Reduced Leverage / Improved Balance SheetA debt-to-equity of 0.47 indicates materially reduced leverage versus prior periods, improving solvency and interest burden over the medium term. This durable improvement enhances financial flexibility, lowers default risk and supports access to capital for restructuring or targeted investments.

Positive Gross Profit MarginA positive gross margin (10.76%) means core products/services still cover direct costs, providing a base to rebuild profitability. If the company stabilizes revenue and controls operating expenses, this margin can leverage fixed costs and help restore EBITDA and net profitability over the coming quarters.

Lean Workforce / Low Fixed OverheadA small headcount (48 employees) implies a lean cost structure and operational agility, reducing structural fixed-cost burden. This durable advantage lowers cash burn, simplifies restructuring or pivot efforts, and allows management to redirect scarce capital toward high-return initiatives or automation.

Bears Say

Steep Revenue DeclineA near-40% year decline in revenue is a structural red flag: it erodes scale economics, reduces pricing power and makes fixed-cost absorption far harder. Persistent top-line shrinkage undermines any recovery plan and necessitates either major product-market fixes or costly customer acquisition to reverse trend.

Deep Unprofitability Across MarginsVery large negative net margin and negative EBIT/EBITDA indicate the current business model fails to cover operating and overhead costs. This persistent unprofitability will deplete equity, limit reinvestment capacity, and require structural changes to pricing, costs, or business mix to achieve sustainable earnings.

Severe Cash Flow ChallengesNegative operating and free cash flows constrain day-to-day liquidity and strategic options, forcing reliance on external financing. Even with lower leverage, ongoing cash burn limits hiring, marketing and product development, raising the risk that the company cannot fund a sustained turnaround without new capital.

3624 FAQ

What was Axel Mark Inc.’s price range in the past 12 months?

Axel Mark Inc. lowest stock price was ¥77.00 and its highest was ¥193.00 in the past 12 months.

What is Axel Mark Inc.’s market cap?

Axel Mark Inc.’s market cap is ¥1.62B.

When is Axel Mark Inc.’s upcoming earnings report date?

Axel Mark Inc.’s upcoming earnings report date is May 07, 2026 which is in 79 days.

How were Axel Mark Inc.’s earnings last quarter?

Axel Mark Inc. released its earnings results on Feb 12, 2026. The company reported -¥10.02 earnings per share for the quarter, missing the consensus estimate of N/A by -¥10.02.

Is Axel Mark Inc. overvalued?

According to Wall Street analysts Axel Mark Inc.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Axel Mark Inc. pay dividends?

Axel Mark Inc. does not currently pay dividends.

What is Axel Mark Inc.’s EPS estimate?

Axel Mark Inc.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Axel Mark Inc. have?

Axel Mark Inc. has 20,004,600 shares outstanding.

What happened to Axel Mark Inc.’s price movement after its last earnings report?

Axel Mark Inc. reported an EPS of -¥10.02 in its last earnings report, missing expectations of N/A. Following the earnings report the stock price went up 3.704%.

Which hedge fund is a major shareholder of Axel Mark Inc.?

Currently, no hedge funds are holding shares in JP:3624

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

Axel Mark Inc.

Axel Mark Inc. engages in the planning and development of games in Japan. The company develops blockchain games and related content; sells advertising space through a published internet advertising media; and provides advertising network services that collect commissions and trading desks. It is also involved in the planning, development, and sale Internet of Things products, such as snow depth automatic monitoring systems under the name YUKIMI, mobile communication systems, and coronavirus countermeasure products for offices, hospitals, nursing care facilities, and hotels. The company was incorporated in 1994 and is based in Tokyo, Japan.