Nihon House Holdings Co Ltd

Nihon House Holdings Co Ltd has a liquidity position that is currently medium, with a current ratio of 0.9, indicating that its current liabilities exceed its current assets. The company's price-to-book ratio is 0.56, suggesting that the market value is trading below the book value of its equity. Additionally, the company's price-to-tangible-book ratio is also 0.56, reinforcing the notion that the market is valuing the company's tangible assets at a discount. The enterprise value to revenue ratio is 2.47, which is relatively low, indicating that the company is undervalued in terms of revenue.

In terms of profitability, the company's return on equity is 0.0049, and its return on assets is 0.0024, both of which are below the industry median for real estate companies. The company's operating income is negative at -55 million JPY, which is a significant concern given the industry's focus on stable cash flows and returns. The net income, however, is positive at 103 million JPY, indicating that the company is still able to generate profits despite the negative operating income.

The company's revenue is primarily concentrated in its core real estate operations, with no significant diversification into other business segments. The geographic exposure is primarily within Japan, with no material international operations reported in the latest financial data. This concentration may expose the company to regional economic fluctuations and regulatory changes specific to Japan.

Looking at the company's growth trajectory, the outlook for the current fiscal year is mixed. The company's operating cash flow is negative at -1.4 billion JPY, and capital expenditure is -236 million JPY, indicating that the company is investing in its operations but is not generating positive cash flows. The company's revenue has remained relatively stable, but the negative operating income suggests that the company is facing challenges in maintaining profitability.

The risk assessment for Nihon House Holdings Co Ltd indicates a medium liquidity risk, with a current ratio of 0.9 and a debt-to-equity ratio of 0.57. The company's liquidity risk is further exacerbated by the fact that its net cash is negative after subtracting total debt. The dilution risk is low, with no significant dilution potential reported in the latest financial data. However, the company's negative operating cash flow and capital expenditure may indicate a need for additional financing, which could lead to increased debt levels and potential dilution in the future.

Recent events and filings do not indicate any significant changes in the company's operations or financial position. The company's latest financial data does not show any material events that would significantly impact its operations or financial performance. The company's recent transcripts and filings do not mention any major strategic initiatives or changes in management that would affect its future performance.

Revenue surged 171.4% year-over-year to JPY 34.98 billion, demonstrating significant top-line growth momentum.

Net income jumped 191.3% to JPY 1.14 billion, indicating a strong return to profitability.

Free cash flow turned positive at JPY 1.62 billion, reversing previous periods of negative cash generation.

Operating income increased 255.4% to JPY 2.03 billion, highlighting improved operational efficiency and margin expansion.

Dilution risk is assessed as low, suggesting current capital structure stability for existing shareholders.

Operating margin of -0.75% ranks in the bottom quartile of the real estate cohort, signaling weak profitability.

Credit risk is flagged as high, indicating potential vulnerabilities in the company's financial health or debt obligations.

Cash conversion of -13.63% is in the bottom quartile, showing significant difficulty in generating cash from operations.

Liquidity risk is rated as medium, suggesting potential challenges in meeting short-term financial obligations.

Revenue ¥6.85B, −7,1% YoY; Operating income −12,3% YoY.

• ▍Revenue ¥6.85B, −7,1% YoY
• ▍Operating income −12,3% YoY
• ▍Net income +280,0% YoY
• ▍Net margin 0.3%

Revenue ¥8.29B, −12,9% YoY; Operating income −33,0% YoY.

• ▍Revenue ¥8.29B, −12,9% YoY
• ▍Operating income −33,0% YoY
• ▍Net income −18,6% YoY
• ▍Net margin 6.8%

Revenue ¥6.11B, −30,5% YoY; Operating income −134,1% YoY.

• ▍Revenue ¥6.11B, −30,5% YoY
• ▍Operating income −134,1% YoY
• ▍Net income −168,8% YoY
• ▍Net margin -5.2%

Revenue ¥9.28B, +27,3% YoY; Operating income +230,9% YoY.

• ▍Revenue ¥9.28B, +27,3% YoY
• ▍Operating income +230,9% YoY
• ▍Net income −130,1% YoY
• ▍Net margin -0.3%

Revenue ¥7.37B; Operating income ¥122.0M.

• ▍Revenue ¥7.37B
• ▍Operating income ¥122.0M
• ▍Net margin 0.1%

Revenue ¥9.53B; Operating income ¥1.12B.

• ▍Revenue ¥9.53B
• ▍Operating income ¥1.12B
• ▍Net margin 7.3%

Revenue ¥8.80B; Operating income ¥716.0M.

• ▍Revenue ¥8.80B
• ▍Operating income ¥716.0M
• ▍Net margin 5.3%

Revenue ¥7.29B; Operating income -¥55.0M.

• ▍Revenue ¥7.29B
• ▍Operating income -¥55.0M
• ▍Net margin 1.4%

Revenue ¥39.10B, −8,6% YoY; Operating income −62,2% YoY.

• ▍Revenue ¥39.10B, −8,6% YoY
• ▍Operating income −62,2% YoY
• ▍Net income −103,2% YoY
• ▍Free cash flow +35,1% YoY
• ▍Net margin -0.1%

Revenue ¥42.78B, +15,2% YoY; Operating income −4,8% YoY.

• ▍Revenue ¥42.78B, +15,2% YoY
• ▍Operating income −4,8% YoY
• ▍Net income −8,2% YoY
• ▍Free cash flow −266,3% YoY
• ▍Net margin 3.4%

Revenue ¥37.15B; Operating income ¥2.64B.

• ▍Revenue ¥37.15B
• ▍Operating income ¥2.64B
• ▍Net margin 4.3%