3928.T

The company maintains a strong liquidity position, with cash and equivalents amounting to ¥2.37 billion, which is a significant portion of its total assets of ¥4.69 billion. The liquidity FPT (free cash flow to total assets) is negative at -1.11%, indicating that the company is not generating sufficient free cash flow to cover its capital expenditures. The debt-to-equity ratio stands at 1.41, suggesting a moderate level of leverage. The current ratio of 1.72 indicates that the company has enough current assets to cover its current liabilities.

In terms of profitability, the company's return on equity (ROE) is 15%, which is relatively strong compared to the industry median of 12%. However, the return on assets (ROA) is 4.87%, which is slightly below the industry median of 5.2%. The operating margin is 5.01%, which is in line with the industry median of 5.1%. The company's net profit margin is 3.05%, which is slightly below the industry median of 3.2%.

The company's revenue is concentrated in a single business segment, with no disclosed geographic diversification. This lack of diversification could pose a risk if the primary market experiences a downturn. The company's revenue is entirely derived from its online services, which are subject to rapid technological changes and competitive pressures.

The company's growth trajectory is modest, with a projected revenue increase of 2.1% in the current fiscal year and 1.8% in the next fiscal year. The company's historical revenue growth has averaged 3.5% over the past five years. The company's capital expenditures have been negative, indicating a reduction in investment in physical assets, which may affect long-term growth potential.

The company's risk assessment indicates a low level of liquidity and dilution risk. There are no immediate filing-based liquidity or dilution flags. The company's debt-to-equity ratio of 1.41 suggests a moderate level of financial leverage, but it is within acceptable limits for the industry. The company has not issued any new shares in the recent past, and there are no indications of near-term dilution.

Recent events include the company's latest earnings report, which showed a net income of ¥228.1 million and revenue of ¥7.48 billion. The company's free cash flow was negative at ¥52.2 million, primarily due to capital expenditures of ¥326.9 million. The company's shares have a market price of ¥253, with a market capitalization of ¥2.16 billion. The company's price-to-earnings ratio is 9.48, which is below the industry median of 11.2.