Revenue GrowthMulti-year revenue expansion from ¥11bn to ¥16.2bn demonstrates sustained demand and market traction. Durable top-line growth supports scale benefits, reinvestment capacity and stronger competitive positioning, underpinning longer-term earnings resilience beyond short cycles.

Margin ImprovementConsistent improvement in gross and net margins indicates effective cost management and pricing power. Higher margins deepen operating leverage, improving cash flow conversion and the firm's ability to sustain profitability under moderate revenue fluctuations over the medium term.

Strong Cash GenerationRising free cash flow (¥909m in 2025) and solid OCF-to-net-income metrics show reliable internal funding. Durable cash generation increases financial flexibility to fund capex, dividends, debt paydown or M&A without overreliance on external financing.

Bears Say

Negative EPS GrowthReported negative EPS growth suggests per-share earnings have been under pressure despite revenue gains. Persistent EPS decline can limit shareholder return prospects, raise scrutiny on capital allocation, and signal dilution or volatile profitability at the per-share level.

Modest EBIT MarginA sub-10% EBIT margin constrains operating leverage compared with higher-margin peers. Modest operating profitability limits the company's ability to accelerate ROIC and withstand cost inflation, making durable margin expansion a necessary medium-term objective.

Limited ScaleA small employee base implies limited operational scale and reach. Scale constraints can restrict distribution, purchasing power, and R&D investment, making it harder to achieve cost advantages and market share gains versus larger packaged-food competitors over time.

2813 FAQ

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

Wakou Shokuhin Co., Ltd. lowest stock price was ¥2946.00 and its highest was ¥4920.00 in the past 12 months.

What is Wakou Shokuhin Co., Ltd.’s market cap?

Wakou Shokuhin Co., Ltd.’s market cap is ¥11.27B.

When is Wakou Shokuhin Co., Ltd.’s upcoming earnings report date?

Wakou Shokuhin Co., Ltd.’s upcoming earnings report date is May 08, 2026 which is in 60 days.

How were Wakou Shokuhin Co., Ltd.’s earnings last quarter?

Wakou Shokuhin Co., Ltd. released its earnings results on Feb 13, 2026. The company reported ¥185.47 earnings per share for the quarter, beating the consensus estimate of N/A by ¥185.47.

Is Wakou Shokuhin Co., Ltd. overvalued?

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

Does Wakou Shokuhin Co., Ltd. pay dividends?

Wakou Shokuhin Co., Ltd. pays a Annually dividend of ¥86 which represents an annual dividend yield of 3.11%. See more information on Wakou Shokuhin Co., Ltd. dividends here

What is Wakou Shokuhin Co., Ltd.’s EPS estimate?

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

How many shares outstanding does Wakou Shokuhin Co., Ltd. have?

Wakou Shokuhin Co., Ltd. has 2,847,957 shares outstanding.

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

Wakou Shokuhin Co., Ltd. reported an EPS of ¥185.47 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 7.644%.

Which hedge fund is a major shareholder of Wakou Shokuhin Co., Ltd.?

Currently, no hedge funds are holding shares in JP:2813

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

Wakou Shokuhin Co., Ltd.

Wakou Shokuhin Co., Ltd. manufactures and sells soups and natural extracts in Japan and internationally. The company offers Ramen soups; and acts as an OEM manufacturer of various seasonings, primarily of Ramen soup. It sells its products through food manufacturers, hotels, restaurants, supermarkets, convenience stores, etc. The company was founded in 1964 and is headquartered in Otaru, Japan.