Cash GenerationNippi’s strong cash conversion (OCF/net income 1.89x; FCF up 13%; FCF/net income 1.57x) creates durable internal funding. Over the next 2–6 months this supports reinvestment, steady dividends, debt reduction or opportunistic capex without relying on external finance, improving resilience.

Balance Sheet StrengthA high equity ratio (56.8%) and low leverage (D/E ~0.27) give Nippi durable financial flexibility. This reduces refinancing and interest-rate risks, permits multi-quarter investments or contract commitments, and provides a buffer against demand cycles or supply disruptions.

Stable Margins And Operating EfficiencySustained gross margin (~27%) and stable EBIT/EBITDA margins point to a durable cost structure and pricing power in its collagen products. Over months this stability supports predictable cash flows, planning for product development and customer contracts, and cushions revenue volatility.

Bears Say

Revenue Decline TrendReported revenue decline (~-4.66%) signals persistent top-line pressure that can erode scale benefits and margin leverage. Over a 2–6 month horizon, weaker revenue constrains reinvestment capacity, reduces bargaining power with suppliers, and limits ability to fund strategic initiatives organically.

Earnings DeclineEPS contraction (~-5.51%) indicates profitability under strain despite healthy cash flow metrics. Persisting EPS declines reduce retained earnings and dividend sustainability, limit equity cushion for investments, and may reflect structural demand or cost pressures that can persist across quarters.

Low ROE And Slight Net Margin PressureA modest ROE (~6.17%) and a slipping net margin (5.2% to 5%) suggest limited returns on shareholder capital and thin profits. Over a medium horizon this constrains capital allocation choices, reduces ability to out-invest peers, and implies slower compounding of shareholder value absent a structural improvement.

7932 FAQ

What was Nippi Inc’s price range in the past 12 months?

Nippi Inc lowest stock price was ¥4900.00 and its highest was ¥14650.00 in the past 12 months.

What is Nippi Inc’s market cap?

Nippi Inc’s market cap is ¥40.24B.

When is Nippi Inc’s upcoming earnings report date?

Nippi Inc’s upcoming earnings report date is May 20, 2026 which is in 93 days.

How were Nippi Inc’s earnings last quarter?

Nippi Inc released its earnings results on Feb 10, 2026. The company reported ¥198.1 earnings per share for the quarter, beating the consensus estimate of N/A by ¥198.1.

Is Nippi Inc overvalued?

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

Does Nippi Inc pay dividends?

Nippi Inc pays a Annually dividend of ¥633 which represents an annual dividend yield of 3.76%. See more information on Nippi Inc dividends here

What is Nippi Inc’s EPS estimate?

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

How many shares outstanding does Nippi Inc have?

Nippi Inc has 2,889,000 shares outstanding.

What happened to Nippi Inc’s price movement after its last earnings report?

Nippi Inc reported an EPS of ¥198.1 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 1.4%.

Which hedge fund is a major shareholder of Nippi Inc?

Currently, no hedge funds are holding shares in JP:7932

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

Nippi Inc

Nippi,Incorporated, together with its subsidiaries, manufactures and sells collagen casings, gelatin and collagen peptides, cosmetics and functional foods, functional polymers, and life science products in Japan and internationally. The company offers collagen casings for use in various fields, including foods, medicines and pharmaceuticals, and cosmetics; gelatin, which is used in food products, pharmaceutical products, photo films, etc.; and leather products for the automotive industry. It also develops cosmetics and functional foods with collagen; offers Nippi Linker, a vinyl chloride resin, which is primarily used for electric wires and masking films; and provides Nippi V Foam, a foam made of vinyl chloride for welder processing that is used in cars, quilt products, and novelty goods. In addition, the company engages in real estate leasing activities; and provides life science products that include laminin, lab equipment and supplies, and reagents, as well as contract services and bovine spongiform encephalopathy test kits. The company was formerly known as The Japan Leather Mfg. Co., Ltd. and changed its name to Nippi,Incorporated in February 1974. Nippi,Incorporated was founded in 1907 and is headquartered in Tokyo, Japan.