Revenue GrowthConsistent double-digit top-line growth signals expanding demand and successful market penetration in marine, industrial and power-generation segments. Sustained revenue momentum provides resources for R&D, scale advantages and helps secure long-term contracts that support durable earnings expansion.

Balance Sheet StrengthVery low leverage and a strong equity ratio reduce insolvency risk and give management flexibility to fund capex, R&D, or acquisitions without heavy external borrowing. That capital structure resilience supports stability through industry cycles and underpins long-term strategic investments.

Cash GenerationImproved free cash flow and solid operating cash flow conversion strengthen the company's ability to fund maintenance capex, aftermarket service capacity and parts inventories. Reliable cash generation supports dividends, reinvestment in efficiency and resilience across cyclical demand shifts.

Bears Say

Gross Margin CompressionA near 10-point decline in gross margin suggests rising input costs, pricing pressure or operational inefficiencies. Persistent margin erosion limits internally generated funds for R&D and capex, weakens profitability resilience, and requires structural fixes to restore long-term margin sustainability.

Variable Cash ConversionFluctuating FCF-to-net income indicates inconsistent cash conversion from reported profits, complicating capital allocation and working-capital planning. This variability can stress funding for spare parts inventories, service operations and long-term contracts, increasing operational and financing risk.

Modest Return On EquityAn ROE of roughly 3-5% is modest for industrial manufacturing and suggests limited profitability relative to equity. Persistently low returns may reflect shallow competitive moats, low asset turnover or pricing constraints, limiting the company's ability to compound shareholder value over the long term.

6018 FAQ

What was Hanshin Diesel Works, Ltd.’s price range in the past 12 months?

Hanshin Diesel Works, Ltd. lowest stock price was ¥1998.00 and its highest was ¥4805.00 in the past 12 months.

What is Hanshin Diesel Works, Ltd.’s market cap?

Hanshin Diesel Works, Ltd.’s market cap is ¥15.14B.

When is Hanshin Diesel Works, Ltd.’s upcoming earnings report date?

Hanshin Diesel Works, Ltd.’s upcoming earnings report date is May 18, 2026 which is in 87 days.

How were Hanshin Diesel Works, Ltd.’s earnings last quarter?

Hanshin Diesel Works, Ltd. released its earnings results on Feb 02, 2026. The company reported ¥48.05 earnings per share for the quarter, beating the consensus estimate of N/A by ¥48.05.

Is Hanshin Diesel Works, Ltd. overvalued?

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

Does Hanshin Diesel Works, Ltd. pay dividends?

Hanshin Diesel Works, Ltd. pays a Semiannually dividend of ¥40 which represents an annual dividend yield of 2.78%. See more information on Hanshin Diesel Works, Ltd. dividends here

What is Hanshin Diesel Works, Ltd.’s EPS estimate?

Hanshin Diesel Works, Ltd.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Hanshin Diesel Works, Ltd. have?

Hanshin Diesel Works, Ltd. has 3,248,548 shares outstanding.

What happened to Hanshin Diesel Works, Ltd.’s price movement after its last earnings report?

Hanshin Diesel Works, Ltd. reported an EPS of ¥48.05 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 1.332%.

Which hedge fund is a major shareholder of Hanshin Diesel Works, Ltd.?

Currently, no hedge funds are holding shares in JP:6018

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

Hanshin Diesel Works, Ltd.

The Hanshin Diesel Works, Ltd. manufactures and sells engines and propulsion systems for ships worldwide. The company offers engines comprising low speed four-stroke engines, medium speed engines, and low speed two-stroke engines; and engine monitoring and support systems for ship administration. It also offers propulsion systems, such as controllable pitch propellers and side thrusters; remote control systems and integrated control systems; casting and metal machining; and auxiliary devices, including lubricating oil and fuel oil purifiers, fuel oil fine filters, and LG type lubricating oil filters. The company was formerly known as The Hanshin Ironworks Co., Ltd. and changed its name to The Hanshin Diesel Works, Ltd. in 1944. The Hanshin Diesel Works, Ltd. was incorporated in 1918 and is headquartered in Kobe, Japan.