Takamiya Co Ltd

Takamiya's capital structure is characterized by a high debt-to-equity ratio of 1.84, indicating significant leverage. The company's liquidity position is moderate, with a current ratio of 1.15 and cash and equivalents of ¥8.84 billion, which is insufficient to cover its long-term debt of ¥41.20 billion. The negative operating cash flow of ¥559 million contrasts with a positive free cash flow of ¥3.03 billion, suggesting that capital expenditures are driving cash generation. Profitability metrics show a return on equity (ROE) of 5.49% and a return on assets (ROA) of 1.64%, both below the typical thresholds for industrials. The gross profit margin of 32.22% (¥14.12 billion on ¥43.83 billion revenue) is relatively strong, but the operating margin of 4.48% (¥1.96 billion) indicates pressure from operating expenses. These figures are below the median for the Business Support Services industry, which typically sees higher ROE and ROA. The company's revenue is distributed across three segments: Sales, Rental, and Overseas. The Sales segment focuses on manufacturing and selling construction materials, while the Rental segment provides temporary machinery and materials for lease. The Overseas segment extends these services internationally. Revenue concentration data is not provided, but the presence of an overseas segment suggests geographic diversification. Growth trajectory is modest, with the company's current fiscal year (FY) outlook showing a stable revenue trend. The next FY is expected to maintain this stability, with no significant growth or contraction projected. Historical revenue data indicates a consistent but low-growth profile, with the most recent revenue at ¥43.83 billion. Risk factors include medium liquidity risk due to the negative net cash position after subtracting total debt. The dilution risk is low, with no near-term pressure from share issuance. The company's capital structure and operating cash flow dynamics suggest a need for careful debt management to avoid liquidity constraints. Recent events include the latest financial filing, which disclosed the company's operating cash flow and capital expenditure figures. No significant regulatory or market events have been reported in the recent transcripts or filings, suggesting a stable operational environment.