Nippon Beet Sugar Manufacturing Co., Ltd. (2108) AI Stock Analysis

• Market Cap: ¥34.82B
• Dividend Yield: 3.22%
• Average Volume (3M): 19.41K
• Price to Earnings (P/E): 11.4
• Beta (1Y): 0.60
• Revenue Growth: -1.05%
• EPS Growth: -140.53%
• Country: JP
• Employees: 774
• Sector: Consumer Defensive
• Sector Strength: 67
• Industry: Food Confectioners
• EPS (TTM): 13.41
• Shares Outstanding: 15,325,642
• 10 Day Avg. Volume: 13,080
• 30 Day Avg. Volume: 19,413
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ¥2,544.00
• Price Target Upside: 2.42% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 71 Outperform
• Price Target: ¥2,544.00 ▲(2.42% Upside)

The overall stock score of 71 reflects mixed financial performance, with robust technical and valuation indicators. While financial stability is present, operational inefficiencies and cash flow issues are concerns. However, the stock's bullish technical signals and attractive valuation support a favorable outlook.

Nippon Beet Sugar Manufacturing Co., Ltd. Business Overview & Revenue Model

Company Description

Nippon Beet Sugar Manufacturing Co., Ltd. (2108) is a Japanese company primarily engaged in the production and sale of sugar and related products. The company operates in the food processing sector and specializes in the manufacturing of beet sugar, a key product in their portfolio. Additionally, it is involved in the production of functional foods, offering products designed to cater to health-conscious consumers.

How the Company Makes Money

Nippon Beet Sugar Manufacturing Co., Ltd. generates revenue primarily through the sale of its sugar products, which include beet sugar and various sugar-related items. The company also diversifies its income streams by producing and selling functional foods, which are in demand due to the growing health trends. Revenue is augmented through strategic partnerships and collaborations within the food industry, allowing the company to leverage distribution networks and optimize its market reach. Furthermore, Nippon Beet Sugar's focus on quality and innovation helps maintain its competitive edge, contributing to sustained earnings.

Nippon Beet Sugar Manufacturing Co., Ltd. Financial Statement Overview

Summary

Nippon Beet Sugar Manufacturing Co., Ltd. exhibits a mixed financial performance. Stable equity and a moderate debt-to-equity ratio are positives, but challenges in operational efficiencies and cash flow volatility are concerning. Declining revenue and profit margins suggest potential struggles in maintaining growth or cost control.

Income Statement

The company exhibits a fluctuating revenue trend with a slight decline in the most recent year. Gross profit margins are relatively stable, but net profit margins have shown variability, indicating challenges in controlling costs or other operational efficiencies. The EBIT and EBITDA margins are moderate but show a declining trend, suggesting potential operational challenges.

Balance Sheet

The balance sheet shows a stable equity position with a moderate debt-to-equity ratio. However, the total debt remains significant, which could pose a financial risk. The return on equity is decent, indicating effective use of shareholders' equity. The equity ratio is strong, reflecting a solid equity base relative to assets.

Cash Flow

The cash flow statement reveals volatility, with significant fluctuations in operating and free cash flow. Negative free cash flow in recent years indicates challenges in generating sufficient cash post-capital expenditure, which may affect liquidity. The operating cash flow to net income ratio is unstable, highlighting potential issues in converting earnings into actual cash.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	64.80B	69.30B	65.01B	58.49B	54.79B
Gross Profit	13.22B	13.78B	15.14B	15.28B	16.37B
EBITDA	6.55B	5.36B	3.89B	4.64B	4.26B
Net Income	2.70B	1.81B	1.26B	1.98B	1.64B
Balance Sheet
Total Assets	101.22B	103.02B	103.15B	100.46B	97.39B
Cash, Cash Equivalents and Short-Term Investments	8.36B	12.85B	10.59B	12.16B	7.38B
Total Debt	9.05B	10.95B	18.76B	14.89B	11.89B
Total Liabilities	27.38B	30.49B	35.02B	32.54B	28.93B
Stockholders Equity	73.83B	72.53B	68.13B	67.92B	68.46B
Cash Flow
Free Cash Flow	-8.96B	8.81B	-4.65B	336.00M	-2.83B
Operating Cash Flow	-3.09B	13.04B	-1.82B	2.58B	-181.00M
Investing Cash Flow	2.21B	-1.31B	-1.70B	489.00M	-2.74B
Financing Cash Flow	-3.60B	-9.46B	2.97B	1.38B	-1.12B

Nippon Beet Sugar Manufacturing Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2484.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2108, the sentiment is Positive. The current price of 2484 is above the 20-day moving average (MA) of 2401.05, above the 50-day MA of 2366.28, and above the 200-day MA of 2321.78, indicating a bullish trend. The MACD of 22.63 indicates Negative momentum. The RSI at 67.32 is Neutral, neither overbought nor oversold. The STOCH value of 68.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2108.

Nippon Beet Sugar Manufacturing Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2114	78 Outperform	¥28.52B	10.67		3.08%	7.36%	31.17%
2112	76 Outperform	¥10.73B	5.07		2.47%	2.91%	62.43%
2117	74 Outperform	¥78.14B	14.04		4.37%	9.30%	7.40%
2108	71 Outperform	¥34.82B	11.37		3.22%	-1.05%	-140.53%
2109	71 Outperform	¥100.98B	17.00		4.04%	4.33%	5.96%
Sector *	62 Neutral	HK$21.76B	9.92	5.51%	4.81%	1.24%	-22.96%

Nippon Beet Sugar Manufacturing Co., Ltd. Corporate Events

Nippon Beet Sugar Executes Treasury Share Acquisition to Enhance Capital Efficiency

Nippon Beet Sugar Manufacturing Co., Ltd. has executed the acquisition of 83,000 treasury shares through the Tokyo Stock Exchange’s Off-Auction Own Share Repurchase Trading System, costing 203,018,000 yen. This move aims to improve capital efficiency and allow for flexible capital policy implementation, with plans to continue market purchases up to a specified limit set by the Board of Directors.

Nippon Beet Sugar Announces Strategic Share Repurchase Plan

Nippon Beet Sugar Manufacturing Co., Ltd. has announced a resolution to repurchase up to 100,000 of its common shares through the Tokyo Stock Exchange’s off-auction trading system, ToSTNeT-3, at a total cost of up to 244.6 million yen. This strategic move is part of a broader plan approved by the Board of Directors to acquire up to 500,000 shares, representing 4.02% of its issued shares, with a total acquisition cost of up to 1 billion yen, aimed at enhancing shareholder value.

Nippon Beet Sugar Completes Treasury Shares Disposal for Director Compensation

Nippon Beet Sugar Manufacturing Co., Ltd. has completed the payment for the disposal of 2,500 treasury shares as restricted stock compensation for its directors, a decision made by the Board of Directors on July 18, 2025. This move reflects the company’s strategic approach to managing its equity and aligning director incentives, potentially impacting its corporate governance and shareholder relations.

Nippon Beet Sugar Reports Decline in Quarterly Profits Amid Rising Sales

Nippon Beet Sugar Manufacturing Co., Ltd. reported a significant decline in profits for the three months ending June 30, 2025, with net sales increasing by 15.1% year-on-year but operating profit turning negative. The company has revised its forecast for the fiscal year ending March 31, 2026, indicating a challenging financial outlook with expected declines in profit attributable to owners of the parent. This financial performance may impact the company’s market positioning and stakeholder confidence.

Nippon Beet Sugar Revises Financial Forecasts Following Asset Sale

Nippon Beet Sugar Manufacturing Co., Ltd. announced the sale of a portion of its investment securities, expecting to record an extraordinary income of ¥1,340 million. This move is part of a strategy to review cross-shareholdings and improve asset efficiency. Consequently, the company has revised its financial forecasts for the fiscal year ending March 31, 2026, with a significant increase in profit attributable to owners, reflecting a positive impact on its financial outlook.

Nippon Beet Sugar Announces Strategic Share Buyback Plan

Nippon Beet Sugar Manufacturing Co., Ltd. has announced a decision to acquire up to 500,000 of its own shares, representing 4.02% of its total issued shares, in a move to improve capital efficiency and adapt to changing business conditions. This strategic acquisition, with a budget of up to 1 billion yen, is set to occur between August 12, 2025, and March 24, 2026, through market purchases on the Tokyo Stock Exchange, potentially impacting the company’s financial flexibility and shareholder value.

Nippon Beet Sugar Announces Disposal of Treasury Shares for Director Compensation

Nippon Beet Sugar Manufacturing Co., Ltd. has announced the disposal of 2,500 treasury shares as restricted stock compensation for its directors, excluding outside directors. This move is part of a long-term incentive plan to align directors’ interests with those of shareholders, aiming to boost corporate value. The shares will be subject to a transfer restriction period until August 2028, ensuring directors’ commitment to the company.

Nippon Beet Sugar Announces Director Management Change

Nippon Beet Sugar Manufacturing Co., Ltd. announced a change in its management structure, with Hidekazu Terasawa being appointed as the Director and Managing Executive Officer in charge of the Overseas, Feed, and PAPERPOT Departments. This change, effective from July 1, 2025, reflects the company’s strategic focus on strengthening its overseas and departmental operations.

Nippon Beet Sugar to Relocate Head Office for Operational Efficiency

Nippon Beet Sugar Manufacturing Co., Ltd. has announced plans to relocate its head office to a more convenient location near Tokyo Station to improve management efficiency and employee engagement. This move, scheduled for September 2025, is part of a broader strategy to enhance corporate value and has already been factored into the company’s financial forecasts.

Nippon Beet Sugar Reports Decline in Sales but Boosts Dividends

Nippon Beet Sugar Manufacturing Co., Ltd. reported a decrease in net sales and profits for the fiscal year ending March 31, 2025, with net sales declining by 6.5% and operating profit dropping by 41.2%. Despite these declines, the company saw a significant increase in profit attributable to owners of the parent by 49.2%. The company also announced an increase in annual dividends per share from 55 yen to 80 yen, reflecting a commitment to returning value to shareholders.