Sunae <2659>: 2837 yen (+216 yen).

Marked rise. Last weekend, the first half financial results were announced, with operating profit totaling 9.17 billion yen, an 8.6% increase compared to the same period last year, exceeding the previous estimate of 8.56 billion yen. The background seems to be the increase in personal consumption and inbound tourists in Okinawa. The full-year plan remains at 16.7 billion yen, with expectations of an upward trend of 1.3% compared to the previous year. Measures towards realizing management focused on capital costs and stock prices were also announced. As a shareholder return policy, a dividend of over 5% is planned, and consideration is also being given to acquiring the company's own shares as needed.

WNI Weather <4825>: 6190 yen (+650 yen).

Significant rebound. Last weekend, the first quarter financial results were announced. Operating profit amounted to 0.46 billion yen, a 9.6% increase compared to the same period last year. Sales growth was led by Sea, Land Domain, with operational efficiency improving due to the strengthening of development structures and environments. Although there were no surprises compared to the full-year plan, there is a substantial increase in dividends, leading to a positive evaluation. A 1:2 stock split was implemented at the end of November, with annual dividends increasing from 65 yen to 70 yen post-split.

Yaskawa Denki <6506>: 5004 yen (-19 yen).

Decline. Last weekend, the second quarter financial results were announced, with operating profit for June to August at 11.8 billion yen, a 28.9% decrease compared to the same period last year, remaining at a similar level to the first quarter performance of 11.1 billion yen. The full-year plan has been downwardly revised from the previous 70 billion yen to 64 billion yen, a 3.4% decrease compared to the previous year. While it aligns with market consensus, there seems to be a tendency to anticipate further downward movements. Although orders in June-August showed a positive year-on-year growth, they slightly fell short of consensus.

Bike King <3377>: 508 yen -

Indication of buyers pushing towards the daily limit high. Last weekend, the third quarter financial results were announced, showing accumulated operating profit of 0.28 billion yen in the black, a turnaround from the 0.06 billion yen loss of the same period last year on a standalone basis, indicating a 0.34 billion yen profit improvement. The operating profit for June-August reached 0.52 billion yen, showing an increase in profit levels compared to the busy period of March-May. There has been an improvement in the gross profit margin, and selling and administrative expenses, including advertising expenses, have also decreased. The full-year plan remains at 0.12 billion yen, significantly exceeding the initial situation.

DISCO <6146>: 36,780 yen (-2,930 yen)

Significant further decline. Individual sales for the July-September period were announced last weekend. The standalone sales were 83.3 billion yen, an increase of 38.3% compared to the same period last year, greatly exceeding the company's plan of 71.6 billion yen. However, market consensus is expected to fall below. The view that the consolidated operating profit estimated from the standalone sales is also likely to be below consensus. The shipment amount decreased by 1.2% compared to the previous quarter, with weak performance in SiC-related devices. This area is also estimated to be weak even compared to the company's plan.

EXMOTION <4394>: 773 yen (-14 yen)

Decline. The performance for the third quarter of the fiscal year ending in November 2024 was announced, leading to selling pressure amidst dissatisfaction. The revenue was 0.925 billion yen (an increase of 13.2% from the same period last year), operating profit was 0.082 billion yen (a decrease of 36.8% from the same period last year), and ordinary profit was 0.084 billion yen (a decrease of 36.5% from the same period last year), resulting in a significant decrease in profit. The consulting business expanded its orders mainly in the latest technology issues and manufacturing DX, and training also proceeded smoothly against the backdrop of increasing reskilling demand. However, there has been an increase in costs including outsourcing fees, CoBrain development costs, and increased hiring costs and personnel expenses due to an accelerated hiring plan.

REGIRU <176A>: 1,594 yen (+2 yen)

Stalemate. In order to accelerate decarbonization support for local governments, it has been announced that a new service utilizing bulk power reception and DER (distributed energy resources such as photovoltaic systems and rechargeable batteries) will be launched in public housing. This service was selected for the 'Photovoltaic Power Generation PPA (roof rental) project in Naguro-danchi, a public housing redevelopment project in Kitakyushu City, becoming the first project to be implemented. It is believed that by promoting the introduction of bulk power reception and DER from the design stage of the redevelopment, it can further support decarbonization of public housing and subsequently decarbonization of local governments.

Headwater <4011>: 10,470 yen (+440 yen)

Rebound. It was announced that they developed the Daiwa Securities AI Operator in collaboration with Daiwa Securities, which is seen as a positive factor. In order to realize the transformation of customer experience (CX) utilizing cutting-edge technology such as generative AI, Daiwa Securities, Daiwa Research Institute, Headwaters Consulting, NEC, and QUICK collaborated to develop this. The AI Operator service that responds to general inquiries such as login procedures and NISA-related matters will be available from October 7th. Providing a wide-ranging AI Operator service to customers is the first attempt by a major domestic financial institution.