Valuation Update With 7 Day Price Move • Aug 04
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to JP¥701, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 18x in the Semiconductor industry in Japan. Total returns to shareholders of 26% over the past three years. Reported Earnings • Jul 14
Third quarter 2026 earnings released: EPS: JP¥2.10 (vs JP¥2.45 in 3Q 2025) Third quarter 2026 results: EPS: JP¥2.10 (down from JP¥2.45 in 3Q 2025). Revenue: JP¥735.0m (down 19% from 3Q 2025). Net income: JP¥44.0m (down 17% from 3Q 2025). Profit margin: 6.0% (up from 5.8% in 3Q 2025). The increase in margin was driven by lower expenses. Revenue is forecast to grow 19% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, earnings per share has increased by 2% per year whereas the company’s share price has increased by 4% per year. Valuation Update With 7 Day Price Move • May 25
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to JP¥829, the stock trades at a forward P/E ratio of 21x. Average forward P/E is 21x in the Semiconductor industry in Japan. Total returns to shareholders of 39% over the past three years. Duyuru • May 20
NPC Incorporated to Report Q3, 2026 Results on Jul 10, 2026 NPC Incorporated announced that they will report Q3, 2026 results on Jul 10, 2026 Declared Dividend • Apr 10
Dividend of JP¥10.00 announced Dividend of JP¥10.00 is the same as last year. Ex-date: 28th August 2026 Payment date: 30th November 2026 Dividend yield will be 1.3%, which is higher than the industry average of 1.0%. Sustainability & Growth Dividend is covered by earnings (27% earnings payout ratio) but not covered by cash flows (dividend approximately 26x free cash flows). The dividend has increased by an average of 22% per year over the past 8 years. However, payments have been volatile during that time. EPS is expected to grow by 109% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Duyuru • Feb 20
NPC Incorporated to Report Q2, 2026 Results on Apr 08, 2026 NPC Incorporated announced that they will report Q2, 2026 results on Apr 08, 2026 Reported Earnings • Jan 14
First quarter 2026 earnings released: JP¥6.52 loss per share (vs JP¥11.78 profit in 1Q 2025) First quarter 2026 results: JP¥6.52 loss per share (down from JP¥11.78 profit in 1Q 2025). Revenue: JP¥368.0m (down 77% from 1Q 2025). Net loss: JP¥140.0m (down 155% from profit in 1Q 2025). Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 10% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, earnings per share has increased by 29% per year but the company’s share price has only increased by 12% per year, which means it is significantly lagging earnings growth. Buy Or Sell Opportunity • Nov 27
Now 20% overvalued after recent price rise Over the last 90 days, the stock has risen 4.8% to JP¥722. The fair value is estimated to be JP¥601, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 24% over the last 3 years. Earnings per share has grown by 42%. For the next 3 years, revenue is forecast to grow by 7.5% per annum. Earnings are also forecast to grow by 3.8% per annum over the same time period. Duyuru • Nov 18
NPC Incorporated to Report Q1, 2026 Results on Jan 13, 2026 NPC Incorporated announced that they will report Q1, 2026 results on Jan 13, 2026 Buy Or Sell Opportunity • Oct 27
Now 27% overvalued after recent price rise Over the last 90 days, the stock has risen 22% to JP¥779. The fair value is estimated to be JP¥615, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 24% over the last 3 years. Earnings per share has grown by 42%. For the next 3 years, revenue is forecast to grow by 7.5% per annum. Earnings are also forecast to grow by 3.8% per annum over the same time period. Reported Earnings • Oct 10
Full year 2025 earnings: EPS exceeds analyst expectations Full year 2025 results: EPS: JP¥61.33 (down from JP¥77.79 in FY 2024). Revenue: JP¥9.27b (down 14% from FY 2024). Net income: JP¥1.33b (down 21% from FY 2024). Profit margin: 14% (down from 16% in FY 2024). The decrease in margin was driven by lower revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 11%. Revenue is forecast to grow 6.4% p.a. on average during the next 2 years, compared to a 6.8% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, earnings per share has increased by 42% per year but the company’s share price has only increased by 13% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Aug 21
Upcoming dividend of JP¥10.00 per share Eligible shareholders must have bought the stock before 28 August 2025. Payment date: 01 December 2025. Payout ratio is a comfortable 14% and this is well supported by cash flows. Trailing yield: 1.4%. Lower than top quartile of Japanese dividend payers (3.7%). Lower than average of industry peers (1.6%). Duyuru • Aug 20
NPC Incorporated to Report Fiscal Year 2025 Results on Oct 09, 2025 NPC Incorporated announced that they will report fiscal year 2025 results on Oct 09, 2025 New Risk • Jul 15
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 0.7% per year for the foreseeable future. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are expected to decline, then in most cases the share price will decline over time as well. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings are forecast to decline by an average of 0.7% per year for the foreseeable future. Minor Risks Share price has been volatile over the past 3 months (5.6% average weekly change). Market cap is less than US$100m (JP¥14.3b market cap, or US$96.5m). Reported Earnings • Jul 14
Third quarter 2025 earnings released: EPS: JP¥2.45 (vs JP¥9.88 in 3Q 2024) Third quarter 2025 results: EPS: JP¥2.45 (down from JP¥9.88 in 3Q 2024). Revenue: JP¥909.0m (down 37% from 3Q 2024). Net income: JP¥53.0m (down 75% from 3Q 2024). Profit margin: 5.8% (down from 15% in 3Q 2024). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 21% p.a. on average during the next 3 years, compared to a 7.2% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, earnings per share has increased by 55% per year but the company’s share price has only increased by 9% per year, which means it is significantly lagging earnings growth. New Risk • Jun 18
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: JP¥14.3b (US$98.9m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Minor Risks Share price has been volatile over the past 3 months (9.3% average weekly change). Market cap is less than US$100m (JP¥14.3b market cap, or US$98.9m). Buy Or Sell Opportunity • Jun 18
Now 22% undervalued after recent price drop Over the last 90 days, the stock has fallen 24% to JP¥660. The fair value is estimated to be JP¥850, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 34% over the last 3 years. Earnings per share has grown by 68%. Revenue is forecast to grow by 22% in 2 years. Earnings are forecast to grow by 7.5% in the next 2 years. Buy Or Sell Opportunity • Jun 03
Now 21% undervalued after recent price drop Over the last 90 days, the stock has fallen 25% to JP¥673. The fair value is estimated to be JP¥851, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 34% over the last 3 years. Earnings per share has grown by 68%. Revenue is forecast to grow by 22% in 2 years. Earnings are forecast to grow by 7.5% in the next 2 years. Duyuru • May 14
NPC Incorporated to Report Q3, 2025 Results on Jul 11, 2025 NPC Incorporated announced that they will report Q3, 2025 results on Jul 11, 2025 Valuation Update With 7 Day Price Move • Apr 24
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to JP¥713, the stock trades at a forward P/E ratio of 12x. Average forward P/E is 13x in the Semiconductor industry in Japan. Total returns to shareholders of 85% over the past three years. Buy Or Sell Opportunity • Apr 12
Now 30% undervalued after recent price drop Over the last 90 days, the stock has fallen 24% to JP¥627. The fair value is estimated to be JP¥897, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 34% over the last 3 years. Earnings per share has grown by 68%. Revenue is forecast to grow by 34% in 2 years. Earnings are forecast to grow by 26% in the next 2 years. Reported Earnings • Apr 11
Second quarter 2025 earnings released: EPS: JP¥10.42 (vs JP¥21.08 in 2Q 2024) Second quarter 2025 results: EPS: JP¥10.42 (down from JP¥21.08 in 2Q 2024). Revenue: JP¥1.53b (down 46% from 2Q 2024). Net income: JP¥225.0m (down 50% from 2Q 2024). Profit margin: 15% (down from 16% in 2Q 2024). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 14% p.a. on average during the next 3 years, compared to a 8.0% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, earnings per share has increased by 68% per year but the company’s share price has only increased by 16% per year, which means it is significantly lagging earnings growth. New Risk • Apr 07
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: JP¥13.1b (US$89.4m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (8.5% average weekly change). Minor Risk Market cap is less than US$100m (JP¥13.1b market cap, or US$89.4m). Valuation Update With 7 Day Price Move • Apr 03
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to JP¥737, the stock trades at a forward P/E ratio of 8x. Average forward P/E is 14x in the Semiconductor industry in Japan. Total returns to shareholders of 70% over the past three years. Duyuru • Feb 18
NPC Incorporated to Report Q2, 2025 Results on Apr 10, 2025 NPC Incorporated announced that they will report Q2, 2025 results on Apr 10, 2025 New Risk • Jan 14
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Japanese stocks, typically moving 7.8% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. This is currently the only risk that has been identified for the company. Reported Earnings • Jan 13
First quarter 2025 earnings released: EPS: JP¥11.78 (vs JP¥1.39 in 1Q 2024) First quarter 2025 results: EPS: JP¥11.78 (up from JP¥1.39 in 1Q 2024). Revenue: JP¥1.59b (up 146% from 1Q 2024). Net income: JP¥254.0m (up JP¥224.0m from 1Q 2024). Profit margin: 16% (up from 4.6% in 1Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 9.2% p.a. on average during the next 3 years, compared to a 9.5% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, earnings per share has increased by 74% per year but the company’s share price has only increased by 19% per year, which means it is significantly lagging earnings growth. Reported Earnings • Dec 05
Full year 2024 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2024 results: EPS: JP¥77.79 (up from JP¥46.15 in FY 2023). Revenue: JP¥10.8b (up 16% from FY 2023). Net income: JP¥1.68b (up 69% from FY 2023). Profit margin: 16% (up from 11% in FY 2023). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 1.8%. Earnings per share (EPS) exceeded analyst estimates by 8.2%. Revenue is forecast to grow 11% p.a. on average during the next 3 years, compared to a 10% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, earnings per share has increased by 70% per year but the company’s share price has only increased by 15% per year, which means it is significantly lagging earnings growth. Duyuru • Nov 19
NPC Incorporated to Report Q1, 2025 Results on Jan 10, 2025 NPC Incorporated announced that they will report Q1, 2025 results on Jan 10, 2025 Reported Earnings • Oct 18
Full year 2024 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2024 results: EPS: JP¥77.79 (up from JP¥46.15 in FY 2023). Revenue: JP¥10.8b (up 16% from FY 2023). Net income: JP¥1.68b (up 69% from FY 2023). Profit margin: 16% (up from 11% in FY 2023). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 1.8%. Earnings per share (EPS) exceeded analyst estimates by 8.2%. Revenue is forecast to grow 9.2% p.a. on average during the next 2 years, compared to a 11% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, earnings per share has increased by 70% per year but the company’s share price has only increased by 10% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Aug 29
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to JP¥1,082, the stock trades at a forward P/E ratio of 14x. Average forward P/E is 15x in the Semiconductor industry in Japan. Total returns to shareholders of 53% over the past three years. Buy Or Sell Opportunity • Aug 29
Now 22% undervalued after recent price drop Over the last 90 days, the stock has fallen 8.6% to JP¥1,082. The fair value is estimated to be JP¥1,382, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 19% over the last 3 years. Earnings per share has grown by 47%. Revenue is forecast to grow by 43% in 2 years. Earnings are forecast to grow by 39% in the next 2 years. Upcoming Dividend • Aug 22
Upcoming dividend of JP¥7.00 per share Eligible shareholders must have bought the stock before 29 August 2024. Payment date: 30 November 2024. Payout ratio is a comfortable 9.9% and this is well supported by cash flows. Trailing yield: 0.8%. Lower than top quartile of Japanese dividend payers (3.7%). Lower than average of industry peers (1.4%). Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment deteriorates as stock falls 27% After last week's 27% share price decline to JP¥745, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 17x in the Semiconductor industry in Japan. Total loss to shareholders of 9.7% over the past three years. Duyuru • Aug 02
NPC Incorporated to Report Fiscal Year 2024 Results on Oct 15, 2024 NPC Incorporated announced that they will report fiscal year 2024 results on Oct 15, 2024 Valuation Update With 7 Day Price Move • Jul 17
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to JP¥1,108, the stock trades at a forward P/E ratio of 14x. Average forward P/E is 23x in the Semiconductor industry in Japan. Total returns to shareholders of 23% over the past three years. Reported Earnings • Jul 11
Third quarter 2024 earnings released: EPS: JP¥9.89 (vs JP¥9.66 in 3Q 2023) Third quarter 2024 results: EPS: JP¥9.89 (up from JP¥9.66 in 3Q 2023). Revenue: JP¥1.45b (up 27% from 3Q 2023). Net income: JP¥213.1m (up 2.4% from 3Q 2023). Profit margin: 15% (down from 18% in 3Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, earnings per share has increased by 47% per year but the company’s share price has only increased by 15% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • May 30
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to JP¥1,060, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 21x in the Semiconductor industry in Japan. Total returns to shareholders of 57% over the past three years. New Risk • Apr 23
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Japanese stocks, typically moving 8.3% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. This is currently the only risk that has been identified for the company. Duyuru • Apr 17
NPC Incorporated to Report Q3, 2024 Results on Jul 09, 2024 NPC Incorporated announced that they will report Q3, 2024 results on Jul 09, 2024 Declared Dividend • Apr 12
Dividend of JP¥7.00 announced Shareholders will receive a dividend of JP¥7.00. Ex-date: 29th August 2024 Payment date: 30th November 2024 Dividend yield will be 0.7%, which is lower than the industry average of 1.0%. Payout Ratios Payout ratio: 10%. Cash payout ratio: 9%. Reported Earnings • Apr 11
Second quarter 2024 earnings released: EPS: JP¥21.08 (vs JP¥12.23 in 2Q 2023) Second quarter 2024 results: EPS: JP¥21.08 (up from JP¥12.23 in 2Q 2023). Revenue: JP¥2.86b (down 17% from 2Q 2023). Net income: JP¥454.0m (up 73% from 2Q 2023). Profit margin: 16% (up from 7.6% in 2Q 2023). The increase in margin was driven by lower expenses. Revenue is forecast to grow 11% p.a. on average during the next 3 years, compared to a 13% growth forecast for the Semiconductor 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 11% per year, which means it is significantly lagging earnings growth. Duyuru • Feb 18
NPC Incorporated to Report Q2, 2024 Results on Apr 10, 2024 NPC Incorporated announced that they will report Q2, 2024 results on Apr 10, 2024 New Risk • Jan 15
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: JP¥14.5b (US$99.8m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Minor Risks Share price has been volatile over the past 3 months (6.8% average weekly change). Market cap is less than US$100m (JP¥14.5b market cap, or US$99.8m). Reported Earnings • Jan 13
First quarter 2024 earnings released: EPS: JP¥1.43 (vs JP¥3.77 loss in 1Q 2023) First quarter 2024 results: EPS: JP¥1.43 (up from JP¥3.77 loss in 1Q 2023). Revenue: JP¥646.1m (down 19% from 1Q 2023). Net income: JP¥30.7m (up JP¥111.7m from 1Q 2023). Profit margin: 4.7% (up from net loss in 1Q 2023). The move to profitability was driven by lower expenses. Revenue is forecast to grow 9.0% p.a. on average during the next 3 years, compared to a 10% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, earnings per share has increased by 4% per year but the company’s share price has fallen by 11% per year, which means it is significantly lagging earnings. Duyuru • Jan 11
NPC Incorporated Provides Dividend Guidance for the Fiscal Year Ending August 31, 2024 NPC Incorporated provided dividend guidance for the fiscal year ending August 31, 2024. For the year, the company expects dividend of JPY 7.00 per share as compared to JPY 6.00 per share paid a year ago. Reported Earnings • Dec 06
Full year 2023 earnings released: EPS: JP¥46.15 (vs JP¥17.59 in FY 2022) Full year 2023 results: EPS: JP¥46.15 (up from JP¥17.59 in FY 2022). Revenue: JP¥9.32b (up 113% from FY 2022). Net income: JP¥993.0m (up 162% from FY 2022). Profit margin: 11% (up from 8.7% in FY 2022). The increase in margin was driven by higher revenue. Revenue is forecast to grow 8.0% p.a. on average during the next 3 years, compared to a 11% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, earnings per share has fallen by 14% per year but the company’s share price has remained flat, which means it is well ahead of earnings. Duyuru • Nov 08
NPC Incorporated to Report Q1, 2024 Results on Jan 11, 2024 NPC Incorporated announced that they will report Q1, 2024 results on Jan 11, 2024 Valuation Update With 7 Day Price Move • Oct 18
Investor sentiment improves as stock rises 34% After last week's 34% share price gain to JP¥832, the stock trades at a trailing P/E ratio of 18x. Average trailing P/E is 15x in the Semiconductor industry in Japan. Total returns to shareholders of 99% over the past three years. Reported Earnings • Oct 12
Full year 2023 earnings released: EPS: JP¥46.15 (vs JP¥17.59 in FY 2022) Full year 2023 results: EPS: JP¥46.15 (up from JP¥17.59 in FY 2022). Revenue: JP¥9.32b (up 113% from FY 2022). Net income: JP¥993.0m (up 162% from FY 2022). Profit margin: 11% (up from 8.7% in FY 2022). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 14% per year but the company’s share price has increased by 21% per year, which means it is well ahead of earnings. Duyuru • Aug 31
NPC Incorporated Revises Consolidated and Non-Consolidated Financial Guidance for the Fiscal Year Ending August 31, 2023 NPC Incorporated revised Consolidated and Non-Consolidated financial guidance for the fiscal year ending August 31, 2023. For the period, on Consolidated basis, the company expected sales of JPY 9,376 million against the previous guidance of JPY 9,125 million, Operating income of JPY 941 million against the previous guidance of JPY 658 million, Net income attributable to owners of the parent of JPY 952 million against the previous guidance of JPY 533 million and Net income per share of JPY 44.26 against the previous guidance of JPY 24.81.For the period, on NON- Consolidated basis, the company expected sales of JPY 9,228 million against the previous guidance of JPY 9,059 million, Operating income of JPY 876 million against the previous guidance of JPY 641 million, Net income of JPY 919 million against the previous guidance of JPY 520 million and Net income per share of JPY 42.76 against the previous guidance of JPY 24.20. Upcoming Dividend • Aug 23
Upcoming dividend of JP¥2.00 per share at 0.3% yield Eligible shareholders must have bought the stock before 30 August 2023. Payment date: 30 November 2023. Payout ratio is a comfortable 9.7% but the company is not cash flow positive. Trailing yield: 0.3%. Lower than top quartile of Japanese dividend payers (3.5%). Lower than average of industry peers (1.4%). Duyuru • Jul 30
NPC Incorporated to Report Fiscal Year 2023 Results on Oct 11, 2023 NPC Incorporated announced that they will report fiscal year 2023 results on Oct 11, 2023 New Risk • Jul 16
New major risk - Revenue and earnings growth Earnings have declined by 0.4% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 0.4% per year over the past 5 years. Minor Risks Share price has been volatile over the past 3 months (6.5% average weekly change). Market cap is less than US$100m (JP¥12.0b market cap, or US$86.7m). Reported Earnings • Jul 15
Third quarter 2023 earnings released: EPS: JP¥9.65 (vs JP¥18.70 in 3Q 2022) Third quarter 2023 results: EPS: JP¥9.65 (down from JP¥18.70 in 3Q 2022). Revenue: JP¥1.14b (down 53% from 3Q 2022). Net income: JP¥207.9m (down 48% from 3Q 2022). Profit margin: 18% (up from 16% in 3Q 2022). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 33% per year but the company’s share price has increased by 12% per year, which means it is well ahead of earnings. Reported Earnings • Apr 13
Second quarter 2023 earnings released: EPS: JP¥12.23 (vs JP¥1.82 loss in 2Q 2022) Second quarter 2023 results: EPS: JP¥12.23 (up from JP¥1.82 loss in 2Q 2022). Revenue: JP¥3.44b (up 284% from 2Q 2022). Net income: JP¥263.0m (up JP¥302.0m from 2Q 2022). Profit margin: 7.6% (up from net loss in 2Q 2022). The move to profitability was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 31% per year but the company’s share price has increased by 17% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Apr 13
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to JP¥567, the stock trades at a trailing P/E ratio of 36.5x. Average trailing P/E is 11x in the Semiconductor industry in Japan. Total returns to shareholders of 64% over the past three years. Valuation Update With 7 Day Price Move • Mar 03
Investor sentiment improves as stock rises 28% After last week's 28% share price gain to JP¥591, the stock trades at a trailing P/E ratio of 38x. Average trailing P/E is 11x in the Semiconductor industry in Japan. Total returns to shareholders of 64% over the past three years. Duyuru • Jan 29
NPC Incorporated to Report Q2, 2023 Results on Apr 12, 2023 NPC Incorporated announced that they will report Q2, 2023 results on Apr 12, 2023 Reported Earnings • Jan 12
First quarter 2023 earnings released: JP¥3.78 loss per share (vs JP¥1.66 loss in 1Q 2022) First quarter 2023 results: JP¥3.78 loss per share (further deteriorated from JP¥1.66 loss in 1Q 2022). Revenue: JP¥798.4m (up 15% from 1Q 2022). Net loss: JP¥81.3m (loss widened 126% from 1Q 2022). Over the last 3 years on average, earnings per share has fallen by 34% per year but the company’s share price has increased by 1% per year, which means it is well ahead of earnings. Reported Earnings • Dec 04
Full year 2022 earnings released: EPS: JP¥17.59 (vs JP¥18.76 in FY 2021) Full year 2022 results: EPS: JP¥17.59 (down from JP¥18.76 in FY 2021). Revenue: JP¥4.38b (down 16% from FY 2021). Net income: JP¥379.0m (down 7.8% from FY 2021). Profit margin: 8.7% (up from 7.9% in FY 2021). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 31% per year but the company’s share price has increased by 12% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Dec 01
Investor sentiment improved over the past week After last week's 15% share price gain to JP¥577, the stock trades at a trailing P/E ratio of 32.7x. Average trailing P/E is 10x in the Semiconductor industry in Japan. Total returns to shareholders of 60% over the past three years. Board Change • Nov 16
Less than half of directors are independent No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 2 experienced directors. 6 highly experienced directors. 2 independent directors (3 non-independent directors). Independent External Director Kenji Terada was the last independent director to join the board, commencing their role in 2014. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Duyuru • Nov 01
NPC Incorporated to Report Q1, 2023 Results on Jan 11, 2023 NPC Incorporated announced that they will report Q1, 2023 results on Jan 11, 2023 Reported Earnings • Oct 13
Full year 2022 earnings released: EPS: JP¥17.59 (vs JP¥18.76 in FY 2021) Full year 2022 results: EPS: JP¥17.59 (down from JP¥18.76 in FY 2021). Revenue: JP¥4.38b (down 16% from FY 2021). Net income: JP¥379.0m (down 7.8% from FY 2021). Profit margin: 8.7% (up from 7.9% in FY 2021). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 31% per year but the company’s share price has increased by 15% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Oct 13
Investor sentiment deteriorated over the past week After last week's 23% share price decline to JP¥504, the stock trades at a trailing P/E ratio of 66.9x. Average trailing P/E is 8x in the Semiconductor industry in Japan. Total returns to shareholders of 52% over the past three years. Upcoming Dividend • Aug 23
Upcoming dividend of JP¥2.00 per share Eligible shareholders must have bought the stock before 30 August 2022. Payment date: 26 November 2022. Payout ratio is a comfortable 27% and this is well supported by cash flows. Trailing yield: 0.3%. Lower than top quartile of Japanese dividend payers (3.6%). Lower than average of industry peers (2.6%).