• Sales growth over 30%, valuations look discounted – Macbee Planet reported FY4/25 sales growth of 31.1% YoY, below revised guidance but above initial guidance. Profitability declined YoY primarily due to significant sales growth in the wellness sector, which diluted the sales mix. However, FY4/26 guidance appears conservative in our view, with underlying OPM expected to decline YoY when including ¥0.55bn goodwill amortization absent under IFRS. We remain positive on the outlook for margin recovery in the medium term and believe PER FY4/26 of 10.1x looks attractive, particularly against an expected EPS growth of over 40% YoY.
