Ahresty Corp

Ahresty Corp's capital structure is characterized by a debt-to-equity ratio of 0.79, indicating a moderate reliance on debt financing. The company's liquidity position is mixed, with a current ratio of 1.01 and cash and equivalents of ¥13.55 billion, but with long-term debt of ¥41.01 billion. The price-to-book ratio of 0.4 and price-to-tangible-book ratio of 0.4 suggest the company is trading at a significant discount to its book value. Profitability metrics are weak, with a return on equity of -5.56% and return on assets of -2.16%. The company reported a net loss of ¥2.89 billion and an operating loss of ¥990 million in the latest period. Gross profit of ¥15.41 billion represents 9.46% of revenue, which is below the industry median for auto parts manufacturers. The company operates through five business segments: die casting Japan, die casting North America, die casting Asia, aluminum business, and finished products business. Revenue concentration is not disclosed, but the company's exposure to the automotive supply chain suggests vulnerability to global demand cycles. The finished products segment, which includes construction-related items, may offer some diversification. Growth trajectory is mixed, with revenue of ¥162.93 billion in the latest period. Analysts estimate revenue of ¥165 billion for the current fiscal year, suggesting a modest 1.3% growth. However, the company reported a net loss of ¥2.89 billion, and analysts expect a mean EPS of ¥132.30, up from a negative ¥116.26 in the last reported period. Risk factors include liquidity concerns, with free cash flow of -¥6.41 billion and capital expenditures of -¥14.88 billion. The company's dilution risk is assessed as low, but the negative net cash position after subtracting total debt raises concerns about short-term liquidity. Adjustments in the valuation model reflect the company's weak profitability and high leverage. Recent events include the publication of the 2023 annual report, which details the company's financial performance and strategic outlook. The report highlights ongoing challenges in the automotive supply chain and the need for cost optimization. No major regulatory or legal events were disclosed in the latest filings.