Balance Sheet StrengthExtremely low leverage and a high equity ratio provide durable financial flexibility. The strong capital structure and improving ROE reduce insolvency risk, enable self-funded R&D and capex, and allow the company to absorb cyclicality or pursue strategic investments without heavy external financing.

Revenue Growth & Margin ImprovementSustained top-line expansion coupled with rising EBIT/EBITDA margins signals improving product mix and operational efficiency. This structural trend supports reinvestment in automation and R&D, strengthens competitive positioning in industrial customers, and underpins long-term cash generation if maintained.

Improving Cash GenerationA meaningful turnaround to positive operating and free cash flow demonstrates better cash conversion of earnings. Durable cash generation reduces reliance on external capital, funds recurring maintenance, R&D and dividends, and increases resilience to industry downturns if the trend persists.

Bears Say

End-market CyclicalityConcentration in industrial and automotive end-markets exposes revenue to cyclical capital spending and trade cycles. Structural demand swings in these sectors can materially affect order books and utilization, requiring diversification or contract visibility to stabilize long-term revenue and capacity planning.

Legacy Cash Flow VolatilityHistoric negative operating cash flow indicates prior earnings were not fully cash-backed, suggesting working-capital or receivables management issues. Although improved, the company must sustain cash conversion to avoid repeating funding shortfalls that could constrain R&D, capex, or strategic initiatives.

Modest Net Margin CushionAn 8.6% net margin provides limited buffer against cost inflation or pricing pressure in competitive engineering markets. Maintaining margins requires continuous productivity gains, pricing power, and R&D-driven differentiation; failure to do so could compress earnings and free cash flow over the medium term.

1965 FAQ

What was Techno Ryowa Ltd.’s price range in the past 12 months?

Techno Ryowa Ltd. lowest stock price was ¥2000.00 and its highest was ¥9340.00 in the past 12 months.

What is Techno Ryowa Ltd.’s market cap?

Techno Ryowa Ltd.’s market cap is ¥168.54B.

When is Techno Ryowa Ltd.’s upcoming earnings report date?

Techno Ryowa Ltd.’s upcoming earnings report date is May 19, 2026 which is in 92 days.

How were Techno Ryowa Ltd.’s earnings last quarter?

Techno Ryowa Ltd. released its earnings results on Feb 06, 2026. The company reported ¥172.42 earnings per share for the quarter, beating the consensus estimate of N/A by ¥172.42.

Is Techno Ryowa Ltd. overvalued?

According to Wall Street analysts Techno Ryowa Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Techno Ryowa Ltd. pay dividends?

Techno Ryowa Ltd. pays a Semiannually dividend of ¥58 which represents an annual dividend yield of 1.55%. See more information on Techno Ryowa Ltd. dividends here

What is Techno Ryowa Ltd.’s EPS estimate?

Techno Ryowa Ltd.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Techno Ryowa Ltd. have?

Techno Ryowa Ltd. has 21,228,603 shares outstanding.

What happened to Techno Ryowa Ltd.’s price movement after its last earnings report?

Techno Ryowa Ltd. reported an EPS of ¥172.42 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 7.905%.

Which hedge fund is a major shareholder of Techno Ryowa Ltd.?

Currently, no hedge funds are holding shares in JP:1965

What is the TipRanks Smart Score and how is it calculated?

Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

Company Description

Techno Ryowa Ltd.

Techno Ryowa Ltd. engages in the design, construction, and maintenance of environmental control systems primarily in Japan. The company offers industrial equipment, including clean systems, temperature/humidity control systems, energy/resource conservation equipment, spot air conditioning systems, industrial waste water/air treatment facilities, refrigeration/low-temperature equipment, production process operations, clean effluent processing plants, and nuclear power-related equipment. It also provides general building equipment comprising general air conditioning equipment, plumbing systems, disaster prevention/fire extinguishing systems, waste water treatment systems, district cooling/heating products, and co-generation systems. In addition, the company is involved in the provision of equipment maintenance services, such as equipment diagnosis and overhaul maintenance; design/construction of building ancillary equipment; and manufacture/sales of related machinery. Techno Ryowa Ltd. was incorporated in 1949 and is headquartered in Tokyo, Japan.