Company DescriptionAcom Co., Ltd. engages in the loan, credit card, and loan guarantee businesses in Japan and internationally. The company operates through Loan and Credit Card Business, Guarantee Business, Overseas Financial Business, and Loan Servicing Business segments. It also provides installment and unsecured loan, money lending, and embedded finance services. The company was founded in 1936 and is headquartered in Tokyo, Japan.

How the Company Makes Money

ACOM Co Financial Statement Overview

Summary

ACOM Co exhibits strong profitability and a robust equity position with solid revenue growth and margins. However, it faces challenges in cash flow management, indicated by negative operating and free cash flows. The increasing debt levels could pose risks if not managed carefully.

Income Statement

Very Positive

ACOM Co shows strong profitability with a TTM gross profit margin of 90.33% and net profit margin of 18.64%. Revenue growth rate from the previous year is healthy at 12.89%. However, there is a slight decline in EBITDA margin compared to EBIT margin suggesting higher depreciation or amortization expenses.

Balance Sheet

Positive

The company maintains a solid equity base with an equity ratio of 45.13% and a reasonable debt-to-equity ratio of 1.06. Return on Equity is strong at 8.81%, indicating effective use of equity. However, rising debt levels could pose risks if not managed carefully.

Cash Flow

Neutral

ACOM Co faces challenges with cash flow management, indicated by negative operating cash flows and free cash flows in recent years. The trend of declining free cash flow growth and a negative free cash flow to net income ratio highlights potential liquidity concerns.

TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Breakdown
Income Statement		Total Revenue
312.64B	294.73B	273.79B	262.15B	266.31B	279.50B
	Gross Profit
282.43B	288.04B	268.12B	255.34B	258.60B	269.50B
	EBIT
124.42B	90.57B	87.29B	34.78B	98.90B	75.64B
	EBITDA
97.88B	94.55B	95.47B	42.83B	107.84B	86.75B
	Net Income Common Stockholders
58.29B	53.09B	54.93B	55.68B	78.86B	59.60B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
78.05B	73.49B	57.67B	74.24B	83.32B	82.55B
	Total Assets
1.47T	1.42T	1.30T	1.26T	1.22T	1.28T
	Total Debt
704.20B	664.75B	581.17B	570.59B	609.99B	715.14B
	Net Debt
626.15B	591.26B	523.50B	496.34B	526.67B	632.59B
	Total Liabilities
753.00B	743.23B	677.48B	699.34B	703.98B	839.89B
	Stockholders Equity
661.86B	628.01B	581.09B	531.88B	485.68B	415.32B
Cash Flow		Free Cash Flow
0.00	-41.39B	-6.00B	41.61B	109.83B	16.05B
	Operating Cash Flow
0.00	-36.76B	-1.32B	46.09B	113.18B	19.70B
	Investing Cash Flow
0.00	-6.18B	-2.69B	-4.03B	-4.57B	6.21B
	Financing Cash Flow
0.00	57.16B	-12.93B	-50.16B	-108.79B	-24.34B

ACOM Co Peers Comparison

Overall Rating

UnderperformOutperform

Sector (64)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AK5		€3.96B	19.95	4.89%	3.45%	―	―
Sector *	64 Neutral	$12.86B	9.79	7.78%	16985.65%	12.28%	-7.82%
AEOJF		$1.93B	14.96	4.16%	3.88%	―	―
CSASF		$4.44B	7.10	9.28%	4.00%	―	―
MAURF		$3.77B	16.53	10.51%	4.53%	―	―
AAU		€1.21B	8.58	10.80%	0.25%	―	―
8584	75 Outperform	¥137.70B	7.41		4.78%	3.24%	-21.76%

* Financial Sector Average

Performance Comparison

DE:AK5

ACOM Co

2.50

0.34

15.74%

AEOJF

AEON Financial Service Co

8.80

0.77

9.59%

CSASF

Credit Saison Co

19.70

-1.51

-7.12%

MAURF

Marui Group Co

15.53

1.09

7.55%

DE:AAU

Aiful Corporation

2.46

0.17

7.42%

JP:8584

Jaccs Co., Ltd.

3,975.00

-675.19

-14.52%

Glossary

OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.

NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.

UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

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