StemCell Institute Inc

StemCell Institute Inc maintains a strong liquidity position, with cash and equivalents amounting to ¥2.85 billion, significantly exceeding its total liabilities of ¥3.85 billion, resulting in a current ratio of 1.2. The company's liquidity_fpt score indicates a low liquidity risk, supported by its high cash reserves and minimal long-term debt of ¥8.78 million. The price-to-book ratio of 2.42 suggests the market values the company at a premium to its book value, while the price-to-tangible-book ratio is identical, indicating no intangible asset inflation.

Profitability metrics show a return on equity (ROE) of 2.08% and a return on assets (ROA) of 0.86%, both below the industry median for biotechnology firms, which typically exhibit higher ROE and ROA due to the capital intensity and growth potential of the sector. The company's operating margin is 9.64% (¥57.5 million operating income on ¥596.29 million revenue), which is in line with the industry average but leaves room for improvement in cost management.

Geographically, the company's revenue is concentrated in Japan, with no disclosed international segments, which increases exposure to local regulatory and economic conditions. The company operates in a single business segment, with no diversification across product lines or geographic regions, which could limit its ability to adapt to market shifts.

The company's growth trajectory is modest, with no significant revenue growth reported in the latest period. Analysts estimate a mean revenue of ¥2.87 billion for the current fiscal year, compared to actual revenue of ¥2.68 billion, indicating a potential 6.7% growth. However, the company's capital expenditures of ¥201.66 million suggest reinvestment in infrastructure, which could support future growth.

Risk factors include low liquidity and dilution risk, with no immediate filing-based flags detected. The company's debt-to-equity ratio is 0.0, indicating no leverage, which is a conservative capital structure but may limit growth opportunities. The dilution risk is low, with no near-term pressure expected, and the company has not issued additional shares recently.

Recent events include the publication of clinical trial results and the expansion of research partnerships. The company has not filed any recent 10-K or 10-Q reports, but its latest financial results show stable performance with a net income of ¥56.0 million.

Revenue grew at a 17.4% CAGR over four years, demonstrating consistent top-line expansion for the healthcare services provider.

Net income surged with a 57.7% CAGR, significantly outpacing revenue growth and indicating strong operational leverage.

Cash conversion ratio of 5.98 ranks best-in-class, suggesting highly efficient transformation of earnings into cash.

Long-term debt increased substantially to 519.0 million JPY in FY2025, rising from negligible levels in prior years.

Operating income growth stalled at just 0.7% year-over-year, despite continued revenue expansion, suggesting margin compression.

Revenue ¥701.0M, +3,3% YoY; Operating income −47,2% YoY.

• ▍Revenue ¥701.0M, +3,3% YoY
• ▍Operating income −47,2% YoY
• ▍Net income −75,8% YoY
• ▍Net margin 6.1%

Revenue ¥638.7M, +7,1% YoY; Operating income +3,8% YoY.

• ▍Revenue ¥638.7M, +7,1% YoY
• ▍Operating income +3,8% YoY
• ▍Net income −18,1% YoY
• ▍Net margin 7.2%

Revenue ¥666.7M; Operating income ¥100.8M.

• ▍Revenue ¥666.7M
• ▍Operating income ¥100.8M
• ▍Net margin 10.2%

Revenue ¥694.9M; Operating income ¥134.5M.

• ▍Revenue ¥694.9M
• ▍Operating income ¥134.5M
• ▍Net margin 13.5%

Revenue ¥678.9M; Operating income ¥123.6M.

• ▍Revenue ¥678.9M
• ▍Operating income ¥123.6M
• ▍Net margin 26.3%

Revenue ¥596.3M; Operating income ¥57.5M.

• ▍Revenue ¥596.3M
• ▍Operating income ¥57.5M
• ▍Net margin 9.4%

Revenue ¥2.68B, +8,0% YoY; Operating income +0,7% YoY.

• ▍Revenue ¥2.68B, +8,0% YoY
• ▍Operating income +0,7% YoY
• ▍Net income +24,1% YoY
• ▍Free cash flow −238,5% YoY
• ▍Net margin 14.4%

Revenue ¥2.48B, +18,6% YoY; Operating income +50,5% YoY.

• ▍Revenue ¥2.48B, +18,6% YoY
• ▍Operating income +50,5% YoY
• ▍Net income +57,0% YoY
• ▍Free cash flow −5,2% YoY
• ▍Net margin 12.5%

Revenue ¥2.09B, +17,4% YoY; Operating income +21,7% YoY.

• ▍Revenue ¥2.09B, +17,4% YoY
• ▍Operating income +21,7% YoY
• ▍Net income +48,1% YoY
• ▍Free cash flow +868,9% YoY
• ▍Net margin 9.5%

Revenue ¥1.78B, +26,4% YoY; Operating income +164,2% YoY.

• ▍Revenue ¥1.78B, +26,4% YoY
• ▍Operating income +164,2% YoY
• ▍Net income +114,4% YoY
• ▍Free cash flow +108,1% YoY
• ▍Net margin 7.5%

Revenue ¥1.41B; Operating income ¥85.9M.

• ▍Revenue ¥1.41B
• ▍Operating income ¥85.9M
• ▍Net margin 4.4%