E Guaranty <8771>: 1,359 yen (+46 yen)
Significant gain. The company announced its medium-term management plan for fiscal year 2028 on the previous day. The target for operating profit in fiscal year 2028 is 10 billion yen (compared to 4.9 billion yen in 2024) and the target for ROE, which was 15.3% in fiscal year 2024, is to be raised to over 20%. The plan is to shift from stable growth that requires database development to accelerated growth through increased risk underwriting and resource investment. As for shareholder returns, the company aims for a dividend payout ratio of 50% or more and continued improvement in DOE.
Hoba Industries <6309>: 4,915 yen (+435 yen)
Significantly continued. The company announced its half-year results the previous day, with operating profit of 2.96 billion yen, a year-on-year increase of 43.4%, and a high revenue growth rate of 22.2% for the period from April to June, reaching 1.84 billion yen. Profitable components and repair sales seem to be expanding smoothly for both government, private and overseas sectors. The full-year plan has been upwardly revised from the previous 41.8 billion yen to 45.4 billion yen, a 12.2% increase from the previous year, but expectations for further upward potential are increasing due to the high progress rate.
Lax <3923>: 1,860 yen (+89.5 yen)
Significant rebound. In addition to the company, representative stocks of small and medium-sized growth stocks, such as SHIFT, Sansan, MONEY FORWARD, and APPIER, are all rising in the ranking of rate increases. There are material expectations that the decline in US long-term interest rates, with the 10-year government bond yield falling to the mid-4.2% range, is a factor. The May US CPI, which was announced the previous day, showed a year-on-year increase of 3.3%, below the 3.4% level in April and market expectations. In addition, the core index also fell to 3.4% from 3.6% the previous month, below market expectations of 3.5%.
Seer Inc. <3458>: 1,428 yen (+127 yen)
Significant rebound. The company announced its third-quarter results the previous day. Cumulative operating profit was 1.19 billion yen, down 81.9% on a year-on-year basis, and it turned into a deficit from February to April. However, the absence of property sales was the reason, and the company side has made progress in all businesses according to plan. On the other hand, there is a favorable movement regarding the implementation of special dividends. While the year-end dividend was planned to be 26 yen under the previous plan, the company has implemented a special dividend of 24 yen and raised it to 50 yen in total. The annual dividend will be increased by 50 yen compared to the previous year to 75 yen.
ANYCOLOR <5032>: 2,864 yen (+500 yen)
Reached the upper limit. The company announced its results for the fiscal year ending in April 2024 and the implementation of its own share buyback program on the previous day. The self-owned share purchase is up to 6.40% of the issued shares or 4 million shares, with an upper limit of 7.5 billion yen, and the purchase period is from June 13th to August 31st. There is a move to expect a supply-demand impact of a relatively high-level self-buyback within a relatively short period of time. The operating profit for the fiscal year ending in April 2024 was 12.4 billion yen, an increase of 31.4% compared to the previous year, and it landed almost along the plan. For the fiscal year ending in April 2025, it is expected to be 148 billion yen, an increase of 19.7% compared to the previous year.
Japan M&A <9236>: 1,664 yen (-207 yen)
New year's low update. Sales for the second quarter of fiscal 2024 ending in October totaled 306 million yen, and operating profit was 14 million yen. There was no mention of the rate of increase or decrease as the financial statements were not prepared for the same quarter of the previous year, but according to the financial results explanation documents, sales decreased by 2.1% compared to the same period of the previous year, and operating profit decreased by 75.4% year on year, causing discontent. However, the M&A needs of small and medium-sized enterprises are steadily increasing, and since the contracts are concentrated in the second half, the full-year performance forecast for the fiscal year ending in October 2024 was maintained with a double-digit increase in sales and profits compared to the previous period.
Narel Group <9163>: 2,855 yen (+128 yen)
Soaring. The sales revenue for the second quarter of fiscal 2024 ending in October increased by 22.9% compared to the same period of the previous year to 10.202 billion yen, and the operating profit also significantly increased by 26.9% to 1.333 billion yen, while quarterly profit also rose by 27.9% to 923 million yen. In addition to the improvement in contract prices, the increase in the number of employees as a result of the promotion of recruitment of personnel and their being sent out in response to customer needs, led to an increase in the number of people operating, the company carried out strategic recruitment costs down, and while profits were smoothly made at every stage the progress ratio for sales revenue with regard to the full-year performance forecast were 46.7%.
Sakura Saku <7097>: 990 yen (-105 yen)
Sharp decline. The revenue for the cumulative third quarter of the fiscal year ending in July 24 increased by 9.9% compared to the same period last year to 11.271 billion yen, and operating profit increased by 147.1% to 405 million yen. Although revenue from sales of real estate for sales is scheduled to be recognized in the fourth quarter, progress rates have reached around 80% due to the effects of cost reduction measures and the recognition of "subsidy income" related to the opening of nursery facilities in the third quarter as planned. In addition, the year-end dividend for this fiscal year was increased by 4 yen, and the full-year dividend was revised upward from the previous plan of 16 yen to 20 yen, but it seems that it did not meet investors' expectations.