Car Mate Mfg Co Ltd

The company maintains a strong liquidity position, with cash and equivalents amounting to ¥9.66 billion, representing 46.7% of total assets. Its current ratio of 5.96 indicates a robust ability to meet short-term obligations. However, the price-to-book ratio of 0.41 suggests the market values the company significantly below its book value, reflecting potential concerns about asset quality or future earnings.

Profitability metrics are negative, with a net loss of ¥171.5 million and an operating loss of ¥248 million in the latest reporting period. Return on equity (ROE) and return on assets (ROA) are -1.17% and -0.83%, respectively, both well below the industry median for ROE and ROA in the automobile parts sector. These figures indicate a lack of operational efficiency and declining returns relative to peers.

The company's revenue is concentrated in a single business segment, with no disclosed geographic diversification. This lack of diversification increases exposure to sector-specific downturns and regional economic shifts. No material revenue is attributed to international markets, suggesting a high concentration risk in its domestic operations.

Growth appears to be underperforming, with a net loss and declining operating income. The company's capital expenditures of ¥442.3 million were partially offset by operating cash flow of ¥175.2 million, but this does not indicate a clear path to growth. Analyst estimates for revenue and EPS are also negative, suggesting a challenging outlook for the near term.

Risk factors include a low liquidity risk score and no immediate dilution pressure, with a debt-to-equity ratio of 0.11 and no recent equity issuance. However, the negative net income and operating income raise concerns about long-term sustainability. No dilution sources were identified in recent filings, and the company has not issued shares at-the-market or through shelf offerings.

Recent filings and transcripts show no material changes in strategy or operations. The company has not disclosed any new product launches, major contracts, or restructuring plans. The absence of positive developments in the latest disclosures may contribute to the market's undervaluation of the company.

The company maintains a low debt-to-equity ratio of 0.11, significantly below the cohort median of 0.41.

Car Mate faces low dilution risk and low liquidity risk according to current risk flag assessments.

Long-term debt decreased to 1.46 billion JPY in FY2025, down from 1.59 billion JPY in FY2023.

Revenue remained relatively stable with a four-year CAGR of -0.3%, indicating some resilience in top-line sales.

Gross profit remained positive at 5.8 billion JPY in FY2025, suggesting underlying product margins are still intact.

The company carries a high credit risk flag, signaling potential difficulties in meeting financial obligations.

Return on equity is negative at -1.17%, ranking in the bottom quartile of the auto parts cohort.

Revenue ¥5.17B, +4,5% YoY; Operating income +73,8% YoY.

• ▍Revenue ¥5.17B, +4,5% YoY
• ▍Operating income +73,8% YoY
• ▍Net income +53,1% YoY
• ▍Net margin 9.4%

Revenue ¥3.18B, −15,7% YoY; Operating income −455,9% YoY.

• ▍Revenue ¥3.18B, −15,7% YoY
• ▍Operating income −455,9% YoY
• ▍Net income −18 315,8% YoY
• ▍Net margin -5.2%

Revenue ¥3.02B, −10,6% YoY; Operating income −647,6% YoY.

• ▍Revenue ¥3.02B, −10,6% YoY
• ▍Operating income −647,6% YoY
• ▍Net income −560,0% YoY
• ▍Net margin -3.1%

Revenue ¥3.43B, +3,4% YoY; Operating income −190,5% YoY.

• ▍Revenue ¥3.43B, +3,4% YoY
• ▍Operating income −190,5% YoY
• ▍Net income −290,7% YoY
• ▍Net margin -19.6%

Revenue ¥4.95B; Operating income ¥392.0M.

• ▍Revenue ¥4.95B
• ▍Operating income ¥392.0M
• ▍Net margin 6.4%

Revenue ¥3.77B; Operating income ¥60.0M.

• ▍Revenue ¥3.77B
• ▍Operating income ¥60.0M
• ▍Net margin -0.0%

Revenue ¥3.37B; Operating income -¥21.0M.

• ▍Revenue ¥3.37B
• ▍Operating income -¥21.0M
• ▍Net margin 0.6%

Revenue ¥3.31B; Operating income -¥248.0M.

• ▍Revenue ¥3.31B
• ▍Operating income -¥248.0M
• ▍Net margin -5.2%

Revenue ¥15.52B; Operating income -¥290.5M.

• ▍Revenue ¥15.52B
• ▍Operating income -¥290.5M
• ▍Net margin -2.1%

Revenue ¥16.65B, +4,6% YoY; Operating income −64,5% YoY.

• ▍Revenue ¥16.65B, +4,6% YoY
• ▍Operating income −64,5% YoY
• ▍Net income −62,8% YoY
• ▍Free cash flow −78,8% YoY
• ▍Net margin 2.2%

Revenue ¥15.92B, +1,3% YoY; Operating income −0,1% YoY.

• ▍Revenue ¥15.92B, +1,3% YoY
• ▍Operating income −0,1% YoY
• ▍Net income +5,6% YoY
• ▍Free cash flow −8,2% YoY
• ▍Net margin 6.1%

Revenue ¥15.72B; Operating income ¥1.33B.

• ▍Revenue ¥15.72B
• ▍Operating income ¥1.33B
• ▍Net margin 5.9%