Financials SMS Co., Ltd.

Equities

2175

JP3162350007

Employment Services

Delayed Japan Exchange Other stock markets 02:00:00 2024-06-27 EDT			5-day change	1st Jan Change
2,051 ^JPY	+0.27%		+0.51%	-29.26%

05-20	SMS Co., Ltd. Proposes Year End Dividend for the Year Ending March 31, 2024, Effective Date Is June 24, 2024	CI
05-09	SMS Completes 1.9 Billion Yen Share Buyback Program	MT

Valuation

Fiscal Period: March	2020	2021	2022	2023	2024	2025	2026	2027
Capitalization ¹	182,211	294,429	295,865	278,448	224,398	175,652	-	-
Enterprise Value (EV) ¹	188,751	297,014	291,594	269,810	212,595	158,782	152,558	145,244
P/E ratio	38.3 x	61.3 x	54.7 x	43.5 x	31.2 x	21.8 x	18.6 x	15.7 x
Yield	0.41%	0.28%	0.31%	0.47%	0.77%	1.26%	1.49%	1.74%
Capitalization / Revenue	5.19 x	8.19 x	7.61 x	6.1 x	4.16 x	2.69 x	2.28 x	1.97 x
EV / Revenue	5.37 x	8.26 x	7.5 x	5.91 x	3.94 x	2.43 x	1.98 x	1.63 x
EV / EBITDA	27.1 x	38.8 x	33.1 x	26.5 x	18.1 x	12.4 x	10.4 x	8.6 x
EV / FCF	47.4 x	59.6 x	37.7 x	56.9 x	35.2 x	27.2 x	20.3 x	15.5 x
FCF Yield	2.11%	1.68%	2.65%	1.76%	2.84%	3.67%	4.92%	6.43%
Price to Book	9.48 x	13.1 x	9.98 x	7.34 x	5.1 x	3.61 x	3.15 x	2.75 x
Nbr of stocks (in thousands)	87,057	87,109	87,147	87,151	86,707	85,872	-	-
Reference price ²	2,093	3,380	3,395	3,195	2,588	2,046	2,046	2,046
Announcement Date	20-04-30	21-04-28	22-04-28	23-04-28	24-04-26	-	-	-

¹JPY in Million²JPY

Estimates

Income Statement Evolution (Annual data)

Fiscal Period: March	2020	2021	2022	2023	2024	2025	2026	2027
Net sales ¹	35,140	35,960	38,899	45,667	53,973	65,363	76,991	89,213
EBITDA ¹	6,955	7,655	8,800	10,175	11,725	12,786	14,721	16,885
EBIT ¹	4,935	5,470	6,318	7,279	8,269	9,215	10,968	13,106
Operating Margin	14.04%	15.21%	16.24%	15.94%	15.32%	14.1%	14.25%	14.69%
Earnings before Tax (EBT) ¹	6,375	6,470	7,707	8,795	9,742	11,120	12,904	15,042
Net income ¹	4,760	4,800	5,408	6,406	7,227	8,143	9,534	11,254
Net margin	13.55%	13.35%	13.9%	14.03%	13.39%	12.46%	12.38%	12.61%
EPS ²	54.69	55.13	62.07	73.50	82.97	93.91	110.0	130.2
Free Cash Flow ¹	3,986	4,986	7,739	4,741	6,034	5,830	7,500	9,342
FCF margin	11.34%	13.87%	19.9%	10.38%	11.18%	8.92%	9.74%	10.47%
FCF Conversion (EBITDA)	57.31%	65.13%	87.94%	46.59%	51.46%	45.59%	50.94%	55.33%
FCF Conversion (Net income)	83.74%	103.88%	143.1%	74.01%	83.49%	71.59%	78.66%	83.01%
Dividend per Share ²	8.500	9.500	10.50	15.00	20.00	25.79	30.50	35.67
Announcement Date	20-04-30	21-04-28	22-04-28	23-04-28	24-04-26	-	-	-

¹JPY in Million²JPY

Estimates

Income Statement Evolution (Quarterly data)

Fiscal Period: March	2020 S2	2021 S1	2021 S2	2022 S1	2022 Q3	2022 Q4	2022 S2	2023 Q1	2023 Q2	2023 S1	2023 Q3	2023 Q4	2023 S2	2024 Q1	2024 Q2	2024 S1	2024 Q3	2024 Q4	2024 S2	2025 Q1	2025 Q2	2025 S1	2025 Q3	2025 Q4	2025 S2
Net sales ¹	17,512	18,638	17,322	19,927	8,388	10,584	18,972	12,517	10,817	23,334	10,098	12,235	22,333	15,194	12,280	27,474	11,883	14,616	26,499	18,050	14,830	32,750	14,420	18,013	32,250
EBITDA	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-
EBIT ¹	2,861	2,949	2,521	3,682	213	2,423	2,636	3,086	1,523	4,609	434	2,236	2,670	3,729	972	4,701	244	3,324	3,568	3,164	1,049	4,550	1,022	4,059	4,750
Operating Margin	16.34%	15.82%	14.55%	18.48%	2.54%	22.89%	13.89%	24.65%	14.08%	19.75%	4.3%	18.28%	11.96%	24.54%	7.92%	17.11%	2.05%	22.74%	13.46%	17.53%	7.07%	13.89%	7.08%	22.53%	14.73%
Earnings before Tax (EBT) ¹	3,265	3,786	-	4,687	432	2,602	3,020	4,007	1,708	5,715	636	2,444	3,080	4,604	1,158	5,767	366	3,609	3,975	3,986	1,363	5,700	1,509	4,422	5,500
Net income ¹	2,441	2,775	2,025	3,404	245	1,759	2,004	2,975	1,154	4,129	433	1,844	2,277	3,389	787	4,176	200	2,851	3,051	2,861	961.3	4,200	1,091	3,323	4,376
Net margin	13.94%	14.89%	11.69%	17.08%	2.92%	16.62%	10.56%	23.77%	10.67%	17.7%	4.29%	15.07%	10.2%	22.3%	6.41%	15.2%	1.68%	19.51%	11.51%	15.85%	6.48%	12.82%	7.57%	18.45%	13.57%
EPS ²	-	31.88	-	39.07	2.810	20.19	-	34.14	13.24	47.38	4.970	21.15	-	38.89	8.920	47.81	2.350	32.81	-	29.69	12.23	-	6.520	45.38	-
Dividend per Share	-	-	-	-	-	-	-	-	-	-	-	-	15.00	-	-	-	-	-	-	-	-	-	-	-	-
Announcement Date	20-04-30	20-10-29	21-04-28	21-10-29	22-01-31	22-04-28	22-04-28	22-07-29	22-10-28	22-10-28	23-01-31	23-04-28	23-04-28	23-07-28	23-10-27	23-10-27	24-01-31	24-04-26	24-04-26	-	-	-	-	-	-

¹JPY in Million²JPY

Estimates

Balance Sheet Analysis

Fiscal Period: March	2020	2021	2022	2023	2024	2025	2026	2027
Net Debt ¹	6,540	2,585	-	-	-	-	-	-
Net Cash position ¹	-	-	4,271	8,638	11,803	16,870	23,094	30,408
Leverage (Debt/EBITDA)	0.9403 x	0.3377 x	-	-	-	-	-	-
Free Cash Flow ¹	3,986	4,986	7,739	4,741	6,034	5,830	7,500	9,342
ROE (net income / shareholders' equity)	27.5%	23.1%	20.8%	19%	17.6%	17.6%	18.8%	19.4%
ROA (Net income/ Total Assets)	12.9%	13.2%	14.6%	14.4%	14.4%	12.1%	13.1%	14%
Assets ¹	36,875	36,233	37,109	44,497	50,209	67,485	72,779	80,574
Book Value Per Share ²	221.0	257.0	340.0	435.0	507.0	567.0	648.0	745.0
Cash Flow per Share ²	68.60	70.90	81.00	96.20	111.0	115.0	131.0	156.0
Capex ¹	1,605	2,035	2,012	2,914	3,712	3,356	3,258	3,142
Capex / Sales	4.57%	5.66%	5.17%	6.38%	6.88%	5.13%	4.23%	3.52%
Announcement Date	20-04-30	21-04-28	22-04-28	23-04-28	24-04-26	-	-	-

¹JPY in Million²JPY

Estimates

EPS & Dividend

Year-on-year evolution of the PER

Year-on-year evolution of the Yield

Change in Enterprise Value/EBITDA

Ratings for SMS Co., Ltd.

Trading Rating

Investor Rating

ESG Refinitiv

More Ratings

Analysts' Consensus

Sell

Buy

Mean consensus

BUY

Number of Analysts

Last Close Price

2,046 JPY

Average target price

3,450 JPY

Spread / Average Target

+68.66%

Consensus

EPS Revisions

Estimates Revisions

Quarterly earnings - Rate of surprise

Company calendar

Sector Outsourcing & Staffing Services

	1st Jan change	Capi.
SMS CO., LTD.	-29.26%	1.09B
RECRUIT HOLDINGS CO., LTD	+43.38%	81.79B
TRINET GROUP, INC.	-15.58%	5.08B
TECHNOPRO HOLDINGS, INC.	-29.18%	1.75B
MEITEC GROUP HOLDINGS INC.	+15.07%	1.55B
OUTSOURCING INC.	+0.52%	1.37B
OPEN UP GROUP INC.	-16.48%	1.06B
BARRETT BUSINESS SERVICES, INC.	+13.71%	857M
JINHAI MEDICAL TECHNOLOGY LIMITED	+105.04%	796M
UT GROUP CO.,LTD.	+32.16%	797M

Outsourcing & Staffing Services