Systena Corp

Systena Corp maintains a strong liquidity position, with a current ratio of 3.2 and cash and equivalents amounting to ¥24.37 billion, which significantly exceeds its short-term obligations. The company's debt-to-equity ratio is 0.04, indicating a conservative capital structure with minimal leverage. This low debt burden supports financial flexibility and reduces exposure to interest rate volatility.

Profitability metrics show a return on equity (ROE) of 5.21% and a return on assets (ROA) of 3.69%, both below the industry median for IT services firms. While the company generates positive operating income of ¥2.6 billion, its net income of ¥1.82 billion reflects a relatively modest margin, suggesting potential inefficiencies in cost management or pricing power.

Geographically, Systena Corp's revenue is concentrated in Japan, with no disclosed international segments in the latest financials. This concentration may limit growth opportunities and increase vulnerability to domestic economic fluctuations. The company's business model is heavily reliant on its core IT services, with no material diversification into adjacent markets.

Looking ahead, Systena Corp is projected to maintain stable revenue growth, with a modest increase in the current fiscal year and a continuation of this trend in the following year. The company's free cash flow has turned negative in recent periods, primarily due to capital expenditures of ¥140 million, which may signal investment in long-term infrastructure or expansion.

Risk factors for Systena Corp include low liquidity risk and minimal dilution potential, as no immediate filing-based flags were detected. The company's conservative capital structure and strong cash reserves mitigate financial distress risk. However, the absence of disclosed dilution sources does not preclude future equity issuance, particularly if the company pursues aggressive growth strategies.

Recent events include the publication of analyst estimates, with a mean price target of ¥635 and a median of ¥635. The consensus recommendation is a "Buy" rating, with two analysts issuing a "Buy" and none issuing a "Strong Buy" or "Hold." These estimates suggest a generally positive outlook from the investment community, though the absence of strong buy ratings indicates a cautious stance.

Revenue grew 12.9% year-over-year to JPY 94.4 billion in FY2026, demonstrating strong top-line expansion momentum.

Net income surged 33.4% to JPY 11.3 billion, significantly outpacing revenue growth and indicating operating leverage.

Operating margin of 13.2% ranks above the 75th percentile of the IT Services & Consulting cohort.

Free cash flow increased 54.4% to JPY 7.0 billion, highlighting robust cash generation capabilities.

Analysts assign a mean price target of JPY 635, implying 59.1% upside from the current market price.

Cash conversion ratio of 0.64 falls below the cohort median of 1.0, suggesting weaker cash realization from earnings.

Return on equity of 5.2% remains modest, only slightly above the cohort median of 4.3%.

Return on assets of 3.7% indicates relatively low efficiency in generating profits from total assets.

Revenue ¥24.34B, +5,5% YoY; Operating income +16,9% YoY.

• ▍Revenue ¥24.34B, +5,5% YoY
• ▍Operating income +16,9% YoY
• ▍Net income +5,7% YoY
• ▍Free cash flow +3,1% YoY
• ▍Net margin 11.1%

Revenue ¥23.10B, +12,8% YoY; Operating income +17,5% YoY.

• ▍Revenue ¥23.10B, +12,8% YoY
• ▍Operating income +17,5% YoY
• ▍Net income +41,6% YoY
• ▍Free cash flow +1 062,2% YoY
• ▍Net margin 13.4%

Revenue ¥24.41B, +20,0% YoY; Operating income +48,1% YoY.

• ▍Revenue ¥24.41B, +20,0% YoY
• ▍Operating income +48,1% YoY
• ▍Net income +52,6% YoY
• ▍Free cash flow +43,2% YoY
• ▍Net margin 11.9%

Revenue ¥22.55B, +14,2% YoY; Operating income +40,9% YoY.

• ▍Revenue ¥22.55B, +14,2% YoY
• ▍Operating income +40,9% YoY
• ▍Net income +42,5% YoY
• ▍Free cash flow +406,9% YoY
• ▍Net margin 11.5%

Revenue ¥23.06B; Operating income ¥3.19B.

• ▍Revenue ¥23.06B
• ▍Operating income ¥3.19B
• ▍Net margin 11.1%

Revenue ¥20.47B; Operating income ¥3.36B.

• ▍Revenue ¥20.47B
• ▍Operating income ¥3.36B
• ▍Net margin 10.7%

Revenue ¥20.35B; Operating income ¥2.76B.

• ▍Revenue ¥20.35B
• ▍Operating income ¥2.76B
• ▍Net margin 9.4%

Revenue ¥19.75B; Operating income ¥2.60B.

• ▍Revenue ¥19.75B
• ▍Operating income ¥2.60B
• ▍Net margin 9.2%

Revenue ¥94.40B, +12,9% YoY; Operating income +29,5% YoY.

• ▍Revenue ¥94.40B, +12,9% YoY
• ▍Operating income +29,5% YoY
• ▍Net income +33,4% YoY
• ▍Free cash flow +54,4% YoY
• ▍Net margin 12.0%

Revenue ¥83.62B, +8,7% YoY; Operating income +22,8% YoY.

• ▍Revenue ¥83.62B, +8,7% YoY
• ▍Operating income +22,8% YoY
• ▍Net income +17,2% YoY
• ▍Free cash flow +13,5% YoY
• ▍Net margin 10.1%

Revenue ¥76.94B, +3,2% YoY; Operating income −1,5% YoY.

• ▍Revenue ¥76.94B, +3,2% YoY
• ▍Operating income −1,5% YoY
• ▍Net income −1,1% YoY
• ▍Free cash flow +5,9% YoY
• ▍Net margin 9.4%

Revenue ¥74.53B, +14,2% YoY; Operating income +8,1% YoY.

• ▍Revenue ¥74.53B, +14,2% YoY
• ▍Operating income +8,1% YoY
• ▍Net income +22,1% YoY
• ▍Free cash flow −6,0% YoY
• ▍Net margin 9.8%