Daily Brief Industrials: Japan Airlines, Christie Group, Northern Bear, Wilh Wilhelmsen Holding, Yellow Corporation, ZTO Express Cayman and more

• JAL finishing FY24 strongly with another guidance upgrade – upgraded FY26 targets more logical in light of existing ANA targets
• ​Demand momentum particularly helpful as wages rise across Japan and ​cost control to remain impressive over FY25-FY26 as LCC growth set to dilute FSC inflation
• ​Detailed analysis of JAL’s widening margin gap to ANA suggests revenue solution required – momentum helpful and needs to be watched carefully

• Our estimations for FY 2023 annual revenue range at around £69.88 million and for 2024 at around £73.38 million.
• The company’s annual revenue reached £69.19 million in 2022 compared to £61.25 million in 2021, post- ing an increase by 12.96%.
• Christie Group’s operating profit for FY 2022 was £5.45 million, increased by 4.96% compared to £5.19 million for the corresponding period of 2021.

• Our estimations for FY 2024 annual revenue range at around £77.28 million and for 2025 at around £88.31 million.
• The company’s annual revenue reached £69.72 million in 2023 compared to £61.10 million in 2022, post- ing an increase by 14.12%.
• Northern Bear gross profit for FY 2023 was £13.94 million, increased by 11.87% compared to £12.46 million for the corresponding period of 2022.

• Wilh. Wilhelmsen has been a successful long-term investment in the shipping industry with an annual return of 13.3% since 2000
• The company operates in the stable roll-on roll-off (RoRo) market, leading to an average return on equity of 12.3%
• WWI is comprised of various segments including Wilhelmsen Maritime Service and investments in Wallenius Wilhelmsen and Hyundai Glovis, with a history dating back to 1861 and a recent focus on RoRo ships.

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.

• Yellow Corp. filed for Chapter 11 bankruptcy in August 2023 after a walkout by the Teamster union, leading to no workers or customers.
• The company is now pursuing Chapter 11 liquidation with potential for significant returns for investors.
• Recent progress in the case has de-risked the story, with the debtor’s financial advisor expecting a recovery to the equity with values ranging from $3.26 to $29.72.

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.

• ZTO reported C4Q23 top-line, GAAP EBIT, and non-GAAP net income (2.2%), (3.8%), and in-line vs. cons., respectively;
• There are two concurrent trends in the last-mile market: (1) improved service quality, and (2) smaller parcel sizes. Both are favorable to ZTO, in our view;
• ZTO announced new shareholder return plans, which we estimate could return US$ 1.4bn to investors in 2024 for a 7.7% yield;