
- Kansai Electric has increased its full-year operating income forecast to 400 billion yen, up from a previous forecast of 330 billion yen. The estimate was 402.86 billion yen.
- The company projects net income for the fiscal year at 365 billion yen, compared to the earlier forecast of 260 billion yen and an estimate of 299.22 billion yen.
- Full-year net sales are now anticipated to be 4.35 trillion yen, slightly below the previous forecast of 4.45 trillion yen, but above the estimate of 4.33 trillion yen.
- The dividend forecast remains consistent at 60 yen, meeting the market estimate.
- For the third quarter, Kansai Electric reported operating income of 102.61 billion yen, which is an 18% year-over-year decrease, but exceeded the estimate of 70.45 billion yen.
- The company’s net income in the third quarter reached 133.46 billion yen, a significant improvement from a loss of 20.02 billion yen in the same period last year, surpassing the estimate of 49.01 billion yen.
- Third-quarter net sales increased by 9.8% year-on-year to 1.02 trillion yen, below the estimated 1.09 trillion yen.
- Analyst recommendations include 2 buy ratings and 4 hold ratings, with no sell recommendations.
Kansai Electric Power on Smartkarma
Analysts on Smartkarma are closely following Kansai Electric Power (9503 JP) as the company embarks on a significant equity offering to raise capital for future expenditures. Travis Lundy‘s research indicates that despite a 23% initial drop in share price post-announcement, there are indications of a potential upside as the stock may have been de-risked. Lundy suggests that the current discount following the equity offering could present a worthwhile opportunity for investors.
Arun George‘s analysis echoes optimism, noting that historically, large Japanese placements like KEPCO’s offering tend to generate positive returns. With Kansai Electric Power‘s shares down 20.6% since the announcement, there is potential for a rebound following the pricing of the offering. The sentiment among analysts leans bullish, with discussions focusing on the company’s strategic capital-raising plans and the implications for its valuation and market performance.
A look at Kansai Electric Power Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 5 | |
| Dividend | 4 | |
| Growth | 5 | |
| Resilience | 2 | |
| Momentum | 2 | |
| OVERALL SMART SCORE | 3.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Kansai Electric Power emerges with a positive long-term outlook. With top scores in Value and Growth, the company demonstrates strong potential for future profitability and expansion. Additionally, a solid Dividend score indicates a steady income stream for investors. However, Kansai Electric scores lower in Resilience and Momentum, suggesting some challenges in adapting to market fluctuations and maintaining consistent performance. Overall, the company’s focus on value and growth presents promising opportunities for investors looking towards the future.
The Kansai Electric Power Company, Incorporated, operates as a key player in generating electricity through various sources including hydroelectric, thermal, geothermal, and nuclear power. Serving the Osaka and Kansai region, the company plays a vital role in distributing electricity while also managing the construction and maintenance of electrical power facilities. With a strong emphasis on value and growth, Kansai Electric Power sets a strategic path for long-term success in the ever-evolving energy sector.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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