Daily Brief Industrials: Hanwha Aerospace, Nippon Express Holdings, China Shipbuilding Industry, Radiant Logistics, Career Design Center, Shinmaywa Industries, Takara Standard, Tocalo Co Ltd, Tokai Holdings, Daiichi Jitsugyo and more

• KOSPI 200 is a Korean blue-chip index that tracks the 200 largest and most-liquid names listed in the KOSPI section of the Korea Exchange (KRX).
• In this insight, we take a look at the names leading the race to become ADDs and DELs during the upcoming semiannual review in December 2024.
• We expect up to five ADDs and six DELs in the KOSPI 200 index during the December 2024 index rebal event based on the latest available data.

• Up to 12 stocks could be deleted from global passive portfolios in August. The deletion will lead to liquidity events where trackers will need to sell multiple days of ADV.
• There has been a buildup of shorts on nearly all these stocks though the extent of the pre-positioning varies.
• The increase in shorts is smaller than the estimated passive selling, though there is a fair amount of variability across the names. 

• China’s state-owned shipbuilding giant, China Shipbuilding Industry Co. Ltd. (601989.SH +2.12%), is to invest more than 5 billion yuan ($690 million) in two acquisition deals to expand its shipyard capacity and meet rising demand.
• China Shipbuilding Industry, the Shanghai-listed arm of China State Shipbuilding Corp. Ltd. (CSSC), announced Saturday a 4.04 billion yuan acquisition of Tianjin Xingang Shipbuilding Heavy Industry Co. Ltd.’s assets in Lingang, northern China’s port city Tianjin.
• The purchase includes a 500,000-ton and a 300,000 ton dry dock, each equipped with two gantry cranes, as well as associated plants, outfitting quays, ship repair docks, sea outlet docks and other shoreline facilities, according to the company’s filing.

• Despite significant improvements in financial performance, Radiant Logistics’ share price has not reflected the company’s growth over the past seven years.
• The company’s strong balance sheet, free cash flow generation, and potential for growth through acquisitions make the stock appear undervalued.
• Radiant, a provider of third-party logistics services, may be an attractive acquisition target for larger logistics companies in the future.

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.

• In cumulative Q3 FY09/24, revenue was JPY13.3bn (+2.1% YoY), operating profit JPY1.1bn (-17.2% YoY), and net income JPY752mn (-16.8% YoY).
• Media Information business revenue was JPY4.5bn (+7.1% YoY), segment recurring profit JPY464mn (+39.0% YoY) in cumulative Q3 FY09/24.
• Revised full-year FY09/24 forecast: revenue JPY17.8bn (+2.3% YoY), operating profit JPY1.4bn (-9.9% YoY), net income JPY989mn (-15.0% YoY).

• Revenue rose JPY5.0bn (+9.6% YoY) due to higher revenue at Special Purpose Truck and Parking Systems businesses.
• Operating profit increased JPY1.2bn (+189.2% YoY) mainly due to higher profit at Special Purpose Truck and Parking Systems businesses.
• The company did not revise its full-year outlook for revenue and profit at the time of the Q1 earnings announcement.

• Revenue reached JPY57.3bn (+0.1% YoY), operating profit JPY3.1bn (+15.4% YoY), and recurring profit JPY3.3bn (+14.2% YoY).
• Revenue from the new housing complex market increased by 15.9% YoY, while the remodeling market declined by 9.3% YoY.
• Shipment volumes decreased across all segments, with the highest decline in the JPY14.3bn revenue segment at -9.5% YoY.

• Sales increased 9.1% YoY to JPY12.9bn, driven by semiconductors, FPDs, industrial machinery, and steel-related applications.
• Operating profit rose 18.5% YoY to JPY2.7bn, with recurring profit up 22.9% YoY to JPY2.9bn.
• Orders grew 10.7% YoY to JPY13.6bn, with the order backlog increasing 13.0% YoY to JPY10.0bn.

• The company reported Q1 sales of JPY56.2bn (+4.1% YoY), operating profit of JPY3.3bn (+33.6% YoY), and net income of JPY1.9bn (+39.9% YoY).
• Energy segment sales were JPY24.7bn (+2.9% YoY) with operating profit of JPY933mn (+1,480.0% YoY), driven by customer acquisition.
• Information and Communications segment sales were JPY14.0bn (+3.9% YoY) with operating profit of JPY829mn (-25.0% YoY) due to higher amortization expenses.

• Orders: JPY45.4bn (+5.7% YoY), Revenue: JPY43.4bn (+26.1% YoY), Operating Profit: JPY2.1bn (+203.8% YoY), Net Income: JPY1.1bn (+144.9% YoY).
• Revenue rose due to increased sales of plant equipment, lithium-ion battery manufacturing equipment, and molding machines.
• Revenue declined YoY in electronic component manufacturing equipment, automotive industry equipment, and medical device manufacturing equipment.