Revenue GrowthSustained 11.5% revenue growth indicates durable demand for Kohsai's precision machinery and components. Combined with stated long-term contracts and diversified end markets, this trend supports continued scale, recurring order visibility and provides a stable base to fund R&D and incremental margin gains over the next several quarters.

Margin ImprovementImproving gross and operating margins reflect better cost management and operational leverage in manufacturing. These margin gains are structural if driven by process improvements or product mix shifts, helping protect profitability through cycles and creating capacity to reinvest in product development and customer support over the medium term.

Operating Cash GenerationStrong operating cash flow and a 1.59 OCF/net income ratio show healthy cash conversion from operations. Durable cash generation increases financial flexibility to fund capex, service debt, or support strategic initiatives without relying heavily on external financing, bolstering medium-term investment capacity.

Bears Say

Free Cash Flow DropA near-50% fall in free cash flow driven by higher capex is a structural concern if elevated investment persists. Reduced FCF limits ability to return capital, buffer downturns, or fund unexpected needs, and may force trade-offs between growth projects, dividends, or higher leverage to maintain strategy execution.

Low Net Profitability & EPS DeclineA low 2.2% net margin together with a steep EPS decline signals limited bottom-line resilience and sensitivity to cost swings or revenue pressure. Persistently weak net profitability constrains free cash flow and return on capital, increasing vulnerability to cyclical shocks or competitive pricing pressure over the medium term.

Small Workforce / Scale RiskA very small employee base raises execution and scalability risks for a manufacturing supplier. It may indicate reliance on key individuals or outsourcing, limiting capacity to rapidly expand production, integrate new projects, or absorb turnover—heightening operational risk in growth phases or during complex customer programs.

7878 FAQ

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

Kohsai Co.Ltd. lowest stock price was ¥818.00 and its highest was ¥1699.00 in the past 12 months.

What is Kohsai Co.Ltd.’s market cap?

Kohsai Co.Ltd.’s market cap is ¥2.44B.

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

Kohsai Co.Ltd.’s upcoming earnings report date is Mar 13, 2026 which is in 21 days.

How were Kohsai Co.Ltd.’s earnings last quarter?

Kohsai Co.Ltd. released its earnings results on Dec 12, 2025. The company reported ¥9.23 earnings per share for the quarter, beating the consensus estimate of N/A by ¥9.23.

Is Kohsai Co.Ltd. overvalued?

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

Does Kohsai Co.Ltd. pay dividends?

Kohsai Co.Ltd. pays a Annually dividend of ¥25 which represents an annual dividend yield of 5.13%. See more information on Kohsai Co.Ltd. dividends here

What is Kohsai Co.Ltd.’s EPS estimate?

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

How many shares outstanding does Kohsai Co.Ltd. have?

Kohsai Co.Ltd. has 1,584,000 shares outstanding.

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

Kohsai Co.Ltd. reported an EPS of ¥9.23 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went down -1.212%.

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

Currently, no hedge funds are holding shares in JP:7878

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

Kohsai Co.Ltd.

Kohsai Co.,Ltd. engages in the jewelry business in Japan. It offers jewelry and jewelry parts, which include earring parts and clasps, and forged rings. The company was formerly known as Kosaikogei Co.,Ltd. and changed its name to Kohsai Co.,Ltd. in August 2017. The company was founded in 1955 and is headquartered in Kai, Japan. Kohsai Co.,Ltd. operates as a subsidiary of Estio Co., Ltd.