Okura Holdings Limited (1655) AI Stock Analysis

• Market Cap: HK$93.60M
• Dividend Yield: N/A
• Average Volume (3M): 603.83K
• Price to Earnings (P/E): 0.3
• Beta (1Y): 0.10
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: HK
• Employees: 353
• Sector: Consumer Cyclical
• Sector Strength: 59
• Industry: Gambling, Resorts & Casinos
• EPS (TTM): 0.45
• Shares Outstanding: 600,000,000
• 10 Day Avg. Volume: 1,388,500
• 30 Day Avg. Volume: 603,833
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.95
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 4.67
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 62 Neutral
• Price Target: HK$0.00 ▼(-100.00%Downside)

The overall stock score for Okura Holdings Limited is driven primarily by a promising recovery in financial performance, with improved profitability and reduced leverage. Technical analysis indicates strong momentum, though the high RSI suggests caution for potential overvaluation in the short term. The lack of valuation metrics such as P/E and dividend yield prevents a comprehensive valuation assessment. The absence of earnings call and corporate events data limits further insights.

Okura Holdings Limited Business Overview & Revenue Model

Company Description

Okura Holdings Limited is an investment holding company primarily engaged in the operation of pachinko and pachislot halls in Japan. The company is involved in the entertainment and leisure sector, focusing on providing gaming and amusement services. Okura Holdings Limited operates a network of gaming halls where customers can play pachinko and pachislot machines, which are popular forms of entertainment in Japan.

How the Company Makes Money

The company generates revenue primarily through the operation of its pachinko and pachislot halls. These gaming facilities attract customers who spend money to play the machines, thus providing a steady stream of income. Additionally, Okura Holdings Limited may leverage partnerships with machine manufacturers and other service providers to enhance its offerings and attract a larger customer base. Revenue is also influenced by the company's ability to maintain and update its gaming facilities, ensuring a high-quality customer experience that encourages repeat visits.

Okura Holdings Limited Financial Statement Overview

Summary

Okura Holdings Limited shows a promising recovery in financial health with improved profitability and reduced leverage. Positive income statement margins and a stronger equity position are highlights, though caution is warranted due to high total liabilities and declining free cash flow growth.

Income Statement

Okura Holdings Limited has shown a significant recovery in its income statement metrics. Gross profit margin improved to 18.37% in 2024 from 12.37% in 2023, and the net profit margin rebounded to 31.54% from 51.24% a year earlier. Revenue growth rate stood at 3.17%, signaling a positive revenue trajectory. EBIT and EBITDA margins remained robust at 30.78% and 41.47% respectively. However, the company's profitability has been volatile over the years, with a notable negative performance in 2022 and 2020.

Balance Sheet

The balance sheet of Okura Holdings Limited shows a strong equity position with an equity ratio of 42.06% in 2024, an improvement from previous years. The debt-to-equity ratio decreased to 1.04, indicating reduced leverage and improved financial stability. Return on equity improved to 26.31%, suggesting enhanced profitability on shareholders' equity. However, high total liabilities remain a concern, potentially affecting long-term financial flexibility.

Cash Flow

Okura Holdings Limited has managed to generate positive free cash flow consistently, albeit with a decline in free cash flow growth rate to -35.10% in 2024 from 16.94% in 2023. The operating cash flow to net income ratio stood at 1.04, indicating efficient cash generation relative to net income. Despite a decrease in free cash flow, the company maintains a healthy cash position, which supports its operational needs and potential investments.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	6.48B	6.48B	6.28B	5.56B	5.42B	7.05B
Gross Profit	1.88B	1.19B	777.00M	-414.00M	-344.00M	-6.03B
EBITDA	2.14B	2.69B	3.99B	-83.00M	1.01B	-4.97B
Net Income	1.43B	2.04B	3.22B	-1.32B	-577.00M	-6.36B
Balance Sheet
Total Assets	18.21B	18.47B	18.27B	18.60B	21.32B	22.15B
Cash, Cash Equivalents and Short-Term Investments	3.09B	3.69B	3.45B	3.78B	4.07B	2.63B
Total Debt	7.54B	8.08B	10.04B	14.50B	15.61B	16.26B
Total Liabilities	9.94B	10.70B	12.55B	16.44B	17.85B	18.09B
Stockholders Equity	8.27B	7.77B	5.72B	2.16B	3.48B	4.06B
Cash Flow
Free Cash Flow	2.26B	755.00M	1.16B	1.01B	1.50B	1.26B
Operating Cash Flow	2.52B	2.13B	1.72B	1.35B	1.54B	1.40B
Investing Cash Flow	-374.00M	-1.03B	-658.00M	-665.00M	-294.00M	-1.01B
Financing Cash Flow	-1.25B	-477.00M	-1.04B	-937.00M	-152.00M	-1.41B

Okura Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.16
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1655, the sentiment is Positive. The current price of 0.16 is above the 20-day moving average (MA) of 0.13, above the 50-day MA of 0.12, and above the 200-day MA of 0.13, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 78.53 is Negative, neither overbought nor oversold. The STOCH value of 65.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1655.

Okura Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1245	76 Outperform	HK$254.72M	8.22	2.95%	3.29%	-0.75%	35.42%
1655	62 Neutral	HK$93.60M	0.30		―	―	―
8400	60 Neutral	HK$39.00M	9.74	20.64%	―	70.92%	―
Sector *	56 Neutral	HK$24.58B	3.79	-2.03%	6.58%	-0.32%	-67.68%
1371	50 Neutral	HK$74.12M	―		―	6.90%	-80.61%
0582	45 Neutral	HK$226.70M	―	-7.19%	―	1.09%	38.09%
8308	39 Underperform	HK$59.80M	―	-28.31%	―	-0.38%	51.41%

Okura Holdings Limited Corporate Events

Okura Holdings Limited Enhances Governance with Revised Nomination Committee Terms

Okura Holdings Limited has revised the terms of reference for its Nomination Committee, emphasizing the importance of board diversity and corporate governance. This move is likely to enhance the company’s governance practices and strengthen its market position by ensuring a diverse and effective leadership structure.

Okura Holdings Announces Board Changes

Okura Holdings Limited has announced a change in its board composition, effective June 9, 2025. Mr. Masaaki Ayres has resigned as an independent non-executive director and member of various committees to focus on other business ventures. He is succeeded by Mr. Yuji Matsuzaki, who has been re-appointed to the same roles. Mr. Matsuzaki brings extensive experience from his previous tenure with the company and other business ventures in the food and beverage, hospitality, and business consultancy sectors. This change is expected to bring valuable insights and guidance to Okura Holdings Limited’s board.

Okura Holdings Limited Announces Board Composition and Committee Roles

Okura Holdings Limited has announced the composition of its board of directors, highlighting the roles and functions of its executive and independent non-executive directors. The board has also established three committees: Audit, Remuneration, and Nomination, with specific directors assigned as members or chairpersons. This announcement provides clarity on the governance structure of the company, which can influence its strategic direction and decision-making processes, potentially impacting stakeholders and investors.