Earnings Alerts

ASICS Corp (7936) Earnings Surge: FY Operating Income Forecast Exceeds Expectations

  • Asics raised its full-year operating income forecast to 136 billion yen, exceeding initial expectations of 126.86 billion yen.
  • Estimated net sales for the year are now 800 billion yen, up from a previous projection of 780 billion yen.
  • Asics forecasts a net income of 87 billion yen for the fiscal year, surpassing the earlier estimate of 83.38 billion yen.
  • The company anticipates a dividend of 28 yen per share, which is higher than both the prior dividend of 26 yen and the estimate of 27.79 yen.
  • First half sales performance was strong across regions:
    • Japan: 99.26 billion yen, a 24% increase year-on-year.
    • North America: 73.91 billion yen, up by 9.1% year-on-year.
    • Europe: 113.77 billion yen, showing a 24% rise year-on-year.
    • Greater China: 62.03 billion yen, with a 17% increase year-on-year.
    • Oceania: 21.45 billion yen, up 3.8% year-on-year.
    • Southeast & South Asia: 23.51 billion yen, marking a 33% increase year-on-year.
    • Rest of the World: 24.70 billion yen, a 1.3% increase year-on-year.
  • In the second quarter:
    • Net sales grew by 16% year-on-year to 194.49 billion yen, above the estimate of 191.7 billion yen.
    • Operating income rose by 45% year-on-year to 36.62 billion yen, exceeding the estimate of 31.31 billion yen.
    • Net income increased by 42% year-on-year to 21.96 billion yen, surpassing the estimate of 21.64 billion yen.
  • Asics shares increased by 6.7% to 3,766 yen, with 5.76 million shares traded.
  • Analyst recommendations include 13 buys, 1 hold, and 1 sell.

ASICS Corp on Smartkarma

Analysts on Smartkarma, like Mark Chadwick, are closely watching ASICS Corp, with insights on upcoming events and quarterly earnings. In the report “ASICS (7936) | Nike Q4 Preview: Eyes on Margins and Momentum,” the focus is on the potential impact of Nike’s Q4 earnings on ASICS investors. As Nike’s sales momentum and gross margin trends come under scrutiny, ASICS investors are keen on potential short-term benefits, especially if Nike shows weaknesses. Analysts see a bullish near-term thesis on ASICS, with a watchful eye on competitive pressures amid signs of stabilization at Nike.

In another report by Mark Chadwick titled “Asics (7936) | Q1 Earnings Impress, But Market Reacts to Unchanged Guidance,” ASICS Corporation faced a stock drop of 8.6% despite reporting strong first-quarter results. Investors seemed disappointed due to the absence of an upward revision in guidance. However, the positive outlook on ASICS remains steadfast as the company adeptly maneuvers through uncertainties on the global stage while bolstering its brand. The analyst’s confident stance underscores ASICS’ resilience amidst market fluctuations and the ability to maintain a strong position moving forward.


A look at ASICS Corp Smart Scores

FactorScoreMagnitude
Value2
Dividend2
Growth5
Resilience4
Momentum4
OVERALL SMART SCORE3.4

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

ASICS Corporation, a manufacturer of general sporting goods and equipment, holds promising long-term prospects based on its Smartkarma Smart Scores. With a strong emphasis on growth, ASICS Corp scores a high 5 in this category, indicating a positive outlook for the company’s expansion and development strategies. Additionally, ASICS Corp demonstrates resilience and momentum with scores of 4 in each, showcasing its ability to weather challenges and sustain its upward trajectory in the market. Although the company scores lower in terms of value and dividend at 2 each, the overall outlook for ASICS Corp appears favorable as it continues to focus on growth and adaptability in the global sports industry.

ASICS Corporation, known for manufacturing athletic shoes and sportswear distributed across key markets like the United States, Europe, Australia, and Asia, stands out with its impressive Smartkarma Smart Scores. While the company may have room for improvement in terms of value and dividends, scoring 2 each in these areas, it excels in growth, resilience, and momentum with scores of 5, 4, and 4 respectively. This indicates ASICS Corp‘s strong potential for continued advancements, ability to withstand market pressures, and sustained positive performance in the sports equipment sector. Overall, the company’s emphasis on growth aligns with its strategic position in the global market, setting a promising tone for its long-term outlook.


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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