Top-line RecoverySustained 32.3% revenue growth indicates expanding customer adoption and successful commercial execution. For a subscription/transaction business this durable top-line traction supports recurring revenue visibility, enables scale benefits, and provides scope to invest in product and sales over the next 2-6 months.

High Gross MarginA 57.8% gross margin reflects structural pricing power and efficient cost delivery in its TRaaS stack. High gross margins give the company room to fund R&D, support customer success, and absorb incremental costs while preserving the potential for operating margin expansion as revenue scales.

Strong Balance SheetVery low leverage and a 75.9% equity ratio create durable financial flexibility. Ample cash and minimal debt reduce refinancing and liquidity risk, allowing management to fund growth initiatives, weather cyclical pressures, or pursue strategic partnerships without immediate capital markets dependence.

Bears Say

Thin ProfitabilityOperating profitability remains very thin despite top-line gains. Low EBIT and net margins constrain internal cash available for reinvestment, reduce buffer versus cost inflation, and limit the firm's ability to scale marketing and R&D spend without diluting near-term returns.

Earnings VolatilityExtremely negative EPS growth signals past losses or lumpy earnings, complicating forecasting and undermining confidence in consistent profitability. Persistent earnings volatility can limit strategic planning, make capital allocation harder, and reduce the promise of steady shareholder returns over the medium term.

Inconsistent FCF Track RecordAlthough operating cash flow turned positive, the inability to calculate free cash flow growth due to a prior negative year highlights inconsistent cash conversion. This weakens predictability of internally funded growth and increases reliance on execution to sustain cash generation improvements.

6696 FAQ

What was TRaaS On Product Inc.’s price range in the past 12 months?

TRaaS On Product Inc. lowest stock price was ¥273.00 and its highest was ¥645.00 in the past 12 months.

What is TRaaS On Product Inc.’s market cap?

TRaaS On Product Inc.’s market cap is ¥1.88B.

When is TRaaS On Product Inc.’s upcoming earnings report date?

TRaaS On Product Inc.’s upcoming earnings report date is Mar 12, 2026 which is in 20 days.

How were TRaaS On Product Inc.’s earnings last quarter?

TRaaS On Product Inc. released its earnings results on Dec 04, 2025. The company reported -¥6.824 earnings per share for the quarter, missing the consensus estimate of N/A by -¥6.824.

Is TRaaS On Product Inc. overvalued?

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

Does TRaaS On Product Inc. pay dividends?

TRaaS On Product Inc. does not currently pay dividends.

What is TRaaS On Product Inc.’s EPS estimate?

TRaaS On Product Inc.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does TRaaS On Product Inc. have?

TRaaS On Product Inc. has 4,826,991 shares outstanding.

What happened to TRaaS On Product Inc.’s price movement after its last earnings report?

TRaaS On Product Inc. reported an EPS of -¥6.824 in its last earnings report, missing expectations of N/A. Following the earnings report the stock price went down -20.888%.

Which hedge fund is a major shareholder of TRaaS On Product Inc.?

Currently, no hedge funds are holding shares in JP:6696

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

TRaaS On Product Inc.

TRaaS On Product Inc. manufactures and sells various devices to connect people and things with AI and IoT digital technologies. The company offers SHISA, an automatic check-in system for lodging personal equipment with personal identification function; TRA-DeCA that detects danger by comparing person with the database; and Cygnus in which various applications can be installed in the terminal according to the intended use. It also provides NGH that manages information on accommodation facilities and contents, such as guest room services; T-signage that distributes programs; STB, which can be used to receive and watch TV programs, as well as can used as function- specific computer, video playback, video conferencing, IP broadcasting, digital signages, IOT gateways, etc.; and SHISA, an outdoor digital signage. The company was formerly known as P3, Inc. and changed its name to TRaaS On Product Inc. in April 2022. TRaaS On Product Inc. was founded in 1995 and is headquartered in Tokyo, Japan.