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Japan Tobacco Inc. (JP:2914)
:2914
Earnings Data
Report Date
May 07, 2025TBA Not Confirmed
Period Ending
2025 (Q1)Consensus EPS Forecast
82.21Last Year’s EPS
88.58Same Quarter Last Year
Moderate Buy
Based on 2 Analysts Ratings
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Earnings Call Summary
Earnings Call Date:Feb 13, 2025
|% Change Since: 4.71%
|Next Earnings Date:May 07, 2025
Earnings Call Sentiment|Positive
The earnings call highlighted JT Group's strong performance in the Tobacco business and strategic acquisitions, contributing to record-high revenue and profit. However, challenges such as currency fluctuations and struggles in the Pharmaceutical and Processed Food segments presented significant hurdles. The overall outlook remains optimistic with strategic plans for growth and investments in innovation.Company Guidance
The call provided detailed guidance on Japan Tobacco Inc.'s performance and future strategies, particularly focusing on the fiscal year 2024 results and the outlook for 2025. The company achieved record high revenue and adjusted operating profit (AOP) at constant FX, with significant growth in both Combustibles and Reduced-Risk Products (RRP), including a 20% increase in RRP volume and revenue. The acquisition of Vector Group in the U.S. was highlighted as a strategic move expected to contribute to future growth. For Business Plan 2025, JT aims for a high single-digit AOP growth at constant FX, driven by sustained pricing in Combustibles and expanding RRP investments, particularly in Heated Tobacco Sticks (HTS). The company plans to invest approximately JPY 650 billion over three years, aiming for break-even in RRP by 2028. Additionally, JT intends to maintain a dividend payout ratio of 75% and continue enhancing shareholder returns. Despite challenges like geopolitical risks and currency fluctuations, the company remains confident in its strategies to achieve sustainable profit growth over the medium to long term.Record High Revenue and Operating Profit
The consolidated adjusted operating profit (AOP) at constant FX significantly exceeded both the initial plan and the previous year's results, achieving continuous growth. Record high revenue and AOP on a reported basis were achieved in 2024.
Strong Performance in Tobacco Business
The Tobacco business exceeded all revised forecasts across all indicators, with total volume, core revenue, and adjusted operating profit all showing high single-digit increases. The Combustibles segment saw a 2% volume increase, while RRP volume and revenue grew significantly, with HTS revenue increasing by 44%.
Successful Acquisition of Vector Group
The acquisition of Vector Group in the United States expanded JT Group's footprint in a highly profitable market. This acquisition is expected to be accretive to AOP and brings incremental benefits in terms of margins and currency exposure.
Positive Outlook for Business Plan 2025
The company plans to invest approximately JPY 650 billion over the three-year period, primarily for marketing activities and product pipeline enhancements. The expected average annual growth rate for AOP at constant FX is high-single digit from 2025 to 2027.
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JP:2914 Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
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JP:2914 Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
| Feb 13, 2025 | ¥3929.00 | ¥3952.00 | +0.59% |
| Oct 31, 2024 | ¥4159.99 | ¥4180.50 | +0.49% |
| Aug 02, 2024 | ¥4146.32 | ¥4055.51 | -2.19% |
| May 09, 2024 | ¥4084.70 | ¥4148.71 | +1.57% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
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FAQ
When does Japan Tobacco Inc. (JP:2914) report earnings?
Japan Tobacco Inc. (JP:2914) is schdueled to report earning on May 07, 2025, TBA Not Confirmed.
What is Japan Tobacco Inc. (JP:2914) earnings time?
Japan Tobacco Inc. (JP:2914) earnings time is at May 07, 2025, TBA Not Confirmed.
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is the P/E ratio of Japan Tobacco Inc. stock?
The P/E ratio of Japan Tobacco is N/A.
What is JP:2914 EPS forecast?
JP:2914 EPS forecast for the fiscal quarter 2025 (Q1) is 82.21.
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