Financials Hanwa Co., Ltd.

Equities

8078

JP3777800008

Iron & Steel

Market Closed - Japan Exchange Other stock markets 07:00:00 13/05/2024 BST			5-day change	1st Jan Change
6,340 ^JPY	+0.32%		+4.11%	+26.93%

05-10	Hanwa Co., Ltd. announces an Equity Buyback for 400,000 shares, representing 0.98% for ¥2,000 million.	CI
05-10	Hanwa Co., Ltd. Resolves to Pay Dividends for Fiscal Year 2023	CI

Valuation

Fiscal Period: March	2019	2020	2021	2022	2023	2024	2025	2026
Capitalization ¹	125,361	68,353	137,965	131,665	160,313	257,024	-	-
Enterprise Value (EV) ¹	426,706	329,513	386,929	646,088	424,096	241,163	539,290	562,919
P/E ratio	9.01 x	-5 x	7.03 x	3.02 x	3.11 x	6.28 x	6.44 x	6.15 x
Yield	4.86%	5.95%	1.77%	3.09%	3.3%	3.12%	3.01%	3.52%
Capitalization / Revenue	0.06 x	0.04 x	0.08 x	0.06 x	0.06 x	0.1 x	0.09 x	0.09 x
EV / Revenue	0.21 x	0.17 x	0.22 x	0.3 x	0.16 x	0.1 x	0.2 x	0.2 x
EV / EBITDA	12.8 x	10.1 x	11 x	9.38 x	5.92 x	8.04 x	7.71 x	7.66 x
EV / FCF	-82 x	5.26 x	34.5 x	-2.18 x	1.53 x	-122 x	53.3 x	-252 x
FCF Yield	-1.22%	19%	2.9%	-45.8%	65.5%	-0.82%	1.88%	-0.4%
Price to Book	0.67 x	0.42 x	0.73 x	0.56 x	0.53 x	0.69 x	0.7 x	0.64 x
Nbr of stocks (in thousands)	40,636	40,638	40,638	40,637	40,637	40,668	-	-
Reference price ²	3,085	1,682	3,395	3,240	3,945	6,320	6,320	6,320
Announcement Date	13/05/19	13/05/20	12/05/21	13/05/22	12/05/23	10/05/24	-	-

¹JPY in Million²JPY

Estimates

Income Statement Evolution (Annual data)

Fiscal Period: March	2019	2020	2021	2022	2023	2024	2025	2026
Net sales ¹	2,074,600	1,907,493	1,745,501	2,164,049	2,668,228	2,431,980	2,741,531	2,772,626
EBITDA ¹	33,417	32,575	35,179	68,882	71,666	63,464	69,902	73,449
EBIT ¹	28,904	27,330	29,232	62,367	64,105	49,722	62,600	65,420
Operating Margin	1.39%	1.43%	1.67%	2.88%	2.4%	2.04%	2.28%	2.36%
Earnings before Tax (EBT) ¹	20,955	-19,995	28,839	63,138	75,961	53,888	57,033	60,550
Net income ¹	13,914	-13,674	19,617	43,617	51,505	38,417	39,921	41,767
Net margin	0.67%	-0.72%	1.12%	2.02%	1.93%	1.58%	1.46%	1.51%
EPS ²	342.4	-336.5	482.7	1,073	1,267	944.9	982.0	1,027
Free Cash Flow ¹	-5,206	62,664	11,222	-295,745	277,687	-4,200	10,119	-2,232
FCF margin	-0.25%	3.29%	0.64%	-13.67%	10.41%	-0.17%	0.37%	-0.08%
FCF Conversion (EBITDA)	-	192.37%	31.9%	-	387.47%	-	14.48%	-
FCF Conversion (Net income)	-	-	57.21%	-	539.15%	-	25.35%	-
Dividend per Share ²	150.0	100.0	60.00	100.0	130.0	185.0	190.0	222.5
Announcement Date	13/05/19	13/05/20	12/05/21	13/05/22	12/05/23	10/05/24	-	-

¹JPY in Million²JPY

Estimates

Income Statement Evolution (Quarterly data)

Fiscal Period: March	2020 S1	2021 S1	2022 Q2	2022 S1	2022 Q3	2022 Q4	2023 Q1	2023 Q2	2023 S1	2023 Q3	2023 Q4	2023 S2	2024 Q1	2024 Q2	2024 S1	2024 Q3	2024 Q4	2024 S2	2025 Q1	2025 Q2	2025 S1	2025 Q3	2025 Q4	2025 S2
Net sales ¹	946,024	801,053	527,738	980,342	560,740	622,967	665,580	673,385	1,338,965	684,511	644,752	-	608,742	592,534	1,201,276	625,324	605,380	1,230,704	-	-	-	-	-	-
EBITDA	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-
EBIT ¹	13,618	11,077	16,923	30,426	18,808	13,133	24,143	17,231	41,374	14,694	8,037	-	16,277	10,062	26,339	16,128	7,255	23,383	14,900	15,300	30,200	16,200	15,300	31,500
Operating Margin	1.44%	1.38%	3.21%	3.1%	3.35%	2.11%	3.63%	2.56%	3.09%	2.15%	1.25%	-	2.67%	1.7%	2.19%	2.58%	1.2%	1.9%	-	-	-	-	-	-
Earnings before Tax (EBT) ¹	7,812	10,726	-	30,615	17,586	-	33,853	-	53,450	11,233	11,278	-	16,012	10,809	26,821	16,683	10,384	27,067	-	-	-	-	-	-
Net income ¹	5,157	6,861	11,504	20,996	12,181	10,440	23,917	13,272	37,189	7,735	6,581	-	11,492	7,584	19,076	11,624	7,717	19,341	-	-	-	-	-	-
Net margin	0.55%	0.86%	2.18%	2.14%	2.17%	1.68%	3.59%	1.97%	2.78%	1.13%	1.02%	-	1.89%	1.28%	1.59%	1.86%	1.27%	1.57%	-	-	-	-	-	-
EPS	126.9	168.8	-	516.7	299.7	-	588.6	-	915.2	190.3	-	-	282.8	-	469.3	287.3	-	-	-	-	-	-	-	-
Dividend per Share	75.00	30.00	-	50.00	-	-	-	-	50.00	-	-	80.00	-	-	85.00	-	-	-	-	-	-	-	-	-
Announcement Date	11/11/19	09/11/20	10/11/21	10/11/21	10/02/22	13/05/22	12/08/22	10/11/22	10/11/22	10/02/23	12/05/23	12/05/23	08/08/23	08/11/23	08/11/23	08/02/24	10/05/24	10/05/24	-	-	-	-	-	-

¹JPY in Million

Estimates

Balance Sheet Analysis

Fiscal Period: March	2019	2020	2021	2022	2023	2024	2025	2026
Net Debt ¹	301,345	261,160	248,964	514,423	263,783	253,522	282,266	305,895
Net Cash position ¹	-	-	-	-	-	-	-	-
Leverage (Debt/EBITDA)	9.018 x	8.017 x	7.077 x	7.468 x	3.681 x	3.995 x	4.038 x	4.165 x
Free Cash Flow ¹	-5,206	62,664	11,222	-295,745	277,687	-4,200	10,119	-2,233
ROE (net income / shareholders' equity)	7.4%	-7.8%	11.1%	20.5%	19.1%	11.7%	11%	11%
ROA (Net income/ Total Assets)	2.61%	-1.45%	3.55%	4.94%	4.47%	4.15%	-	-
Assets ¹	533,862	939,826	552,358	883,211	1,151,210	924,986	-	-
Book Value Per Share ²	4,633	4,027	4,656	5,835	7,459	8,636	9,037	9,848
Cash Flow per Share	453.0	-207.0	618.0	1,224	1,449	1,175	-	-
Capex ¹	7,718	11,597	7,782	11,561	22,179	10,000	7,500	8,000
Capex / Sales	0.37%	0.61%	0.45%	0.53%	0.83%	0.4%	0.27%	0.29%
Announcement Date	13/05/19	13/05/20	12/05/21	13/05/22	12/05/23	10/05/24	-	-

¹JPY in Million²JPY

Estimates

EPS & Dividend

Year-on-year evolution of the PER

Year-on-year evolution of the Yield

Change in Enterprise Value/EBITDA

Ratings for Hanwa Co., Ltd.

Trading Rating

Investor Rating

ESG Refinitiv

More Ratings

Analysts' Consensus

Sell

Buy

Mean consensus

OUTPERFORM

Number of Analysts

Last Close Price

6,320 JPY

Average target price

6,038 JPY

Spread / Average Target

-4.47%

Consensus

EPS Revisions

Estimates Revisions

Quarterly earnings - Rate of surprise

Company calendar

Sector Metallic Rolling & Drawing Products

	1st Jan change	Capi.
HANWA CO., LTD.	+26.93%	1.65B
BORUSAN MANNESMANN BORU SANAYI VE TICARET	-6.68%	2.5B
SICHUAN FURONG TECHNOLOGY CO., LTD.	+11.78%	1.4B
FANGDA SPECIAL STEEL TECHNOLOGY CO., LTD.	-9.54%	1.35B
TIANJIN YOU FA STEEL PIPE GROUP STOCK CO., LTD.	-6.34%	1.12B
YONGJIN TECHNOLOGY GROUP CO., LTD.	-1.46%	962M
JIANGSU CHANGBAO STEELTUBE CO.,LTD	+12.11%	756M
PAO TMK	-.--%	682M
AL YAMAMAH STEEL INDUSTRIES COMPANY	+59.86%	549M
HENAN HENGXING SCIENCE & TECHNOLOGY CO.,LTD.	-14.06%	518M

Metallic Rolling & Drawing Products