Earnings Alerts

Aeon Co Ltd (8267) Earnings: 2Q Operating Income Falls Short by 23% Amid Mixed Business Results

  • Aeon’s operating income for the second quarter was 50.81 billion yen, missing the estimate of 66.1 billion yen and representing a 23% year-over-year decline.
  • Net income dropped drastically by 94% year-over-year, amounting to 363.0 million yen.
  • Net sales increased by 6.9% year-over-year to 2.55 trillion yen, surpassing the estimate of 2.53 trillion yen.
  • In the first half of the year, the General Merchandise Stores (GMS) business posted an operating loss of 8.26 billion yen compared to a profit of 3.62 billion yen the previous year.
  • The supermarket segment’s operating profit was 10.35 billion yen, down 37% year-over-year.
  • Health & Wellness saw a 24% drop in operating profits, reaching 18.50 billion yen.
  • Financial Services showed a strong performance with a 27% increase in operating profit to 27.49 billion yen.
  • Shopping Center Development reported a 9.2% increase in operating profit to 27.39 billion yen.
  • Services & Specialty Store operations achieved a 22% rise in operating profit to 14.19 billion yen.
  • Aeon’s forecast for 2025 anticipates a net income of 46.00 billion yen, compared to an estimate of 47 billion yen.
  • The company maintains a forecasted operating income of 270.00 billion yen, above the estimate of 261.1 billion yen.
  • Net sales are projected to reach 10.00 trillion yen, slightly higher than the estimate of 9.99 trillion yen.
  • Dividends are expected to stay at 40.00 yen, surpassing the estimate of 38.67 yen.
  • Analysts’ recommendations consist of 1 buy, 5 holds, and 4 sells.

A look at Aeon Co Ltd Smart Scores

FactorScoreMagnitude
Value2
Dividend2
Growth5
Resilience2
Momentum5
OVERALL SMART SCORE3.2

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Based on Smartkarma Smart Scores, Aeon Co Ltd appears to have a positive long-term outlook. With high scores in Growth and Momentum, the company is showing strong potential for expansion and market performance. The growth factor suggests that Aeon Co Ltd is well-positioned for future development, while its momentum indicates ongoing positive market trends.

Although the company scores lower in Value, Dividend, and Resilience, the strong ratings in Growth and Momentum indicate overall strength and potential for Aeon Co Ltd. As a company operating general merchandise stores, supermarkets, and convenience stores in Japan, along with additional businesses in clothing stores and commercial property development, Aeon Co Ltd seems to have a promising future ahead.


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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