Valuation Update With 7 Day Price Move • May 30
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to JP¥205, the stock trades at a trailing P/E ratio of 7.3x. Average trailing P/E is 14x in the Machinery industry in Japan. Total returns to shareholders of 38% over the past three years. Board Change • May 20
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 6 non-independent directors. Independent Outside Director Masanao Takeyama was the last independent director to join the board, commencing their role in 2015. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Reported Earnings • May 13
Full year 2026 earnings released: EPS: JP¥28.06 (vs JP¥10.92 in FY 2025) Full year 2026 results: EPS: JP¥28.06 (up from JP¥10.92 in FY 2025). Revenue: JP¥16.0b (up 6.1% from FY 2025). Net income: JP¥813.0m (up 181% from FY 2025). Profit margin: 5.1% (up from 1.9% in FY 2025). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 95% per year but the company’s share price has only increased by 11% per year, which means it is significantly lagging earnings growth. Board Change • May 01
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 6 non-independent directors. Independent Outside Director Masanao Takeyama was the last independent director to join the board, commencing their role in 2015. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Valuation Update With 7 Day Price Move • Mar 09
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to JP¥222, the stock trades at a trailing P/E ratio of 9.8x. Average trailing P/E is 15x in the Machinery industry in Japan. Total returns to shareholders of 45% over the past three years. Board Change • Feb 25
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 6 non-independent directors. Independent Outside Director Masanao Takeyama was the last independent director to join the board, commencing their role in 2015. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. New Risk • Feb 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 9.6% 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 (9.6% average weekly change). Minor Risk Market cap is less than US$100m (JP¥6.06b market cap, or US$39.5m). Reported Earnings • Feb 11
Third quarter 2026 earnings released: EPS: JP¥9.87 (vs JP¥2.21 in 3Q 2025) Third quarter 2026 results: EPS: JP¥9.87 (up from JP¥2.21 in 3Q 2025). Revenue: JP¥4.28b (up 19% from 3Q 2025). Net income: JP¥286.0m (up 347% from 3Q 2025). Profit margin: 6.7% (up from 1.8% in 3Q 2025). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 92% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Board Change • Feb 05
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 6 non-independent directors. Independent Outside Director Masanao Takeyama was the last independent director to join the board, commencing their role in 2015. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Board Change • Dec 25
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 6 non-independent directors. Independent Outside Director Masanao Takeyama was the last independent director to join the board, commencing their role in 2015. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Duyuru • Jun 07
Nikko Company, Annual General Meeting, Jun 27, 2025 Nikko Company, Annual General Meeting, Jun 27, 2025, at 10:00 Tokyo Standard Time. Location: 152-7 nishishinmachi, ishikawa prefecture, grand hotel hakusan 2nd floor glory hall, hakusan Japan Board Change • May 28
Less than half of directors are independent There is 1 new director who has joined the board in the last 3 years. The new board member was not an independent director. The company's board is composed of: 1 new director. 3 experienced directors. 8 highly experienced directors. 3 independent directors (6 non-independent directors). Independent Outside Director Takehito Hara was the last independent director to join the board, commencing their role in 2015. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Board Change • May 01
Less than half of directors are independent There is 1 new director who has joined the board in the last 3 years. The new board member was not an independent director. The company's board is composed of: 1 new director. 3 experienced directors. 8 highly experienced directors. 3 independent directors (6 non-independent directors). Independent Outside Director Takehito Hara was the last independent director to join the board, commencing their role in 2015. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Board Change • Mar 06
Less than half of directors are independent There is 1 new director who has joined the board in the last 3 years. The new board member was not an independent director. The company's board is composed of: 1 new director. 3 experienced directors. 8 highly experienced directors. 3 independent directors (6 non-independent directors). Independent Outside Director Takehito Hara was the last independent director to join the board, commencing their role in 2015. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Board Change • Nov 19
Less than half of directors are independent There is 1 new director who has joined the board in the last 3 years. The new board member was not an independent director. The company's board is composed of: 1 new director. 3 experienced directors. 8 highly experienced directors. 3 independent directors (6 non-independent directors). Independent Outside Director Takehito Hara was the last independent director to join the board, commencing their role in 2015. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Reported Earnings • Nov 10
Second quarter 2025 earnings released: EPS: JP¥2.32 (vs JP¥2.62 in 2Q 2024) Second quarter 2025 results: EPS: JP¥2.32 (down from JP¥2.62 in 2Q 2024). Revenue: JP¥3.85b (up 6.9% from 2Q 2024). Net income: JP¥57.0m (down 6.6% from 2Q 2024). Profit margin: 1.5% (down from 1.7% in 2Q 2024). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 67% per year but the company’s share price has fallen by 1% per year, which means it is significantly lagging earnings. Buy Or Sell Opportunity • Oct 24
Now 20% undervalued The stock has been flat over the last 90 days, currently trading at JP¥147. The fair value is estimated to be JP¥184, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 7.8% over the last 3 years. Meanwhile, the company has become profitable. Buy Or Sell Opportunity • Sep 30
Now 20% undervalued The stock has been flat over the last 90 days, currently trading at JP¥147. The fair value is estimated to be JP¥184, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 7.8% over the last 3 years. Meanwhile, the company has become profitable. Reported Earnings • Aug 11
First quarter 2025 earnings released: JP¥2.32 loss per share (vs JP¥11.11 loss in 1Q 2024) First quarter 2025 results: JP¥2.32 loss per share (improved from JP¥11.11 loss in 1Q 2024). Revenue: JP¥3.58b (up 8.5% from 1Q 2024). Net loss: JP¥54.0m (loss narrowed 79% from 1Q 2024). Over the last 3 years on average, earnings per share has increased by 61% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Reported Earnings • Jun 28
Full year 2024 earnings released: EPS: JP¥6.22 (vs JP¥7.59 loss in FY 2023) Full year 2024 results: EPS: JP¥6.22 (up from JP¥7.59 loss in FY 2023). Revenue: JP¥14.7b (up 5.2% from FY 2023). Net income: JP¥145.0m (up JP¥322.0m from FY 2023). Profit margin: 1.0% (up from net loss in FY 2023). The move to profitability was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 53% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Duyuru • Jun 14
Nikko Company, Annual General Meeting, Jun 21, 2024 Nikko Company, Annual General Meeting, Jun 21, 2024, at 10:00 Tokyo Standard Time. Location: 152-7 nishishinmachi, ishikawa prefecture grand hotel hakusan, 2nd floor glory hall, hakusan Japan Reported Earnings • May 15
Full year 2024 earnings released: EPS: JP¥6.22 (vs JP¥7.59 loss in FY 2023) Full year 2024 results: EPS: JP¥6.22 (up from JP¥7.59 loss in FY 2023). Revenue: JP¥14.7b (up 5.2% from FY 2023). Net income: JP¥145.0m (up JP¥322.0m from FY 2023). Profit margin: 1.0% (up from net loss in FY 2023). The move to profitability was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 53% per year but the company’s share price has only increased by 1% per year, which means it is significantly lagging earnings growth. Board Change • May 15
Less than half of directors are independent There is 1 new director who has joined the board in the last 3 years. The new board member was not an independent director. The company's board is composed of: 1 new director. 3 experienced directors. 8 highly experienced directors. 3 independent directors (6 non-independent directors). Independent Outside Director Takehito Hara was the last independent director to join the board, commencing their role in 2015. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. 
