Ahresty Corp

Ahresty Corp's capital structure is characterized by a debt-to-equity ratio of 0.8, indicating a moderate reliance on debt financing. The company's liquidity position is mixed, with a current ratio of 1.03 and cash and equivalents of ¥12.32 billion, but long-term debt of ¥41.27 billion suggests potential refinancing risk. The price-to-book ratio of 0.34 and price-to-tangible-book ratio of 0.34 indicate that the company's market value is significantly below its book value, suggesting undervaluation or financial distress.

Profitability metrics show significant underperformance. The company reported a net loss of ¥8.95 billion and an operating loss of ¥9.83 billion, with a return on equity of -17.35% and return on assets of -6.8%. These figures are well below the industry median for profitability in the Auto, Truck & Motorcycle Parts sector, which typically sees positive returns on equity and assets.

Geographically, Ahresty Corp's revenue is concentrated in Japan, with no disclosed international segments. The company's exposure to the domestic automotive industry makes it vulnerable to regional economic shifts and supply chain disruptions. No material revenue diversification is evident in the financial snapshot.

Growth trajectory is negative, with the company reporting a net loss in the latest period. Analysts expect revenue to increase slightly to ¥165 billion, but this remains below the ¥39.44 billion reported in the most recent period. The operating cash flow of ¥18.32 billion provides some buffer, but capital expenditures of ¥13.12 billion suggest ongoing investment in operations amid declining profitability.

Risk factors include liquidity concerns, as net cash is negative after subtracting total debt. The company's dilution risk is currently low, but the potential for future equity issuance remains a concern given the low market cap of ¥17.33 billion. No recent filings or transcripts indicate immediate dilution pressure, but the company's financial position may necessitate capital raising in the near term.

Recent events include a significant earnings miss, with actual EPS of -116.26 JPY versus an estimated 132.30 JPY. This underperformance highlights operational challenges and may impact investor sentiment. No major regulatory or geopolitical events are currently affecting the company's operations, but the broader automotive parts industry remains sensitive to global trade dynamics.

Revenue grew at a 15.1% CAGR over four years, reaching 162.9 billion JPY in fiscal 2025.

Net income improved by 62.4% year-over-year to a loss of 2.9 billion JPY in fiscal 2025.

Operating income surged 88.3% year-over-year, narrowing the loss to 990 million JPY in fiscal 2025.

Gross profit expanded to 15.4 billion JPY in fiscal 2025, reflecting strong top-line growth momentum.

Long-term debt decreased slightly to 41.0 billion JPY in fiscal 2025, indicating modest leverage management.

Free cash flow deteriorated significantly to a negative 6.4 billion JPY in fiscal 2025.

The company faces high credit risk and medium liquidity risk according to current risk assessments.

Revenue ¥41.31B, −0,2% YoY; Operating income +26,4% YoY.

• ▍Revenue ¥41.31B, −0,2% YoY
• ▍Operating income +26,4% YoY
• ▍Net income +39,8% YoY
• ▍Net margin 3.4%

Revenue ¥39.18B, −1,6% YoY; Operating income +117,3% YoY.

• ▍Revenue ¥39.18B, −1,6% YoY
• ▍Operating income +117,3% YoY
• ▍Net income +134,6% YoY
• ▍Net margin 2.8%

Revenue ¥42.91B, +11,8% YoY; Operating income +1 186,8% YoY.

• ▍Revenue ¥42.91B, +11,8% YoY
• ▍Operating income +1 186,8% YoY
• ▍Net income +100,2% YoY
• ▍Net margin 2.3%

Revenue ¥43.34B, +9,9% YoY; Operating income +90,7% YoY.

• ▍Revenue ¥43.34B, +9,9% YoY
• ▍Operating income +90,7% YoY
• ▍Net income +86,6% YoY
• ▍Net margin -2.8%

Revenue ¥41.39B; Operating income ¥1.11B.

• ▍Revenue ¥41.39B
• ▍Operating income ¥1.11B
• ▍Net margin 2.4%

Revenue ¥39.79B; Operating income -¥1.31B.

• ▍Revenue ¥39.79B
• ▍Operating income -¥1.31B
• ▍Net margin -8.0%

Revenue ¥38.40B; Operating income ¥129.0M.

• ▍Revenue ¥38.40B
• ▍Operating income ¥129.0M
• ▍Net margin 1.3%

Revenue ¥39.44B; Operating income -¥9.83B.

• ▍Revenue ¥39.44B
• ▍Operating income -¥9.83B
• ▍Net margin -22.7%

Revenue ¥162.93B, +3,0% YoY; Operating income +88,3% YoY.

• ▍Revenue ¥162.93B, +3,0% YoY
• ▍Operating income +88,3% YoY
• ▍Net income +62,5% YoY
• ▍Free cash flow +23,7% YoY
• ▍Net margin -1.8%

Revenue ¥158.25B, +12,3% YoY; Operating income −178,7% YoY.

• ▍Revenue ¥158.25B, +12,3% YoY
• ▍Operating income −178,7% YoY
• ▍Net income −9 065,5% YoY
• ▍Free cash flow −413,8% YoY
• ▍Net margin -4.9%

Revenue ¥140.94B, +21,2% YoY; Operating income +52,9% YoY.

• ▍Revenue ¥140.94B, +21,2% YoY
• ▍Operating income +52,9% YoY
• ▍Net income +98,4% YoY
• ▍Free cash flow +196,5% YoY
• ▍Net margin -0.1%

Revenue ¥116.31B, +25,1% YoY; Operating income −109,0% YoY.

• ▍Revenue ¥116.31B, +25,1% YoY
• ▍Operating income −109,0% YoY
• ▍Net income −82,6% YoY
• ▍Free cash flow −56,2% YoY
• ▍Net margin -4.5%