Tokyo Radiator Mfg Co Ltd

Tokyo Radiator Mfg Co Ltd maintains a strong liquidity position, with a current ratio of 2.75 and cash and equivalents amounting to ¥8.41 billion, significantly exceeding its short-term obligations. The company's debt-to-equity ratio is 0.01, indicating a conservative capital structure with minimal leverage [doc:verified_market_data]. Profitability metrics show a return on equity (ROE) of 6.48% and a return on assets (ROA) of 4.32%, both below the industry median for the Auto, Truck & Motorcycle Parts sector. The operating margin is 4.54%, which is in line with the sector median, but the net margin of 4.18% is slightly below the median, suggesting potential inefficiencies in cost management or tax optimization [doc:verified_market_data]. The company's revenue is distributed across three geographic segments: Japan, China, and Asia. Japan accounts for the largest share of revenue, with China and Asia contributing smaller but growing portions. The geographic concentration in Japan exposes the company to regional economic fluctuations, particularly in the automotive industry [doc:verified_market_data]. Looking ahead, the company is projected to grow revenue by 3.2% in the current fiscal year and 4.1% in the next fiscal year, driven by increased demand for automotive components in the Asia-Pacific region. This growth is supported by a stable free cash flow of ¥1.71 billion and a capital expenditure of -¥895.46 million, indicating disciplined investment [doc:verified_market_data]. Risk factors include low liquidity and dilution risk, with no immediate filing-based flags detected. The company's low debt levels and strong cash reserves mitigate credit risk, but its reliance on the automotive industry makes it vulnerable to supply chain disruptions and regulatory changes in the sector [doc:verified_market_data]. Recent events include the release of the latest financial results, which showed a net income of ¥1.42 billion and an operating income of ¥1.55 billion. The company has not disclosed any material changes in its business strategy or significant new projects in the latest filings [doc:verified_market_data].