Toyo Shutter Co Ltd

Toyo Shutter Co Ltd maintains a conservative capital structure with a debt-to-equity ratio of 0.5, below the industry median of 0.7, and a liquidity position supported by JPY 4.7 billion in cash and equivalents, representing 23% of total assets. The company's price-to-book ratio of 0.63 and tangible book ratio of 0.63 suggest undervaluation relative to its asset base, while a market cap of JPY 5.7 billion implies a modest market presence. The current ratio of 1.3 indicates adequate short-term liquidity, though not exceptional for the construction supplies sector.

Profitability metrics show a return on equity of 3.84% and return on assets of 1.7%, both below the industry median of 5.2% and 2.8%, respectively. Operating income of JPY 496 million and net income of JPY 345 million reflect a gross margin of 30%, which is in line with the sector average. However, the company's price-to-earnings ratio of 16.4 is higher than the industry median of 14.2, suggesting a premium valuation for its earnings.

The company's revenue is concentrated in its core shutter and construction fixtures business, with no disclosed geographic diversification beyond Japan and international markets. No material revenue concentration by segment is reported, but the lack of geographic breakdown limits visibility into exposure to regional economic cycles.

Revenue growth has been modest, with a trailing twelve-month revenue of JPY 5.6 billion and a reported operating cash flow of JPY 1.5 billion. Analyst estimates for the current fiscal year suggest a revenue of JPY 20.9 billion, a significant increase from the trailing twelve-month figure, but the discrepancy may reflect seasonal or reporting period differences. No forward-looking guidance is provided in the input data.

Risk factors include low liquidity and dilution risk, with no immediate filing-based flags detected. The company's capital expenditure of JPY -142 million indicates a net cash inflow from operations, but the negative value may reflect a reporting anomaly or a reduction in CAPEX. No dilution sources are identified in the input data, and the company's shares outstanding remain unchanged between basic and diluted measures.

Recent events include the latest financial filing disclosing the above metrics, but no material corporate actions or regulatory changes are reported in the input data. The absence of recent earnings calls or transcripts limits visibility into management commentary or strategic shifts.

Operating and net margins significantly exceed Construction Supplies cohort medians, indicating superior profitability relative to peers.

Cash conversion ratio of 4.47 ranks best-in-class among 239 peers, demonstrating exceptional efficiency in generating cash from operations.

Net income grew at a 17.1% CAGR over four years, outpacing the modest 1.4% revenue growth rate.

Low dilution, liquidity, and credit risk flags suggest a stable financial profile with minimal immediate structural threats.

Net income declined 17.4% year-over-year in FY2025, signaling a significant recent deterioration in bottom-line performance.

Debt-to-equity ratio of 0.5 is below the cohort median, suggesting higher leverage relative to peers in the sector.

Revenue ¥5.48B, +2,7% YoY; Operating income +2,9% YoY.

• ▍Revenue ¥5.48B, +2,7% YoY
• ▍Operating income +2,9% YoY
• ▍Net income +5,2% YoY
• ▍Net margin 5.5%

Revenue ¥5.55B, +7,6% YoY; Operating income −14,7% YoY.

• ▍Revenue ¥5.55B, +7,6% YoY
• ▍Operating income −14,7% YoY
• ▍Net income −21,1% YoY
• ▍Net margin 2.9%

Revenue ¥4.60B, +2,4% YoY; Operating income +2,1% YoY.

• ▍Revenue ¥4.60B, +2,4% YoY
• ▍Operating income +2,1% YoY
• ▍Net income −2,5% YoY
• ▍Net margin 0.8%

Revenue ¥5.89B, +5,3% YoY; Operating income −11,1% YoY.

• ▍Revenue ¥5.89B, +5,3% YoY
• ▍Operating income −11,1% YoY
• ▍Net income −24,1% YoY
• ▍Net margin 4.4%

Revenue ¥5.34B; Operating income ¥435.0M.

• ▍Revenue ¥5.34B
• ▍Operating income ¥435.0M
• ▍Net margin 5.4%

Revenue ¥5.16B; Operating income ¥331.1M.

• ▍Revenue ¥5.16B
• ▍Operating income ¥331.1M
• ▍Net margin 4.0%

Revenue ¥4.49B; Operating income ¥94.0M.

• ▍Revenue ¥4.49B
• ▍Operating income ¥94.0M
• ▍Net margin 0.9%

Revenue ¥5.59B; Operating income ¥496.2M.

• ▍Revenue ¥5.59B
• ▍Operating income ¥496.2M
• ▍Net margin 6.2%

Revenue ¥20.87B, −2,9% YoY; Operating income −12,1% YoY.

• ▍Revenue ¥20.87B, −2,9% YoY
• ▍Operating income −12,1% YoY
• ▍Net income −17,4% YoY
• ▍Free cash flow −10,4% YoY
• ▍Net margin 3.8%

Revenue ¥21.49B, +3,9% YoY; Operating income +71,2% YoY.

• ▍Revenue ¥21.49B, +3,9% YoY
• ▍Operating income +71,2% YoY
• ▍Net income +71,7% YoY
• ▍Free cash flow +34,8% YoY
• ▍Net margin 4.5%

Revenue ¥20.69B, +4,8% YoY; Operating income +25,5% YoY.

• ▍Revenue ¥20.69B, +4,8% YoY
• ▍Operating income +25,5% YoY
• ▍Net income +35,4% YoY
• ▍Free cash flow +20,4% YoY
• ▍Net margin 2.7%

Revenue ¥19.74B, +0,1% YoY; Operating income +1,8% YoY.

• ▍Revenue ¥19.74B, +0,1% YoY
• ▍Operating income +1,8% YoY
• ▍Net income −1,9% YoY
• ▍Free cash flow +21,8% YoY
• ▍Net margin 2.1%