Canox Corp

Canox Corp maintains a capital structure with a debt-to-equity ratio of 1.23, indicating a moderate reliance on debt financing. The company's liquidity position is characterized by a current ratio of 1.46, suggesting it can cover its short-term obligations, but its cash and equivalents of ¥1.9 billion are significantly lower than its long-term debt of ¥36.3 billion, resulting in a negative net cash position. The price-to-book ratio of 0.66 implies that the company's market value is trading below its book value, which may reflect market skepticism about its asset quality or future earnings potential.

In terms of profitability, Canox Corp's return on equity (ROE) of 1.81% and return on assets (ROA) of 0.59% are below the industry median for iron and steel producers, which typically report ROE in the 5-10% range and ROA in the 2-4% range. The company's operating margin of 1.39% (calculated from operating income of ¥579 million on revenue of ¥41.8 billion) is also below the industry median of 3.5%, indicating weaker operational efficiency.

Geographically, Canox Corp's revenue is concentrated in Japan, with no disclosed international operations. The company's business is entirely within the iron and steel segment, with no diversification into other materials or services. This concentration increases exposure to domestic economic conditions and regulatory changes in the Japanese mining sector.

The company's growth trajectory appears subdued, with revenue of ¥41.8 billion in the latest period. Analysts reported a last actual revenue of ¥158.8 billion, which may reflect a multi-year total or a different reporting period. The company's outlook for the current fiscal year shows no significant revenue growth, and the next fiscal year is expected to follow a similar trend, with no clear drivers of expansion identified in the available data.

Risk factors for Canox Corp include its high debt load and weak profitability, which could limit its ability to invest in new projects or withstand a downturn in commodity prices. The risk assessment indicates a medium liquidity risk and a low dilution risk, with no immediate pressure for equity issuance. However, the company's net cash position is negative, and its liquidity risk is elevated due to the mismatch between short-term obligations and cash reserves.

Recent events include the latest financial filing, which shows a net income of ¥536 million and a gross profit of ¥1.98 billion. No recent earnings call transcripts or press releases were available in the source data, limiting insight into management's strategic direction or operational updates.

Revenue grew at an 8.0% CAGR over four years, demonstrating consistent top-line expansion despite recent volatility.

Net income increased 5.9% year-over-year in FY2026, indicating resilience in profitability despite revenue declines.

Gross profit rose to JPY 8.8 billion in FY2026, showing improved cost of goods sold management relative to sales.

Long-term debt decreased to JPY 28.8 billion in FY2026, suggesting a deliberate strategy to reduce leverage.

Dilution risk is assessed as low, providing some protection for existing shareholders against equity erosion.

Revenue declined 8.2% year-over-year in FY2026, marking a significant reversal from previous growth trends.

Operating margin of 1.4% is well below the Iron & Steel cohort median of 3.3%.

Debt-to-equity ratio of 1.23 places the company in the bottom quartile of its peer group.

Credit risk is flagged as high, indicating significant potential for default or financial distress.

Revenue ¥40.32B, −6,5% YoY; Operating income −1,7% YoY.

• ▍Revenue ¥40.32B, −6,5% YoY
• ▍Operating income −1,7% YoY
• ▍Net income +21,4% YoY
• ▍Net margin 1.2%

Revenue ¥40.61B, −9,1% YoY; Operating income −14,8% YoY.

• ▍Revenue ¥40.61B, −9,1% YoY
• ▍Operating income −14,8% YoY
• ▍Net income −0,5% YoY
• ▍Net margin 1.4%

Revenue ¥38.78B, −10,8% YoY; Operating income +10,1% YoY.

• ▍Revenue ¥38.78B, −10,8% YoY
• ▍Operating income +10,1% YoY
• ▍Net income +11,5% YoY
• ▍Net margin 1.4%

Revenue ¥39.04B, −6,6% YoY; Operating income −7,4% YoY.

• ▍Revenue ¥39.04B, −6,6% YoY
• ▍Operating income −7,4% YoY
• ▍Net income −3,9% YoY
• ▍Net margin 1.3%

Revenue ¥43.11B; Operating income ¥591.4M.

• ▍Revenue ¥43.11B
• ▍Operating income ¥591.4M
• ▍Net margin 0.9%

Revenue ¥44.67B; Operating income ¥645.8M.

• ▍Revenue ¥44.67B
• ▍Operating income ¥645.8M
• ▍Net margin 1.3%

Revenue ¥43.45B; Operating income ¥695.9M.

• ▍Revenue ¥43.45B
• ▍Operating income ¥695.9M
• ▍Net margin 1.1%

Revenue ¥41.78B; Operating income ¥579.0M.

• ▍Revenue ¥41.78B
• ▍Operating income ¥579.0M
• ▍Net margin 1.3%

Revenue ¥158.75B, −8,2% YoY; Operating income −3,1% YoY.

• ▍Revenue ¥158.75B, −8,2% YoY
• ▍Operating income −3,1% YoY
• ▍Net income +5,9% YoY
• ▍Free cash flow −42,6% YoY
• ▍Net margin 1.3%

Revenue ¥173.01B, +0,3% YoY; Operating income −0,7% YoY.

• ▍Revenue ¥173.01B, +0,3% YoY
• ▍Operating income −0,7% YoY
• ▍Net income +1,8% YoY
• ▍Free cash flow +9,4% YoY
• ▍Net margin 1.1%

Revenue ¥172.49B, +13,7% YoY; Operating income +7,1% YoY.

• ▍Revenue ¥172.49B, +13,7% YoY
• ▍Operating income +7,1% YoY
• ▍Net income +9,8% YoY
• ▍Free cash flow +3,1% YoY
• ▍Net margin 1.1%

Revenue ¥151.67B, +30,2% YoY; Operating income −4,9% YoY.

• ▍Revenue ¥151.67B, +30,2% YoY
• ▍Operating income −4,9% YoY
• ▍Net income −5,8% YoY
• ▍Free cash flow −12,3% YoY
• ▍Net margin 1.2%