Tea Life Co Ltd

Tea Life maintains a strong liquidity position with a current ratio of 4.53 and cash and equivalents of ¥3.02 billion, which is well above the median for its industry. The company’s debt-to-equity ratio of 0.14 indicates a conservative capital structure, with long-term debt at ¥918 million and total equity of ¥6.43 billion [doc:3172.T-annual-report-2023]. Profitability metrics show a return on equity (ROE) of 5.58% and return on assets (ROA) of 4.09%, both below the cohort median for the Department Stores industry. The net income of ¥359 million and operating income of ¥454 million reflect modest returns, with gross profit at ¥4.12 billion on total revenue of ¥11.5 billion [doc:3172.T-annual-report-2023]. The company’s revenue is concentrated across three segments: Retail (health tea, health food, cosmetics), Wholesale (household goods and food), and Real Estate Leasing. No single segment dominates the revenue mix, but the Retail segment is the primary driver of gross profit [doc:3172.T-annual-report-2023]. Outlook for the current fiscal year shows stable revenue with no significant growth expected. The company’s capital expenditure of -¥56 million suggests minimal reinvestment, and no dilution risks are flagged in the risk assessment. Analysts report last actual revenue at ¥11.5 billion, matching the reported figure [doc:3172.T-annual-report-2023]. Risk factors include low liquidity risk and no immediate dilution pressure, with no filing-based flags detected. The company’s shares outstanding remain unchanged between basic and diluted, at 4.27 million [doc:3172.T-annual-report-2023]. Recent filings and transcripts do not indicate material changes in strategy or operations. The company continues to focus on its core retail and real estate leasing businesses, with no disclosed plans for expansion or restructuring [doc:3172.T-annual-report-2023].