ORIX Corporation

ORIX Corporation reported its highest-ever quarterly net income of JPY 280.8 billion for the three months ended June 30, 2026, up JPY 173.5 billion year over year, driven largely by JPY 121.7 billion in Kioxia-related sale and valuation gains. The company maintained its full-year net income forecast of JPY 530 billion, citing Kioxia share-price volatility that makes results difficult to predict. ORIX changed its dividend policy to base payouts on adjusted profits that exclude non-cash Kioxia-related gains and losses, while keeping a minimum payout of the higher of a 39% payout ratio or the prior year's dividend of JPY 156.10 per share. The company also continued its JPY 250 billion share buyback program, with 31% completed by the end of July. Core operations improved across asset management, aircraft leasing, shipping, insurance, and U.S. and European businesses, and ORIX generated JPY 115.7 billion in capital gains and about JPY 300 billion in recycling-related cash inflows during the quarter.

Orix announced on the 3rd that it will acquire all shares of UK-based aircraft parts recycling company Airfin through its aircraft leasing subsidiary. According to a spokesperson, the enterprise value is approximately 100 billion yen, with the acquisition expected to be completed within 2026. Founded in 2010, Airfin engages in the trading, leasing, and repair of aircraft, engines, and parts, and has a customer base of over 600 companies worldwide. Orix entered the aircraft leasing business in 1978 and currently owns and manages around 230 aircraft. This acquisition will enable it to offer proposals that maximize the asset value of aircraft, including parts recycling. While aviation demand continues to recover, the aftermarket business of supplying reusable parts from retired aircraft is said to be growing in importance against a backdrop of supply shortages for new aircraft and replacement parts.

Zacks Investment Research added five stocks to its Zacks Rank Number 1 Strong Buy list today. ORIX Corporation saw its current-year earnings consensus estimate increase 55.7 percent over the last 60 days. NVIDIA Corporation's estimate rose 11 percent, Astronics Corporation's increased 18.6 percent, Fluence Energy Incorporated's climbed 18.2 percent, and AMC Entertainment Holdings Incorporated's estimate grew 29 percent over the same period.

Zacks Investment Research highlights three stocks with strong value characteristics and a Zacks Rank #1 as of June 29. Daktronics, an electronic display solutions provider, trades at a price-to-earnings ratio of 15.02 versus its industry's 17.30 and holds a Value Score of B. ORIX Corporation, a financial services company, has a P/E of 8.26 compared with the S&P 500's 22.41 and a Value Score of A. TD SYNNEX Corporation, an IT distribution company, carries a P/E of 15.51 against the S&P 500's 22.41 and a Value Score of B.

Zacks Investment Research added five stocks to its Zacks Rank Number 1 Strong Buy list on June 29. ORIX Corporation saw its current-year earnings consensus estimate increase 68.7% over the last 60 days. TTM Technologies saw a 27.1% increase, Albemarle Corporation a 55.6% increase, Idaho Strategic Resources a 14.3% increase, and Perimeter Solutions a 21.1% increase.