The PSA Weekly Research Round up for the week to 17 May 2024

Weekly Comment Summary
China’s key economic numbers for April show an economy that is producing more but spending less. That’s not necessarily bad news, but the situation does need monitoring.
Pelham Smithers discusses

PSA Company Visits, Tours and Interviews
• Visited: Japan Elevator Service (6544 JT), M&A Research Institutes (9552 JT), Open Up Group (2154 JT)
• Conference Calls with: Sanrio (8136 JT), Amvis (7071 JT), Hamee (3134 JT), Hotland (3196 JT), Kyoritsu Maintenance (9616 JT), Park24 (4666 JT), ExaWizards (4259 JT), Shift Inc (3697 JT)
• Presentations at: UBE Corp (4208 JT), Tosoh (4042 JT), Nissan Chemical (4021 JT), Sumitomo Bakelite (4203 JT), Toray (3402 JT), Dexerials (4980 JT), Kuraray (3405 JT), Kaneka (4118 JT), Hoya Corp (7741 JT), Nippon Shokubai (4114 JT), Mitsui Chemicals (4183 JT), Sumitomo Chemical (4005 JT), Mitsubishi Chemical Group (4188 JT), Resonac (4004 JT), Fujimi Inc (5384 JT), Mitsubishi Gas Chemical (4182 JT), Kakuyasu Group (7686 JT), Sanrio (8136 JT), Amvis (7071 JT)

PSA in the Press
Hybrid sales continue to line the coffers of Japanese automakers, providing funds for electrification. In this Wall Street Journal article, PSA’s auto analyst Julie Boote flags which firms are unlikely to be able to survive independently.
Why the Hybrid Boom Is Funding EVs - WSJ

PSA Weekly Contents at a Glance
Reports / Flash Notes Summaries
1. Fujikura (5803 JT): Weak FY24 Guidance Despite Strong FY23 Q4
2. Olympus (7733 JT) Cements FY23 as a Write-Off – Yet Beats FY24 Consensus
3. Insource (6200 JT) Update – ASP Likely to Keep Rising
4. Nissan and Honda - A Match Made in Heaven?
Company / Sector / Thematic Comments
Technology: Consumer Electronics, Gaming
1. Video Games Industry Round-up
2. Square Enix Sees FY23 Q4 Loss, Offers Disappointing Guidance
3. Sony FY23 Q4 OP ¥229bil +57% YoY
4. Nexon Stabilizes Ahead of Game Launches
5. Other Consumer Elec / Gaming News & Moves That Caught Our Eye
Technology: Industrial Electronics / Components / Semis & SPE / Precision
6. Is the Rebound in MLCCs Fizzing Out?
7. TSMC April Revenues +60% YoY
8. Hoya Shares Rise on Earnings and Share Buybacks
9. Other Tech-Related News & Moves That Caught Our Eye
Chemicals / Materials
10. Snapshot of Chemical Results
11. Other Chemical / Material-Related News & Moves That Caught Our Eye
Autos
12. Mazda Predicts Further Solid Sales Rise for FY24
13. Subaru Predicts Large Decline in FY24 Profits
14. Suzuki FY23 Q4 Beat Estimates, but FY24 Guidance is below Consensus
15. Isuzu Guidance Misses Estimates
16. Honda’s New EV Strategy
17. Japan Automakers to Co-Develop Software – Will It Work?
Capital Goods: Auto Parts / Machinery
18. Fujikura Posts Strong FY23 OP But Flat Guidance
19. Daifuku: Record FY23 OP Aided by One-Offs
20. Cable Makers Still Outperforming
21. SMC Order Rebound Weaker than Expected
22. Denyo Medium-Term Plan Modest
Enterprise Software / IT Services
23. Should IIJ Be Hiring Faster?
24. Appier FY24 Q1 Preview / Results
25. ExaWizards Sails Past FY23 CE Sales, FY24 CE Looks Conservative
26. Other ERP Software / IT Services News & Moves That Caught Our Eye
Telecom
27. Telecom News & Moves That Caught Our Eye
Pharma / Healthcare
28. Terumo FY23 Results & FY24 CE Beat Expectations – But Not by Much
Small- / Mid-Cap Insights
29. Japan’s Inbound Tourism Continues to Improve
30. Japan Elevator Service: Strong FY23 Results; FY24 OP to Expand +17% YoY
31. Sanrio’s FY23 Ahead of Thrice Revised Guidance
32. Kyoritsu Maintenance FY23 Ahead of Guidance; April KPIs Looking Strong
33. Hotland Produces Strong Q1
34. Kakuyasu’s FY23 Affected by Weather but FY24 CE OP above Consensus
35. Park24’s Monthly KPIs Continue to Run Ahead of Plan
Miscellaneous / Market / Strategy / Macro
36. Japan 2024 Q1 GDP -0.5% QoQ 27
37. Other News & Moves That Caught Our Eye
List of Recently Published PSA Reports