The Must Read PSA Weekly Research Round-up (week to 10 Feb)
REPORTS: Nissan-Renault Alliance / COMPANY NEWS & INSIGHTS: Sony sells 60,000 PS5s in Japan in week to 29 Jan / MISCELLANEOUS, MARKET & MACRO: Jan data releases for: wages / bank lending / producer prices / BoJ governor candidates and the yen / COMPANY INSIGHTS, NEWS, PREVIEWS & RESULTS: Video game maker results for Nintendo, Bandai Namco, Nexon, Mixi / Tokyo Seimitsu: FY22 3Q orders down 46% YoY / Olympus: FY22 Q3 OP up an impressive +51% YoY / Punchy targets for Nippon Chemi-Con / Nikon: FY22 Q3 OP +63% YoY considered a “miss” / JSR slashes Q4 guidance on weak IC markets / Sumco sees a weak FY23 Q1 / Other chemical / material makers’ results: Sumitomo Bakelite, KH Neochem, Kuraray, Nissan Chem, Mitsubishi Chem / Automakers’ results: Nissan, Toyota, Honda, Suzuki, Subaru, Isuzu, Hino
The Weekly Comment by Pelham Smithers
Last quarter’s corporate earnings were perfectly fine; they just weren’t what people expected, explains Pelham Smithers.
Reports / Flash Notes Published This Week: Headlines at a Glance
1. Nissan and Renault Review the Fabric of Their Alliance
Company / Sector / Thematic Comments at a Glance
Technology: Consumer Electronics, Gaming
1. Sony (6758 JT) Sells 60,000 PS5s in Japan in Week to 29 Jan
2. Nintendo (7974 JT): FY22 Q3 OP -25% YoY
3. Bandai Namco (7832 JT): FY22 Q3 OP -20% YoY
4. Nexon’s (3659 JT) FY22 OP Misses While FY23 Q1 OP Guidance Beats
5. Mixi (2121 JT) Revises Upward Again
6. Other Consumer Elec / Gaming News & Moves That Caught Our Eye
Technology: Industrial Electronics / Components / Semis & SPE / Precision
7. Tokyo Seimitsu (7729 JT): FY22 3Q Orders -46% YoY
8. Punchy New FY22 OP Target from Nippon Chemi-Con (6997 JT)
9. Nikon (7731 JT): FY22 Q3 OP +63% YoY Below Expectations
10. Olympus (7733 JT): FY22 Q3 OP +51% YoY
11. Other Tech News & Moves That Caught Our Eye
Chemicals / Materials
12. JSR (4185 JT): FY22 Q4 Guidance Slashed on Weak IC Markets
13. Sumitomo Bakelite (4203 JT) Trims FY22 Forecast
14. Mitsubishi Chemical (4188 JT) Slashes FY22 OP Guidance
15. KH Neochem (4189 JT): Guides for Rebound in FY23 OP but is Below Consensus
16. Sumco (3436 JT): FY22 a Small Beat but FY23 Q1 Guidance Falls Short
17. Textile Makers Cut FY22 Guidance
18. Kuraray (3405 JT) Shares Rise Despite Guidance for FY23 OP to Fall
19. Nissan Chem (4021 JT) Trims FY22 OP on Weak Electronic Materials
20. Other Chemical / Material-Related Results
Autos
21. Suzuki Motor (7269 JT): FY22 Q3 Results Beat Estimates
22. Subaru (7270 JT): An Impressive Q3
23. Toyota (7203 JT): Delivers Strong Q3 Results, Forecasts Remain Unchanged
24. Nissan (7201 JT): FY22 Q3 Results Above Estimates
25. Isuzu (7202 JT): FY22 Q3 Earnings Beat Consensus Estimates
26. Honda (7267 JT) Strong Motorcycle Business Results, Autos Remain Weak
27. Mazda (7261 JT) Raises its FY22 OP Guidance
28. Auto News and Moves that Caught our Eye
Auto Parts / Machinery
29. Denso (6902 JT) Rallies on Rising Expectations
30. Toyota Industries (6201 JT) Falls Back as We Expected
31. Daikin (6367 JT): FY22 Q3 OP +23% YoY, Modest Full-Year OP Lift
32. Fujikura’s (5803 JT) In-Line Q3 OP Marred by Weak Auto Guidance
33. Daifuku (6383 JT): Solid Q3 and 3:1 Share Split Boost Share Price
34. Nabtesco (6268 JT) Blames FY22 OP Miss on Covid & Door Cost Overruns
Internet / eCommerce
35. Mercari (4385 JT): FY23 Q2 Comes in Ahead of Consensus Estimates
36. BASE Inc (4477 JT): FY22 Results Beat Consensus Estimates
37. Other Internet / eCommerce News & Moves That Caught Our Eye
Enterprise Software / IT Services
38. NTT Data (9613 JT) FY22 Q3 Results Beat Market Expectations
39. IIJ (3774 JT): FY22 Q3 OP +9% YoY
40. Other ERP Software / IT Services News & Moves That Caught Our Eye
Telecom
41. Further Losses for SoftBank Group (9984 JT)
Pharma
42. Pharma News & Moves That Caught Our Eye
Miscellaneous / Market / Strategy / Macro
43. BoJ Governor Candidates and the Yen
44. Strong Wage Data for Dec 2022
45. Bank Lending Data +3.1% YoY in Jan
46. Jan Producer Prices Unchanged 26
47. Other News & Moves That Caught Our Eye
PSA in the Press
PSA’s autos analyst Julie Boote flags her concerns regarding the changes in the Nissan / Renault alliance in the Wall Street Journal.
“Nissan, Renault and Mitsubishi Must Make Their New Alliance Pay” by Steve Wilmot WSJ [6th February 2023]
Small Meeting with: Sumitomo Chemical (4005 JT)
Earnings presentations at: Mercari (4385 JT), JSR (4185 JT), Sumitomo Bakelite (4203 JT), Mitsubishi Chemical Group (4188 JT), KH Neochem (4189 JT), Fujifilm Holdings (4901 JT), Kaneka (4118 JT), Asahi Kasei (3407 JT), Toray (3402 JT), Teijin (3401 JT), Kuraray (3405 JT), Sumco (3436 JT), Mitsubishi Gas Chemical (4182 JT), Nissan Chemical (4021 JT)
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