Daily Brief Consumer: Ping An Healthcare and Technology, Alibaba Group Holding , Anxian Yuan China Holdings , TSE Tokyo Price Index TOPIX, Marriott International, Paris Miki Holdings, Fields Corp, Fast Fitness Japan Inc, Duckhorn Portfolio /, Madison Square Garden Sports Corp. and more

• Ping An Healthcare (1833 HK) (PA Gooddoctor), which was spun off from Ping An Insurance (601318 CH) and listed in May 2018, has announced a change in use of proceeds.
• Part of that change includes the payment of a punchy HK$9.70/share special dividend.
• The more interesting aspect is that a scrip dividend is also afforded, which should allow a stealth MBO from Ping An at zero premium.

• Total revenue grew slightly as we expected in our preview note.
• The operating margin improved significantly, but this was due to the shrinks of non-cash items.
• However, we believe Alibaba will benefit from the boycott against JD.com and the disposal of Sun Art.

• Chinese cemetery operator with three main assets: the Anxian Yuan cemetery in Hangzhou, the Fushouyuan cemetery in Yinchuan and the Dachenshan cemetery in Niuxin Village, Guizhou Province
• The stock is inexpensive at 6.1x trailing P/E with a 13.3% dividend yield that’s covered by cash flows. Further, net cash represents 82% of market cap with limited contract liabilities.
• Recent tomb sales has been weak for reasons that seem macro related. Other risks are historical share dilution: the 2020 rights issue was under-priced, 85% taken up by the founder. 

• With external female board member resources under pressure, it will be extremely difficult to raise the percentage of female board members steadily at this rate.
• The trump card for this is matching numbers. Increasingly, female board members with no management background or outside talent are being recruited to female managerial positions.
• It is expected that fewer companies will move to Company with US type 3 Statutory Committees in order to avoid increasing the number of statutory executive officers.

• Marriott International’s third-quarter financial performance for 2024 indicated a mixture of growth and existing challenges within the global hospitality landscape.
• The company reported a 6% year-over-year increase in net rooms, underscoring its robust expansion efforts and strong development activities.
• Global Revenue Per Available Room (RevPAR) rose 3% for the quarter, fueled by a 2.5% increase in Average Daily Rate (ADR), with the group segment leading the charge, posting a 10% rise in RevPAR, which highlights the sustained demand in this category.

• Sales increased by 3.6% YoY to JPY26.1bn, but operating profit decreased by 25.3% YoY to JPY1.2bn.
• Paris Miki Inc. sales rose 4.2% YoY to JPY23.2bn, with 13 store openings and nine closures.
• China subsidiary faced a sales decline of 0.9% YoY to JPY3.0bn, resulting in an operating loss.

• Group sales were JPY45.8bn (-31.7% YoY), with net income attributable to owners of the parent at JPY2.8bn (-31.5% YoY).
• Content and Digital business sales reached JPY8.0bn (+7.9% YoY), driven by Tsuburaya Productions’ overseas revenue growth of 34.0% YoY.
• PS business reported sales of JPY37.2bn (-37.0% YoY), with 48,636 amusement machines sold, down 77,389 units YoY.

• Revenue increased by 10.4% YoY to JPY8.6bn, with directly operated clubs contributing JPY5.3bn and franchise revenue JPY3.1bn.
• Operating profit decreased by 28.2% YoY to JPY1.4bn, impacted by higher costs and growth investments, especially overseas.
• Membership count rose to 935,000, with 33 new clubs opened and three closed, totaling 1,163 clubs.

• Duckhorn Portfolio Inc, trading as NAPA, had a disappointing post-IPO performance in 2022
• Despite this, the company is viewed as a cheap investment with potential for growth
• With TSG showing incentives for a potential sale and interest from strategic acquirers, there is optimism that NAPA could potentially double in value within the next year

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• Madison Square Garden Sports Corp. reported strong financial results for fiscal 2024, supported by the successful seasons of its two major franchises, the New York Knicks and New York Rangers.
• The company’s total revenues exceeded $1 billion, marking a new record.
• Adjusted operating income reached $172 million, also a record, indicating robust demand among fans and partners throughout the season.