Valuation Update With 7 Day Price Move • Jun 30
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to JP¥417, the stock trades at a trailing P/E ratio of 11.8x. Average trailing P/E is 14x in the IT industry in Japan. Total returns to shareholders of 105% over the past three years. Announcement • Jun 26
Ascentech K.K. to Report Q2, 2027 Results on Sep 14, 2026 Ascentech K.K. announced that they will report Q2, 2027 results on Sep 14, 2026 New Risk • Jun 19
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: JP¥15.9b (US$98.5m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risk Revenue has declined by 20% over the past year. Minor Risk Market cap is less than US$100m (JP¥15.9b market cap, or US$98.5m). Reported Earnings • Jun 16
First quarter 2027 earnings released: EPS: JP¥17.39 (vs JP¥18.56 in 1Q 2026) First quarter 2027 results: EPS: JP¥17.39 (down from JP¥18.56 in 1Q 2026). Revenue: JP¥3.41b (down 46% from 1Q 2026). Net income: JP¥249.0m (down 69% from 1Q 2026). Profit margin: 7.3% (down from 13% in 1Q 2026). The decrease in margin was driven by lower revenue. Valuation Update With 7 Day Price Move • Jun 09
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to JP¥427, the stock trades at a trailing P/E ratio of 8.9x. Average trailing P/E is 14x in the IT industry in Japan. Total returns to shareholders of 111% over the past three years. Valuation Update With 7 Day Price Move • Apr 06
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to JP¥1,336, the stock trades at a trailing P/E ratio of 9.3x. Average trailing P/E is 15x in the IT industry in Japan. Total returns to shareholders of 160% over the past three years. New Risk • Mar 19
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: JP¥16.0b (US$99.8m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Minor Risks Share price has been volatile over the past 3 months (7.4% average weekly change). Market cap is less than US$100m (JP¥16.0b market cap, or US$99.8m). Announcement • Mar 17
Ascentech K.K., Annual General Meeting, Apr 28, 2026 Ascentech K.K., Annual General Meeting, Apr 28, 2026. New Risk • Feb 11
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Japanese stocks, typically moving 7.9% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. This is currently the only risk that has been identified for the company. Board Change • Jan 31
Insufficient new directors There is 1 new director who has joined the board in the last 3 years. The company's board is composed of: 1 new director. 2 experienced directors. 4 highly experienced directors. Independent Outside Director Deana Yaxiu Peng was the last director to join the board, commencing their role in 2023. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Upcoming Dividend • Jan 22
Upcoming dividend of JP¥30.00 per share Eligible shareholders must have bought the stock before 29 January 2026. Payment date: 28 April 2026. Payout ratio is a comfortable 11% and this is well supported by cash flows. Trailing yield: 1.9%. Lower than top quartile of Japanese dividend payers (3.5%). Higher than average of industry peers (1.2%). Valuation Update With 7 Day Price Move • Dec 22
Investor sentiment improves as stock rises 23% After last week's 23% share price gain to JP¥1,604, the stock trades at a trailing P/E ratio of 11.7x. Average trailing P/E is 17x in the IT industry in Japan. Total returns to shareholders of 305% over the past three years. New Risk • Dec 16
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Japanese stocks, typically moving 8.4% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (8.4% average weekly change). Minor Risk Less than 3 years of financial data is available. Reported Earnings • Dec 16
Third quarter 2026 earnings released: EPS: JP¥63.76 (vs JP¥19.43 in 3Q 2025) Third quarter 2026 results: EPS: JP¥63.76 (up from JP¥19.43 in 3Q 2025). Revenue: JP¥3.24b (down 7.9% from 3Q 2025). Net income: JP¥913.0m (up 253% from 3Q 2025). Profit margin: 28% (up from 7.4% in 3Q 2025). The increase in margin was driven by lower expenses. Announcement • Oct 22
Ascentech K.K. to Report Q3, 2026 Results on Dec 15, 2025 Ascentech K.K. announced that they will report Q3, 2026 results on Dec 15, 2025 Announcement • Aug 05
ORIX Corporation (TSE:8591) cancelled the acquisition of Ascentech K.K. (TSE:3565) from group of shareholders. ORIX Corporation (TSE:8591) entered into agreement to acquire Ascentech K.K. (TSE:3565) from group of shareholders for ¥24 billion on June 16, 2025. The cash price per share is ¥1,680 per one common share.
The transaction is subject to minimum tender. The expected completion of the transaction is August 4, 2025. SMBC Nikko Securities Inc. act as transfer agent and financial advisor TMI Associates as legal advisor for ORIX Corporation. City-Yuwa Partners act as legal advisor, SBI Securities Co. Ltd. act as financial advisor for Ascentech K.K. SMBC Nikko Securities Inc. act as tender offer agent in the transaction.
ORIX Corporation (TSE:8591) cancelled the acquisition of Ascentech K.K. (TSE:3565) from group of shareholders on August 4, 2025. The Tender Offer, which commenced on June 17, 2025, was completed on August 4, 2025. As a result of the Tender Offer, the total number of shares tendered (“Tendered Shares”) (9,259,301 shares) did not reach the minimum number of shares to be purchased (9,546,000 shares), and therefore it has been determined that the Offeror will not purchase any of the Tendered Shares. Announcement • Jul 29
Ascentech K.K. to Report Q2, 2026 Results on Sep 16, 2025 Ascentech K.K. announced that they will report Q2, 2026 results on Sep 16, 2025 Reported Earnings • Jun 19
First quarter 2026 earnings released: EPS: JP¥55.68 (vs JP¥7.16 in 1Q 2025) First quarter 2026 results: EPS: JP¥55.68 (up from JP¥7.16 in 1Q 2025). Revenue: JP¥6.25b (up 318% from 1Q 2025). Net income: JP¥791.0m (up JP¥696.0m from 1Q 2025). Profit margin: 13% (up from 6.3% in 1Q 2025). The increase in margin was driven by higher revenue. New Risk • Jun 17
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Japanese stocks, typically moving 10% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (10% average weekly change). Minor Risk Less than 3 years of financial data is available. Valuation Update With 7 Day Price Move • Jun 17
Investor sentiment improves as stock rises 23% After last week's 23% share price gain to JP¥1,766, the stock trades at a trailing P/E ratio of 29.4x. Average trailing P/E is 17x in the IT industry in Japan. Total returns to shareholders of 197% over the past three years. Announcement • Jun 16
ORIX Corporation (TSE:8591) entered into agreement to acquire Ascentech K.K. (TSE:3565) from group of shareholders for ¥24 billion. ORIX Corporation (TSE:8591) entered into agreement to acquire Ascentech K.K. (TSE:3565) from group of shareholders for ¥24 billion on June 16, 2025. The cash price per share is ¥1,680 per one common share.
The transaction is subject to minimum tender. The expected completion of the transaction is August 4, 2025. SMBC Nikko Securities Inc. act as transfer agent and financial advisor TMI Associates as legal advisor for ORIX Corporation. City-Yuwa Partners act as legal advisor, SBI Securities Co. Ltd. act as financial advisor for Ascentech K.K. SMBC Nikko Securities Inc. act as tender offer agent in the transaction. Reported Earnings • May 02
Full year 2025 earnings released: EPS: JP¥63.78 (vs JP¥36.17 in FY 2024) Full year 2025 results: EPS: JP¥63.78 (up from JP¥36.17 in FY 2024). Revenue: JP¥14.6b (up 134% from FY 2024). Net income: JP¥859.0m (up 79% from FY 2024). Profit margin: 5.9% (down from 7.7% in FY 2024). The decrease in margin was driven by higher expenses. Announcement • Apr 29
Ascentech K.K. to Report Q1, 2026 Results on Jun 16, 2025 Ascentech K.K. announced that they will report Q1, 2026 results on Jun 16, 2025 Valuation Update With 7 Day Price Move • Apr 04
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to JP¥989, the stock trades at a trailing P/E ratio of 16.1x. Average trailing P/E is 16x in the IT industry in Japan. Total returns to shareholders of 32% over the past three years. Announcement • Mar 17
Ascentech K.K., Annual General Meeting, Apr 25, 2025 Ascentech K.K., Annual General Meeting, Apr 25, 2025. Valuation Update With 7 Day Price Move • Feb 18
Investor sentiment improves as stock rises 22% After last week's 22% share price gain to JP¥1,142, the stock trades at a trailing P/E ratio of 23.5x. Average trailing P/E is 17x in the IT industry in Japan. Total returns to shareholders of 74% over the past three years. Upcoming Dividend • Jan 23
Upcoming dividend of JP¥15.00 per share Eligible shareholders must have bought the stock before 30 January 2025. Payment date: 28 April 2025. Trailing yield: 1.1%. Lower than top quartile of Japanese dividend payers (3.8%). Lower than average of industry peers (1.4%). Announcement • Jan 17
Ascentech K.K. to Report Fiscal Year 2025 Results on Mar 17, 2025 Ascentech K.K. announced that they will report fiscal year 2025 results on Mar 17, 2025 Buy Or Sell Opportunity • Jan 07
Now 23% undervalued Over the last 90 days, the stock has risen 40% to JP¥909. The fair value is estimated to be JP¥1,181, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Buy Or Sell Opportunity • Dec 20
Now 20% undervalued Over the last 90 days, the stock has risen 62% to JP¥950. The fair value is estimated to be JP¥1,194, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Valuation Update With 7 Day Price Move • Nov 27
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to JP¥752, the stock trades at a trailing P/E ratio of 21.9x. Average trailing P/E is 18x in the IT industry in Japan. Total loss to shareholders of 33% over the past three years. New Risk • Oct 29
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 5.4% 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. Currently, the following risks have been identified for the company: Minor Risks Less than 3 years of financial data is available. Share price has been volatile over the past 3 months (9.6% average weekly change). Shareholders have been diluted in the past year (5.4% increase in shares outstanding). Market cap is less than US$100m (JP¥9.14b market cap, or US$59.6m). Announcement • Oct 26
Ascentech K.K. announced that it has received ¥385.7 million in funding from Cloud Software Group, Inc. On October 25, 2024, Ascentech K.K. closed the transaction. Announcement • Oct 02
Ascentech K.K. to Report Q3, 2025 Results on Dec 11, 2024 Ascentech K.K. announced that they will report Q3, 2025 results on Dec 11, 2024 New Risk • Sep 17
New major risk - Financial data availability The company has not reported any financial data. This is considered a major risk. With no or incomplete audited reported financial data, it is virtually impossible to assess the company's investment potential. Currently, the following risks have been identified for the company: Major Risk No financial data reported. Minor Risks Share price has been volatile over the past 3 months (9.2% average weekly change). Market cap is less than US$100m (JP¥7.79b market cap, or US$55.4m). Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to JP¥508, the stock trades at a trailing P/E ratio of 14.1x. Average trailing P/E is 17x in the IT industry in Japan. Total loss to shareholders of 52% over the past three years. Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to JP¥508, the stock trades at a trailing P/E ratio of 14.1x. Average trailing P/E is 17x in the IT industry in Japan. Total loss to shareholders of 52% over the past three years. Announcement • Jun 17
Ascentech K.K. to Report Q2, 2025 Results on Sep 11, 2024 Ascentech K.K. announced that they will report Q2, 2025 results on Sep 11, 2024 New Risk • May 20
New minor risk - Dividend sustainability The company has a short dividend paying track record. Less than a year of continuous dividend payments. Dividend yield: 1.8% This is considered a minor risk. For dividend focussed investors, companies that have not established a long-term track record of consistently maintaining or growing dividends are less attractive than those companies that have a long track record. Those that have a long track record have proven their underlying business is stable enough to consistently maintain or grow the dividend and that the company considers maintaining the dividend to be one of its priorities. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Minor Risks Less than 3 years of financial data is available. Short dividend paying track record (less than a year of continuous dividend payments). Share price has been volatile over the past 3 months (6.0% average weekly change). Market cap is less than US$100m (JP¥7.26b market cap, or US$46.6m). Announcement • Apr 04
Ascentech K.K. to Report Q1, 2025 Results on Jun 14, 2024 Ascentech K.K. announced that they will report Q1, 2025 results on Jun 14, 2024 Announcement • Mar 17
Ascentech K.K., Annual General Meeting, Apr 25, 2024 Ascentech K.K., Annual General Meeting, Apr 25, 2024. New Risk • Jan 19
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Japanese stocks, typically moving 6.2% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk No financial data reported. Minor Risks Share price has been volatile over the past 3 months (6.2% average weekly change). Market cap is less than US$100m (JP¥7.60b market cap, or US$51.4m). New Risk • Jan 18
New major risk - Financial data availability The company has not reported any financial data. This is considered a major risk. With no or incomplete audited reported financial data, it is virtually impossible to assess the company's investment potential. Currently, the following risks have been identified for the company: Major Risk No financial data reported. Minor Risk Market cap is less than US$100m (JP¥6.50b market cap, or US$43.9m). Announcement • Dec 29
Ascentech K.K. to Report Fiscal Year 2024 Results on Mar 15, 2024 Ascentech K.K. announced that they will report fiscal year 2024 results on Mar 15, 2024 Reported Earnings • Dec 16
Third quarter 2024 earnings released: EPS: JP¥9.57 (vs JP¥7.24 in 3Q 2023) Third quarter 2024 results: EPS: JP¥9.57 (up from JP¥7.24 in 3Q 2023). Revenue: JP¥1.39b (down 11% from 3Q 2023). Net income: JP¥127.0m (up 31% from 3Q 2023). Profit margin: 9.1% (up from 6.2% in 3Q 2023). The increase in margin was driven by lower expenses. 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 36% per year, which means it is significantly lagging earnings. Announcement • Sep 16
Ascentech K.K. to Report Q3, 2024 Results on Dec 13, 2023 Ascentech K.K. announced that they will report Q3, 2024 results on Dec 13, 2023 Announcement • Jun 14
Ascentech K.K. to Report Q2, 2024 Results on Sep 13, 2023 Ascentech K.K. announced that they will report Q2, 2024 results on Sep 13, 2023 Reported Earnings • Jun 14
First quarter 2024 earnings released: EPS: JP¥9.65 (vs JP¥10.75 in 1Q 2023) First quarter 2024 results: EPS: JP¥9.65 (down from JP¥10.75 in 1Q 2023). Revenue: JP¥1.39b (down 11% from 1Q 2023). Net income: JP¥128.0m (down 11% from 1Q 2023). Profit margin: 9.2% (in line with 1Q 2023). Over the last 3 years on average, earnings per share has fallen by 13% per year but the company’s share price has fallen by 26% per year, which means it is performing significantly worse than earnings. New Risk • Jun 08
New major risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Japanese stocks, typically moving 7.7% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Share price has been volatile over the past 3 months (7.7% average weekly change). Market cap is less than US$100m (JP¥9.51b market cap, or US$68.0m). Valuation Update With 7 Day Price Move • Jun 02
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to JP¥705, the stock trades at a trailing P/E ratio of 21.4x. Average trailing P/E is 19x in the IT industry in Japan. Total loss to shareholders of 58% over the past three years. Reported Earnings • May 03
Full year 2023 earnings released: EPS: JP¥32.84 (vs JP¥36.89 in FY 2022) Full year 2023 results: EPS: JP¥32.84 (down from JP¥36.89 in FY 2022). Revenue: JP¥6.32b (down 2.6% from FY 2022). Net income: JP¥439.0m (down 12% from FY 2022). Profit margin: 7.0% (down from 7.6% in FY 2022). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 15% per year but the company’s share price has fallen by 27% per year, which means it is performing significantly worse than earnings. Valuation Update With 7 Day Price Move • Apr 18
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to JP¥637, the stock trades at a trailing P/E ratio of 19.4x. Average trailing P/E is 18x in the IT industry in Japan. Total loss to shareholders of 58% over the past three years. Reported Earnings • Mar 17
Full year 2023 earnings released: EPS: JP¥32.84 (vs JP¥36.89 in FY 2022) Full year 2023 results: EPS: JP¥32.84 (down from JP¥36.89 in FY 2022). Revenue: JP¥6.32b (down 2.6% from FY 2022). Net income: JP¥439.0m (down 12% from FY 2022). Profit margin: 7.0% (down from 7.6% in FY 2022). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 15% per year but the company’s share price has fallen by 23% per year, which means it is performing significantly worse than earnings. Buying Opportunity • Mar 10
Now 22% undervalued Over the last 90 days, the stock is up 2.2%. The fair value is estimated to be JP¥658, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 2.8% over the last 3 years. Earnings per share has declined by 17%. Buying Opportunity • Feb 15
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 4.5%. The fair value is estimated to be JP¥661, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 2.8% over the last 3 years. Earnings per share has declined by 17%. Upcoming Dividend • Jan 23
Inaugural dividend of JP¥7.00 per share Eligible shareholders must have bought the stock before 30 January 2023. Payment date: 27 April 2023. This is the first dividend for Ascentech K.K since going public. The average dividend yield among industry peers is 1.7%. Announcement • Dec 30
Ascentech K.K. to Report Fiscal Year 2023 Results on Mar 15, 2023 Ascentech K.K. announced that they will report fiscal year 2023 results on Mar 15, 2023 Reported Earnings • Dec 17
Third quarter 2023 earnings released: EPS: JP¥7.24 (vs JP¥8.96 in 3Q 2022) Third quarter 2023 results: EPS: JP¥7.24 (down from JP¥8.96 in 3Q 2022). Revenue: JP¥1.56b (down 3.8% from 3Q 2022). Net income: JP¥97.0m (down 19% from 3Q 2022). Profit margin: 6.2% (down from 7.4% in 3Q 2022). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 17% per year whereas the company’s share price has fallen by 22% per year. Announcement • Sep 17
Ascentech K.K. to Report Q3, 2023 Results on Dec 14, 2022 Ascentech K.K. announced that they will report Q3, 2023 results on Dec 14, 2022 Reported Earnings • Sep 16
Second quarter 2023 earnings released: EPS: JP¥8.21 (vs JP¥9.36 in 2Q 2022) Second quarter 2023 results: EPS: JP¥8.21 (down from JP¥9.36 in 2Q 2022). Revenue: JP¥1.50b (down 9.9% from 2Q 2022). Net income: JP¥110.0m (down 13% from 2Q 2022). Profit margin: 7.3% (down from 7.6% in 2Q 2022). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 20% per year but the company’s share price has only fallen by 15% per year, which means it has not declined as severely as earnings. Announcement • Sep 15
Ascentech K.K. (TSE:3565) announces an Equity Buyback for 150,000 shares, representing 1.12% for ¥100 million. Ascentech K.K. (TSE:3565) announces a share repurchase program. Under the program, the company will repurchase up to 150,000 shares, representing 1.12% of its issued share capital for ¥100 million. The purpose of the program is to improve shareholder interests by improving capital efficiency and to implement flexible capital policies. The program will run until January 31, 2023. As of July 31, 2022, the company had 13,415,628 shares in issue and 121,172 shares in treasury. Announcement • Jun 15
Ascentech K.K. to Report Q2, 2023 Results on Sep 14, 2022 Ascentech K.K. announced that they will report Q2, 2023 results on Sep 14, 2022 Reported Earnings • Jun 14
First quarter 2023 earnings released: EPS: JP¥10.75 (vs JP¥11.16 in 1Q 2022) First quarter 2023 results: EPS: JP¥10.75 (down from JP¥11.16 in 1Q 2022). Revenue: JP¥1.56b (down 9.8% from 1Q 2022). Net income: JP¥144.0m (down 4.6% from 1Q 2022). Profit margin: 9.2% (up from 8.7% in 1Q 2022). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 24% per year but the company’s share price has only fallen by 9% per year, which means it has not declined as severely as earnings. Reported Earnings • Mar 15
Full year 2022 earnings: Revenues and EPS in line with analyst expectations Full year 2022 results: EPS: JP¥36.89 (up from JP¥31.19 in FY 2021). Revenue: JP¥6.48b (up 8.4% from FY 2021). Net income: JP¥496.0m (up 18% from FY 2021). Profit margin: 7.6% (up from 7.1% in FY 2021). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Over the last 3 years on average, earnings per share has fallen by 30% 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. Upcoming Dividend • Jan 21
Inaugural dividend of JP¥3.50 per share Eligible shareholders must have bought the stock before 28 January 2022. Payment date: 27 April 2022. The company is not currently making a profit and is not cash flow positive. This is the first dividend for Ascentech K.K since going public. The average dividend yield among industry peers is 1.4%. Valuation Update With 7 Day Price Move • Dec 17
Investor sentiment deteriorated over the past week After last week's 18% share price decline to JP¥963, the stock trades at a trailing P/E ratio of 28.3x. Average trailing P/E is 20x in the IT industry in Japan. Total returns to shareholders of 19% over the past three years. Reported Earnings • Dec 14
Third quarter 2022 earnings: Revenues and EPS in line with analyst expectations Third quarter 2022 results: EPS: JP¥8.96 (up from JP¥4.40 in 3Q 2021). Revenue: JP¥1.63b (up 12% from 3Q 2021). Net income: JP¥120.0m (flat on 3Q 2021). Profit margin: 7.4% (down from 8.2% in 3Q 2021). The decrease in margin was driven by higher expenses. Revenue was in line with analyst estimates. Over the last 3 years on average, earnings per share has fallen by 33% per year but the company’s share price has increased by 6% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Aug 23
Investor sentiment improved over the past week After last week's 16% share price gain to JP¥1,179, the stock trades at a trailing P/E ratio of 39.9x. Average trailing P/E is 21x in the IT industry in Japan. Total returns to shareholders of 41% over the past three years. Reported Earnings • Jun 11
First quarter 2022 earnings released: EPS JP¥11.16 (vs JP¥18.18 in 1Q 2021) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2022 results: Revenue: JP¥1.73b (up 1.5% from 1Q 2021). Net income: JP¥151.0m (up 23% from 1Q 2021). Profit margin: 8.7% (up from 7.2% in 1Q 2021). Over the last 3 years on average, earnings per share has fallen by 22% per year but the company’s share price has increased by 19% per year, which means it is well ahead of earnings. Announcement • Jun 10
Ascentech K.K. (TSE:3565) announces an Equity Buyback for 140,000 shares, representing 1.03% for ¥200 million. Ascentech K.K. (TSE:3565) announces a share repurchase program. Under the program, the company will repurchase up to 140,000 shares, representing 1.03% of its issued share capital (excluding treasury stock), at ¥1,428.57 per share, for ¥200 million. The purpose of the program is to improve shareholder interests by improving capital efficiency and to implement flexible capital policies. The program will run until October 31, 2021. As of January 31, 2021, the company had 13,532,028 shares in issue (excluding treasury stock) and 372 shares in treasury. Reported Earnings • May 03
Full year 2021 earnings released: EPS JP¥31.19 (vs JP¥48.40 in FY 2020) The company reported a solid full year result with improved earnings and profit margins, although revenues were flat. Full year 2021 results: Revenue: JP¥5.98b (flat on FY 2020). Net income: JP¥422.0m (up 30% from FY 2020). Profit margin: 7.1% (up from 5.5% in FY 2020). Over the last 3 years on average, earnings per share has fallen by 16% per year but the company’s share price has increased by 30% per year, which means it is well ahead of earnings. Announcement • Mar 12
Ascentech K.K., Annual General Meeting, Apr 26, 2021 Ascentech K.K., Annual General Meeting, Apr 26, 2021. Reported Earnings • Mar 12
Full year 2021 earnings released: EPS JP¥31.19 (vs JP¥48.40 in FY 2020) The company reported a solid full year result with improved earnings and profit margins, although revenues were flat. Full year 2021 results: Revenue: JP¥5.98b (flat on FY 2020). Net income: JP¥422.0m (up 30% from FY 2020). Profit margin: 7.1% (up from 5.5% in FY 2020). Over the last 3 years on average, earnings per share has fallen by 16% per year but the company’s share price has increased by 33% per year, which means it is well ahead of earnings. Is New 90 Day High Low • Feb 20
New 90-day low: JP¥1,763 The company is down 12% from its price of JP¥1,997 on 20 November 2020. The Japanese market is up 12% over the last 90 days, indicating the company underperformed over that time. It also underperformed the IT industry, which is up 8.0% over the same period. Announcement • Jan 01
Ascentech K.K. to Report Fiscal Year 2021 Results on Mar 10, 2021 Ascentech K.K. announced that they will report fiscal year 2021 results on Mar 10, 2021 Is New 90 Day High Low • Dec 22
New 90-day low: JP¥1,774 The company is down 22% from its price of JP¥2,269 on 23 September 2020. The Japanese market is up 8.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the IT industry, which is up 1.0% over the same period. Reported Earnings • Dec 12
Third quarter 2021 earnings released: EPS JP¥4.40 The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: JP¥1.45b (up 3.3% from 3Q 2020). Net income: JP¥119.0m (up 53% from 3Q 2020). Profit margin: 8.2% (up from 5.6% in 3Q 2020). The increase in margin was driven by higher revenue. 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 29% per year, which means it is well ahead of earnings. Is New 90 Day High Low • Dec 04
New 90-day low: JP¥1,876 The company is down 10.0% from its price of JP¥2,077 on 04 September 2020. The Japanese market is up 10.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the IT industry, which is up 8.0% over the same period.