Announcement • May 14
TDC SOFT Inc. (TSE:4687) announces an Equity Buyback for 800,000 shares, representing 1.67% for ¥772 million. TDC SOFT Inc. (TSE:4687) announces a share repurchase program. Under the program, the company will repurchase 800,000 shares, representing 1.67% of its issued share capital, for ¥772 million. The repurchase price will be ¥965 per share. The purpose of the program is to implement agile capital policies in response to changes in the business environment while improving capital efficiency and enhancing shareholder returns. As of March 31, 2026, the company had 47,838,975 issued shares (excluding treasury stock) and 2,388,225 treasury shares. Reported Earnings • May 13
Full year 2026 earnings: EPS exceeds analyst expectations Full year 2026 results: EPS: JP¥82.10 (up from JP¥72.84 in FY 2025). Revenue: JP¥48.4b (up 8.9% from FY 2025). Net income: JP¥3.88b (up 13% from FY 2025). Profit margin: 8.0% (up from 7.7% in FY 2025). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 2.1%. Revenue is forecast to grow 7.9% p.a. on average during the next 2 years, compared to a 5.2% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 17% per year but the company’s share price has only increased by 10% per year, which means it is significantly lagging earnings growth. Announcement • May 12
TDC SOFT Inc., Annual General Meeting, Jun 26, 2026 TDC SOFT Inc., Annual General Meeting, Jun 26, 2026. Announcement • May 09
TDC SOFT Inc. to Report Fiscal Year 2026 Results on May 13, 2026 TDC SOFT Inc. announced that they will report fiscal year 2026 results on May 13, 2026 Upcoming Dividend • Mar 23
Upcoming dividend of JP¥33.00 per share Eligible shareholders must have bought the stock before 30 March 2026. Payment date: 30 June 2026. Payout ratio is a comfortable 34% and this is well supported by cash flows. Trailing yield: 3.2%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.8%). Buy Or Sell Opportunity • Feb 26
Now 21% overvalued Over the last 90 days, the stock has fallen 21% to JP¥1,087. The fair value is estimated to be JP¥898, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 11% over the last 3 years. Earnings per share has grown by 18%. Revenue is forecast to grow by 19% in 2 years. Earnings are forecast to grow by 13% in the next 2 years. Reported Earnings • Feb 11
Third quarter 2026 earnings released: EPS: JP¥21.48 (vs JP¥21.24 in 3Q 2025) Third quarter 2026 results: EPS: JP¥21.48 (up from JP¥21.24 in 3Q 2025). Revenue: JP¥11.9b (up 8.4% from 3Q 2025). Net income: JP¥1.02b (up 1.5% from 3Q 2025). Profit margin: 8.6% (down from 9.2% in 3Q 2025). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 8.5% p.a. on average during the next 3 years, compared to a 5.2% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 18% per year whereas the company’s share price has increased by 14% per year. Announcement • Nov 29
TDC SOFT Inc. to Report Q3, 2026 Results on Feb 10, 2026 TDC SOFT Inc. announced that they will report Q3, 2026 results on Feb 10, 2026 Declared Dividend • Nov 10
Dividend of JP¥30.00 announced Shareholders will receive a dividend of JP¥30.00. Ex-date: 30th March 2026 Payment date: 30th June 2026 Dividend yield will be 2.3%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is well covered by both earnings (34% earnings payout ratio) and cash flows (49% cash payout ratio). The dividend has increased by an average of 24% 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 21% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Nov 08
Second quarter 2026 earnings released: EPS: JP¥20.48 (vs JP¥18.93 in 2Q 2025) Second quarter 2026 results: EPS: JP¥20.48 (up from JP¥18.93 in 2Q 2025). Revenue: JP¥12.0b (up 7.7% from 2Q 2025). Net income: JP¥968.0m (up 8.5% from 2Q 2025). Profit margin: 8.1% (up from 8.0% in 2Q 2025). The increase in margin was driven by higher revenue. Revenue is forecast to grow 8.3% p.a. on average during the next 3 years, compared to a 5.1% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 19% per year but the company’s share price has increased by 27% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Sep 01
TDC SOFT Inc. to Report Q2, 2026 Results on Nov 07, 2025 TDC SOFT Inc. announced that they will report Q2, 2026 results on Nov 07, 2025 Reported Earnings • Aug 08
First quarter 2026 earnings released: EPS: JP¥21.55 (vs JP¥17.53 in 1Q 2025) First quarter 2026 results: EPS: JP¥21.55 (up from JP¥17.53 in 1Q 2025). Revenue: JP¥11.4b (up 6.4% from 1Q 2025). Net income: JP¥1.02b (up 23% from 1Q 2025). Profit margin: 8.9% (up from 7.7% in 1Q 2025). The increase in margin was driven by higher revenue. Revenue is forecast to grow 8.2% p.a. on average during the next 3 years, compared to a 5.3% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 20% per year but the company’s share price has increased by 31% per year, which means it is tracking significantly ahead of earnings growth. Buy Or Sell Opportunity • Jul 29
Now 21% undervalued Over the last 90 days, the stock has risen 1.4% to JP¥1,276. The fair value is estimated to be JP¥1,614, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 12% over the last 3 years. Earnings per share has grown by 20%. For the next 3 years, revenue is forecast to grow by 8.3% per annum. Earnings are also forecast to grow by 8.0% per annum over the same time period. Buy Or Sell Opportunity • Jul 01
Now 20% undervalued Over the last 90 days, the stock has risen 5.4% to JP¥1,326. The fair value is estimated to be JP¥1,651, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 12% over the last 3 years. Earnings per share has grown by 20%. For the next 3 years, revenue is forecast to grow by 8.3% per annum. Earnings are also forecast to grow by 8.0% per annum over the same time period. Reported Earnings • Jul 01
Full year 2025 earnings: EPS exceeds analyst expectations Full year 2025 results: EPS: JP¥72.84 (up from JP¥64.89 in FY 2024). Revenue: JP¥44.4b (up 12% from FY 2024). Net income: JP¥3.43b (up 11% from FY 2024). Profit margin: 7.7% (down from 7.8% in FY 2024). The decrease in margin was driven by higher expenses. Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 4.1%. Revenue is forecast to grow 8.3% p.a. on average during the next 3 years, compared to a 5.4% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 20% per year but the company’s share price has increased by 36% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Jun 27
TDC SOFT Inc. to Report Q1, 2026 Results on Aug 06, 2025 TDC SOFT Inc. announced that they will report Q1, 2026 results on Aug 06, 2025 Buy Or Sell Opportunity • May 22
Now 22% undervalued after recent price drop Over the last 90 days, the stock has fallen 4.9% to JP¥1,287. The fair value is estimated to be JP¥1,660, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 12% over the last 3 years. Earnings per share has grown by 20%. Revenue is forecast to grow by 18% in 2 years. Earnings are forecast to grow by 17% in the next 2 years. Reported Earnings • May 13
Full year 2025 earnings: EPS exceeds analyst expectations Full year 2025 results: EPS: JP¥72.84 (up from JP¥64.89 in FY 2024). Revenue: JP¥44.4b (up 12% from FY 2024). Net income: JP¥3.43b (up 11% from FY 2024). Profit margin: 7.7% (down from 7.8% in FY 2024). The decrease in margin was driven by higher expenses. Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 4.1%. Revenue is forecast to grow 8.4% p.a. on average during the next 2 years, compared to a 5.8% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 20% per year but the company’s share price has increased by 36% per year, which means it is tracking significantly ahead of earnings growth. New Risk • Apr 07
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 5.8% 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. This is currently the only risk that has been identified for the company. Valuation Update With 7 Day Price Move • Apr 07
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to JP¥1,035, the stock trades at a forward P/E ratio of 14x. Average forward P/E is 17x in the IT industry in Japan. Total returns to shareholders of 100% over the past three years. Announcement • Mar 27
TDC SOFT Inc. to Report Fiscal Year 2025 Results on May 12, 2025 TDC SOFT Inc. announced that they will report fiscal year 2025 results on May 12, 2025 Upcoming Dividend • Mar 21
Upcoming dividend of JP¥27.00 per share Eligible shareholders must have bought the stock before 28 March 2025. Payment date: 30 June 2025. Payout ratio is a comfortable 33% and this is well supported by cash flows. Trailing yield: 1.8%. Lower than top quartile of Japanese dividend payers (3.7%). Higher than average of industry peers (1.4%). Buy Or Sell Opportunity • Feb 25
Now 22% undervalued The stock has been flat over the last 90 days, currently trading at JP¥1,260. The fair value is estimated to be JP¥1,611, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 12% over the last 3 years. Earnings per share has grown by 19%. Revenue is forecast to grow by 19% in 2 years. Earnings are forecast to grow by 14% in the next 2 years. Reported Earnings • Feb 14
Third quarter 2025 earnings released: EPS: JP¥21.24 (vs JP¥20.03 in 3Q 2024) Third quarter 2025 results: EPS: JP¥21.24 (up from JP¥20.03 in 3Q 2024). Revenue: JP¥10.9b (up 11% from 3Q 2024). Net income: JP¥1.00b (up 4.8% from 3Q 2024). Profit margin: 9.2% (in line with 3Q 2024). Revenue is forecast to grow 8.7% p.a. on average during the next 3 years, compared to a 5.5% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 19% per year but the company’s share price has increased by 34% per year, which means it is tracking significantly ahead of earnings growth. Buy Or Sell Opportunity • Feb 03
Now 22% undervalued Over the last 90 days, the stock has risen 12% to JP¥1,348. The fair value is estimated to be JP¥1,733, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 12% over the last 3 years. Earnings per share has grown by 18%. Revenue is forecast to grow by 20% in 2 years. Earnings are forecast to grow by 13% in the next 2 years. Announcement • Dec 05
TDC SOFT Inc. to Report Q3, 2025 Results on Feb 12, 2025 TDC SOFT Inc. announced that they will report Q3, 2025 results on Feb 12, 2025 New Risk • Nov 29
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 5.4% 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. This is currently the only risk that has been identified for the company. Declared Dividend • Nov 12
Dividend of JP¥24.00 announced Shareholders will receive a dividend of JP¥24.00. Ex-date: 28th March 2025 Payment date: 30th June 2025 Dividend yield will be 1.9%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is well covered by both earnings (33% earnings payout ratio) and cash flows (45% cash payout ratio). The dividend has increased by an average of 24% per year over the past 9 years and payments have been stable during that time. EPS is expected to grow by 15% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Nov 09
Second quarter 2025 earnings released: EPS: JP¥18.93 (vs JP¥16.40 in 2Q 2024) Second quarter 2025 results: EPS: JP¥18.93 (up from JP¥16.40 in 2Q 2024). Revenue: JP¥11.1b (up 12% from 2Q 2024). Net income: JP¥892.0m (up 14% from 2Q 2024). Profit margin: 8.0% (up from 7.9% in 2Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 7.5% p.a. on average during the next 3 years, compared to a 5.3% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 18% per year but the company’s share price has increased by 26% per year, which means it is tracking significantly ahead of earnings growth. Buy Or Sell Opportunity • Nov 01
Now 21% undervalued Over the last 90 days, the stock has risen 6.6% to JP¥1,219. The fair value is estimated to be JP¥1,547, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 13% over the last 3 years. Earnings per share has grown by 16%. Revenue is forecast to grow by 17% in 2 years. Earnings are forecast to grow by 7.3% in the next 2 years. Buy Or Sell Opportunity • Oct 16
Now 20% undervalued after recent price drop Over the last 90 days, the stock has fallen 7.0% to JP¥1,236. The fair value is estimated to be JP¥1,552, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 13% over the last 3 years. Earnings per share has grown by 16%. Revenue is forecast to grow by 17% in 2 years. Earnings are forecast to grow by 7.3% in the next 2 years. Buy Or Sell Opportunity • Oct 01
Now 21% undervalued The stock has been flat over the last 90 days, currently trading at JP¥1,230. The fair value is estimated to be JP¥1,549, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 13% over the last 3 years. Earnings per share has grown by 16%. Revenue is forecast to grow by 17% in 2 years. Earnings are forecast to grow by 7.3% in the next 2 years. Announcement • Aug 27
TDC SOFT Inc. to Report Q2, 2025 Results on Nov 07, 2024 TDC SOFT Inc. announced that they will report Q2, 2025 results on Nov 07, 2024 Reported Earnings • Aug 09
First quarter 2025 earnings released: EPS: JP¥16.13 (vs JP¥11.07 in 1Q 2024) First quarter 2025 results: EPS: JP¥16.13 (up from JP¥11.07 in 1Q 2024). Revenue: JP¥10.2b (up 14% from 1Q 2024). Net income: JP¥760.0m (up 44% from 1Q 2024). Profit margin: 7.4% (up from 5.9% in 1Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 6.9% p.a. on average during the next 3 years, compared to a 4.9% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 16% per year whereas the company’s share price has increased by 18% per year. Valuation Update With 7 Day Price Move • Aug 07
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to JP¥1,072, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 16x in the IT industry in Japan. Total returns to shareholders of 79% over the past three years. Buy Or Sell Opportunity • Jun 05
Now 22% undervalued after recent price drop Over the last 90 days, the stock has fallen 1.3% to JP¥1,026. The fair value is estimated to be JP¥1,320, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 13% over the last 3 years. Earnings per share has grown by 15%. For the next 3 years, revenue is forecast to grow by 7.3% per annum. Earnings are also forecast to grow by 5.6% per annum over the same time period. Reported Earnings • May 12
Full year 2024 earnings: EPS exceeds analyst expectations Full year 2024 results: EPS: JP¥130 (up from JP¥52.16 in FY 2023). Revenue: JP¥39.7b (up 13% from FY 2023). Net income: JP¥3.09b (up 24% from FY 2023). Profit margin: 7.8% (up from 7.1% in FY 2023). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 103%. Revenue is forecast to grow 7.2% p.a. on average during the next 2 years, compared to a 4.9% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 30% per year and the company’s share price has also increased by 30% per year. Announcement • May 12
TDC SOFT Inc., Annual General Meeting, Jun 27, 2024 TDC SOFT Inc., Annual General Meeting, Jun 27, 2024. New Risk • Mar 29
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 5.9% 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 Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (5.9% average weekly change). Upcoming Dividend • Mar 21
Upcoming dividend of JP¥48.00 per share Eligible shareholders must have bought the stock before 28 March 2024. Payment date: 28 June 2024. Payout ratio is a comfortable 27% and this is well supported by cash flows. Trailing yield: 1.7%. Lower than top quartile of Japanese dividend payers (3.2%). Higher than average of industry peers (1.4%). Announcement • Mar 02
TDC SOFT Inc. to Report Fiscal Year 2024 Results on May 10, 2024 TDC SOFT Inc. announced that they will report fiscal year 2024 results on May 10, 2024 Major Estimate Revision • Feb 23
Consensus EPS estimates increase by 11% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has improved. 2024 revenue forecast increased from JP¥38.5b to JP¥39.5b. EPS estimate increased from JP¥115 to JP¥128 per share. Net income forecast to grow 14% next year vs 18% growth forecast for IT industry in Japan. Consensus price target of JP¥2,600 unchanged from last update. Share price fell 8.4% to JP¥2,138 over the past week. Reported Earnings • Feb 09
Third quarter 2024 earnings released: EPS: JP¥40.05 (vs JP¥32.85 in 3Q 2023) Third quarter 2024 results: EPS: JP¥40.05 (up from JP¥32.85 in 3Q 2023). Revenue: JP¥9.89b (up 12% from 3Q 2023). Net income: JP¥955.0m (up 22% from 3Q 2023). Profit margin: 9.7% (in line with 3Q 2023). Revenue is forecast to grow 7.2% p.a. on average during the next 3 years, compared to a 5.5% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 14% per year but the company’s share price has increased by 28% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Nov 27
TDC SOFT Inc. to Report Q3, 2024 Results on Feb 07, 2024 TDC SOFT Inc. announced that they will report Q3, 2024 results on Feb 07, 2024 Valuation Update With 7 Day Price Move • Nov 22
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to JP¥2,031, the stock trades at a forward P/E ratio of 17x. Average forward P/E is 19x in the IT industry in Japan. Total returns to shareholders of 115% over the past three years. Buying Opportunity • Nov 10
Now 22% undervalued Over the last 90 days, the stock is up 10%. The fair value is estimated to be JP¥2,273, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 11% over the last 3 years. Earnings per share has grown by 15%. Revenue is forecast to grow by 13% in 2 years. Earnings is forecast to grow by 24% in the next 2 years. Reported Earnings • Nov 08
Second quarter 2024 earnings released: EPS: JP¥32.80 (vs JP¥31.30 in 2Q 2023) Second quarter 2024 results: EPS: JP¥32.80 (up from JP¥31.30 in 2Q 2023). Revenue: JP¥9.93b (up 13% from 2Q 2023). Net income: JP¥782.0m (up 4.8% from 2Q 2023). Profit margin: 7.9% (down from 8.5% in 2Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 6.4% p.a. on average during the next 3 years, compared to a 5.7% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 15% per year whereas the company’s share price has increased by 20% per year. Announcement • Aug 31
TDC SOFT Inc. to Report Q2, 2024 Results on Nov 17, 2023 TDC SOFT Inc. announced that they will report Q2, 2024 results on Nov 17, 2023 Price Target Changed • Aug 11
Price target increased by 9.1% to JP¥2,400 Up from JP¥2,200, the current price target is provided by 1 analyst. New target price is 49% above last closing price of JP¥1,612. Stock is up 26% over the past year. The company is forecast to post earnings per share of JP¥113 for next year compared to JP¥104 last year. Reported Earnings • Aug 04
First quarter 2024 earnings released: EPS: JP¥22.15 (vs JP¥23.16 in 1Q 2023) First quarter 2024 results: EPS: JP¥22.15 (down from JP¥23.16 in 1Q 2023). Revenue: JP¥8.93b (up 12% from 1Q 2023). Net income: JP¥528.0m (down 4.9% from 1Q 2023). Profit margin: 5.9% (down from 6.9% in 1Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 6.4% p.a. on average during the next 2 years, compared to a 6.1% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 16% per year but the company’s share price has increased by 22% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • May 13
Full year 2023 earnings: Revenues and EPS in line with analyst expectations Full year 2023 results: EPS: JP¥104 (up from JP¥85.82 in FY 2022). Revenue: JP¥35.2b (up 14% from FY 2022). Net income: JP¥2.49b (up 20% from FY 2022). Profit margin: 7.1% (up from 6.7% in FY 2022). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) were also in line with analyst expectations. Revenue is forecast to grow 6.8% p.a. on average during the next 2 years, compared to a 6.3% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 17% per year whereas the company’s share price has increased by 20% per year. Announcement • May 13
TDC SOFT Inc., Annual General Meeting, Jun 27, 2023 TDC SOFT Inc., Annual General Meeting, Jun 27, 2023. Buying Opportunity • May 12
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 8.2%. The fair value is estimated to be JP¥1,847, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 7.2% over the last 3 years. Earnings per share has grown by 18%. Revenue is forecast to grow by 16% in 2 years. Earnings is forecast to grow by 15% in the next 2 years. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥30.00 per share at 2.1% yield Eligible shareholders must have bought the stock before 30 March 2023. Payment date: 30 June 2023. Payout ratio is a comfortable 30% and this is well supported by cash flows. Trailing yield: 2.1%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.7%). Buying Opportunity • Mar 13
Now 20% undervalued The stock has been flat over the last 90 days. The fair value is estimated to be JP¥1,840, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 7.2% over the last 3 years. Earnings per share has grown by 18%. Revenue is forecast to grow by 16% in 2 years. Earnings is forecast to grow by 15% in the next 2 years. Reported Earnings • Feb 10
Third quarter 2023 earnings released: EPS: JP¥32.85 (vs JP¥27.56 in 3Q 2022) Third quarter 2023 results: EPS: JP¥32.85 (up from JP¥27.56 in 3Q 2022). Revenue: JP¥8.80b (up 14% from 3Q 2022). Net income: JP¥783.0m (up 18% from 3Q 2022). Profit margin: 8.9% (up from 8.6% in 3Q 2022). The increase in margin was driven by higher revenue. Revenue is forecast to grow 7.4% p.a. on average during the next 3 years, compared to a 6.7% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 18% per year and the company’s share price has also increased by 18% per year. Buying Opportunity • Feb 07
Now 21% undervalued Over the last 90 days, the stock is up 20%. The fair value is estimated to be JP¥1,970, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 5.7% over the last 3 years. Earnings per share has grown by 18%. Revenue is forecast to grow by 17% in 2 years. Earnings is forecast to grow by 24% in the next 2 years. Valuation Update With 7 Day Price Move • Nov 21
Investor sentiment improved over the past week After last week's 17% share price gain to JP¥1,493, the stock trades at a forward P/E ratio of 14x. Average forward P/E is 18x in the IT industry in Japan. Total returns to shareholders of 80% over the past three years. Board Change • Nov 16
Less than half of directors are independent Following the recent departure of a director, there are only 4 independent directors on the board. The company's board is composed of: 4 independent directors. 7 non-independent directors. Independent Outside Director Kumiko Kawasaki 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 10
Second quarter 2023 earnings released: EPS: JP¥31.30 (vs JP¥22.33 in 2Q 2022) Second quarter 2023 results: EPS: JP¥31.30 (up from JP¥22.33 in 2Q 2022). Revenue: JP¥8.79b (up 16% from 2Q 2022). Net income: JP¥746.0m (up 39% from 2Q 2022). Profit margin: 8.5% (up from 7.1% in 2Q 2022). The increase in margin was driven by higher revenue. Revenue is forecast to grow 7.4% p.a. on average during the next 3 years, compared to a 6.6% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 18% per year whereas the company’s share price has increased by 16% per year. Upcoming Dividend • Sep 22
Upcoming dividend of JP¥15.00 per share Eligible shareholders must have bought the stock before 29 September 2022. Payment date: 05 December 2022. Payout ratio is a comfortable 28% and this is well supported by cash flows. Trailing yield: 2.5%. Lower than top quartile of Japanese dividend payers (3.7%). Higher than average of industry peers (1.7%). Announcement • Aug 28
TDC SOFT Inc. to Report Q2, 2023 Results on Nov 08, 2022 TDC SOFT Inc. announced that they will report Q2, 2023 results on Nov 08, 2022 Reported Earnings • Aug 05
First quarter 2023 earnings released: EPS: JP¥23.16 (vs JP¥24.03 in 1Q 2022) First quarter 2023 results: EPS: JP¥23.16 (down from JP¥24.03 in 1Q 2022). Revenue: JP¥8.00b (up 13% from 1Q 2022). Net income: JP¥555.0m (down 4.1% from 1Q 2022). Profit margin: 6.9% (down from 8.2% in 1Q 2022). The decrease in margin was driven by higher expenses. Over the next year, revenue is forecast to grow 5.3%, compared to a 11% growth forecast for the industry in Japan. Over the last 3 years on average, earnings per share has increased by 17% per year whereas the company’s share price has increased by 16% per year. Announcement • Jul 03
TDC SOFT Inc. to Report Q1, 2023 Results on Aug 04, 2022 TDC SOFT Inc. announced that they will report Q1, 2023 results on Aug 04, 2022 Reported Earnings • May 16
Full year 2022 earnings: Revenues and EPS in line with analyst expectations Full year 2022 results: EPS: JP¥85.82 (up from JP¥71.00 in FY 2021). Revenue: JP¥30.9b (up 13% from FY 2021). Net income: JP¥2.07b (up 21% from FY 2021). Profit margin: 6.7% (up from 6.3% in FY 2021). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) were also in line with analyst expectations. Over the next year, revenue is forecast to grow 3.5%, compared to a 8.2% growth forecast for the industry in Japan. Over the last 3 years on average, earnings per share has increased by 17% per year but the company’s share price has only increased by 8% per year, which means it is significantly lagging earnings growth. Announcement • May 14
TDC SOFT Inc., Annual General Meeting, Jun 29, 2022 TDC SOFT Inc., Annual General Meeting, Jun 29, 2022. Announcement • May 13
TDC SOFT Inc. (TSE:4687) announces an Equity Buyback for 300,000 shares, representing 1.23% for ¥320.1 million. TDC SOFT Inc. (TSE:4687) announces a share repurchase program. Under the program, the company will repurchase 300,000 shares, representing 1.23% of its issued share capital, for ¥320.1 million. The purpose of the program is to carry out agile capital policies in response to changes in the business environment. As of March 31, 2022, the company had 24,489,641 issued shares (excluding treasury stock) and 623,959 treasury shares. Board Change • Apr 27
Less than half of directors are independent Following the recent departure of a director, there are only 4 independent directors on the board. The company's board is composed of: 4 independent directors. 7 non-independent directors. Independent Outside Director Yuji Kawashima 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. Announcement • Apr 08
TDC SOFT Inc. to Report Fiscal Year 2022 Results on May 12, 2022 TDC SOFT Inc. announced that they will report fiscal year 2022 results on May 12, 2022 Upcoming Dividend • Mar 23
Upcoming dividend of JP¥30.00 per share Eligible shareholders must have bought the stock before 30 March 2022. Payment date: 30 June 2022. Payout ratio is a comfortable 26% and this is well supported by cash flows. Trailing yield: 5.0%. Within top quartile of Japanese dividend payers (3.4%). Higher than average of industry peers (1.5%). Reported Earnings • Feb 09
Third quarter 2022 earnings: EPS in line with analyst expectations despite revenue beat Third quarter 2022 results: EPS: JP¥27.56 (up from JP¥20.54 in 3Q 2021). Revenue: JP¥7.70b (up 19% from 3Q 2021). Net income: JP¥665.0m (up 34% from 3Q 2021). Profit margin: 8.6% (up from 7.7% in 3Q 2021). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 7.8%. Over the next year, revenue is forecast to grow 5.0%, compared to a 7.4% growth forecast for the industry in Japan. Over the last 3 years on average, earnings per share has increased by 15% per year but the company’s share price has only increased by 7% per year, which means it is significantly lagging earnings growth. Buying Opportunity • Jan 25
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 23%. The fair value is estimated to be JP¥1,265, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 3.3% per annum over the last 3 years. Earnings per share has grown by 11% per annum over the last 3 years. Reported Earnings • Nov 05
Second quarter 2022 earnings released: EPS JP¥22.33 (vs JP¥17.97 in 2Q 2021) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2022 results: Revenue: JP¥7.58b (up 8.2% from 2Q 2021). Net income: JP¥538.0m (up 24% from 2Q 2021). Profit margin: 7.1% (up from 6.2% 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 11% per year whereas the company’s share price has increased by 9% per year. Valuation Update With 7 Day Price Move • Aug 10
Investor sentiment improved over the past week After last week's 23% share price gain to JP¥1,349, the stock trades at a trailing P/E ratio of 16.4x. Average trailing P/E is 22x in the IT industry in Japan. Total returns to shareholders of 62% over the past three years. Reported Earnings • Aug 04
First quarter 2022 earnings released: EPS JP¥24.03 (vs JP¥12.95 in 1Q 2021) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2022 results: Revenue: JP¥7.08b (up 15% from 1Q 2021). Net income: JP¥579.0m (up 86% from 1Q 2021). Profit margin: 8.2% (up from 5.1% in 1Q 2021). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 9% per year whereas the company’s share price has increased by 14% per year. Reported Earnings • May 14
Full year 2021 earnings released: EPS JP¥71.00 (vs JP¥62.25 in FY 2020) The company reported a decent full year result with improved earnings and profit margins, although revenues were weaker. Full year 2021 results: Revenue: JP¥27.3b (down 1.8% from FY 2020). Net income: JP¥1.71b (up 14% from FY 2020). Profit margin: 6.3% (up from 5.4% in FY 2020). The increase in margin was driven by lower expenses. 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 13% per year, which means it is tracking significantly ahead of earnings growth. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥24.00 per share Eligible shareholders must have bought the stock before 30 March 2021. Payment date: 29 June 2021. Trailing yield: 2.3%. Lower than top quartile of Japanese dividend payers (2.7%). Higher than average of industry peers (1.3%). Is New 90 Day High Low • Feb 19
New 90-day low: JP¥939 The company is down 8.0% from its price of JP¥1,016 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. Reported Earnings • Feb 03
Third quarter 2021 earnings released: EPS JP¥20.54 (vs JP¥16.14 in 3Q 2020) The company reported a decent third quarter result with improved earnings and profit margins, although revenues were weaker. Third quarter 2021 results: Revenue: JP¥6.45b (down 3.9% from 3Q 2020). Net income: JP¥495.0m (up 27% from 3Q 2020). Profit margin: 7.7% (up from 5.8% in 3Q 2020). The increase in margin was driven by lower expenses. 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 18% per year, which means it is tracking significantly ahead of earnings growth. Is New 90 Day High Low • Jan 29
New 90-day low: JP¥962 The company is down 3.0% from its price of JP¥996 on 30 October 2020. The Japanese market is up 16% over the last 90 days, indicating the company underperformed over that time. It also underperformed the IT industry, which is up 11% over the same period. Announcement • Dec 30
TDC SOFT Inc. to Report Q3, 2021 Results on Feb 02, 2021 TDC SOFT Inc. announced that they will report Q3, 2021 results on Feb 02, 2021 Announcement • Aug 30
TDC SOFT Inc. to Report Q2, 2021 Results on Nov 04, 2020 TDC SOFT Inc. announced that they will report Q2, 2021 results on Nov 04, 2020