Earnings Alerts

Olympus Corp (7733) Earnings: FY Forecast Cut, Yet Beats Estimates with Strong Net Income

  • Olympus has revised its full-year operating income forecast to 136.00 billion yen from an earlier 150.00 billion yen; this is still above the market estimate of 133.59 billion yen.
  • The company’s full-year net income projection is 94.00 billion yen, down from the previous expectation of 105.00 billion yen, yet slightly above the market estimate of 93.09 billion yen.
  • Full-year net sales are expected to be 998.00 billion yen, marginally below the earlier forecast of 999.00 billion yen, but above the market estimate of 988.74 billion yen.
  • Olympus maintains its dividend expectation at 30.00 yen, in line with market estimates.
  • For the first quarter, Olympus reported an operating income of 16.60 billion yen, which is a significant 40% drop year-over-year and below the market estimate of 26.39 billion yen.
  • First-quarter net income stands at 8.99 billion yen, down 38% from the previous year, and significantly below the forecast of 18.04 billion yen.
  • First-quarter net sales were reported at 206.51 billion yen, a decline of 12% year-over-year, missing the expected 229.27 billion yen.
  • Analyst ratings currently include 9 buy recommendations, 7 holds, and no sells for Olympus stock.
  • All comparisons with past results use data from the company’s original disclosures.

Olympus Corp on Smartkarma

On Smartkarma, analyst Tina Banerjee has been closely covering Olympus Corp (7733 JP) and recently published two insightful research reports on the company. In the report titled “Olympus Corp (7733 JP): Forex Holds FY25 Together; FY26 Guidance Does Not Offer Much Respite,” Banerjee highlights how Olympus met its FY25 revenue, operating profit, and net profit guidance, with favorable Fx playing a crucial role in the positive results. However, for FY26, the company expects flat revenue with higher R&D expenses impacting margins, leading to a bearish sentiment on the stock’s outlook.

In another report by Banerjee, “Olympus Corp (7733 JP): Fx Holds Turf in 9MFY25 Amid Subdued China; FY25 Guidance Revised Downward,” the analyst discusses how favorable foreign exchange rates boosted Olympus’ revenue growth in the 9 months of FY25. Despite this, challenges in the China market and quality-related expenses led to profit stagnation and a downward revision in FY25 revenue guidance. The continued impact of recalls by FDA further complicates the company’s profitability scenario, contributing to a bearish stance on Olympus Corp.


A look at Olympus Corp Smart Scores

FactorScoreMagnitude
Value2
Dividend2
Growth3
Resilience4
Momentum2
OVERALL SMART SCORE2.6

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

Analysts assessing the long-term outlook for Olympus Corporation point towards a promising future. With a solid Resilience score of 4 out of 5, the company shows strength in weathering market fluctuations and challenges. This indicates that Olympus Corp has the ability to adapt and remain stable in different economic conditions.

Focusing on Growth, Olympus receives a score of 3, indicating a positive trajectory in expanding its business. This suggests that the company is steadily developing and has the potential to increase its market share. Despite moderate scores in Value, Dividend, and Momentum, Olympus Corporation’s diverse product offerings, including cameras, endoscopes, microscopes, and office communication systems, position it well for sustained growth in the optoelectronic industry.


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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