Earnings Alerts

Pan Pacific International Holdings (7532) Earnings: Q2 Income Surpasses Expectations, FY Forecast Boosts Yet Misses Estimates

By February 13, 2025 No Comments
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  • Pan Pacific has raised its full-year operating income forecast to 155.00 billion yen from a previous expectation of 150.00 billion yen, though this is lower than market estimates of 158.41 billion yen.
  • The company anticipates a net income of 90.00 billion yen, up from its prior forecast of 86.50 billion yen, but below the estimated 95.1 billion yen.
  • Net sales are expected to remain at 2.22 trillion yen, slightly under the market estimate of 2.23 trillion yen.
  • The company maintains a projected dividend of 34.00 yen per share, which is below the market forecast of 36.58 yen.
  • For the first half of the fiscal year, Pan Pacific reported an operating income of 89.75 billion yen and a net income of 53.98 billion yen, supported by net sales of 1.13 trillion yen.
  • In the second quarter, the company reported a 14% year-over-year increase in operating income, reaching 48.69 billion yen, beating the estimate of 46.31 billion yen.
  • Second-quarter net income surged 42% year-over-year to 33.51 billion yen, ahead of the estimated 32.57 billion yen.
  • Second-quarter net sales rose 7.4% year-over-year to 578.02 billion yen, surpassing market expectations of 575.38 billion yen.
  • The company has 13 buy ratings, 6 hold ratings, and 1 sell rating from analysts.

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Pan Pacific International Holdings on Smartkarma

Analyst Aki Matsumoto from Smartkarma has provided insight into Pan Pacific International Holdings, focusing on the improvement expected in governance and shareholder returns. In a bull-leaning report titled “Governance and Shareholder Return Are Likely to Improve, and Investors Continue to Pay Attention,” Matsumoto discusses the recent appointment of the 22-year-old son of Yasuda’s founder and chairman as a board director. With the majority of shares held by the Founder Family, trust Banks, and FamilyMart, the director appointment proposal is likely to pass unless opposed by shareholders held by the trust banks. While challenges exist in the nominating committee structure and skills matrix disclosure, potential growth and ample free cash flow are highlighted alongside the expected improvements in shareholder returns and governance driven by overseas investor equity exceeding 30%.


A look at Pan Pacific International Holdings Smart Scores

FactorScoreMagnitude
Value2
Dividend2
Growth4
Resilience2
Momentum5
OVERALL SMART SCORE3.0

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, Pan Pacific International Holdings shows promising long-term potential. With a high momentum score of 5, the company is demonstrating strong upward price trends and positive market sentiment. This indicates a favorable outlook for future stock performance. Additionally, a growth score of 4 suggests that the company is expected to see significant expansion and development in the coming years.

Despite some areas such as value and resilience scoring lower, Pan Pacific International Holdings‘ overall outlook remains positive. The company operates discount stores primarily in Tokyo, selling a variety of consumer goods. This market positioning, coupled with a solid growth score, indicates that Pan Pacific International Holdings may be well-positioned for long-term success and growth in the retail 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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