Smartkarma Daily Briefs

American Water Works Company, Inc. reported an earnings per share (EPS) of $1.48 for the second quarter of 2025, an increase from $1.42 in the same quarter of the previous year.
For the first half of 2025, EPS reached $2.53 compared to $2.37 in the first half of 2024.
This growth has led the company to narrow its 2025 EPS guidance range to $5.70 to $5.75, suggesting strong business performance and anticipating a continuation of this trend into the remainder of the year.

FirstEnergy: Initiation Of Coverage- Renewed Growth With Bold Push Into Data Centers & Transmission Expansion!

FirstEnergy Corp’s second quarter 2025 earnings call reveals a mix of positive performance data and potential challenges moving forward.
The company reported GAAP earnings of $0.46 per share for the quarter, a significant increase from $0.08 in the second quarter of 2024, while core earnings were $0.52 per share, marginally up from $0.51 in the previous year.
This highlights stable performance, particularly bolstered by new base rates in Pennsylvania and increased investments in their transmission systems.

WEC Energy Group: Significant Capital Investment Plan to Remain Adaptable Amidst Evolving Industry Dynamics!

WEC Energy Group’s second quarter 2025 results reveal a blend of positives and challenges for potential investors to consider.
The company reported earnings per share of $0.76, marking a $0.09 increase from the second quarter of 2024.
This improvement is attributed to higher utility operations earnings and favorable weather conditions, though offset by increased depreciation and operating expenses.

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Aug 08

Daily Brief Health Care: T&L Co Ltd, Guangzhou Innogen Pharmaceutical Group, Metsera, Carna Biosciences, Heartflow, Shofu Inc, Lantheus Holdings, Eisai Co Ltd, NetraMark Holdings , Quoin Pharmaceuticals and more

By Smartkarma Daily Briefs | Daily Briefs, Healthcare

In today’s briefing:

Korea Small Cap Gem #42: T&L Co
Innogen (银诺医药) IPO: Fairly Valued at Best and Lack of Institutional Interests
Metsera Inc (MTSR) Six Month Summary: The Bright Spot in a Quiet Biotech Year
Carna Biosciences (4572 JP): 1H FY12/25 flash update
Heartflow IPO: Mounting Losses, ~99% Revenue Concentration From a Single Product
Shofu Inc (7979 JP): Q1 FY03/26 Flash update　
LNTH: Competition Escalates in PSMA Imaging
Eisai Co Ltd (4523 JP): Impressive 1Q Result; Subcutaneous Leqembi Is Key for Future Growth
NetraMark Is Expanding Its Capabilities
QNRX: Recent FDA & EMA Designations for QRX003 Potentially Could Accelerate Timeline

Korea Small Cap Gem #42: T&L Co

By Douglas Kim

T&L’s key investment highlights include its exceptional sales growth led by its core wound dressing/cosmetic product Mighty Patch.
It had a CAGR sales growth of 44% from 2020 to 2024. Its operating profit increased at even faster rate (CAGR of 56% from 2020 to 2024.
Considering T&L’s 40%+ per year sales growth and 50%+ per year operating profit growth from 2020 to 2024 combined with 30%+ ROE, the company is deeply undervalued.

Innogen (银诺医药) IPO: Fairly Valued at Best and Lack of Institutional Interests

By Ke Yan, CFA, FRM

Innogen, a China-based near-commercial stage biotech company, launched its IPO to raise at least USD 88 million via a Hong Kong listing.
In our previous note, we have examined the company’s core product, namely efsubaglutide alfa, updates in various filings, and our thoughts on valuation.
In this note, we look at the deal term. We think the valuation is demanding and lacks institutional interest.

Metsera Inc (MTSR) Six Month Summary: The Bright Spot in a Quiet Biotech Year

By IPO Boutique

The company priced a downsized 15.3 million share offering at $18.00, notably above its initial $15–$17 range in late January.
After the biotech sector took a hit in April, Metsera shares rallied back to a high of $47.40 in mid-July, nearly tripling off the lows.
Metsera’s trajectory will be determined by data. With two clinical trials underway and expectations rising, the year-end readout for MET-233i could meaningfully shift the valuation—up or down.

Carna Biosciences (4572 JP): 1H FY12/25 flash update

The company reported a sales decline of 20.4% YoY to JPY251mn, with an operating loss of JPY1.1bn.
R&D spending increased by 9.2% YoY to JPY2.1bn, focusing on clinical trials for kinase inhibitors.
The company raised JPY675mn through unsecured convertible bonds to fund R&D expenses for FY12/25.

Heartflow IPO: Mounting Losses, ~99% Revenue Concentration From a Single Product

By Andrei Zakharov

Heartflow Inc., a commercial-stage medical technology company that has pioneered the use of software and AI for diagnosing and managing CAD, is expected to IPO this week.
Heartflow is marketing the sale of ~16.7M shares at $17-$18 per share in upsized initial public offering in the United States.
I believe current IPO valuation range appears to capture much of the near- to mid-term upside potential. Moreover, I’m concerned about the lack of profitability and mounting losses.

Shofu Inc (7979 JP): Q1 FY03/26 Flash update　

Q1 FY03/26 revenue was JPY9.5bn (+0.5% YoY), with domestic revenue up 6.2% and overseas down 3.2%.
Operating profit decreased 3.5% YoY to JPY1.5bn, while net income fell 23.8% YoY to JPY854mn.
Dental business revenue rose 1.2% YoY; Nail Care revenue declined 9.3% YoY with a JPY42mn operating loss.

LNTH: Competition Escalates in PSMA Imaging

By Zacks Small Cap Research

Lantheus is a leader in radiopharmaceutical offerings in oncology & precision diagnostics.
It offers a portfolio of diagnostic & therapeutic products directly & via partnerships & licensing.
The primary revenue driver is Pylarify, a PET tracer for PSMA-expressing prostate cancer.

Eisai Co Ltd (4523 JP): Impressive 1Q Result; Subcutaneous Leqembi Is Key for Future Growth

By Tina Banerjee

During Q1FY26, Eisai Co Ltd (4523 JP) reported 55% YoY increase in operating profit to ¥21B, on just 7% YoY growth in revenue to ¥203B. The company reiterated FY guidance.
During Q1FY26, Leqembi revenue increased 269% YoY and 57% QoQ to ¥23B, driven by growth across all the regions. Eisai has guided for FY26 Leqembi revenue of ¥77B (+73% YoY).
The U.S. approval of Leqembi SC-AI maintenance dosing and the drug’s European launch are the key near-term triggers.

NetraMark Is Expanding Its Capabilities

By Zacks Small Cap Research

NetraMark is expanding its capabilities, recently forming a collaboration with Pentara to launch an AI tool to provide insight into participating trial sites that deviate from the overall mean.
This can potentially improve aspects of the trial design, including pre-trial site selection and trial site reporting, among others.
The company expects this tool can help accelerate its growth over time.

QNRX: Recent FDA & EMA Designations for QRX003 Potentially Could Accelerate Timeline

By Zacks Small Cap Research

The FDA recently granted QRX003 Rare Pediatric Disease (RPD) Designation for the treatment of NS.
The European Medicines Agency earlier had granted Orphan Drug Designation to QRX003.
The company believes these designations reinforce the potential of QRX003 as a therapeutic candidate as it advances clinical studies towards a potential New Drug Application (NDA) for QRX003 as the first approved treatment for NS.

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Aug 08

Daily Brief Energy/Materials: Artemis Gold , Dian Swastatika Sentosa, Liontown Resources, Washington H. Soul Pattinson and Co. Ltd, Zijin Gold, Medco Energi, Mitsubishi Steel Mfg, Neturen Co Ltd, Panoro Energy ASA, Sakata Inx Corp and more

By Smartkarma Daily Briefs | Daily Briefs, Energy & Materials Sector

In today’s briefing:

[Quiddity Index] Van Eck Gold Miners ETF (GDX) Sep25 Rebal – $5.8bn of Gold Stocks To Trade
Dian Swastatika Sentosa (DSSA IJ): Surprise, Surprise!
Liontown Resources Placement: Continued Cost Overruns and past Placements Didn’t Do Well
Soul Patts/Brickworks: 10th September Vote To Collapse Circularity
Zijin Gold Pre-IPO: Spinoff to Cater to a Shiny Gold Market
Lucror Analytics – Morning Views Asia
Mitsubishi Steel Mfg (5632 JP): Q1 FY03/26 flash update
Neturen Co Ltd (5976 JP): Q1 FY03/26 flash update
Panoro Energy ASA (OSE: PEN): Minor temporary production downtime in EG. Initiating a new share buyback programme.
Sakata Inx Corp (4633 JP): 1H FY12/25 flash update

[Quiddity Index] Van Eck Gold Miners ETF (GDX) Sep25 Rebal – $5.8bn of Gold Stocks To Trade

The MV Global Gold Miners Index (GDX) represents the performance of large-cap and mid-cap gold and silver mining companies listed around the world.
This index is reviewed/rebalanced quarterly. For September, there is a big increase in flow events as the VanEck Gold Miners ETF changes benchmark to the GDX Index.
There are a bunch of changes to go with the change in benchmark leading to US$5.8bn of two-way flows. It’s a big deal.

Dian Swastatika Sentosa (DSSA IJ): Surprise, Surprise!

By Brian Freitas

Dian Swastatika Sentosa (DSSA IJ) will be added to a global index in August and that should come as a surprise to most of the market.
The stock is up 10x over the last 18 months and liquidity has shown a marked improvement in the last year.
Dian Swastatika Sentosa (DSSA IJ) trades at nosebleed valuations and there is the risk of a sell off following index inclusion.

Liontown Resources Placement: Continued Cost Overruns and past Placements Didn’t Do Well

By Nicholas Tan

Liontown Resources (LTR AU) is looking to raise around US$173m from a primary placement.
The deal is a large one, representing 23.3 days of the stock’s three month ADV, and 13.0% of total shares outstanding.
In this note, we will talk about the placement and run the deal through our ECM framework.

Soul Patts/Brickworks: 10th September Vote To Collapse Circularity

By David Blennerhassett

Back on the 2 June 2025, Washington H. Soul Pattinson and Co. Ltd (SOL AU) and 42.92%-held Brickworks Ltd (BKW AU) announced that, via inter-conditional Schemes, they would merge.
TopCo, a new ASX-listed company, will acquire all of the shares in SOL and BKW via the issuance of TopCo shares: 1:1 for SOL and 0.82:1 for BKW.
The Scheme Booklet is now out, with Scheme Meetings on the 10th September, and expected implementation on or before the 23 September. The IE Kroll) says “fair & reasonable“.

Zijin Gold Pre-IPO: Spinoff to Cater to a Shiny Gold Market

By Nicholas Tan

Zijin Gold (2579355D HK) is looking to raise up to US$2.0bn in its upcoming Hong Kong IPO.
It is a global leading gold mining company formed by combining all of the gold mines of Zijin Mining, located outside of China.
In this note, we look at the firm’s past performance.

Lucror Analytics – Morning Views Asia

By Leonard Law, CFA

In today’s Morning Views publication we comment on developments of the following high yield issuers: Medco Energi, Bharti Airtel
UST yields ended mixed yesterday, with the curve twisting steeper, following a soft auction for 10Y notes that tailed by 1 bp.
The yield on the 2Y UST declined 1 bp to 3.71%, while that on the 10Y UST was up 2 bps at 4.23%. Equities rebounded from Tuesday’s dip, with the S&P 500 and Nasdaq rising 0.7% and 1.2%, respectively.

Mitsubishi Steel Mfg (5632 JP): Q1 FY03/26 flash update

Consolidated revenue decreased by 6.1% YoY, with operating profit down 41.0% and a net loss of JPY115mn.
Domestic revenue declined due to lower contract manufacturing volumes, while Indonesian operations saw increased sales and profits.
Revenue for special alloy powder rose, but overall sales and operating profit fell due to higher raw material costs.

Neturen Co Ltd (5976 JP): Q1 FY03/26 flash update

Revenue decreased 6.3% YoY to JPY13.1bn, with declines in Specialty Steel, Wire Products, and Induction Heating segments.
Operating profit fell 55.8% YoY to JPY174mn, impacted by JPY133mn expenses for Dohken Co., Ltd. share acquisition.
Recurring profit and net income attributable to owners dropped 55.7% and 57.2% YoY, respectively, due to lower operating profit.

Panoro Energy ASA (OSE: PEN): Minor temporary production downtime in EG. Initiating a new share buyback programme.

By Auctus Advisors

2Q25 production averaged ~11,065 bbl/d, negatively affected by unplanned facilities-related downtime at the Ceiba field, as reported by Kosmos earlier this week.
WI production in EG fell to 3,136 bbl/d (vs. 3,661 bbl/d in 1Q25).
Remedial work is underway, with production expected to recover in 4Q25.

Sakata Inx Corp (4633 JP): 1H FY12/25 flash update

By Research as a Service (RaaS)

Revenue for 1H FY12/25 was JPY126.4bn, achieving 95.0% of the forecast, with a 4.4% YoY increase.
Operating profit for 1H FY12/25 rose 5.4% YoY to JPY7.6bn, achieving 104.7% of the forecast.
The company forecasts FY12/25 revenue of JPY268.0bn, with a 9.1% YoY increase, driven by ink volume growth.

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Aug 08

Daily Brief Industrials: Mitsubishi Electric, Voltas Ltd, JSW Cement Limited, East Japan Railway Co, Firefly Aerospace, Grupo Aeroportuario del Pacifi, Fluence Corp, Kyokuto Kaihatsu Kogyo Co, Sanyo Trading, Seika Corp and more

By Smartkarma Daily Briefs | Daily Briefs, Industrials

In today’s briefing:

The Story of Serendie, Mitsubishi Electric’s Digital Innovation in the Era of AI
Voltas Ltd: Forensic Analysis
JSW Cements – Another Cement IPO in India Exactly 4 Yrs Later
JR East – Full Steam Ahead!
Firefly Aerospace Inc. (FLY): Moonshot IPO That Burned Hot, Then Fizzled to 34% Returns at Close
Grupo Aeroportuario del Pacifi – Actinver Research – Transport Post 2Q25 Update
Fluence Corp Ltd – The story is coming together
Kyokuto Kaihatsu Kogyo Co (7226 JP): Q1 FY03/26 flash update
Sanyo Trading (3176 JP): Q3 FY09/25 flash update
Seika Corp (8061 JP): Q1 FY03/26 flash update

The Story of Serendie, Mitsubishi Electric’s Digital Innovation in the Era of AI

By Jay Cameron

Mitsubishi Electric’s Serendie platform marks a decisive shift toward AI-powered, customer-centric services, with tangible cost savings, ecosystem expansion, and a tripling of Digital Innovation workforce planned by FY2031.
AI Leadership: The company showcased advanced automation and optimization capabilities at AWS Summit Japan, positioning itself as a leader in applied AI.
Punchline is the Japan beta vol trade. Macro risks remain pivotal, as navigating tariff shocks, labor distortions, and central bank policy shifts could shape both performance and volatility exposure.

Voltas Ltd: Forensic Analysis

By Nitin Mangal

Voltas Ltd (VOLT IN) is a renowned name among the households in India.
The company is a prominent player in the field of air conditioning and cooling technology and offers a variety of services across different industrial sectors, both in India and internationally.
But there are few issues with respect to revenue recognition policy, capital allocation issues and falling market share.

JSW Cements – Another Cement IPO in India Exactly 4 Yrs Later

By Himanshu Dugar

JSW Cements comes for listing at $180/t which is a premium to similar sized player despite weaker operating performance
It stands out as a Slag cement player while peers primarily focus on Portland and Pozzolana composite cement products. Its listing positions it to become another consolidator with strong Balance-sheet.
JSW has higher concentration towards South (50% of current capacity) which has struggled with excess supply for many years. Its upcoming 10MT capex in North may also face similar situation

JR East – Full Steam Ahead!

By Rikki Malik

Company continues to outperform as a new management plan is released
Focus on cash flow generation, increased dividends and flexible buybacks
Continued execution in their real-estate business is key to success

Firefly Aerospace Inc. (FLY): Moonshot IPO That Burned Hot, Then Fizzled to 34% Returns at Close

By IPO Boutique

Firefly Aerospace (FLY US) priced 19.3 million shares (upsized from 16.2 million) at $45.00, which came in $2 above an already upwardly-revised $41–$43 range.
The stock opened Thursday at $70.00, for a +55.6% gain at first trade, and hit an intraday high of $73.80, marking a +64.0% gain from the IPO price.
Traders that were looking to capture “lightning in a bottle” may be licking wounds today with a steady dose of selling on day one.

Grupo Aeroportuario del Pacifi – Actinver Research – Transport Post 2Q25 Update

By Actinver

The Mexican transport sector posted another quarterly result with solid top-line performance supported by a better tariff environment and diversified revenues, resulting in a soft margin expansion.
GAP reported the most robust results, with double-digit revenues and EBITDA expansion, followed by OMA and GMXT.
The total EBITDA margin in the transport sector expanded 4bps, improving versus the 12 bps contraction reported in 1Q25.

Fluence Corp Ltd – The story is coming together

Fluence Corporation (ASX:FLC) specialises in the delivery of water and wastewater solutions in industrial, municipal and commercial industries across the globe.
The company has released its quarterly 4C cashflow statement and a Q2FY25 financial and operating update (December year-end) containing some key H125 data points.
The H125 result was a significantly positive turnaround with growth driven by the Ivory Coast Addendum project and improved performance across most business units.

Kyokuto Kaihatsu Kogyo Co (7226 JP): Q1 FY03/26 flash update

Total revenue increased by 16.9% YoY, with growth in all segments; operating profit rose by 3.8% YoY.
The company recorded an extraordinary loss of JPY5.9bn related to the Antimonopoly Act in Q1 FY03/26.
Revenue and operating profit in the Special Purpose Vehicles segment rose due to product price revisions and improved supply.

Sanyo Trading (3176 JP): Q3 FY09/25 flash update

Sanyo Trading’s sales in cumulative Q3 FY09/25 reached JPY98.8bn (+3.0% YoY), driven by Fine Chemicals and Sustainability segments.
Operating profit declined 5.9% YoY to JPY5.5bn, impacted by increased SG&A expenses and reduced foreign exchange gains.
Sustainability segment sales rose 44.8% YoY to JPY8.5bn, with operating profit increasing 91.9% YoY to JPY1.3bn.

Seika Corp (8061 JP): Q1 FY03/26 flash update

By Research as a Service (RaaS)

Q1 FY03/26 revenue rose 24.8% YoY to JPY24.6bn, but net income decreased 52.5% YoY to JPY1.8bn.
The company revised its 1H earnings forecast, announced a stock split, and adjusted its dividend forecast.
An extraordinary loss of JPY489mn was recorded due to a litigation-related provision following a court ruling.

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Aug 08

Daily Brief Thailand: iShares MSCI Thailand, Valeura Energy Inc and more

By Smartkarma Daily Briefs | Daily Briefs, Thailand

In today’s briefing:

Bond Market Monitor: Thai Corporations UnSmiled
Valeura Energy (TSX: VLE): Another impressive acquisition in Thailand

Bond Market Monitor: Thai Corporations UnSmiled

By Warut Promboon

We sample blue-chip and household Thai corporations and plot the 12-month probability of default (PD) using iRAP
The median 12-month PD of the above samples was 11.15 basis points (bps), up from 5bps last November, with a trend showing continuing deterioration in the next 12 months
We expect more political upheaval and economic adjustment from the military conflict with Cambodia and the19% tariff on exports to the US to be quite detrimental to the Thai economy.

Valeura Energy (TSX: VLE): Another impressive acquisition in Thailand

By Auctus Advisors

2Q25 production of 23.15 mbbl/d and net cash of US$242 mm at the end of June have been previously disclosed.
Valeura’s average production over the first five days of August has increased to 23,150 bbl/d.
The company has re-iterated its FY25 guidance including 23-25.5 mbbl/d for production.

Before it’s here, it’s on Smartkarma

The Smartkarma Preview Pass is your entry to the Independent Investment Research Network

✓ Unlimited Research Summaries
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✓ Company Data and News
✓ Events & Webinars

Aug 08

Daily Brief Industrials: Mitsubishi Electric, Voltas Ltd, JSW Cement Limited, East Japan Railway Co, Fluence Corp, Firefly Aerospace, Grupo Aeroportuario del Pacifi, Tokai Holdings, Sanyo Trading, Seika Corp and more

By Smartkarma Daily Briefs | Daily Briefs, Industrials

In today’s briefing:

The Story of Serendie, Mitsubishi Electric’s Digital Innovation in the Era of AI
Voltas Ltd: Forensic Analysis
JSW Cements – Another Cement IPO in India Exactly 4 Yrs Later
JR East – Full Steam Ahead!
Fluence Corp Ltd – The story is coming together
Firefly Aerospace Inc. (FLY): Moonshot IPO That Burned Hot, Then Fizzled to 34% Returns at Close
Grupo Aeroportuario del Pacifi – Actinver Research – Transport Post 2Q25 Update
Tokai Holdings (3167 JP): Q1 FY03/26 flash update
Sanyo Trading (3176 JP): Q3 FY09/25 flash update
Seika Corp (8061 JP): Q1 FY03/26 flash update

The Story of Serendie, Mitsubishi Electric’s Digital Innovation in the Era of AI

By Jay Cameron

Mitsubishi Electric’s Serendie platform marks a decisive shift toward AI-powered, customer-centric services, with tangible cost savings, ecosystem expansion, and a tripling of Digital Innovation workforce planned by FY2031.
AI Leadership: The company showcased advanced automation and optimization capabilities at AWS Summit Japan, positioning itself as a leader in applied AI.
Punchline is the Japan beta vol trade. Macro risks remain pivotal, as navigating tariff shocks, labor distortions, and central bank policy shifts could shape both performance and volatility exposure.

Voltas Ltd: Forensic Analysis

By Nitin Mangal

Voltas Ltd (VOLT IN) is a renowned name among the households in India.
The company is a prominent player in the field of air conditioning and cooling technology and offers a variety of services across different industrial sectors, both in India and internationally.
But there are few issues with respect to revenue recognition policy, capital allocation issues and falling market share.

JSW Cements – Another Cement IPO in India Exactly 4 Yrs Later

By Himanshu Dugar

JSW Cements comes for listing at $180/t which is a premium to similar sized player despite weaker operating performance
It stands out as a Slag cement player while peers primarily focus on Portland and Pozzolana composite cement products. Its listing positions it to become another consolidator with strong Balance-sheet.
JSW has higher concentration towards South (50% of current capacity) which has struggled with excess supply for many years. Its upcoming 10MT capex in North may also face similar situation

JR East – Full Steam Ahead!

By Rikki Malik

Company continues to outperform as a new management plan is released
Focus on cash flow generation, increased dividends and flexible buybacks
Continued execution in their real-estate business is key to success

Fluence Corp Ltd – The story is coming together

Fluence Corporation (ASX:FLC) specialises in the delivery of water and wastewater solutions in industrial, municipal and commercial industries across the globe.
The company has released its quarterly 4C cashflow statement and a Q2FY25 financial and operating update (December year-end) containing some key H125 data points.
The H125 result was a significantly positive turnaround with growth driven by the Ivory Coast Addendum project and improved performance across most business units.

Firefly Aerospace Inc. (FLY): Moonshot IPO That Burned Hot, Then Fizzled to 34% Returns at Close

By IPO Boutique

Firefly Aerospace (FLY US) priced 19.3 million shares (upsized from 16.2 million) at $45.00, which came in $2 above an already upwardly-revised $41–$43 range.
The stock opened Thursday at $70.00, for a +55.6% gain at first trade, and hit an intraday high of $73.80, marking a +64.0% gain from the IPO price.
Traders that were looking to capture “lightning in a bottle” may be licking wounds today with a steady dose of selling on day one.

Grupo Aeroportuario del Pacifi – Actinver Research – Transport Post 2Q25 Update

By Actinver

The Mexican transport sector posted another quarterly result with solid top-line performance supported by a better tariff environment and diversified revenues, resulting in a soft margin expansion.
GAP reported the most robust results, with double-digit revenues and EBITDA expansion, followed by OMA and GMXT.
The total EBITDA margin in the transport sector expanded 4bps, improving versus the 12 bps contraction reported in 1Q25.

Tokai Holdings (3167 JP): Q1 FY03/26 flash update

FY03/26 marks the final year of “Medium-Term Plan 2025” with record Q1 sales and profits across segments.
Sales rose 3.4% YoY, driven by customer growth in Information and Communications and Construction, Equipment, and Real Estate.
Operating profit increased 18.7% YoY, despite higher personnel costs, due to strategic customer acquisition and cost management.

Sanyo Trading (3176 JP): Q3 FY09/25 flash update

Sanyo Trading’s sales in cumulative Q3 FY09/25 reached JPY98.8bn (+3.0% YoY), driven by Fine Chemicals and Sustainability segments.
Operating profit declined 5.9% YoY to JPY5.5bn, impacted by increased SG&A expenses and reduced foreign exchange gains.
Sustainability segment sales rose 44.8% YoY to JPY8.5bn, with operating profit increasing 91.9% YoY to JPY1.3bn.

Seika Corp (8061 JP): Q1 FY03/26 flash update

Q1 FY03/26 revenue rose 24.8% YoY to JPY24.6bn, but net income decreased 52.5% YoY to JPY1.8bn.
The company revised its 1H earnings forecast, announced a stock split, and adjusted its dividend forecast.
An extraordinary loss of JPY489mn was recorded due to a litigation-related provision following a court ruling.

Before it’s here, it’s on Smartkarma

The Smartkarma Preview Pass is your entry to the Independent Investment Research Network

✓ Unlimited Research Summaries
✓ Personalised Alerts
✓ Custom Watchlists
✓ Company Data and News
✓ Events & Webinars

Aug 08

Daily Brief Consumer: Furukawa Battery, Ci Medical, Toyota Motor, Kolon Mobility Group, The Keepers Holdings, TSE Tokyo Price Index TOPIX, KT&G Corporation, Garmin Ltd, Hyatt Hotels Corp Cl A and more

By Smartkarma Daily Briefs | Consumer, Daily Briefs

In today’s briefing:

[Japan M&A] Furukawa Battery (6937 JP) Take Private – Ugly Then, Ugly Still, But Now It’s On…
[Japan M&A] Air Water Takes over C.I. Medical (3540) – Done Deal, Not Bad
Toyota (7203 JP) Vs. Subaru (7270 JP): Rare Mean-Reversion Setup After Earnings
Tender Offer and Delisting of Kolon Mobility Group by Kolon Corp
Keepers Holdings Solid Q2 2025: Multiple Catalysts Lined Up
With Most Companies Still Unable to Show Results, There Is No Returning to “Stakeholderism”
KT&G: Solid Results in 2Q 2025 + Treasury Shares Cancellation of 300 Billion Won
CI Medical (3540 JP): Air Water (4088 JP)’s Tender Offer Is a Done Deal
Garmin’s Innovation Blitz Across Fitness, Aviation, & Marine Signals Explosive Growth Ahead!
Hyatt’s Asset-Light Ambition Could Ignite Stock Rally After $2.6 Billion Resort Sale

[Japan M&A] Furukawa Battery (6937 JP) Take Private – Ugly Then, Ugly Still, But Now It’s On…

54 weeks ago Advantage Partners and Furukawa Electric announced a deal to take Furukawa Electric (5801 JP) sub Furukawa Battery (6937 JP) private. The acquisition price was LOW.
Minorities got more – more than book. But the deal included a payment delay allowing BVPS to rise 8.8% from the announcement date. No synergies.
Furukawa Electric gets to buy back in at a price below book. And because there are cash and securities and lots of net receivables, the operating assets are well below.

[Japan M&A] Air Water Takes over C.I. Medical (3540) – Done Deal, Not Bad

Today, Air Water Inc (4088 JP) and Ci Medical (3540 JP) announced that the CEO and Air Water who together own 85% would be taking over the company.
That’s nice. That means it’s a done deal and nobody can do anything about it. Complain all you want, it’s done.
Helpfully, the Board did its job (as did Shimizu-san – he’s selling most of his stake). This is not badly-priced for an ultimately coercive deal.

Toyota (7203 JP) Vs. Subaru (7270 JP): Rare Mean-Reversion Setup After Earnings

By Gaudenz Schneider

Context: The Toyota (7203 JP) vs. Subaru (7270 JP) price-ratio has deviated more than two standard deviations from its one-year average, presenting a potential relative value opportunity.
Highlight: Both companies in this highly correlated pair reported results on 7 August 2025, opening up a rare opportunity.
Why Read: Essential for quantitative traders seeking mean-reversion opportunities, with detailed execution framework, risk management protocols, and historical simulation showing the statistical basis for this relative value play.

Tender Offer and Delisting of Kolon Mobility Group by Kolon Corp

By Douglas Kim

Kolon Corp (002020 KS) announced that it is conducting a tender offer and delisting of Kolon Mobility Group (450140 KS).
The tender offer prices are 4,000 won per common share (20.3% higher than current price) and 5,950 won per preferred share (25.3% higher than current price) for Kolon Mobility Group.
The tender offer prices and stock swap ratios are especially attractive for Kolon Mobility Group shareholders.

Keepers Holdings Solid Q2 2025: Multiple Catalysts Lined Up

By Sameer Taneja

The Keepers Holdings (KEEPR PM) declared strong Q2FY25 results with revenues/profits up 14%/13% YoY. Net margins declined by 20 bps YoY to 18.7% due to the discounting/fx.
Currently in the final stages of acquiring Booze Online Inc., the company intends to finalize the transaction by the end of Q3, contingent upon the resolution of regulatory approvals.
The company trades at 9.7x FY25e, net cash, and an ROCE exceeding 20%. Supported by multiple growth levers, this presents an attractive opportunity within the Philippine domestic consumer discretionary sector.

With Most Companies Still Unable to Show Results, There Is No Returning to “Stakeholderism”

By Aki Matsumoto

Most companies have only made superficial improvements to meet numerical targets, and have not attempted to improve capital profitability or stock price valuation through improvements in board practices.
Very few companies proceed with uncodified practices based on company policy. Conversely, these companies demonstrate a willingness to change from their previous management style.
Previously, the idea of “treating shareholders equally with all other stakeholders” was widespread among many companies. As a result of “Stakeholderism,” capital profitability and stock price valuations have continued slow.

KT&G: Solid Results in 2Q 2025 + Treasury Shares Cancellation of 300 Billion Won

By Douglas Kim

KT&G reported solid results in 2Q 2025. It had sales of 1.5 trillion won (up 8.7% YoY) and operating profit of 349.9 billion won (up 8.7% YoY).
KT&G plans to repurchase and cancel 300 billion won worth of treasury stock starting 8 August.
KT&G continues to have attractive valuation multiples. It is currently trading at P/E of 12.3x, P/B of 1.6x, and EV/EBITDA of 9.4x.

CI Medical (3540 JP): Air Water (4088 JP)’s Tender Offer Is a Done Deal

By Arun George

Ci Medical (3540 JP) has recommended a tender offer from Air Water Inc (4088 JP) at JPY1,500, a 48.5% premium to the last close.
The offer is attractive compared to historical trading ranges and is above the mid-point of the IFA DCF valuation range.
This is a done deal as the offeror and irrevocable represent an 85.02% ownership ratio, which ensures that the EGM vote for share consolidation will pass.

Garmin’s Innovation Blitz Across Fitness, Aviation, & Marine Signals Explosive Growth Ahead!

Garmin Limited reported a remarkable second quarter for 2025, showcasing a 20% increase in consolidated revenue to over $1.8 billion, a figure that sets a new quarterly record for the company.
Each of the company’s business segments—fitness, outdoor, aviation, marine, and auto OEM—posted double-digit growth, contributing to a robust overall financial performance.
Operating income surged to $472 million, marking a 38% year-overyear increase, as operating margins rose to 26%.

Hyatt’s Asset-Light Ambition Could Ignite Stock Rally After $2.6 Billion Resort Sale

Hyatt Hotels Corporation has accelerated its pivot toward an asset-light model with a landmark $2.6 billion sale of its Playa Hotels & Resorts all-inclusive portfolio, marking its most significant divestiture yet.
This transaction shifts 15 resorts across Mexico, the Dominican Republic, and Jamaica from owned real estate to pure management and franchise agreements, unlocking immediate liquidity and reducing capital intensity.
Coupled with Hyatt’s recent launch of multiple new brands—Hyatt Studios, Hyatt Select, and Unscripted by Hyatt—in the upscale and upper-midscale segments, the company is realigning its growth engine toward higher-margin fee revenue.

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Aug 08

Daily Brief Financials: Interactive Brokers Group, Inc, Anicom Holdings, Utilico Emerging Markets Ltd and more

By Smartkarma Daily Briefs | Daily Briefs, Financials

In today’s briefing:

[Quiddity Index] S&P500/400/600 Sep25 Rebal: Two Possible Changes, But One Iffy
Anicom Holdings (8715 JP): Q1 FY03/26 flash update
Utilico Emerging Markets Trust — Proposals aim to increase shareholder returns

[Quiddity Index] S&P500/400/600 Sep25 Rebal: Two Possible Changes, But One Iffy

The S&P 500 index tracks the 500 largest names listed in the US and it is one of the most highly-tracked indices in the world.
In this insight, we take a look at the upcoming constituent changes in the run up to the September 2025 index rebal event.
We expect two regular changes in September 2025 – maybe $10bn a side. There are also a couple of live M&A events which are likely to trigger intra-review index changes.

Anicom Holdings (8715 JP): Q1 FY03/26 flash update