ETS Group Co Ltd

ETS Group maintains a strong liquidity position with JPY 2.71 billion in cash and equivalents, but its net cash position is negative after subtracting long-term debt of JPY 2.72 billion. The company's price-to-book ratio of 2.59 and debt-to-equity ratio of 0.92 suggest a moderate leverage profile, with equity representing 37.6% of total assets. The current ratio of 1.82 indicates adequate short-term liquidity to cover liabilities.

Profitability metrics show a return on equity (ROE) of 7.38% and a return on assets (ROA) of 2.78%, both below the industry median for construction and engineering firms. Gross profit of JPY 672.72 million and operating income of JPY 342.34 million reflect a gross margin of 29.2% and an operating margin of 14.9%, which are in line with industry norms.

The company's revenue is concentrated in a single business segment, with no disclosed geographic diversification. This lack of segmentation increases exposure to regional economic fluctuations and project concentration risk.

Outlook for the current fiscal year shows a 10.2% year-over-year revenue increase, driven by new infrastructure contracts in Japan. However, capital expenditures are expected to remain flat, with CAPEX at JPY 28.53 million. The risk assessment highlights a medium liquidity risk due to negative net cash and a low dilution risk, with no recent share issuance or ATM programs.

Recent filings and transcripts indicate no material changes in business strategy or risk exposure. The company continues to focus on domestic infrastructure projects, with no significant international expansion plans disclosed.

Ets Group Co Ltd (253A.T) is undergoing its first formal analysis, marking the initial establishment of a baseline for the company’s financial profile. As this is the inaugural assessment, there are no prior data points available to compute material changes or deltas in performance metrics. Consequently, the current snapshot serves as a foundational reference rather than a comparison against historical trends. The company’s corporate structure is characterized by a lean leadership team, with only two officers currently on record. This limited officer count suggests a compact management hierarchy, though the specific roles and identities of these individuals are not detailed in the available data. The absence of additional executive disclosures limits the depth of governance analysis at this stage. Market engagement with Ets Group Co Ltd appears minimal, as indicated by the lack of analyst coverage and index membership. With zero analysts tracking the stock and no inclusion in major indices, the company operates outside the immediate radar of institutional research and broad market benchmarks. This isolation may reflect its niche market position or limited public disclosure history. Furthermore, the company shows no significant holder activity, with a top holder count of zero, implying a dispersed or opaque ownership structure. The absence of recent news dispatches or sentiment signals over the past 30 days reinforces the low visibility of the stock in financial media. Investors should note that this baseline data provides a starting point for future monitoring, but lacks the comparative context needed to assess momentum or risk.

Revenue grew at a 23.1% CAGR over four years, demonstrating strong top-line expansion momentum.

Net income expanded at a 27.7% CAGR, outpacing revenue growth and indicating improving profitability.

Free cash flow surged to 522 million JPY in FY2025, reflecting robust cash generation capabilities.

Debt-to-equity ratio of 0.92 places the company in the bottom quartile of its peer group.

Long-term debt increased to 3.3 billion JPY in FY2025, signaling rising leverage obligations.

Cash conversion of -0.17 is well below the 0.66 industry median, indicating poor cash retention.

Medium liquidity risk flags potential challenges in meeting short-term financial obligations efficiently.

Revenue ¥2.76B, +16,3% YoY; Operating income +52,4% YoY.

• ▍Revenue ¥2.76B, +16,3% YoY
• ▍Operating income +52,4% YoY
• ▍Net income +46,5% YoY
• ▍Net margin 6.1%

Revenue ¥3.26B; Operating income ¥160.6M.

• ▍Revenue ¥3.26B
• ▍Operating income ¥160.6M
• ▍Net margin 4.2%

Revenue ¥2.93B, +74,7% YoY; Operating income +585,2% YoY.

• ▍Revenue ¥2.93B, +74,7% YoY
• ▍Operating income +585,2% YoY
• ▍Net income +403,7% YoY
• ▍Net margin 3.4%

Revenue ¥2.70B, +17,2% YoY; Operating income −46,0% YoY.

• ▍Revenue ¥2.70B, +17,2% YoY
• ▍Operating income −46,0% YoY
• ▍Net income −48,3% YoY
• ▍Net margin 4.2%

Revenue ¥1.68B; Operating income -¥35.5M.

• ▍Revenue ¥1.68B
• ▍Operating income -¥35.5M
• ▍Net margin -2.0%

Revenue ¥2.30B; Operating income ¥342.3M.

• ▍Revenue ¥2.30B
• ▍Operating income ¥342.3M
• ▍Net margin 9.4%

Revenue ¥11.26B; Operating income ¥716.1M.

• ▍Revenue ¥11.26B
• ▍Operating income ¥716.1M
• ▍Net margin 4.1%

Revenue ¥8.07B, +20,7% YoY; Operating income −67,3% YoY.

• ▍Revenue ¥8.07B, +20,7% YoY
• ▍Operating income −67,3% YoY
• ▍Net income −64,3% YoY
• ▍Free cash flow −54,5% YoY
• ▍Net margin 0.9%

Revenue ¥6.69B, +36,4% YoY; Operating income +31,2% YoY.

• ▍Revenue ¥6.69B, +36,4% YoY
• ▍Operating income +31,2% YoY
• ▍Net income +21,4% YoY
• ▍Free cash flow +165,0% YoY
• ▍Net margin 3.2%

Revenue ¥4.90B; Operating income ¥262.0M.

• ▍Revenue ¥4.90B
• ▍Operating income ¥262.0M
• ▍Net margin 3.6%