Stable B2B Ingredient BusinessThe company focuses on industrial food ingredients (starches and by-products) sold into B2B food and beverage manufacturing. Such embedded supplier roles create durable demand, customer stickiness, and predictable volumes, supporting steady revenue streams and long-term contract opportunities.

Consistent Revenue Growth TrendHistorical top-line expansion (about 7.8% revenue growth metric and noted increases through 2024) indicates the company has been able to grow market share or volumes. Sustained revenue growth supports scale economics and provides a platform to improve margins and reinvest in operations over the medium term.

Healthy Equity PositionA healthy equity ratio and relatively stable ROE provide a resilient capital structure, reducing insolvency risk and supporting dividend policy. This balance-sheet strength gives the company flexibility to fund working capital needs or selective investments without immediate reliance on expensive external financing.

Bears Say

Recent Negative Free Cash FlowThe shift to negative free cash flow in 2025 weakens the firm's internal funding capacity for capex, debt service, and dividends. If this trend persists it could force reliance on external financing, constrain reinvestment, and reduce strategic flexibility, amplifying medium-term financial risk.

Margin VolatilityVariable gross and net margins and inconsistent EBIT/EBITDA margins point to exposure to input costs or uneven operational efficiency. Persistent margin instability undermines earnings visibility, reduces the benefit of revenue growth, and complicates longer-term planning for investment and shareholder returns.

Moderate Leverage RiskA moderate debt-to-equity level increases sensitivity to earnings and cash flow shocks. Higher leverage can limit borrowing capacity, raise interest burdens, and force deleveraging measures during downturns, restricting capital allocation choices and pressuring long-term strategic initiatives.

2892 FAQ

What was Nihon Shokuhin Kako Co., Ltd.’s price range in the past 12 months?

Nihon Shokuhin Kako Co., Ltd. lowest stock price was ¥2150.00 and its highest was ¥4250.00 in the past 12 months.

What is Nihon Shokuhin Kako Co., Ltd.’s market cap?

Nihon Shokuhin Kako Co., Ltd.’s market cap is ¥19.55B.

When is Nihon Shokuhin Kako Co., Ltd.’s upcoming earnings report date?

Nihon Shokuhin Kako Co., Ltd.’s upcoming earnings report date is Apr 30, 2026 which is in 66 days.

How were Nihon Shokuhin Kako Co., Ltd.’s earnings last quarter?

Nihon Shokuhin Kako Co., Ltd. released its earnings results on Jan 30, 2026. The company reported -¥47.81 earnings per share for the quarter, missing the consensus estimate of N/A by -¥47.81.

Is Nihon Shokuhin Kako Co., Ltd. overvalued?

According to Wall Street analysts Nihon Shokuhin Kako Co., Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Nihon Shokuhin Kako Co., Ltd. pay dividends?

Nihon Shokuhin Kako Co., Ltd. pays a Semiannually dividend of ¥75 which represents an annual dividend yield of 2.98%. See more information on Nihon Shokuhin Kako Co., Ltd. dividends here

What is Nihon Shokuhin Kako Co., Ltd.’s EPS estimate?

Nihon Shokuhin Kako Co., Ltd.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Nihon Shokuhin Kako Co., Ltd. have?

Nihon Shokuhin Kako Co., Ltd. has 4,942,868 shares outstanding.

What happened to Nihon Shokuhin Kako Co., Ltd.’s price movement after its last earnings report?

Nihon Shokuhin Kako Co., Ltd. reported an EPS of -¥47.81 in its last earnings report, missing expectations of N/A. Following the earnings report the stock price went down -5.106%.

Which hedge fund is a major shareholder of Nihon Shokuhin Kako Co., Ltd.?

Currently, no hedge funds are holding shares in JP:2892

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

Nihon Shokuhin Kako Co., Ltd.

Nihon Shokuhin Kako Co., Ltd. engages in the manufacture and sale of processed corn products and related secondary processed products in Japan. It offers corn starch and tapioca starch for food and industrial use; and waxy starch. The company also provides corn and starch syrup, high maltose syrup, malto-oligosaccharide, powdered malto-oligosaccharide, gluco-oligosaccharide, nigerooligosaccharide, isomaltooligosaccharide, glucose, and isomerized liquid sugar; dietary fibers; and other edible processed food materials. In addition, it offers cyclodextrin, glucose, maltose hydrate products, and malto-oligosaccharide derivatives; and by products, such as corn salad oil, corn steep liquor, gluten meal, and gluten feed. The company was incorporated in 1948 and is headquartered in Tokyo, Japan. Nihon Shokuhin Kako Co., Ltd. operates as a subsidiary of Mitsubishi Corporation.