Board Change • Jul 01
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Outside Independent Director Tsuyoshi Oikawa was the last director to join the board, commencing their role in 2026. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. New Risk • May 17
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 2.3% per year for the foreseeable future. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are expected to decline, then in most cases the share price will decline over time as well. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings are forecast to decline by an average of 2.3% per year for the foreseeable future. Minor Risk Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Reported Earnings • May 17
Full year 2026 earnings: EPS exceeds analyst expectations Full year 2026 results: EPS: JP¥303 (down from JP¥310 in FY 2025). Revenue: JP¥1.00t (up 1.9% from FY 2025). Net income: JP¥10.1b (down 2.2% from FY 2025). Profit margin: 1.0% (in line with FY 2025). Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 15%. Revenue is forecast to grow 2.4% p.a. on average during the next 2 years, compared to a 4.3% growth forecast for the Retail Distributors industry in Japan. Over the last 3 years on average, earnings per share has increased by 4% per year whereas the company’s share price has increased by 5% per year. Announcement • May 14
Arata Corporation, Annual General Meeting, Jun 24, 2026 Arata Corporation, Annual General Meeting, Jun 24, 2026. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥56.00 per share Eligible shareholders must have bought the stock before 30 March 2026. Payment date: 08 June 2026. Payout ratio is a comfortable 41% and this is well supported by cash flows. Trailing yield: 3.8%. Within top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (2.9%). Reported Earnings • Feb 11
Third quarter 2026 earnings released: EPS: JP¥81.16 (vs JP¥107 in 3Q 2025) Third quarter 2026 results: EPS: JP¥81.16 (down from JP¥107 in 3Q 2025). Revenue: JP¥265.0b (flat on 3Q 2025). Net income: JP¥2.72b (down 24% from 3Q 2025). Profit margin: 1.0% (down from 1.4% in 3Q 2025). Revenue is forecast to grow 3.0% p.a. on average during the next 3 years, compared to a 5.2% growth forecast for the Retail Distributors industry in Japan. Over the last 3 years on average, earnings per share has increased by 5% per year but the company’s share price has increased by 16% per year, which means it is tracking significantly ahead of earnings growth. Declared Dividend • Dec 06
First half dividend of JP¥56.00 announced Shareholders will receive a dividend of JP¥56.00. Ex-date: 30th March 2026 Payment date: 8th June 2026 Dividend yield will be 3.7%, which is higher than the industry average of 2.1%. Sustainability & Growth Dividend is covered by both earnings (18% earnings payout ratio) and cash flows (75% cash payout ratio). The dividend has increased by an average of 16% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 38% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Nov 15
Second quarter 2026 earnings released: EPS: JP¥67.26 (vs JP¥70.77 in 2Q 2025) Second quarter 2026 results: EPS: JP¥67.26 (down from JP¥70.77 in 2Q 2025). Revenue: JP¥252.1b (up 2.5% from 2Q 2025). Net income: JP¥2.25b (down 5.0% from 2Q 2025). Profit margin: 0.9% (down from 1.0% in 2Q 2025). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 3.1% p.a. on average during the next 3 years, compared to a 4.2% growth forecast for the Retail Distributors 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 increased by 15% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Nov 08
Arata Corporation to Report Q3, 2026 Results on Feb 10, 2026 Arata Corporation announced that they will report Q3, 2026 results on Feb 10, 2026 Upcoming Dividend • Sep 22
Upcoming dividend of JP¥56.00 per share Eligible shareholders must have bought the stock before 29 September 2025. Payment date: 05 December 2025. Payout ratio is a comfortable 35% and the cash payout ratio is 99%. Trailing yield: 3.6%. Within top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (2.8%). Board Change • Aug 27
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Independent Outside Director Emiko Murei was the last director to join the board, commencing their role in 2025. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Reported Earnings • Aug 07
First quarter 2026 earnings released: EPS: JP¥83.53 (vs JP¥102 in 1Q 2025) First quarter 2026 results: EPS: JP¥83.53 (down from JP¥102 in 1Q 2025). Revenue: JP¥251.2b (up 2.3% from 1Q 2025). Net income: JP¥2.79b (down 19% from 1Q 2025). Profit margin: 1.1% (down from 1.4% in 1Q 2025). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 3.1% p.a. on average during the next 3 years, compared to a 4.2% growth forecast for the Retail Distributors industry in Japan. Over the last 3 years on average, earnings per share has increased by 9% per year but the company’s share price has increased by 17% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Jul 26
Arata Corporation to Report Q2, 2026 Results on Nov 12, 2025 Arata Corporation announced that they will report Q2, 2026 results on Nov 12, 2025 Declared Dividend • Jul 09
Final dividend of JP¥56.00 announced Shareholders will receive a dividend of JP¥56.00. Ex-date: 29th September 2025 Payment date: 5th December 2025 Dividend yield will be 3.5%, which is higher than the industry average of 2.1%. Sustainability & Growth Dividend is covered by earnings (31% earnings payout ratio) but not adequately covered by cash flows (99% cash payout ratio). The dividend has increased by an average of 16% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 28% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Jun 25
Full year 2025 earnings: EPS misses analyst expectations Full year 2025 results: EPS: JP¥310 (up from JP¥303 in FY 2024). Revenue: JP¥986.2b (up 4.5% from FY 2024). Net income: JP¥10.4b (flat on FY 2024). Profit margin: 1.1% (in line with FY 2024). Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 7.7%. Revenue is forecast to grow 3.6% p.a. on average during the next 2 years, compared to a 4.5% growth forecast for the Retail Distributors industry in Japan. Over the last 3 years on average, earnings per share has increased by 9% per year but the company’s share price has increased by 15% per year, which means it is tracking significantly ahead of earnings growth. Announcement • May 23
Arata Corporation to Report Q1, 2026 Results on Aug 05, 2025 Arata Corporation announced that they will report Q1, 2026 results on Aug 05, 2025 Reported Earnings • May 15
Full year 2025 earnings: EPS misses analyst expectations Full year 2025 results: EPS: JP¥310 (up from JP¥303 in FY 2024). Revenue: JP¥986.2b (up 4.5% from FY 2024). Net income: JP¥10.4b (flat on FY 2024). Profit margin: 1.1% (in line with FY 2024). Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 7.7%. Revenue is forecast to grow 3.6% p.a. on average during the next 2 years, compared to a 3.9% growth forecast for the Retail Distributors industry in Japan. Over the last 3 years on average, earnings per share has increased by 9% per year but the company’s share price has increased by 16% per year, which means it is tracking significantly ahead of earnings growth. Announcement • May 13
Arata Corporation, Annual General Meeting, Jun 24, 2025 Arata Corporation, Annual General Meeting, Jun 24, 2025. Upcoming Dividend • Mar 21
Upcoming dividend of JP¥51.00 per share Eligible shareholders must have bought the stock before 28 March 2025. Payment date: 09 June 2025. Payout ratio is a comfortable 31% but the company is paying out more than the cash it is generating. Trailing yield: 3.1%. Lower than top quartile of Japanese dividend payers (3.7%). Higher than average of industry peers (2.8%). Announcement • Feb 28
Arata Corporation to Report Fiscal Year 2025 Results on May 13, 2025 Arata Corporation announced that they will report fiscal year 2025 results on May 13, 2025 Reported Earnings • Feb 07
Third quarter 2025 earnings released: EPS: JP¥107 (vs JP¥89.41 in 3Q 2024) Third quarter 2025 results: EPS: JP¥107 (up from JP¥89.41 in 3Q 2024). Revenue: JP¥263.0b (up 6.2% from 3Q 2024). Net income: JP¥3.59b (up 18% from 3Q 2024). Profit margin: 1.4% (up from 1.2% in 3Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 2.9% p.a. on average during the next 3 years, compared to a 4.0% growth forecast for the Retail Distributors industry in Japan. Over the last 3 years on average, earnings per share has increased by 9% per year but the company’s share price has increased by 17% per year, which means it is tracking significantly ahead of earnings growth. Declared Dividend • Dec 06
First half dividend of JP¥51.00 announced Shareholders will receive a dividend of JP¥51.00. Ex-date: 28th March 2025 Payment date: 9th June 2025 Dividend yield will be 3.4%, which is higher than the industry average of 2.1%. Sustainability & Growth Dividend is covered by earnings (33% earnings payout ratio) but not covered by cash flows (304% cash payout ratio). The dividend has increased by an average of 16% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 33% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Nov 15
Second quarter 2025 earnings released: EPS: JP¥70.77 (vs JP¥73.07 in 2Q 2024) Second quarter 2025 results: EPS: JP¥70.77 (down from JP¥73.07 in 2Q 2024). Revenue: JP¥245.9b (up 4.1% from 2Q 2024). Net income: JP¥2.37b (down 5.1% from 2Q 2024). Profit margin: 1.0% (in line with 2Q 2024). Revenue is forecast to grow 3.1% p.a. on average during the next 3 years, compared to a 3.7% growth forecast for the Retail Distributors industry in Japan. Over the last 3 years on average, earnings per share has increased by 7% per year but the company’s share price has increased by 14% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Oct 22
Arata Corporation to Report Q3, 2025 Results on Feb 06, 2025 Arata Corporation announced that they will report Q3, 2025 results on Feb 06, 2025 Upcoming Dividend • Sep 20
Upcoming dividend of JP¥51.00 per share Eligible shareholders must have bought the stock before 27 September 2024. Payment date: 05 December 2024. Payout ratio is a comfortable 30% and this is well supported by cash flows. Trailing yield: 2.9%. Lower than top quartile of Japanese dividend payers (3.8%). In line with average of industry peers (2.7%). Announcement • Aug 08
Arata Corporation to Report Q2, 2025 Results on Nov 12, 2024 Arata Corporation announced that they will report Q2, 2025 results on Nov 12, 2024 Declared Dividend • Jul 11
Final dividend of JP¥51.00 announced Shareholders will receive a dividend of JP¥51.00. Ex-date: 27th September 2024 Payment date: 5th December 2024 Dividend yield will be 2.9%, which is higher than the industry average of 2.1%. Sustainability & Growth Dividend is well covered by both earnings (38% earnings payout ratio) and cash flows (40% cash payout ratio). The dividend has increased by an average of 16% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 20% over the next 2 years, which should provide support to the dividend and adequate earnings cover. Announcement • May 03
Arata Corporation to Report Q1, 2025 Results on Aug 07, 2024 Arata Corporation announced that they will report Q1, 2025 results on Aug 07, 2024 Upcoming Dividend • Mar 21
Upcoming dividend of JP¥51.00 per share Eligible shareholders must have bought the stock before 28 March 2024. Payment date: 10 June 2024. Payout ratio is a comfortable 38% and this is well supported by cash flows. Trailing yield: 3.1%. Lower than top quartile of Japanese dividend payers (3.2%). Higher than average of industry peers (2.4%). Announcement • Mar 02
Arata Corporation to Report Q4, 2024 Results on May 09, 2024 Arata Corporation announced that they will report Q4, 2024 results on May 09, 2024 Reported Earnings • Feb 08
Third quarter 2024 earnings released Third quarter 2024 results: Revenue: JP¥247.7b (up 6.0% from 3Q 2023). Net income: JP¥3.05b (up 18% from 3Q 2023). Profit margin: 1.2% (up from 1.1% in 3Q 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 2.3% p.a. on average during the next 3 years, compared to a 3.5% growth forecast for the Retail Distributors industry in Japan. New Risk • Nov 15
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 2.0% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. This is currently the only risk that has been identified for the company. Announcement • Nov 09
Arata Corporation (TSE:2733) announces an Equity Buyback for 1,200,000 shares, representing 6.89% for ¥3,000 million. Arata Corporation (TSE:2733) announces a share repurchase program. Under the program, the company will repurchase 1,200,000 shares, representing 6.89% of the outstanding shares for ¥3,000 million. The purpose of the program is to increase shareholder value with the aim of enhancing shareholder returns and improving capital efficiency. The program will run until November 7, 2024. As of September 30, 2023, the company had 17,420,771 shares outstanding and 607,941 shares in treasury. Reported Earnings • Nov 08
Second quarter 2024 earnings released: EPS: JP¥146 (vs JP¥123 in 2Q 2023) Second quarter 2024 results: EPS: JP¥146 (up from JP¥123 in 2Q 2023). Revenue: JP¥236.1b (up 4.9% from 2Q 2023). Net income: JP¥2.50b (up 19% from 2Q 2023). Profit margin: 1.1% (up from 0.9% in 2Q 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 2.5% p.a. on average during the next 3 years, compared to a 3.8% growth forecast for the Retail Distributors industry in Japan. Over the last 3 years on average, earnings per share has increased by 3% per year whereas the company’s share price has increased by 7% per year. Announcement • Oct 05
Arata Corporation to Report Q3, 2024 Results on Feb 06, 2024 Arata Corporation announced that they will report Q3, 2024 results on Feb 06, 2024 Upcoming Dividend • Sep 21
Upcoming dividend of JP¥83.00 per share at 2.9% yield Eligible shareholders must have bought the stock before 28 September 2023. Payment date: 06 December 2023. Payout ratio is a comfortable 26% and this is well supported by cash flows. Trailing yield: 2.9%. Lower than top quartile of Japanese dividend payers (3.3%). Higher than average of industry peers (2.3%). Reported Earnings • Aug 08
First quarter 2024 earnings released: EPS: JP¥187 (vs JP¥149 in 1Q 2023) First quarter 2024 results: EPS: JP¥187 (up from JP¥149 in 1Q 2023). Revenue: JP¥235.2b (up 6.9% from 1Q 2023). Net income: JP¥3.19b (up 25% from 1Q 2023). Profit margin: 1.4% (up from 1.2% in 1Q 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 2.3% p.a. on average during the next 3 years, compared to a 3.8% growth forecast for the Retail Distributors industry in Japan. Over the last 3 years on average, earnings per share has increased by 3% per year and the company’s share price has also increased by 3% per year. Announcement • May 28
Arata Corporation to Report Q2, 2024 Results on Nov 07, 2023 Arata Corporation announced that they will report Q2, 2024 results on Nov 07, 2023 Reported Earnings • May 13
Full year 2023 earnings: EPS misses analyst expectations Full year 2023 results: EPS: JP¥482 (down from JP¥528 in FY 2022). Revenue: JP¥891.6b (up 4.0% from FY 2022). Net income: JP¥8.22b (down 8.7% from FY 2022). Profit margin: 0.9% (down from 1.1% in FY 2022). The decrease in margin was driven by higher expenses. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 9.6%. Revenue is forecast to grow 2.4% p.a. on average during the next 2 years, compared to a 10% growth forecast for the Retail Distributors industry in Asia. Over the last 3 years on average, earnings per share has increased by 5% per year whereas the company’s share price has increased by 1% per year. Announcement • May 11
Arata Corporation, Annual General Meeting, Jun 27, 2023 Arata Corporation, Annual General Meeting, Jun 27, 2023. Agenda: Annual General Meeting. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥68.00 per share at 3.4% yield Eligible shareholders must have bought the stock before 30 March 2023. Payment date: 09 June 2023. Payout ratio is a comfortable 11% and this is well supported by cash flows. Trailing yield: 3.4%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (2.4%). Reported Earnings • Feb 08
Third quarter 2023 earnings released: EPS: JP¥151 (vs JP¥141 in 3Q 2022) Third quarter 2023 results: EPS: JP¥151 (up from JP¥141 in 3Q 2022). Revenue: JP¥233.8b (up 4.7% from 3Q 2022). Net income: JP¥2.58b (up 7.3% from 3Q 2022). Profit margin: 1.1% (in line with 3Q 2022). Revenue is forecast to grow 2.5% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Retail Distributors industry in Asia. Over the last 3 years on average, earnings per share has increased by 7% per year but the company’s share price has fallen by 4% per year, which means it is significantly lagging earnings. Reported Earnings • Nov 09
Second quarter 2023 earnings released: EPS: JP¥123 (vs JP¥150 in 2Q 2022) Second quarter 2023 results: EPS: JP¥123 (down from JP¥150 in 2Q 2022). Revenue: JP¥225.2b (up 4.4% from 2Q 2022). Net income: JP¥2.11b (down 18% from 2Q 2022). Profit margin: 0.9% (down from 1.2% in 2Q 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 2.5% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Retail Distributors industry in Asia. 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 4% per year, which means it is significantly lagging earnings. Upcoming Dividend • Sep 22
Upcoming dividend of JP¥68.00 per share Eligible shareholders must have bought the stock before 29 September 2022. Payment date: 06 December 2022. Payout ratio is a comfortable 22% but the company is paying out more than the cash it is generating. Trailing yield: 3.3%. Lower than top quartile of Japanese dividend payers (3.7%). Higher than average of industry peers (2.5%). Announcement • Sep 04
Arata Corporation to Report Q3, 2023 Results on Feb 06, 2023 Arata Corporation announced that they will report Q3, 2023 results on Feb 06, 2023 Reported Earnings • Aug 03
First quarter 2023 earnings released: EPS: JP¥149 (vs JP¥155 in 1Q 2022) First quarter 2023 results: EPS: JP¥149 (down from JP¥155 in 1Q 2022). Revenue: JP¥220.1b (up 2.9% from 1Q 2022). Net income: JP¥2.55b (down 3.9% from 1Q 2022). Profit margin: 1.2% (in line with 1Q 2022). Over the next year, revenue is forecast to grow 2.7%, compared to a 20% growth forecast for the industry in Japan. Over the last 3 years on average, earnings per share has increased by 9% per year but the company’s share price has only increased by 3% per year, which means it is significantly lagging earnings growth. Announcement • Jul 09
Arata Corporation to Report Q2, 2023 Results on Nov 04, 2022 Arata Corporation announced that they will report Q2, 2023 results on Nov 04, 2022 Announcement • Jun 01
Arata Corporation to Report Q1, 2023 Results on Aug 02, 2022 Arata Corporation announced that they will report Q1, 2023 results on Aug 02, 2022 Reported Earnings • May 11
Full year 2022 earnings: EPS exceeds analyst expectations Full year 2022 results: EPS: JP¥528 (up from JP¥481 in FY 2021). Revenue: JP¥857.1b (up 2.8% from FY 2021). Net income: JP¥9.01b (up 9.9% from FY 2021). Profit margin: 1.1% (up from 1.0% in FY 2021). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 2.6%. Over the next year, revenue is forecast to grow 2.7%, compared to a 12% growth forecast for the retail industry in Japan. Over the last 3 years on average, earnings per share has increased by 10% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Announcement • Apr 07
Arata Corporation to Report Fiscal Year 2022 Results on May 10, 2022 Arata Corporation announced that they will report fiscal year 2022 results on May 10, 2022 Upcoming Dividend • Mar 23
Upcoming dividend of JP¥63.00 per share Eligible shareholders must have bought the stock before 30 March 2022. Payment date: 08 June 2022. Payout ratio is a comfortable 21% but the company is paying out more than the cash it is generating. Trailing yield: 3.0%. Lower than top quartile of Japanese dividend payers (3.4%). Higher than average of industry peers (2.4%). Reported Earnings • Feb 04
Third quarter 2022 earnings: EPS in line with analyst expectations despite revenue beat Third quarter 2022 results: EPS: JP¥141 (down from JP¥153 in 3Q 2021). Revenue: JP¥223.4b (up 2.9% from 3Q 2021). Net income: JP¥2.41b (down 8.1% from 3Q 2021). Profit margin: 1.1% (down from 1.2% in 3Q 2021). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 1.2%. Earnings per share (EPS) were mostly in line with analyst estimates. Over the next year, revenue is forecast to grow 2.7%, compared to a 19% growth forecast for the industry in Japan. Over the last 3 years on average, earnings per share has increased by 10% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Reported Earnings • Nov 05
Second quarter 2022 earnings released: EPS JP¥150 (vs JP¥121 in 2Q 2021) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2022 results: Revenue: JP¥215.7b (up 1.3% from 2Q 2021). Net income: JP¥2.57b (up 25% from 2Q 2021). Profit margin: 1.2% (up from 1.0% in 2Q 2021). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 10% per year but the company’s share price has fallen by 3% per year, which means it is significantly lagging earnings. Upcoming Dividend • Sep 22
Upcoming dividend of JP¥50.00 per share Eligible shareholders must have bought the stock before 29 September 2021. Payment date: 07 December 2021. Trailing yield: 2.2%. Lower than top quartile of Japanese dividend payers (3.0%). In line with average of industry peers (2.0%). Reported Earnings • Jun 30
Full year 2021 earnings released: EPS JP¥481 (vs JP¥413 in FY 2020) The company reported a strong full year result with improved earnings, revenues and profit margins. Full year 2021 results: Revenue: JP¥834.0b (up 4.7% from FY 2020). Net income: JP¥8.20b (up 14% from FY 2020). Profit margin: 1.0% (up from 0.9% in FY 2020). The increase in margin was driven by higher revenue. 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 7% per year, which means it is significantly lagging earnings. Reported Earnings • May 12
Full year 2021 earnings released: EPS JP¥481 (vs JP¥413 in FY 2020) The company reported a strong full year result with improved earnings, revenues and profit margins. Full year 2021 results: Revenue: JP¥834.0b (up 4.7% from FY 2020). Net income: JP¥8.20b (up 14% from FY 2020). Profit margin: 1.0% (up from 0.9% in FY 2020). The increase in margin was driven by higher revenue. 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 17% per year, which means it is significantly lagging earnings. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥45.00 per share Eligible shareholders must have bought the stock before 30 March 2021. Payment date: 09 June 2021. Trailing yield: 1.8%. Lower than top quartile of Japanese dividend payers (2.7%). In line with average of industry peers (1.8%). Announcement • Mar 04
Arata Corporation to Report Fiscal Year 2021 Results on May 10, 2021 Arata Corporation announced that they will report fiscal year 2021 results on May 10, 2021 Is New 90 Day High Low • Feb 24
New 90-day low: JP¥4,550 The company is down 9.0% from its price of JP¥5,010 on 26 November 2020. The Japanese market is up 10.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Retail Distributors industry, which is down 2.0% over the same period. Reported Earnings • Feb 06
Third quarter 2021 earnings released: EPS JP¥153 (vs JP¥114 in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: JP¥217.0b (up 11% from 3Q 2020). Net income: JP¥2.62b (up 33% from 3Q 2020). Profit margin: 1.2% (up from 1.0% in 3Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 7% per year but the company’s share price has only increased by 1% per year, which means it is significantly lagging earnings growth. Analyst Estimate Surprise Post Earnings • Feb 06
Revenue and earnings beat expectations Revenue exceeded analyst estimates by 6.1%. Earnings per share (EPS) also surpassed analyst estimates by 7.4%. Over the next year,revenue is forecast to stay flat, in line with the revenue forecast for the Retail Distributors industry in Japan. Is New 90 Day High Low • Jan 20
New 90-day low: JP¥4,670 The company is down 5.0% from its price of JP¥4,910 on 22 October 2020. The Japanese market is up 13% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Retail Distributors industry, which is down 2.0% over the same period.