Revenue GrowthSustained high top-line growth (~31.5%) signals strong product demand and expanding market penetration across channels. Durable revenue expansion over the next 2-6 months should enable reinvestment in distribution, product development and scale efficiencies, strengthening competitive positioning.

High Gross MarginA ~48.5% gross margin provides a structural buffer to absorb input-cost inflation and supports pricing flexibility. High gross margins allow the company to fund marketing, product innovation and channel expansion while maintaining room to restore operating margins over the medium term.

Solid Equity BaseAn equity ratio near 56% and currently manageable leverage give the company financial stability. The strong capital base offers flexibility to finance working capital, capex or strategic initiatives without immediate heavy reliance on external debt, supporting resilience amid margin recovery efforts.

Bears Say

Negative Cash FlowsNegative operating and free cash flows materially weaken liquidity and constrain operational flexibility. Even with strong revenue, poor cash conversion forces reliance on external funding or equity, limiting the company's ability to fund inventory, growth initiatives or absorb shocks over the coming months.

Declining Net Profit MarginNet margin compression from 6.75% to 4.20% indicates rising costs or heavier investments that reduce retained earnings. Sustained lower margins impair free cash generation and weaken the firm's ability to self-fund growth, leaving profitability sensitive to cost volatility in the medium term.

Rising LeverageAn increasing debt-to-equity ratio (0.23) signals rising leverage. While still moderate, higher debt combined with negative cash flows raises refinancing and interest-rate exposure, reducing financial flexibility to invest or navigate downturns over the next several months.

5580 FAQ

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

Prodelight Co.,Ltd. lowest stock price was ¥735.00 and its highest was ¥1977.00 in the past 12 months.

What is Prodelight Co.,Ltd.’s market cap?

Prodelight Co.,Ltd.’s market cap is ¥2.91B.

When is Prodelight Co.,Ltd.’s upcoming earnings report date?

Prodelight Co.,Ltd.’s upcoming earnings report date is Apr 10, 2026 which is in 51 days.

How were Prodelight Co.,Ltd.’s earnings last quarter?

Prodelight Co.,Ltd. released its earnings results on Jan 14, 2026. The company reported ¥4.75 earnings per share for the quarter, beating the consensus estimate of N/A by ¥4.75.

Is Prodelight Co.,Ltd. overvalued?

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

Does Prodelight Co.,Ltd. pay dividends?

Prodelight Co.,Ltd. does not currently pay dividends.

What is Prodelight Co.,Ltd.’s EPS estimate?

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

How many shares outstanding does Prodelight Co.,Ltd. have?

Prodelight Co.,Ltd. has 1,682,900 shares outstanding.

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

Prodelight Co.,Ltd. reported an EPS of ¥4.75 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went same 0%.

Which hedge fund is a major shareholder of Prodelight Co.,Ltd.?

Currently, no hedge funds are holding shares in JP:5580

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

Prodelight Co.,Ltd.

Prodelight Co.,Ltd. provides voice solutions in Japan. The company engages in the planning, development, and sale of cloud audio systems; and sale of offline services and audio devices. It offers INNOVERA, a cloud phone system; IP-Line, a cloud-direct telephone line; Yealink, a communication terminal; MAXHUB, an electronic blackboard for meetings and classes; and INNOVERA Hikari, an internet optical line. The company was incorporated in 2008 and is based in Chuo, Japan.