Meiji Electric Industries Co Ltd

Meiji Electric Industries Co Ltd maintains a strong liquidity position, with a current ratio of 2.3, indicating the company can cover its short-term liabilities more than twice over. The company's cash and equivalents amount to ¥7.33 billion, which is a significant portion of its total assets of ¥52.15 billion, suggesting a conservative capital structure with minimal reliance on debt. The company's long-term debt is negligible at ¥102.81 million, and its debt-to-equity ratio is effectively zero, reflecting a low financial leverage profile.

In terms of profitability, the company's return on equity (ROE) is 2.88%, and its return on assets (ROA) is 1.81%. These figures are below the industry median for ROE and ROA, which are typically higher for companies in the electrical components and equipment sector. The company's operating income of ¥1.19 billion and net income of ¥944.22 million suggest a moderate level of profitability, but the gross profit margin of 14.42% (¥3.2 billion on ¥22.2 billion in revenue) indicates room for improvement in cost management.

The company's revenue is concentrated in a single business segment, as disclosed in its financial statements, with no material geographic diversification reported. This lack of diversification could expose the company to regional economic fluctuations. The company's primary market is Japan, and its exposure to international markets is not specified in the available data.

Looking at the company's growth trajectory, the most recent fiscal year's revenue of ¥22.2 billion represents a stable performance compared to prior periods. However, the company's capital expenditures of -¥407.5 million suggest a reduction in investment in new projects or infrastructure, which may indicate a conservative approach to growth. The company's operating cash flow of ¥5.73 billion is positive and supports its current operations, but the lack of significant capital spending may limit future growth potential.

The company's risk profile is characterized by low liquidity and dilution risks, with no immediate filing-based flags detected. The company's low debt levels and strong cash position reduce the likelihood of liquidity stress. Additionally, the absence of dilution risk suggests that the company is not currently issuing new shares to raise capital, which is a positive sign for existing shareholders.

Recent events, including analyst estimates and financial filings, indicate that the company's performance has been in line with expectations. The last actual EPS was reported at ¥191.34, and the last actual revenue was ¥78.67 billion, which is consistent with the company's reported financials. No significant deviations or unexpected events have been reported in the latest filings or transcripts.

Revenue ¥17.07B, −9,6% YoY; Operating income −25,9% YoY.

• ▍Revenue ¥17.07B, −9,6% YoY
• ▍Operating income −25,9% YoY
• ▍Net income −24,7% YoY
• ▍Net margin 2.8%

Revenue ¥19.87B, +4,4% YoY; Operating income +41,4% YoY.

• ▍Revenue ¥19.87B, +4,4% YoY
• ▍Operating income +41,4% YoY
• ▍Net income +71,9% YoY
• ▍Net margin 4.4%

Revenue ¥16.88B, +11,4% YoY; Operating income +1 102,6% YoY.

• ▍Revenue ¥16.88B, +11,4% YoY
• ▍Operating income +1 102,6% YoY
• ▍Net income +230,6% YoY
• ▍Net margin 2.6%

Revenue ¥25.62B, +15,4% YoY; Operating income +46,0% YoY.

• ▍Revenue ¥25.62B, +15,4% YoY
• ▍Operating income +46,0% YoY
• ▍Net income +23,1% YoY
• ▍Net margin 4.5%

Revenue ¥18.88B; Operating income ¥727.8M.

• ▍Revenue ¥18.88B
• ▍Operating income ¥727.8M
• ▍Net margin 3.4%

Revenue ¥19.02B; Operating income ¥784.3M.

• ▍Revenue ¥19.02B
• ▍Operating income ¥784.3M
• ▍Net margin 2.7%

Revenue ¥15.15B; Operating income ¥44.6M.

• ▍Revenue ¥15.15B
• ▍Operating income ¥44.6M
• ▍Net margin 0.9%

Revenue ¥22.20B; Operating income ¥1.19B.

• ▍Revenue ¥22.20B
• ▍Operating income ¥1.19B
• ▍Net margin 4.3%

Revenue ¥78.67B, +5,5% YoY; Operating income +10,4% YoY.

• ▍Revenue ¥78.67B, +5,5% YoY
• ▍Operating income +10,4% YoY
• ▍Net income +0,4% YoY
• ▍Free cash flow +1,0% YoY
• ▍Net margin 3.1%

Revenue ¥74.58B, +5,1% YoY; Operating income +11,3% YoY.

• ▍Revenue ¥74.58B, +5,1% YoY
• ▍Operating income +11,3% YoY
• ▍Net income +10,7% YoY
• ▍Free cash flow +106,5% YoY
• ▍Net margin 3.3%

Revenue ¥70.95B; Operating income ¥2.68B.

• ▍Revenue ¥70.95B
• ▍Operating income ¥2.68B
• ▍Net margin 3.1%