Earnings Alerts

Aeon Co Ltd (8267) Earnings Fall Short of Estimates with 2Q Operating Income Down 23% Y/Y

  • Aeon’s operating income for the second quarter was 50.81 billion yen, falling 23% from the previous year and missing the 66.1 billion yen estimate.
  • Net income plummeted by 94% year-on-year to 363 million yen.
  • Net sales increased by 6.9% to 2.55 trillion yen, surpassing the 2.53 trillion yen estimate.
  • In the first half of the year, the GMS (General Merchandise Stores) business reported an operating loss of 8.26 billion yen, compared to a profit of 3.52 billion yen the previous year.
  • The supermarket segment’s operating profit was 10.35 billion yen, marking a 37% decline year-on-year.
  • Health & Wellness segment saw a 24% decrease in operating profit to 18.50 billion yen.
  • Financial Services experienced a 27% increase in operating profit to 27.49 billion yen.
  • Shopping Center Development’s operating profit rose by 9.2% to 27.39 billion yen.
  • Services & Specialty Store segment operating profit grew by 21% to 14.19 billion yen.
  • Aeon’s forecast for 2025 remains steady with an expected net income of 46 billion yen and operating income of 270 billion yen, both closely aligning with estimates.
  • Net sales for 2025 are expected to reach 10 trillion yen, just above the 9.99 trillion yen estimate.
  • The dividend forecast is maintained at 40 yen, slightly above the 38.67 yen estimate.
  • Market sentiment includes 1 buy, 5 holds, and 4 sell ratings.

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 the Smartkarma Smart Scores, Aeon Co Ltd shows a promising long-term outlook with a strong emphasis on growth and momentum. The company received a high score of 5 in both categories, indicating positive trends in these areas. With a focus on expanding its business operations and maintaining a forward momentum, Aeon Co Ltd appears well-positioned for future growth opportunities.

Apart from growth and momentum, Aeon Co Ltd also received average scores in the areas of value, dividend, and resilience. While these scores are not as high as growth and momentum, they still suggest a stable foundation for the company’s overall performance. With its diversified business portfolio that includes general merchandise stores, supermarkets, and convenience stores, Aeon Co Ltd remains a key player in Japan’s retail sector with potential for sustained success.

Summary:
### AEON CO., LTD. operates general merchandise stores, supermarkets, and convenience stores throughout Japan. The Company is also engaged in women’s and casual clothing store business, development business of commercial property, and financing service through the subsidiaries. ###


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.
Have feedback on this article? Concerned about the content? Get in touch with us directly.


 

πŸ’‘ Before it’s here, it’s on Smartkarma

Sign Up for Free

The Smartkarma Preview Pass is your entry to the Independent Investment Research Network

  • βœ“ Unlimited Research Summaries
  • βœ“ Personalised Alerts
  • βœ“ Custom Watchlists
  • βœ“ Company Analytics and News
  • βœ“ Events & Webinars