Board Change • May 20
Less than half of directors are independent There are 6 new directors who have joined the board in the last 3 years. Of these new board members, none were independent directors. The company's board is composed of: 3 independent directors. 6 non-independent directors. Independent Outside Director Rie Kida was the last independent director to join the board, commencing their role in 2020. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of board continuity. Duyuru • May 14
Gunze Limited, Annual General Meeting, Jun 25, 2026 Gunze Limited, Annual General Meeting, Jun 25, 2026. Duyuru • May 09
Gunze Limited to Report Fiscal Year 2026 Results on May 14, 2026 Gunze Limited announced that they will report fiscal year 2026 results on May 14, 2026 Duyuru • Mar 06
Gunze Limited Announces Executive Changes, Effective April 1, 2026 Gunze Limited announced that, at its Board of Directors meeting held on March 6, 2026, the Company resolved the following changes. Tomohisa Okuda, Current position: Director and Corporate Officer, General Manager, Technology & Development Department; New position: Director and Managing Corporate Officer, President, Plastic Film Company; Yuji Hanaoka, Current position: Corporate Officer, President, Plastic Film Company; New position: Corporate Officer, Assistant to General Manager, Corporate Strategy Department. Duyuru • Jan 08
Gunze Limited announces Annual dividend, payable on June 26, 2026 Gunze Limited announced Annual dividend of JPY 147.0000 per share payable on June 26, 2026, ex-date on March 30, 2026 and record date on March 31, 2026. Duyuru • Nov 29
Gunze Limited to Report Q3, 2026 Results on Feb 05, 2026 Gunze Limited announced that they will report Q3, 2026 results on Feb 05, 2026 Duyuru • Nov 05
Gunze Limited (TSE:3002) announces an Equity Buyback for 1,400,000 shares, representing 4.31% for ¥5,000 million. Gunze Limited (TSE:3002) announces a share repurchase program. Under the program, the company will repurchase up to 1,400,000 shares, representing 4.31% of its issued share capital, for ¥5,000 million. The program is to execute a flexible capital policy based on shareholder return policy to ensure stable and continuous return of profits to shareholders and sustainable enhancement of corporate values. The program is valid till March 24, 2026. As of September 30, 2025, there are 32,494,381 outstanding shares (excluding treasury stock) and 2,092,651 treasury shares. Duyuru • Sep 01
Gunze Limited to Report Q2, 2026 Results on Nov 05, 2025 Gunze Limited announced that they will report Q2, 2026 results on Nov 05, 2025 Duyuru • May 31
Gunze Limited to Report Q1, 2026 Results on Aug 06, 2025 Gunze Limited announced that they will report Q1, 2026 results on Aug 06, 2025 Duyuru • May 14
Gunze Limited, Annual General Meeting, Jun 25, 2025 Gunze Limited, Annual General Meeting, Jun 25, 2025. Duyuru • Mar 01
Gunze Limited to Report Fiscal Year 2025 Results on May 14, 2025 Gunze Limited announced that they will report fiscal year 2025 results on May 14, 2025 Duyuru • Dec 03
Gunze Limited to Report Q3, 2025 Results on Feb 06, 2025 Gunze Limited announced that they will report Q3, 2025 results on Feb 06, 2025 Reported Earnings • Nov 07
Second quarter 2025 earnings released: EPS: JP¥81.26 (vs JP¥62.79 in 2Q 2024) Second quarter 2025 results: EPS: JP¥81.26 (up from JP¥62.79 in 2Q 2024). Revenue: JP¥33.9b (up 1.5% from 2Q 2024). Net income: JP¥1.36b (up 27% from 2Q 2024). Profit margin: 4.0% (up from 3.2% in 2Q 2024). Revenue is forecast to grow 3.3% p.a. on average during the next 3 years, compared to a 6.5% growth forecast for the Luxury industry in Europe. Over the last 3 years on average, earnings per share has increased by 6% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Duyuru • Nov 06
Gunze Limited (TSE:3002) announces an Equity Buyback for 460,000 shares, representing 2.76% for ¥2,600 million. Gunze Limited (TSE:3002) announces a share repurchase program. Under the program, the company will repurchase up to 460,000 shares, representing 2.76% of its issued share capital, for ¥2,600 million. The program is to execute a flexible capital policy based on the the financial strategy of mid-term management plan 'VISION 2030 stage1'. The program is valid till March 24, 2025. As of September 30, 2024, there are 16,692,289 outstanding shares (excluding treasury stock) and 601,227 treasury shares. Duyuru • Sep 27
Gunze Limited to Report Q2, 2025 Results on Nov 06, 2024 Gunze Limited announced that they will report Q2, 2025 results on Nov 06, 2024 Duyuru • Aug 28
Gunze Limited Launches Purewrap Fs35NB & Fs40NB Thin Coextruded Blown Film for Vacuum Packaging of Boilable That Can Reduce Plastic Use by 50% Gunze Limited announced that the renewal of its ultra-thin and tough blown film, Purewrap, specifically designed for food products requiring transportation in frozen environments. The company introduced two new types, FS35NB and FS40NB, which are compatible for boiling applications. These innovative additions retain the ultra-thin and tough characteristics that have defined the series to date, making them more convenient for use in central kitchens and other food processing facilities. They also contribute to environmental sustainability by reducing the use of plastic by approximately 50%. The movement toward a plastic-free society is gaining momentum not only in Japan, but around the world. With the implementation of the "Plastic Resource Circulation Act" in Japan in April 2022, all stakeholders are now required to reduce plastic use and promote resource recycling throughout the entire lifecycle of plastic products, from design to waste disposal. In particular, perishable seafood, livestock products, and their processed forms are often transported in freezing environments, where reducing plastic use is challenging due to concerns about strength loss from volume reduction. In January 2022, Gunze introduced Purewrap FS35N and FS40N, which offer more than twice the puncture strength of conventional non-oriented nylon-polyethylene 70 µm films while reducing plastic use by approximately 50%. This film type has been widely adopted by customers. It has now been renewed as a boilable type, expanding its applicability to a wider range of foods processed in central kitchens for commercial prepared foods and restaurants. The company recommends the product for food applications that require transportation in frozen environments and processing in central kitchens. Purewrap is a coextruded blown film with simultaneous biaxial orientation that provides exceptional puncture resistance for contents and impact resistance for external surfaces. The company's unique raw material compounding, multilayer construction and orientation technologies have made this nylon-polyethylene film highly flexible with superior puncture resistance, ideal for refrigerated transport. Buy Or Sell Opportunity • Aug 10
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 2.6% to €31.60. The fair value is estimated to be €26.11, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 3.0% over the last 3 years. Earnings per share has grown by 7.7%. Revenue is forecast to grow by 8.2% in 2 years. Earnings are forecast to grow by 55% in the next 2 years. Reported Earnings • Aug 04
First quarter 2025 earnings released: EPS: JP¥95.92 (vs JP¥93.03 in 1Q 2024) First quarter 2025 results: EPS: JP¥95.92 (up from JP¥93.03 in 1Q 2024). Revenue: JP¥33.4b (up 5.3% from 1Q 2024). Net income: JP¥1.60b (flat on 1Q 2024). Profit margin: 4.8% (down from 5.0% in 1Q 2024). Revenue is forecast to grow 3.5% p.a. on average during the next 3 years, compared to a 7.6% growth forecast for the Luxury industry in Europe. Over the last 3 years on average, earnings per share has increased by 8% per year but the company’s share price has fallen by 1% per year, which means it is significantly lagging earnings. Duyuru • Jul 11
Gunze Limited Launches "GEOPLAS HCX1 23 Micron", the Lightest Hybrid Shrink Film in Japan Gunze Limited announced that it has launched "GEOPLAS HCX1 23 Micron", the lightest hybrid shrink film in Japan, which has now been adopted for use in PET bottled beverages sold by DyDo DRINCO. Gunze continues to promote the use of Japan's lightest shrink film in the market and to increase the proportion of recycled materials, aiming to realize a recycling-oriented society by reducing the amount of plastic used and effectively utilizing resources. This will be used for the production of "Luxury fragrance iced black tea" in July. There are also plans to expand this to "Luxury fragrance iced green tea". The product is a polystyrene/polyethylene terephthalate multilayer product using unique multilayer oriented film technology. It is widely used worldwide as shrink labels for PET bottled beverages, food, cosmetics, home & personal care products and other products. The product has both polystyrene and polyethylene terephthalate advantages such as excellent shrink appearance, perforation suitability, heat resistance, content resistance and stiffness. Product features: Label weight: Lightest weight shrink film for automatic sleeve applicators in Japan (Approximately 10% lighter than the lightest conventional film). Shrinkability: Good shrinkability. Maximum shrink of 70%, suitable for complex-shaped bottles. Perforability: Good perforability and Easy to peel along the perforation line. Use of recycled materials: Approximately 1% of the printing waste generated by converters is recycled, and at least 5% of the raw materials are chemically recycled using the mass balance method. Phase 1 In-house post-industrial recycling: Gunze has transformed its Moriyama Plant, which manufactures shrink film and other products, into a zero-emission plant that produces no plastic waste. The Moriyama Plant is expected to achieve zero waste by the end of FY2024. Phase 2: Off-site post-industrial recycling. The GEOPLAS® HCX1 now being offered contains film made from collected post-printing waste generated by sister converting company, Gunze Packaging Systems. And the company intends to expand this initiative to other manufacturing facilities such as converters and PET bottled beverages in the near future. Phase 3 Post-Consumer Recycling: The company will contribute to a resource-recycling society by collecting post-consumer labels from the market and using them as raw materials for film production. The company will gradually increase the recycling rate, aiming to achieve 100% recycling rate by 2030. The company will also expand thick product line and promote its development in the food and toiletries markets. Duyuru • Jun 02
Gunze Limited to Report Q1, 2025 Results on Aug 02, 2024 Gunze Limited announced that they will report Q1, 2025 results on Aug 02, 2024 Reported Earnings • May 19
Full year 2024 earnings released: EPS: JP¥301 (vs JP¥261 in FY 2023) Full year 2024 results: EPS: JP¥301 (up from JP¥261 in FY 2023). Revenue: JP¥132.9b (down 2.3% from FY 2023). Net income: JP¥5.11b (up 14% from FY 2023). Profit margin: 3.8% (up from 3.3% in FY 2023). Revenue is forecast to grow 4.7% p.a. on average during the next 2 years, compared to a 7.5% growth forecast for the Luxury industry in Europe. 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 1% per year, which means it is significantly lagging earnings. Duyuru • May 16
Gunze Limited, Annual General Meeting, Jun 25, 2024 Gunze Limited, Annual General Meeting, Jun 25, 2024. Upcoming Dividend • Mar 21
Upcoming dividend of JP¥150 per share Eligible shareholders must have bought the stock before 28 March 2024. Payment date: 26 June 2024. Payout ratio is a comfortable 54% but the company is not cash flow positive. Trailing yield: 2.7%. Lower than top quartile of German dividend payers (4.9%). Higher than average of industry peers (0.8%). New Risk • Feb 07
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 25% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Minor Risks Paying a dividend despite having no free cash flows. Large one-off items impacting financial results. Reported Earnings • Feb 07
Third quarter 2024 earnings released: EPS: JP¥78.15 (vs JP¥96.59 in 3Q 2023) Third quarter 2024 results: EPS: JP¥78.15 (down from JP¥96.59 in 3Q 2023). Revenue: JP¥36.3b (flat on 3Q 2023). Net income: JP¥1.33b (down 20% from 3Q 2023). Profit margin: 3.7% (down from 4.6% in 3Q 2023). Revenue is forecast to grow 3.5% p.a. on average during the next 3 years, compared to a 6.9% growth forecast for the Luxury industry in Europe. Over the last 3 years on average, earnings per share has increased by 12% per year but the company’s share price has only increased by 4% per year, which means it is significantly lagging earnings growth. Duyuru • Dec 28
Gunze Limited to Report Q3, 2024 Results on Feb 06, 2024 Gunze Limited announced that they will report Q3, 2024 results on Feb 06, 2024 Duyuru • Dec 13
Gunze Limited Launches Environmentally Friendly "GEOPLAS™ HCX1", the Lightest Shrink Film for Automatic Sleeve Applicators Gunze Limited announced that the company will launch an eco-friendly "GEOPLAS™ HCX1", the lightest shrink film for automatic sleeve applicators in December 2023. The product is a polystyrene/polyethylene terephthalate multi-layered product that uses 5% of chemical recycled raw materials with the mass balance approach. The new product will first be launched in Japan and then expanded to the U.S., China and ASEAN markets. The product to be launched this time is the second product after company's eco-friendly grade GEOPLAS™ HCT3. The global shift away from plastic is gaining momentum and bringing tangible changes to immediate surroundings. From the introduction of paper straws in restaurants to the emergence of pay-per-use plastic bags, the movement is reshaping daily experiences. Last April, the enactment of the Law on the “Law for Recycling Plastic Materials” marked a pivotal moment, amplifying the urgency of addressing Japan's plastic waste crisis, tackling climate change, and navigating stricter regulations on cross-border waste imports. Under these pressing challenges, companies are now mandated to align their plastic product designs. At the same time, consumers are being given a key role by being urged to reduce the release of plastic waste, ensure careful waste separation, and choose certified plastic products. This concerted effort underscores a shared commitment to address the multifaceted problems caused by plastic consumption and to lead Japan toward a sustainable and responsible future. In response to the above background, Gunze has started to develop a hybrid shrink film that realizes the lightest weight shrink label. This film is not only lightweight, but also easy to use in the shrink label market, and is both environmentally friendly and excellent in function. Following HCX1 and HCT3, which use recycled raw materials, the company aims to increase the use of recycled raw materials to 50% by 2024 and to supply products made from 100% recycled raw materials by 2030 through the use of these technologies. The product is a polystyrene/polyethylene terephthalate multi-layered product using company's unique multilayer oriented film technology. It is widely used globally as shrink labels for PET bottled beverages, foods, cosmetics, home & personal care products and other products. The product has both polystyrene and polyethylene terephthalate benefits such as excellent shrink appearance, perforation suitability, heat resistance, content resistance and stiffness. Product outline: Product name: GEOPLAS™ HCX1; Lineup: Thickness 23 micron (Can be used with automatic shrink sleeve label application machines); Applications: Labels for beverages, foods, groceries, home & personal care products; Sales plan: Aim to sell 500MT in the first year (FY2024); Sales base: Japan, USA, Vietnam, China; Features: (1) Weight: Lightest weight shrink film for automatic sleeve applicators. (2) Shrinkability: Good shrinkability. Maximum shrink of 70%, suitable for complex-shaped bottles. (3) Perforability: Good perforability and Easy to peel along the perforation line. (4) Use of recycled materials: At least 5% of materials are chemically recycled using the mass balance method. The mass balancing approach is when a raw material with certain features (e.g., chemical recycled raw material) is mixed with a raw material that does not have certain features (e.g., petroleum-derived raw material) during processing and distribution from raw materials to products. It distributes the raw material with specific features to a part of the product according to the input amount of the raw materials with the specific features. The mass balance approach-based products require a third-party certification to avoid arbitrary decisions by companies. Gunze has already received ISCC certification in July 2023. Reported Earnings • Nov 04
Second quarter 2024 earnings released: EPS: JP¥62.78 (vs JP¥59.88 in 2Q 2023) Second quarter 2024 results: EPS: JP¥62.78 (up from JP¥59.88 in 2Q 2023). Revenue: JP¥33.4b (down 5.7% from 2Q 2023). Net income: JP¥1.07b (up 3.5% from 2Q 2023). Profit margin: 3.2% (up from 2.9% in 2Q 2023). The increase in margin was driven by lower expenses. Revenue is forecast to grow 3.6% p.a. on average during the next 3 years, compared to a 7.4% growth forecast for the Luxury industry in Europe. Over the last 3 years on average, earnings per share has increased by 12% per year but the company’s share price has fallen by 3% per year, which means it is significantly lagging earnings. Duyuru • Nov 03
Gunze Limited (TSE:3002) announces an Equity Buyback for 430,000 shares, representing 2.52% for ¥2,000 million. Gunze Limited (TSE:3002) announces a share repurchase program. Under the program, the company will repurchase up to 430,000 shares, representing 2.52% of its issued share capital, for total worth of ¥2,000 million worth of its shares. The purpose of the program is to carry out flexible capital policy based on the financial strategy of the medium-term management plan "VISION 2030 stage 1." The program is valid till March 22, 2024. As of September 30, 2023, the company has 17,066,082 shares in issue and 227,434 shares in treasury. Duyuru • Aug 30
Gunze Limited to Report Q2, 2024 Results on Nov 02, 2023 Gunze Limited announced that they will report Q2, 2024 results on Nov 02, 2023 Reported Earnings • Aug 06
First quarter 2024 earnings released: EPS: JP¥93.03 (vs JP¥67.79 in 1Q 2023) First quarter 2024 results: EPS: JP¥93.03 (up from JP¥67.79 in 1Q 2023). Revenue: JP¥31.7b (flat on 1Q 2023). Net income: JP¥1.59b (up 35% from 1Q 2023). Profit margin: 5.0% (up from 3.7% in 1Q 2023). Revenue is forecast to grow 2.8% p.a. on average during the next 3 years, compared to a 6.8% growth forecast for the Luxury industry in Germany. Over the last 3 years on average, earnings per share has increased by 6% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Duyuru • May 28
Gunze Limited to Report Q1, 2024 Results on Aug 04, 2023 Gunze Limited announced that they will report Q1, 2024 results on Aug 04, 2023 Reported Earnings • May 16
Full year 2023 earnings released: EPS: JP¥261 (vs JP¥169 in FY 2022) Full year 2023 results: EPS: JP¥261 (up from JP¥169 in FY 2022). Revenue: JP¥136.0b (up 9.4% from FY 2022). Net income: JP¥4.50b (up 53% from FY 2022). Profit margin: 3.3% (up from 2.4% in FY 2022). The increase in margin was driven by higher revenue. Revenue is forecast to grow 2.3% p.a. on average during the next 2 years, compared to a 8.1% growth forecast for the Luxury industry in Germany. Over the last 3 years on average, earnings per share has fallen by 6% per year whereas the company’s share price has fallen by 1% per year. Duyuru • May 12
Gunze Limited, Annual General Meeting, Jun 23, 2023 Gunze Limited, Annual General Meeting, Jun 23, 2023. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥145 per share at 3.2% yield Eligible shareholders must have bought the stock before 30 March 2023. Payment date: 27 June 2023. The company is paying out more than 100% of its profits and is cash flow negative. Trailing yield: 3.2%. Lower than top quartile of German dividend payers (4.7%). Higher than average of industry peers (0.8%). Reported Earnings • Feb 05
Third quarter 2023 earnings released: EPS: JP¥96.58 (vs JP¥92.29 in 3Q 2022) Third quarter 2023 results: EPS: JP¥96.58 (up from JP¥92.29 in 3Q 2022). Revenue: JP¥36.5b (up 9.4% from 3Q 2022). Net income: JP¥1.67b (up 4.3% from 3Q 2022). Profit margin: 4.6% (down from 4.8% in 3Q 2022). Revenue is forecast to grow 2.8% p.a. on average during the next 3 years, compared to a 6.3% growth forecast for the Luxury industry in Germany. Over the last 3 years on average, earnings per share has fallen by 16% per year but the company’s share price has only fallen by 7% per year, which means it has not declined as severely as earnings. Duyuru • Dec 20
Gunze Limited Launches Eco-Friendly “Geoplas® Hct3” Heat-Shrinkable Film with 30% Recycled Raw Material Worldwide Gunze Limited announced that the company will launch an eco-friendly “GEOPLAS® HCT3” heat-shrinkable film with recycled resin on January 2023. The product is a polystyrene/polyethylene terephthalate multi-layered product that uses 30% of chemical recycled raw materials with the mass balance approach. The new product will first be launched in Japan and then expanded to the U.S. and ASEAN markets. This is the first of a series of recycled heat-shrinkable films that reduce the use of petroleum-derived raw materials and focusing on expanding into global markets. The movement away from plastics is accelerating in all the countries around the world. After the enforcement of the "Law for Recycling Plastic Materials" in Japan in April 2022, companies and local governments are required to promote resource recycling in all processes of plastic products, from design to manufacturing and reuse. The company has established "Promoting a basic policy towards a recycling system for plastics" and evolved a strategy of "Conversion to recycled and bio-attributed raw materials” in December 2019 and declared that 50% of the raw materials used by the plastics business would be recycled and biomass by 2027 and increase the ratio to 100% by 2030. Gunze has achieved excellent shrinkage performance and stiffness by adding functions through multilayer technology of different materials and has promoted eco-friendly management by reducing the thickness of hybrid shrink film. The company will strengthen its efforts to realize sustainable economy by using recycled raw materials for the hybrid shrinkable film which is one of the main products in plastic business. And the launch of the new product is one of the efforts to reduce petroleum materials usage and GHG emissions. In addition, core plant, Moriyama plant, will change into a circular factory and to the factory with zero emissions that does not produce plastic waste materials by 2024. In this process, the company will collect own multilayered products and establish its separation and recycling technologies. And then commercialize the products with 100% recyclable raw materials. The company will launch the shrinkable film with 30% recycled material this time and aim to increase the ratio to 50% by 2024 and the ratio to 100% by 2030. The product is a polystyrene/polyethylene terephthalate multi-layered product using unique multilayer oriented film technology. It is widely used globally as shrink labels for PET bottled beverages, foods, cosmetics, home & personal care products and other products. The product has both polystyrene and polyethylene terephthalate benefits such as excellent shrink appearance, perforation suitability, heat resistance, content resistance and stiffness. The mass balancing approach is when a raw material with certain features (e.g., chemical recycled raw material) is mixed with a raw material that does not have certain features (e.g., petroleum-derived raw material) during processing and distribution from raw materials to products. It distributes the raw material with specific features to a part of the product according to the input amount of the raw materials with the specific features. The mass balance approach-based products require a third-party certification to avoid arbitrary decisions by companies. Duyuru • Nov 27
Gunze Limited to Report Q3, 2023 Results on Feb 03, 2023 Gunze Limited announced that they will report Q3, 2023 results on Feb 03, 2023 Reported Earnings • Nov 16
Second quarter 2023 earnings released: EPS: JP¥59.88 (vs JP¥286 in 2Q 2022) Second quarter 2023 results: EPS: JP¥59.88 (down from JP¥286 in 2Q 2022). Revenue: JP¥35.5b (up 14% from 2Q 2022). Net income: JP¥1.04b (down 79% from 2Q 2022). Profit margin: 2.9% (down from 16% in 2Q 2022). Revenue is forecast to grow 2.0% p.a. on average during the next 3 years, compared to a 7.0% growth forecast for the Luxury industry in Germany. Over the last 3 years on average, earnings per share has fallen by 3% per year but the company’s share price has fallen by 15% per year, which means it is performing significantly worse than earnings. Board Change • Nov 16
Less than half of directors are independent Following the recent departure of a director, there are only 3 independent directors on the board. The company's board is composed of: 3 independent directors. 5 non-independent directors. Independent Outside Director Rie Kida was the last independent director to join the board, commencing their role in 2020. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Reported Earnings • Nov 04
Second quarter 2023 earnings released Second quarter 2023 results: Net income: (down JP¥4.98b from profit in 2Q 2022). Revenue is forecast to grow 1.7% p.a. on average during the next 3 years, compared to a 7.4% growth forecast for the Luxury industry in Germany. Over the last 3 years on average, earnings per share has fallen by 3% per year but the company’s share price has fallen by 16% per year, which means it is performing significantly worse than earnings. Duyuru • Sep 28
Gunze Limited to Report Q2, 2023 Results on Nov 02, 2022 Gunze Limited announced that they will report Q2, 2023 results on Nov 02, 2022 Reported Earnings • Aug 05
First quarter 2023 earnings released: EPS: JP¥67.78 (vs JP¥1.31 in 1Q 2022) First quarter 2023 results: EPS: JP¥67.78 (up from JP¥1.31 in 1Q 2022). Revenue: JP¥31.9b (up 13% from 1Q 2022). Net income: JP¥1.17b (up JP¥1.15b from 1Q 2022). Profit margin: 3.7% (up from 0.1% in 1Q 2022). Over the next year, revenue is forecast to grow 3.6%, compared to a 13% growth forecast for the industry in Germany. Over the last 3 years on average, earnings per share has increased by 12% per year but the company’s share price has fallen by 9% per year, which means it is significantly lagging earnings. Reported Earnings • May 17
Full year 2022 earnings released: EPS: JP¥169 (vs JP¥121 in FY 2021) Full year 2022 results: EPS: JP¥169 (up from JP¥121 in FY 2021). Revenue: JP¥124.3b (flat on FY 2021). Net income: JP¥2.94b (up 37% from FY 2021). Profit margin: 2.4% (up from 1.7% in FY 2021). Over the next year, revenue is forecast to grow 3.5%, compared to a 14% growth forecast for the industry in Germany. Over the last 3 years on average, earnings per share has increased by 9% per year but the company’s share price has fallen by 10% per year, which means it is significantly lagging earnings. Duyuru • May 15
Gunze Limited, Annual General Meeting, Jun 24, 2022 Gunze Limited, Annual General Meeting, Jun 24, 2022. Duyuru • Apr 28
Daicel Corporation (TSE:4202) agreed to acquire Film division of the Electronic Components Division of Gunze Limited. Daicel Corporation (TSE:4202) agreed to acquire Film division of the Electronic Components Division of Gunze Limited on April 27, 2022. Transaction is expected to close on October 1, 2022. Board Change • Apr 27
Less than half of directors are independent Following the recent departure of a director, there are only 3 independent directors on the board. The company's board is composed of: 3 independent directors. 6 non-independent directors. Independent Outside Director Rie Kida was the last independent director to join the board, commencing their role in 2020. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Duyuru • Apr 07
Gunze Limited to Report Fiscal Year 2022 Results on May 13, 2022 Gunze Limited announced that they will report fiscal year 2022 results on May 13, 2022 Upcoming Dividend • Mar 23
Upcoming dividend of JP¥140 per share Eligible shareholders must have bought the stock before 30 March 2022. Payment date: 28 June 2022. Payout ratio is a comfortable 30% and this is well supported by cash flows. Trailing yield: 3.6%. Within top quartile of German dividend payers (3.6%). Higher than average of industry peers (1.5%). Duyuru • Feb 24
Gunze Launches TENALEAF™ Absorbable Adhesion Barrier in Japan Gunze Limited announced that Gunze has obtained medical device approval to manufacture and sell TENALEAF™, the first sheet-type absorbable adhesion barrier made in Japan. The company is planning to launch the product in March 2022 through its subsidiary “Gunze Medical Japan” in the Japanese market. As the average life expectancy increases, the possibility of undergoing multiple surgeries in one's lifetime also rises. The use of an absorbable adhesion barrier is expanding to reduce postoperative organ adhesions (Note) which can lead to difficult second and subsequent surgeries. Also, in order to improve the patient’s clinical outcome, laparoscopic surgery has recently been growing. Gunze developed its absorbable adhesion barrier by applying proprietary absorbable material technology with the goal of providing an innovative solution in this area. This device provides surgeons with a new option during open surgery and minimally invasive surgery, which can enable easy manipulation, provide moderate adhesive strength for repositioning and conformable placement. The company strives to expand its recognition by informing the new product features and benefits to surgeons and their patients. They typically occur after surgical intervention, where organs and/or tissue adhere to each other during the tissue remodeling process. It occurs frequently regardless of the surgical procedure, and may cause postoperative complications such as intestinal obstruction and infertility, which may require removal of adhesions in the second or subsequent surgery. Reported Earnings • Feb 06
Third quarter 2022 earnings: EPS in line with expectations, revenues disappoint Third quarter 2022 results: EPS: JP¥92.28 (down from JP¥107 in 3Q 2021). Revenue: JP¥33.4b (down 3.5% from 3Q 2021). Net income: JP¥1.60b (down 16% from 3Q 2021). Profit margin: 4.8% (down from 5.5% in 3Q 2021). Revenue missed analyst estimates by 6.3%. Over the next year, revenue is forecast to grow 6.4%, compared to a 5.2% growth forecast for the industry in Germany. Over the last 3 years on average, earnings per share has increased by 12% per year but the company’s share price has fallen by 10% per year, which means it is significantly lagging earnings. Reported Earnings • Nov 06
Second quarter 2022 earnings released: EPS JP¥286 (vs JP¥28.65 in 2Q 2021) The company reported a decent second quarter result with improved earnings and profit margins, although revenues were weaker. Second quarter 2022 results: Revenue: JP¥31.1b (down 3.9% from 2Q 2021). Net income: JP¥4.98b (up JP¥4.47b from 2Q 2021). Profit margin: 16% (up from 1.6% in 2Q 2021). Over the last 3 years on average, earnings per share has increased by 1% per year whereas the company’s share price has fallen by 2% per year. Reported Earnings • Aug 05
First quarter 2022 earnings released: EPS JP¥1.31 (vs JP¥16.17 loss in 1Q 2021) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2022 results: Revenue: JP¥28.3b (up 10% from 1Q 2021). Net income: JP¥23.0m (up JP¥310.0m from 1Q 2021). Profit margin: 0.1% (up from net loss in 1Q 2021). Over the last 3 years on average, earnings per share has fallen by 16% per year but the company’s share price has only fallen by 5% per year, which means it has not declined as severely as earnings. Reported Earnings • May 17
Full year 2021 earnings released: EPS JP¥121 (vs JP¥245 in FY 2020) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2021 results: Revenue: JP¥123.6b (down 12% from FY 2020). Net income: JP¥2.15b (down 51% from FY 2020). Profit margin: 1.7% (down from 3.1% in FY 2020). Over the last 3 years on average, earnings per share has fallen by 13% per year whereas the company’s share price has fallen by 17% per year. Upcoming Dividend • Mar 24
Upcoming dividend of JP¥115 per share Eligible shareholders must have bought the stock before 30 March 2021. Payment date: 26 June 2021. Trailing yield: 2.8%. Lower than top quartile of German dividend payers (3.3%). Higher than average of industry peers (1.1%). Is New 90 Day High Low • Mar 10
New 90-day high: €30.00 The company is up 10.0% from its price of €27.20 on 10 December 2020. The German market is up 9.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Luxury industry, which is flat over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €13.50 per share. Duyuru • Mar 04
Gunze Limited to Report Fiscal Year 2021 Results on May 14, 2021 Gunze Limited announced that they will report fiscal year 2021 results on May 14, 2021 Reported Earnings • Feb 07
Third quarter 2021 earnings released: EPS JP¥107 (vs JP¥132 in 3Q 2020) The company reported a poor third quarter result with weaker earnings, revenues and profit margins. Third quarter 2021 results: Revenue: JP¥34.6b (down 5.7% from 3Q 2020). Net income: JP¥1.90b (down 19% from 3Q 2020). Profit margin: 5.5% (down from 6.4% in 3Q 2020). Over the last 3 years on average, earnings per share has fallen by 5% per year but the company’s share price has fallen by 14% per year, which means it is performing significantly worse than earnings. Analyst Estimate Surprise Post Earnings • Feb 07
Revenue misses expectations Revenue missed analyst estimates by 7.1%. Over the next year, revenue is forecast to grow 7.2%, compared to a 10% growth forecast for the Luxury industry in Germany. Is New 90 Day High Low • Dec 23
New 90-day low: €26.20 The company is down 19% from its price of €32.20 on 24 September 2020. The German market is up 7.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Luxury industry, which is up 6.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €14.47 per share. Duyuru • Nov 29
Gunze Limited to Report Q3, 2021 Results on Feb 05, 2021 Gunze Limited announced that they will report Q3, 2021 results on Feb 05, 2021 Is New 90 Day High Low • Nov 26
New 90-day low: €28.60 The company is down 3.0% from its price of €29.60 on 27 August 2020. The German market is up 1.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Luxury industry, which is up 10.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €12.96 per share. Reported Earnings • Nov 17
Second quarter 2021 earnings released: EPS JP¥28.65 The company reported a poor second quarter result with weaker earnings, revenues and profit margins. Second quarter 2021 results: Revenue: JP¥32.4b (down 12% from 2Q 2020). Net income: JP¥509.0m (down 56% from 2Q 2020). Profit margin: 1.6% (down from 3.1% in 2Q 2020). 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 only fallen by 9% per year, which means it has not declined as severely as earnings. Analyst Estimate Surprise Post Earnings • Nov 17
Revenue misses expectations Revenue missed analyst estimates by 2.5%. Over the next year, revenue is forecast to grow 4.8%, compared to a 12% growth forecast for the Luxury industry in Germany. Reported Earnings • Nov 07
Second quarter 2021 earnings released: EPS JP¥28.65 The company reported a poor second quarter result with weaker earnings, revenues and profit margins. Second quarter 2021 results: Revenue: JP¥32.4b (down 12% from 2Q 2020). Net income: JP¥509.0m (down 56% from 2Q 2020). Profit margin: 1.6% (down from 3.1% in 2Q 2020). 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 only fallen by 8% per year, which means it has not declined as severely as earnings. Analyst Estimate Surprise Post Earnings • Nov 07
Revenue misses expectations Revenue missed analyst estimates by 2.5%. Over the next year, revenue is forecast to grow 4.8%, compared to a 6.6% growth forecast for the Luxury industry in Germany. Duyuru • Oct 08
Gunze Limited to Report Q2, 2021 Results on Nov 05, 2020 Gunze Limited announced that they will report Q2, 2021 results on Nov 05, 2020 Is New 90 Day High Low • Sep 28
New 90-day high: €33.80 The company is up 5.0% from its price of €32.20 on 30 June 2020. The German market is up 1.0% over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Luxury industry, which is up 18% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €12.33 per share. Duyuru • Sep 24
Gunze Provides Biodegradable Scaffolds for TEVG Clinical Trial to Be Conducted at the Abigail Wexner Research Institute at Nationwide Children’s Hospital to Improve Pediatric Patient Clinical Outcome Gunze Limited announced that Gunze’s biodegradable scaffolds are being provided to the Abigail Wexner Research Institute at Nationwide Children's Hospital to conduct its first human tissue engineered vascular grafts (hereinafter TEVG), clinical trial. The synthetic grafts that are currently available have contributed to improved outcomes for pediatric patients’ cardiovascular surgery (i.e., congenital heart disease likes single ventricular disease). However, because the synthetic grafts do not grow alongside the living body parts, it can be necessary to perform additional surgeries in order to replace the grafts. This is a heavy burden on the patients. Additionally, the implementation of these graft materials at small diameters has demonstrated poor patency, inhibiting their use for coronary artery bypass surgery in adults. When applied to a pediatric patient population, they are handicapped by their inability to grow alongside the patient. Tissue engineered alternatives could possibly address these limitations by producing biocompatible implants with the ability to repair, remodel, grow, and regenerate. A tissue engineered vascular graft (TEVG) generally consists of a biodegradable scaffold, seeded cells, and the appropriate environmental cues (i.e., growth factors, physical stimulation) to induce tissue formation. To solve the problem, Toshiharu Shinoka, MD, PhD, co-director of the Tissue Engineering Program, and Christopher Breuer, MD, director of the Center for Regenerative Medicine, both of Nationwide Children’s, have developed the TEVG technology with Gunze’s biodegradable scaffold and will commence use of the Gunze scaffold in the first clinical trial using this material. However, it is difficult to work on a commercial basis to supply biodegradable scaffolds for such a rare disease like single ventricular disease. Gunze management has defined “QOL improvement” as a key challenge to resolve and has engaged with Nationwide Children’s Hospital to sponsor a clinical trial. Nationwide Children’s Hospital received clinical trial approval from the US FDA in August 2019. The biodegradable scaffolds are generated by its “bioabsorbable materials” and “fiber/polymer processing technology”. Cells taken from the bone marrow of the patient are seeded on this to form an artificial blood vessel. This is implanted as a cardiovascular bypass, and, after about 6 months, this revascularization base material is absorbed and regenerated as blood vessels using the patient's own tissue. By using organic material from the child’s own body, surgeons can avoid the problems associated with synthetic grafts and implantations. Previous studies have confirmed that this regenerated vessel follows the growth of the patient. As a result, subsequent surgery is avoided and restrictions on daily life are reduced, leading to improved patient QOL. Dr. Shinoka is one of the inventors of Gunze’s biodegradable scaffold. Gunze will establish and confirm safety and efficacy of biodegradable scaffolds in clinical trials in the U. S. and strive to build a sales system. In addition, by taking advantage of Gunze’s strengths in “bioabsorbable materials” and “fiber/polymer processing technology,” the patients’ QOL will continue to improve through the development and advocacy of less-invasive medical devices and procedures. Duyuru • Sep 22
Misonix Enters into Exclusive Supply and Distribution Agreement with Gunze Limited for Theragenesis Bilayer Wound Matrix Misonix, Inc. announced that it has entered into an exclusive supply and distribution agreement with Gunze Limited for TheraGenesis® Bilayer Wound Matrix. TheraGenesis is a proprietary, FDA cleared, porcine tendon derived collagen wound matrix with a silicone film layer used to treat trauma, burn and reconstructive wounds. TheraGenesis is complimentary and expansive to Misonix’s current tissue regeneration wound portfolio of TheraSkin and SonicOne, offering a strong competitive entry into the xenograft skin substitute segment of the over $1 billion skin substitute market and enables Misonix to leverage the growth opportunities in healing chronic wounds as well as in treating trauma and burn wounds. TheraGenesis is complimentary and expansive to Misonix’s current tissue regeneration wound portfolio of TheraSkin and SonicOne, offering a strong competitive entry into the xenograft skin substitute segment of the over $1 billion. skin substitute market and enables Misonix to leverage the growth opportunities in healing chronic wounds as well as in treating trauma and burn wounds.