Multi-year Revenue Growth & Sustained ProfitabilityRevenue expanded consistently from 2020 through 2025 (2025 still posted healthy growth after a very strong 2024) while the company maintained positive operating profit and net income. This multi-year top-line expansion with recurring profitability supports durable demand, pricing power and the ability to reinvest in operations.

Material Balance-sheet ImprovementEquity growth and lower leverage over several years indicate improved financial resilience and capacity to absorb shocks. Stronger capitalization supports funding for capex or expansion without immediate reliance on short-term capital markets, enhancing long-term strategic optionality for the medical care facilities business.

Historically Strong Free Cash Generation (2021–2024)A multi-year record of positive free cash flow and growth through 2023–2024 demonstrates the company's capability to convert earnings into cash to fund operations, maintenance capex and potential investments. That cash conversion history is a durable indicator of underlying business cash economics, even if 2025 weakened.

Bears Say

2025 Earnings And Cash-flow Quality DeteriorationNet income falling while revenue rose and operating/free cash flow plunging in 2025 suggest degraded earnings quality or one-time distortions. Weaker cash conversion undermines the company's ability to self-fund growth and may signal working-capital stress or uncapitalized costs that could persist absent corrective action.

Recent Increase In Debt After Unusually Low 2024 LevelRising borrowings after a period of minimal debt reduces financial flexibility and raises interest and refinancing exposure. With cash generation weakening in 2025, higher leverage increases risk to coverage metrics and limits ability to pursue opportunistic investments without further dilutive or costly financing.

Margin Compression And Net Income Decline Despite Revenue GrowthSustained margin erosion implies rising costs, pricing pressure, or increased investment that reduces profitability and return on capital. If persistent, lower margins compress free cash flow and weaken the company's ability to finance growth or maintain payouts, making long-term returns more sensitive to cost control execution.

9214 FAQ

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

Recovery International Co.,Ltd. lowest stock price was ¥1100.00 and its highest was ¥1727.00 in the past 12 months.

What is Recovery International Co.,Ltd.’s market cap?

Recovery International Co.,Ltd.’s market cap is ¥1.99B.

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

Recovery International Co.,Ltd.’s upcoming earnings report date is May 18, 2026 which is in 87 days.

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

Recovery International Co.,Ltd. released its earnings results on Feb 16, 2026. The company reported ¥57.09 earnings per share for the quarter, beating the consensus estimate of N/A by ¥57.09.

Is Recovery International Co.,Ltd. overvalued?

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

Does Recovery International Co.,Ltd. pay dividends?

Recovery International Co.,Ltd. does not currently pay dividends.

What is Recovery International Co.,Ltd.’s EPS estimate?

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

How many shares outstanding does Recovery International Co.,Ltd. have?

Recovery International Co.,Ltd. has 1,414,000 shares outstanding.

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

Recovery International Co.,Ltd. reported an EPS of ¥57.09 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went down -0.821%.

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

Currently, no hedge funds are holding shares in JP:9214

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

Recovery International Co.,Ltd.

Recovery International Co.,Ltd. offers home-visit nursing and rehabilitation in-home nursing care services in Japan. It provides home-visit nursing care for people with illness or disability patients; physical, occupational therapists, and speech language pathologists services to maintain and restore mental and physical functions; and home-visit massage services for physically handicapped patients. The company was incorporated in 2013 and is based in Shinjuku-Ku, Japan.