Reported Earnings • May 20
First quarter 2026 earnings released: EPS: JP¥140 (vs JP¥58.48 in 1Q 2025) First quarter 2026 results: EPS: JP¥140 (up from JP¥58.48 in 1Q 2025). Revenue: JP¥88.3b (up 7.5% from 1Q 2025). Net income: JP¥6.57b (up 123% from 1Q 2025). Profit margin: 7.4% (up from 3.6% in 1Q 2025). The increase in margin was driven by higher revenue. Revenue is forecast to grow 3.4% p.a. on average during the next 3 years, compared to a 4.8% growth forecast for the Chemicals industry in Japan. Over the last 3 years on average, earnings per share has increased by 25% per year whereas the company’s share price has increased by 23% per year. Duyuru • Apr 23
artience Co., Ltd. to Report Q1, 2026 Results on May 15, 2026 artience Co., Ltd. announced that they will report Q1, 2026 results at 4:30 PM, Tokyo Standard Time on May 15, 2026 Declared Dividend • Apr 11
Final dividend increased to JP¥60.00 Dividend of JP¥60.00 is 20% higher than last year. Ex-date: 29th June 2026 Payment date: 8th September 2026 Dividend yield will be 2.8%, which is higher than the industry average of 2.2%. Sustainability & Growth Dividend is well covered by both earnings (48% earnings payout ratio) and cash flows (46% cash payout ratio). The dividend has increased by an average of 4.8% 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 37% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Board Change • Apr 10
High number of new directors There are 6 new directors who have joined the board in the last 3 years. Independent Outside Director Megumi Tsukamoto was the last director to join the board, commencing their role in 2026. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Price Target Changed • Mar 06
Price target increased by 11% to JP¥4,400 Up from JP¥3,950, the current price target is an average from 2 analysts. New target price is 6.2% above last closing price of JP¥4,145. Stock is up 29% over the past year. The company is forecast to post earnings per share of JP¥432 for next year compared to JP¥210 last year. Duyuru • Feb 18
Corporate Support Research Institute Fund No.1 managed by Corporate Support Research Institute Co, Ltd completed the acquisition of Toin Corporation (TSE:7923) from a group of shareholders. Corporate Support Research Institute Fund No.1 managed by Corporate Support Research Institute Co, Ltd made an offer to acquire Toin Corporation (TSE:7923) from a group of shareholders for ¥6 billion on March 21, 2025. A cash consideration valued at ¥1187 per share will be paid by Corporate Support Research Institute Fund No.1 managed by Corporate Support Research Institute Co, Ltd. The transaction is expected to close on February 16, 2026. Nomura Securities Co., Ltd. acted as financial advisor and Mori Hamada & Matsumoto LPC acted as legal advisor to Corporate Support Research Institute Co, Ltd. Anderson Mori & Tomotsune acted as legal advisor and Daiwa Securities Co. Ltd. acted as financial advisor to Toin Corporation.
Corporate Support Research Institute Fund No.1 managed by Corporate Support Research Institute Co, Ltd completed the acquisition of Toin Corporation (TSE:7923) from a group of shareholders on February 16, 2026. As per the transaction, Corporate Support Research Institute Fund No.1 managed by Corporate Support Research Institute Co, Ltd acquired 92.13% stake in Toin Corporation and will acquired remaining shares via squeeze-out procedures. New Risk • Feb 14
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 3.0% Last year net profit margin: 5.3% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. Currently, the following risks have been identified for the company: Minor Risks Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (3.0% net profit margin). Reported Earnings • Feb 14
Full year 2025 earnings: EPS misses analyst expectations Full year 2025 results: EPS: JP¥210 (down from JP¥353 in FY 2024). Revenue: JP¥350.0b (flat on FY 2024). Net income: JP¥10.3b (down 44% from FY 2024). Profit margin: 3.0% (down from 5.3% in FY 2024). Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 34%. Revenue is forecast to grow 4.0% p.a. on average during the next 2 years, compared to a 4.4% growth forecast for the Chemicals industry in Japan. Over the last 3 years on average, earnings per share has increased by 27% per year whereas the company’s share price has increased by 28% per year. Duyuru • Feb 13
artience Co., Ltd., Annual General Meeting, Mar 24, 2026 artience Co., Ltd., Annual General Meeting, Mar 24, 2026. Duyuru • Dec 23
artience Co., Ltd. to Report Fiscal Year 2025 Results on Feb 13, 2026 artience Co., Ltd. announced that they will report fiscal year 2025 results on Feb 13, 2026 Upcoming Dividend • Dec 22
Upcoming dividend of JP¥50.00 per share Eligible shareholders must have bought the stock before 29 December 2025. Payment date: 27 March 2026. Payout ratio is a comfortable 32% and the cash payout ratio is 81%. Trailing yield: 2.8%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (2.5%). Reported Earnings • Nov 18
Third quarter 2025 earnings released: EPS: JP¥86.05 (vs JP¥61.77 in 3Q 2024) Third quarter 2025 results: EPS: JP¥86.05 (up from JP¥61.77 in 3Q 2024). Revenue: JP¥89.7b (up 2.0% from 3Q 2024). Net income: JP¥4.19b (up 28% from 3Q 2024). Profit margin: 4.7% (up from 3.7% in 3Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 2.3% p.a. on average during the next 3 years, compared to a 4.3% growth forecast for the Chemicals industry in Japan. Over the last 3 years on average, earnings per share has increased by 30% per year but the company’s share price has only increased by 20% per year, which means it is significantly lagging earnings growth. Duyuru • Sep 26
artience Co., Ltd. to Report Q3, 2025 Results on Nov 14, 2025 artience Co., Ltd. announced that they will report Q3, 2025 results on Nov 14, 2025 Price Target Changed • Sep 25
Price target decreased by 8.3% to JP¥3,850 Down from JP¥4,200, the current price target is an average from 2 analysts. New target price is 21% above last closing price of JP¥3,185. Stock is down 20% over the past year. The company is forecast to post earnings per share of JP¥300 for next year compared to JP¥353 last year. Declared Dividend • Sep 09
First half dividend of JP¥50.00 announced Dividend of JP¥50.00 is the same as last year. Ex-date: 29th December 2025 Payment date: 27th March 2026 Dividend yield will be 3.1%, which is higher than the industry average of 2.2%. Sustainability & Growth Dividend is covered by both earnings (35% earnings payout ratio) and cash flows (82% cash payout ratio). The dividend has increased by an average of 3.6% 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 17% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Aug 09
Second quarter 2025 earnings released: EPS: JP¥50.88 (vs JP¥99.20 in 2Q 2024) Second quarter 2025 results: EPS: JP¥50.88 (down from JP¥99.20 in 2Q 2024). Revenue: JP¥86.6b (down 4.3% from 2Q 2024). Net income: JP¥2.53b (down 52% from 2Q 2024). Profit margin: 2.9% (down from 5.8% in 2Q 2024). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 6.2% p.a. on average during the next 3 years, compared to a 4.2% growth forecast for the Chemicals industry in Japan. Over the last 3 years on average, earnings per share has increased by 28% per year but the company’s share price has only increased by 20% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Jun 20
Upcoming dividend of JP¥50.00 per share Eligible shareholders must have bought the stock before 27 June 2025. Payment date: 09 September 2025. Payout ratio is a comfortable 30% and this is well supported by cash flows. Trailing yield: 3.3%. Lower than top quartile of Japanese dividend payers (4.0%). Higher than average of industry peers (2.9%). Reported Earnings • May 10
First quarter 2025 earnings released: EPS: JP¥58.48 (vs JP¥77.23 in 1Q 2024) First quarter 2025 results: EPS: JP¥58.48 (down from JP¥77.23 in 1Q 2024). Revenue: JP¥82.1b (flat on 1Q 2024). Net income: JP¥2.95b (down 28% from 1Q 2024). Profit margin: 3.6% (down from 5.0% in 1Q 2024). Revenue is forecast to grow 4.0% p.a. on average during the next 3 years, compared to a 4.6% growth forecast for the Chemicals industry in Japan. Over the last 3 years on average, earnings per share has increased by 28% per year but the company’s share price has only increased by 14% per year, which means it is significantly lagging earnings growth. Duyuru • Apr 12
artience Co., Ltd. to Report First Half, 2025 Results on Aug 08, 2025 artience Co., Ltd. announced that they will report first half, 2025 results on Aug 08, 2025 Declared Dividend • Apr 11
Final dividend of JP¥50.00 announced Shareholders will receive a dividend of JP¥50.00. Ex-date: 27th June 2025 Payment date: 9th September 2025 Dividend yield will be 3.6%, which is higher than the industry average of 2.2%. Sustainability & Growth Dividend is covered by both earnings (33% earnings payout ratio) and cash flows (62% cash payout ratio). The dividend has increased by an average of 3.6% 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 19% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Board Change • Apr 08
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, 2 were independent directors. The company's board is composed of: 5 independent directors. 6 non-independent directors. Independent Outside Director Yoshinobu Fujimoto was the last independent director to join the board, commencing their role in 2024. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of board continuity. Valuation Update With 7 Day Price Move • Apr 07
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to JP¥2,583, the stock trades at a forward P/E ratio of 7x. Average forward P/E is 10x in the Chemicals industry in Japan. Total returns to shareholders of 54% over the past three years. Duyuru • Feb 17
artience Co., Ltd. to Report Q1, 2025 Results on May 09, 2025 artience Co., Ltd. announced that they will report Q1, 2025 results at 4:50 PM, Tokyo Standard Time on May 09, 2025 Reported Earnings • Feb 16
Full year 2024 earnings: EPS and revenues exceed analyst expectations Full year 2024 results: EPS: JP¥353 (up from JP¥184 in FY 2023). Revenue: JP¥351.1b (up 9.0% from FY 2023). Net income: JP¥18.5b (up 90% from FY 2023). Profit margin: 5.3% (up from 3.0% in FY 2023). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 1.1%. Earnings per share (EPS) also surpassed analyst estimates by 6.9%. Revenue is forecast to grow 3.0% p.a. on average during the next 3 years, compared to a 5.0% growth forecast for the Chemicals industry in Japan. Over the last 3 years on average, earnings per share has increased by 24% per year whereas the company’s share price has increased by 19% per year. Duyuru • Feb 14
artience Co., Ltd., Annual General Meeting, Mar 26, 2025 artience Co., Ltd., Annual General Meeting, Mar 26, 2025. Duyuru • Dec 25
artience Co., Ltd. to Report Fiscal Year 2024 Results on Feb 14, 2025 artience Co., Ltd. announced that they will report fiscal year 2024 results at 4:50 PM, Tokyo Standard Time on Feb 14, 2025 Upcoming Dividend • Dec 20
Upcoming dividend of JP¥50.00 per share Eligible shareholders must have bought the stock before 27 December 2024. Payment date: 27 March 2025. Payout ratio is a comfortable 33% and this is well supported by cash flows. Trailing yield: 3.3%. Lower than top quartile of Japanese dividend payers (3.8%). Higher than average of industry peers (2.6%). Price Target Changed • Dec 18
Price target decreased by 7.2% to JP¥4,500 Down from JP¥4,850, the current price target is an average from 2 analysts. New target price is 49% above last closing price of JP¥3,020. Stock is up 13% over the past year. The company is forecast to post earnings per share of JP¥329 for next year compared to JP¥184 last year. Valuation Update With 7 Day Price Move • Nov 15
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to JP¥3,095, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 11x in the Chemicals industry in Japan. Total returns to shareholders of 76% over the past three years. Price Target Changed • Nov 09
Price target increased by 11% to JP¥4,850 Up from JP¥4,350, the current price target is an average from 2 analysts. New target price is 29% above last closing price of JP¥3,755. Stock is up 48% over the past year. The company is forecast to post earnings per share of JP¥341 for next year compared to JP¥184 last year. Reported Earnings • Nov 09
Third quarter 2024 earnings released: EPS: JP¥61.77 (vs JP¥63.70 in 3Q 2023) Third quarter 2024 results: EPS: JP¥61.77 (down from JP¥63.70 in 3Q 2023). Revenue: JP¥87.9b (up 4.0% from 3Q 2023). Net income: JP¥3.27b (down 3.3% from 3Q 2023). Profit margin: 3.7% (down from 4.0% in 3Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 6.7% p.a. on average during the next 3 years, compared to a 5.1% growth forecast for the Chemicals 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 increased by 23% per year, which means it is tracking significantly ahead of earnings growth. Major Estimate Revision • Sep 04
Consensus EPS estimates increase by 10% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has improved. 2024 revenue forecast increased from JP¥342.7b to JP¥348.4b. EPS estimate increased from JP¥258 to JP¥285 per share. Net income forecast to grow 3.6% next year vs 11% growth forecast for Chemicals industry in Japan. Consensus price target up from JP¥4,350 to JP¥4,600. Share price rose 6.8% to JP¥3,775 over the past week. Duyuru • Aug 19
artience Co., Ltd. to Report Q3, 2024 Results on Nov 08, 2024 artience Co., Ltd. announced that they will report Q3, 2024 results on Nov 08, 2024 Reported Earnings • Aug 13
Second quarter 2024 earnings released: EPS: JP¥99.20 (vs JP¥63.29 in 2Q 2023) Second quarter 2024 results: EPS: JP¥99.20 (up from JP¥63.29 in 2Q 2023). Revenue: JP¥90.5b (up 15% from 2Q 2023). Net income: JP¥5.26b (up 57% from 2Q 2023). Profit margin: 5.8% (up from 4.3% in 2Q 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 6.1% p.a. on average during the next 3 years, compared to a 5.6% growth forecast for the Chemicals industry in Japan. Over the last 3 years on average, earnings per share has increased by 11% per year but the company’s share price has increased by 18% per year, which means it is tracking significantly ahead of earnings growth. Declared Dividend • Aug 12
Dividend of JP¥50.00 announced Shareholders will receive a dividend of JP¥50.00. Ex-date: 27th December 2024 Payment date: 27th March 2025 Dividend yield will be 3.5%, which is higher than the industry average of 2.2%. Sustainability & Growth Dividend is covered by earnings (36% earnings payout ratio) but not covered by cash flows (137% cash payout ratio). The dividend has increased by an average of 4.1% 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 29% over the next 3 years, which should provide support to the dividend and adequate earnings cover. New Risk • Aug 05
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 7.0% 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 Dividend is not well covered by cash flows (137% cash payout ratio). Share price has been volatile over the past 3 months (7.0% average weekly change). Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment deteriorates as stock falls 25% After last week's 25% share price decline to JP¥2,443, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 12x in the Chemicals industry in Japan. Total returns to shareholders of 37% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥1,960 per share. Duyuru • Jun 26
artience Co., Ltd. to Report Q2, 2024 Results on Aug 09, 2024 artience Co., Ltd. announced that they will report Q2, 2024 results on Aug 09, 2024 Upcoming Dividend • Jun 20
Upcoming dividend of JP¥45.00 per share Eligible shareholders must have bought the stock before 27 June 2024. Payment date: 02 September 2024. Payout ratio is a comfortable 36% but the company is paying out more than the cash it is generating. Trailing yield: 2.7%. Lower than top quartile of Japanese dividend payers (3.4%). Higher than average of industry peers (2.3%). Major Estimate Revision • Jun 06
Consensus EPS estimates increase by 11% The consensus outlook for fiscal year 2024 has been updated. 2024 EPS estimate increased from JP¥217 to JP¥241. Revenue forecast steady at JP¥342.7b. Net income forecast to grow 0.5% next year vs 11% growth forecast for Chemicals industry in Japan. Consensus price target up from JP¥4,050 to JP¥4,350. Share price was steady at JP¥3,345 over the past week. Price Target Changed • May 24
Price target increased by 13% to JP¥4,050 Up from JP¥3,600, the current price target is an average from 2 analysts. New target price is 18% above last closing price of JP¥3,430. Stock is up 58% over the past year. The company is forecast to post earnings per share of JP¥217 for next year compared to JP¥184 last year. Reported Earnings • May 12
First quarter 2024 earnings released: EPS: JP¥77.23 (vs JP¥9.19 in 1Q 2023) First quarter 2024 results: EPS: JP¥77.23 (up from JP¥9.19 in 1Q 2023). Revenue: JP¥81.7b (up 9.2% from 1Q 2023). Net income: JP¥4.10b (up JP¥3.61b from 1Q 2023). Profit margin: 5.0% (up from 0.7% in 1Q 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 5.7% p.a. on average during the next 3 years, compared to a 5.7% growth forecast for the Chemicals industry in Japan. Over the last 3 years on average, earnings per share has increased by 5% per year but the company’s share price has increased by 14% per year, which means it is tracking significantly ahead of earnings growth. Declared Dividend • Apr 11
Final dividend of JP¥45.00 announced Dividend of JP¥45.00 is the same as last year. Ex-date: 27th June 2024 Payment date: 2nd September 2024 Dividend yield will be 3.0%, which is higher than the industry average of 2.2%. Sustainability & Growth Dividend is covered by earnings (61% earnings payout ratio) but not covered by cash flows (137% cash payout ratio). The dividend has increased by an average of 4.1% 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 49% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Mar 30
Full year 2023 earnings: EPS exceeds analyst expectations Full year 2023 results: EPS: JP¥184 (up from JP¥171 in FY 2022). Revenue: JP¥322.1b (up 2.0% from FY 2022). Net income: JP¥9.74b (up 4.6% from FY 2022). Profit margin: 3.0% (in line with FY 2022). Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 18%. Revenue is forecast to grow 5.8% p.a. on average during the next 3 years, compared to a 5.6% growth forecast for the Chemicals industry in Japan. Over the last 3 years on average, earnings per share has increased by 2% per year but the company’s share price has increased by 12% per year, which means it is tracking significantly ahead of earnings growth. Major Estimate Revision • Mar 13
Consensus EPS estimates increase by 11% The consensus outlook for fiscal year 2024 has been updated. 2024 EPS estimate increased from JP¥181 to JP¥201. Revenue forecast steady at JP¥338.3b. Net income forecast to grow 8.9% next year vs 21% growth forecast for Chemicals industry in Japan. Consensus price target up from JP¥3,450 to JP¥3,600. Share price rose 2.6% to JP¥2,835 over the past week. Price Target Changed • Mar 12
Price target increased by 11% to JP¥3,600 Up from JP¥3,250, the current price target is an average from 2 analysts. New target price is 27% above last closing price of JP¥2,830. Stock is up 46% over the past year. The company is forecast to post earnings per share of JP¥201 for next year compared to JP¥184 last year. Price Target Changed • Feb 27
Price target increased by 7.8% to JP¥3,450 Up from JP¥3,200, the current price target is an average from 2 analysts. New target price is 18% above last closing price of JP¥2,913. Stock is up 51% over the past year. The company is forecast to post earnings per share of JP¥181 for next year compared to JP¥184 last year. Duyuru • Feb 19
artience Co., Ltd. to Report Q1, 2024 Results on May 10, 2024 artience Co., Ltd. announced that they will report Q1, 2024 results on May 10, 2024 Reported Earnings • Feb 16
Full year 2023 earnings: EPS exceeds analyst expectations Full year 2023 results: EPS: JP¥184 (up from JP¥171 in FY 2022). Revenue: JP¥322.1b (up 2.0% from FY 2022). Net income: JP¥9.74b (up 4.6% from FY 2022). Profit margin: 3.0% (in line with FY 2022). Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 18%. Revenue is forecast to grow 6.0% p.a. on average during the next 3 years, compared to a 5.8% growth forecast for the Chemicals industry in Japan. Over the last 3 years on average, earnings per share has increased by 2% per year but the company’s share price has increased by 13% per year, which means it is tracking significantly ahead of earnings growth. Duyuru • Feb 14
artience Co., Ltd., Annual General Meeting, Mar 26, 2024 artience Co., Ltd., Annual General Meeting, Mar 26, 2024. Agenda: To consider dividend. Duyuru • Dec 24
Toyo Ink SC Holdings Co., Ltd. to Report Fiscal Year 2023 Results on Feb 14, 2024 Toyo Ink SC Holdings Co., Ltd. announced that they will report fiscal year 2023 results on Feb 14, 2024 Upcoming Dividend • Dec 21
Upcoming dividend of JP¥45.00 per share at 3.4% yield Eligible shareholders must have bought the stock before 28 December 2023. Payment date: 25 March 2024. Payout ratio is a comfortable 61% but the company is not cash flow positive. Trailing yield: 3.4%. Lower than top quartile of Japanese dividend payers (3.5%). Higher than average of industry peers (2.4%). Reported Earnings • Nov 12
Third quarter 2023 earnings released: EPS: JP¥63.70 (vs JP¥6.55 in 3Q 2022) Third quarter 2023 results: EPS: JP¥63.70 (up from JP¥6.55 in 3Q 2022). Revenue: JP¥84.6b (up 5.4% from 3Q 2022). Net income: JP¥3.38b (up JP¥3.03b from 3Q 2022). Profit margin: 4.0% (up from 0.4% in 3Q 2022). The increase in margin was driven by higher revenue. Revenue is forecast to grow 5.3% p.a. on average during the next 3 years, compared to a 5.0% growth forecast for the Chemicals industry in Japan. Over the last 3 years on average, earnings per share has increased by 2% per year but the company’s share price has increased by 9% per year, which means it is tracking significantly ahead of earnings growth. Duyuru • Sep 24
Toyo Ink SC Holdings Co., Ltd. to Report Q3, 2023 Results on Nov 10, 2023 Toyo Ink SC Holdings Co., Ltd. announced that they will report Q3, 2023 results on Nov 10, 2023 New Risk • Aug 09
New major risk - Dividend sustainability The dividend is not well covered by earnings and cash flows. Payout ratio: 101% The company is paying a dividend despite having no free cash flows. Dividend yield: 4.2% This is considered a major risk. Companies that pay out too much of their earnings and cash flows are at risk of having to reduce or cut their dividend in future. If earnings or cash flows stagnate or fall, then there may not be enough to maintain the same dividend. Or in extreme cases, companies may opt to dig into capital reserves or take on debt to maintain the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Major Risks Dividend is not well covered by earnings and cash flows. Payout ratio: 101% Paying a dividend despite having no free cash flows. Earnings have declined by 4.6% per year over the past 5 years. Minor Risk Profit margins are more than 30% lower than last year (1.5% net profit margin). Reported Earnings • Aug 08
Second quarter 2023 earnings released: EPS: JP¥63.29 (vs JP¥95.26 in 2Q 2022) Second quarter 2023 results: EPS: JP¥63.29 (down from JP¥95.26 in 2Q 2022). Revenue: JP¥78.9b (down 2.1% from 2Q 2022). Net income: JP¥3.36b (down 36% from 2Q 2022). Profit margin: 4.3% (down from 6.5% in 2Q 2022). Over the last 3 years on average, earnings per share has increased by 3% per year and the company’s share price has also increased by 3% per year. Duyuru • Jun 22
Toyo Ink SC Holdings Co., Ltd. to Report Q2, 2023 Results on Aug 07, 2023 Toyo Ink SC Holdings Co., Ltd. announced that they will report Q2, 2023 results on Aug 07, 2023 Upcoming Dividend • Jun 22
Upcoming dividend of JP¥45.00 per share at 4.1% yield Eligible shareholders must have bought the stock before 29 June 2023. Payment date: 01 September 2023. Payout ratio is a comfortable 73% but the company is not cash flow positive. Trailing yield: 4.1%. Within top quartile of Japanese dividend payers (3.5%). Higher than average of industry peers (2.5%). Reported Earnings • May 17
First quarter 2023 earnings released: EPS: JP¥9.19 (vs JP¥56.60 in 1Q 2022) First quarter 2023 results: EPS: JP¥9.19 (down from JP¥56.60 in 1Q 2022). Revenue: JP¥74.8b (flat on 1Q 2022). Net income: JP¥487.0m (down 85% from 1Q 2022). Profit margin: 0.7% (down from 4.3% in 1Q 2022). 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 3% per year, which means it is significantly lagging earnings growth. Reported Earnings • Mar 28
Full year 2022 earnings released Full year 2022 results: Revenue: JP¥315.9b (up 9.7% from FY 2021). Net income: JP¥9.31b (down 1.9% from FY 2021). Profit margin: 2.9% (down from 3.3% in FY 2021). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 18% per year but the company’s share price has fallen by 1% per year, which means it is significantly lagging earnings. Reported Earnings • Feb 17
Full year 2022 earnings released: EPS: JP¥171 (vs JP¥169 in FY 2021) Full year 2022 results: EPS: JP¥171. Revenue: JP¥315.9b (up 9.7% from FY 2021). Net income: JP¥9.31b (down 1.9% from FY 2021). Profit margin: 2.9% (down from 3.3% in FY 2021). Duyuru • Feb 14
Toyo Ink SC Holdings Co., Ltd., Annual General Meeting, Mar 23, 2023 Toyo Ink SC Holdings Co., Ltd., Annual General Meeting, Mar 23, 2023. Duyuru • Dec 24
Toyo Ink SC Holdings Co., Ltd. to Report Fiscal Year 2022 Results on Feb 14, 2023 Toyo Ink SC Holdings Co., Ltd. announced that they will report fiscal year 2022 results on Feb 14, 2023 Upcoming Dividend • Dec 22
Upcoming dividend of JP¥45.00 per share Eligible shareholders must have bought the stock before 29 December 2022. Payment date: 24 March 2023. Payout ratio is a comfortable 22% but the company is not cash flow positive. Trailing yield: 4.8%. Within top quartile of Japanese dividend payers (3.8%). Higher than average of industry peers (3.0%). Reported Earnings • Nov 16
Third quarter 2022 earnings released: EPS: JP¥6.55 (vs JP¥11.93 in 3Q 2021) Third quarter 2022 results: EPS: JP¥6.55 (down from JP¥11.93 in 3Q 2021). Revenue: JP¥80.2b (up 12% from 3Q 2021). Net income: JP¥348.0m (down 48% from 3Q 2021). Profit margin: 0.4% (down from 0.9% in 3Q 2021). Over the last 3 years on average, earnings per share has increased by 14% per year but the company’s share price has fallen by 11% per year, which means it is significantly lagging earnings. Board Change • Nov 16
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Independent Outside Director J.J. Ikegami was the last director to join the board, commencing their role in 2022. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model.