fallen by 13% per year. Board Change • Nov 16
Less than half of directors are independent Following the recent departure of a director, there are only 3 independent directors on the board. The company's board is composed of: 3 independent directors. 6 non-independent directors. Outside Independent Director Tatsuya Inagawa was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Reported Earnings • Nov 11
Second quarter 2023 earnings released: JP¥52.60 loss per share (vs JP¥88.32 profit in 2Q 2022) Second quarter 2023 results: JP¥52.60 loss per share (down from JP¥88.32 profit in 2Q 2022). Revenue: JP¥50.2b (up 11% from 2Q 2022). Net loss: JP¥1.80b (down 155% from profit in 2Q 2022). Revenue is forecast to grow 4.9% p.a. on average during the next 3 years, compared to a 5.4% growth forecast for the Basic Materials industry in Japan. Over the last 3 years on average, earnings per share has fallen by 15% per year whereas the company’s share price has fallen by 13% per year. Upcoming Dividend • Sep 22
Upcoming dividend of JP¥60.00 per share Eligible shareholders must have bought the stock before 29 September 2022. Payment date: 01 December 2022. Payout ratio is a comfortable 75% but the company is not cash flow positive. Trailing yield: 3.6%. Lower than top quartile of Japanese dividend payers (3.7%). Higher than average of industry peers (2.9%). Price Target Changed • Sep 06
Price target increased to JP¥2,959 Up from JP¥2,744, the current price target is an average from 7 analysts. New target price is 13% below last closing price of JP¥3,420. Stock is up 8.2% over the past year. The company is forecast to post earnings per share of JP¥108 for next year compared to JP¥263 last year. Major Estimate Revision • Aug 24
Consensus forecasts updated The consensus outlook for 2023 has been updated. 2023 EPS estimate fell from JP¥136 to JP¥105 per share. Revenue forecast steady at JP¥203.9b. Net income forecast to shrink 20% next year vs 21% growth forecast for Basic Materials industry in Japan . Consensus price target broadly unchanged at JP¥2,744. Share price fell 3.3% to JP¥3,540 over the past week. Reported Earnings • Aug 11
First quarter 2023 earnings: EPS and revenues miss analyst expectations First quarter 2023 results: JP¥32.19 loss per share (down from JP¥73.83 profit in 1Q 2022). Revenue: JP¥45.5b (up 3.9% from 1Q 2022). Net loss: JP¥1.11b (down 140% from profit in 1Q 2022). Revenue missed analyst estimates by 4.2%. Earnings per share (EPS) also missed analyst estimates by 455%. Over the next year, revenue is forecast to grow 11%, compared to a 8.3% growth forecast for the industry in Japan. Over the last 3 years on average, earnings per share has increased by 2% per year but the company’s share price has fallen by 7% per year, which means it is significantly lagging earnings. Major Estimate Revision • Jul 16
Consensus forecasts updated The consensus outlook for 2023 has been updated. 2023 EPS estimate fell from JP¥180 to JP¥161 per share. Revenue forecast steady at JP¥204.3b. Net income forecast to shrink 43% next year vs 8.4% growth forecast for Basic Materials industry in Japan . Consensus price target up from JP¥2,674 to JP¥2,731. Share price fell 2.3% to JP¥3,470 over the past week. Major Estimate Revision • Jun 10
Consensus forecasts updated The consensus outlook for 2023 has been updated. 2023 EPS estimate fell from JP¥209 to JP¥180 per share. Revenue forecast steady at JP¥205.4b. Net income forecast to shrink 36% next year vs 6.8% growth forecast for Basic Materials industry in Japan . Consensus price target down from JP¥2,746 to JP¥2,674. Share price rose 7.0% to JP¥3,455 over the past week. Price Target Changed • May 31
Price target decreased to JP¥2,746 Down from JP¥3,021, the current price target is an average from 7 analysts. New target price is 14% below last closing price of JP¥3,200. Stock is up 6.0% over the past year. The company is forecast to post earnings per share of JP¥209 for next year compared to JP¥263 last year.