Balance Sheet StrengthExtremely low leverage and a high equity ratio provide durable financial flexibility. This strengthens solvency, preserves borrowing capacity for strategic needs, and reduces refinancing risk, allowing the company to absorb shocks and fund restructuring or growth without stressing liquidity.

Healthy Gross MarginsA near 37% gross margin indicates structurally favorable unit economics in product mix or cost of goods sold. Strong gross margins create room to recover operating profitability if SG&A or other overheads are optimized and support long-term margin resilience.

Operating Cash Flow GenerationPositive operating cash flow and a 2.14 conversion ratio show core operations produce cash even with accounting losses. That cash generation supports working capital, funds reinvestment or dividends in the medium term, and reduces immediate reliance on external financing.

Bears Say

Declining RevenueSustained revenue decline signals weakening demand or loss of market share in packaged foods. Lower top line undermines operating leverage, compresses margins, and raises the bar for management to restore growth sustainably through product, distribution, or pricing improvements.

Negative ProfitabilityPersistent negative net and EBITDA margins mean the company fails to convert sales into sustainable profits. Ongoing losses erode retained earnings, limit reinvestment capacity, and raise structural concerns about long-term viability absent durable cost or revenue recovery.

Weak Free Cash FlowDeclining and negative free cash flow indicates cash shortfalls after capex, constraining strategic investments and dividend reliability. Over months this limits flexibility to pursue growth or efficiency programs and increases reliance on the balance sheet despite low leverage.

2876 FAQ

What was Delsole Corporation’s price range in the past 12 months?

Delsole Corporation lowest stock price was ¥370.00 and its highest was ¥520.00 in the past 12 months.

What is Delsole Corporation’s market cap?

Delsole Corporation’s market cap is ¥4.37B.

When is Delsole Corporation’s upcoming earnings report date?

Delsole Corporation’s upcoming earnings report date is May 14, 2026 which is in 86 days.

How were Delsole Corporation’s earnings last quarter?

Delsole Corporation released its earnings results on Feb 13, 2026. The company reported ¥28.57 earnings per share for the quarter, beating the consensus estimate of N/A by ¥28.57.

Is Delsole Corporation overvalued?

According to Wall Street analysts Delsole Corporation’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Delsole Corporation pay dividends?

Delsole Corporation pays a Annually dividend of ¥12 which represents an annual dividend yield of 3.37%. See more information on Delsole Corporation dividends here

What is Delsole Corporation’s EPS estimate?

Delsole Corporation’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Delsole Corporation have?

Delsole Corporation has 9,105,290 shares outstanding.

What happened to Delsole Corporation’s price movement after its last earnings report?

Delsole Corporation reported an EPS of ¥28.57 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 2.564%.

Which hedge fund is a major shareholder of Delsole Corporation?

Currently, no hedge funds are holding shares in JP:2876

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

Delsole Corporation

Delsole Corporation engages in the food service business in Japan and internationally. It operates through Food Manufacturing, Trading, Food Service, and International divisions. The company offers pizza crust and dough products; bread products, including naan, focaccia, tortilla, pita, and biscuits; shredded cheese; and cheese fry and naan dog snack products to supermarket chains and various food service companies. It also trades in pizza and basil sauces, and curries; olives and jalapenos; meat and chicken products comprising pepperoni, Italian sausages, taco meat, chicken sticks, chicken drops, and spicy chicken drops. In addition, the company operates restaurants and department store food counters, as well as provides take out and home delivery services. Delsole Corporation distributes its products under the Del Sole label. The company was formerly known as JC Comsa Corporation. Delsole Corporation was incorporated in 1964 and is headquartered in Tokyo, Japan.