ESCRIT Inc. (2196) AI Stock Analysis

• Market Cap: ¥2.70B
• Dividend Yield: N/A
• Average Volume (3M): 67.48K
• Price to Earnings (P/E): 21.3
• Beta (1Y): 0.70
• Revenue Growth: -3.96%
• EPS Growth: -73.55%
• Country: JP
• Employees: 794
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Personal Products & Services
• EPS (TTM): -29.98
• Shares Outstanding: 13,786,500
• 10 Day Avg. Volume: 52,420
• 30 Day Avg. Volume: 67,476
• PEG Ratio: -0.09
• Price to Book (P/B): 0.42
• Price to Sales (P/S): 0.10
• P/FCF Ratio: 6.84
• 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: ¥225.00
• Price Target Upside: 12.50% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 57 Neutral
• Price Target: ¥225.00 ▲(12.50% Upside)

The overall stock score of 57 reflects ESCRIT Inc.'s mixed financial performance, with strong gross profit margins but challenges in revenue and cash flow management. Technical indicators suggest a bearish trend, and the valuation is moderate. The absence of earnings call data and corporate events limits further insights.

ESCRIT Inc. Business Overview & Revenue Model

Company Description

Escrit Inc. engages in the bridal business in Japan. The company plans, performs, and manages wedding ceremonies and receptions. It is also involved in the construction and real estate business. Escrit Inc. was incorporated in 2003 and is headquartered in Tokyo, Japan.

How the Company Makes Money

ESCRIT Inc. generates revenue primarily through its wedding planning and operation services. The company earns money by charging fees for organizing wedding ceremonies and receptions, including venue rental, catering, decoration, and other related services. Significant revenue streams also come from consulting services offered to wedding venues, where the company provides expertise to improve service offerings and operational efficiency. Additionally, partnerships with hotels and event spaces enhance their service range and revenue potential.

ESCRIT Inc. Financial Statement Overview

Summary

ESCRIT Inc. demonstrates strengths in gross profit margins and a stable asset base, but faces challenges with declining revenue, profitability, and cash flow management. The high leverage could pose risks in an economic downturn, and improvements in operational efficiency and cash flow are necessary for sustained financial health.

Income Statement

ESCRIT Inc. shows a mixed income statement performance. The gross profit margin remains strong, indicating efficient production and cost management. However, revenue has declined over the past year, and net profit margin has decreased significantly from the previous year. The EBIT and EBITDA margins are lower compared to industry averages, reflecting potential challenges in operational efficiency.

Balance Sheet

The balance sheet of ESCRIT Inc. reveals moderate financial stability. The equity ratio is reasonable, but the debt-to-equity ratio indicates a relatively high level of leverage, which could pose risks if not managed properly. Return on equity has dropped significantly, suggesting decreased profitability. Overall, the company maintains a stable asset base, but the high leverage could limit future financial flexibility.

Cash Flow

ESCRIT Inc. faces challenges in cash flow management. The free cash flow has decreased from the previous year, affecting the company's ability to reinvest in growth. The operating cash flow to net income ratio is positive but lower than optimal, indicating issues in converting income into cash. The free cash flow to net income ratio also reflects this struggle, underscoring a need for improved cash management strategies.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	25.55B	26.18B	26.64B	24.13B	22.24B	12.94B
Gross Profit	13.85B	14.39B	15.04B	13.91B	11.65B	5.23B
EBITDA	1.24B	1.54B	1.93B	1.65B	1.06B	-6.32B
Net Income	125.84M	314.02M	619.81M	168.09M	477.68M	-5.42B
Balance Sheet
Total Assets	20.06B	21.33B	23.20B	22.99B	24.58B	26.14B
Cash, Cash Equivalents and Short-Term Investments	3.36B	4.57B	5.16B	5.41B	6.12B	6.72B
Total Debt	8.13B	8.17B	9.17B	9.73B	10.74B	11.04B
Total Liabilities	14.12B	15.06B	16.96B	17.12B	18.66B	20.58B
Stockholders Equity	5.94B	6.27B	6.24B	5.87B	5.93B	5.57B
Cash Flow
Free Cash Flow	0.00	385.33M	692.34M	729.38M	-509.50M	-4.92B
Operating Cash Flow	0.00	926.34M	1.22B	1.10B	-247.82M	-4.49B
Investing Cash Flow	0.00	-198.47M	-591.36M	-502.14M	132.52M	-400.64M
Financing Cash Flow	0.00	-1.31B	-915.08M	-1.32B	-486.78M	7.49B

ESCRIT Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 200.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2196, the sentiment is Negative. The current price of 200 is below the 20-day moving average (MA) of 211.70, below the 50-day MA of 222.64, and below the 200-day MA of 210.23, indicating a bearish trend. The MACD of -7.00 indicates Positive momentum. The RSI at 34.44 is Neutral, neither overbought nor oversold. The STOCH value of 37.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2196.

ESCRIT Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9160	72 Outperform	¥8.40B	9.30	―	―	11.07%	5.85%
2198	70 Outperform	¥23.33B	19.98	―	3.02%	-1.02%	-32.57%
4331	69 Neutral	¥11.99B	4.15	―	4.85%	0.81%	61.06%
2424	69 Neutral	¥3.70B	8.47	―	1.22%	6.57%	52.89%
2418	67 Neutral	¥31.43B	4.80	20.87%	1.83%	16.16%	13.88%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
2196	57 Neutral	¥2.70B	21.34	―	―	-3.96%	-73.55%

ESCRIT Inc. Corporate Events

ESCRIT Inc. Reports Decline in Q2 2025 Financial Results

ESCRIT Inc. reported a decline in its consolidated financial results for the three months ended June 30, 2025, with net sales decreasing by 11.1% compared to the previous year. The company experienced operating and ordinary losses, reflecting ongoing challenges in its market environment. Despite these setbacks, ESCRIT Inc. maintains its financial results forecast for the fiscal year ending March 31, 2026, indicating a cautious optimism about future performance.

The most recent analyst rating on (JP:2196) stock is a Hold with a Yen227.00 price target. To see the full list of analyst forecasts on ESCRIT Inc. stock, see the JP:2196 Stock Forecast page.