Himaraya Co Ltd

Himaraya's capital structure is characterized by a debt-to-equity ratio of 0.3, indicating a relatively conservative leverage position compared to the industry median of 0.5. The company's liquidity position is mixed, with cash and equivalents of ¥3.69 billion, but negative free cash flow of ¥277 million and a net cash position that is negative after subtracting total debt. The price-to-book ratio of 0.64 suggests the market values the company below its book value, which may reflect concerns over asset quality or future earnings potential [doc:HA-latest]. Profitability metrics are weak, with a net income of ¥11 million and an operating loss of ¥132 million. Return on equity (ROE) is 0.07%, and return on assets (ROA) is 0.03%, both significantly below the industry median ROE of 5.2% and ROA of 2.1%. Gross profit of ¥21.2 billion represents a 35% margin, which is in line with the industry median of 34%, but the operating loss suggests inefficiencies in cost management or pricing power [doc:HA-latest]. The company's revenue is concentrated in a single business segment, with no disclosed geographic diversification. This lack of diversification increases exposure to regional economic downturns or supply chain disruptions. The absence of segment or geographic breakdown in the financials limits the ability to assess risk distribution [doc:HA-latest]. Growth trajectory is uncertain, with no disclosed revenue growth in the most recent fiscal year. The company's operating cash flow of ¥416 million is positive but insufficient to cover capital expenditures of ¥788 million, indicating a need for external financing or asset sales to fund operations. Analysts have recorded the last actual revenue at ¥60.45 billion, with no significant change from prior periods [doc:]. Risk factors include liquidity constraints, as the company's free cash flow is negative and net cash is negative after subtracting total debt. The dilution risk is currently low, but the company's capital structure may require additional equity issuance if operating cash flow does not improve. The risk assessment composite score reflects medium liquidity risk and low dilution risk [doc:HA-latest]. Recent events include the filing of the latest financial results, which show a continued operating loss despite positive revenue. No significant management commentary or strategic shifts were disclosed in the most recent earnings call transcripts. The company has not issued new shares in the past 12 months, and no material regulatory or legal issues were reported [doc:HA-latest].