Low Leverage (Debt-to-Equity 0.20)A low debt-to-equity ratio (0.20) provides durable financial flexibility for a content-driven firm. It lowers interest burden, helps absorb cyclical box-office and distribution swings, and enables strategic multi-year investments in intellectual property without over-reliance on external financing.

Strong Free Cash Flow GenerationMaterial free cash flow ($101.15M) supports sustained investment in content creation, licensing, and platform development. Reliable cash conversion reduces need for dilutive or debt financing, enabling organic growth, selective M&A, and the ability to fund long-term franchises through volatile revenue periods.

High Gross Profit Margin (~80%)A near-80% gross margin signals strong content economics and scalable distribution. High unit margins grant structural pricing power and the capacity to invest in marketing or IP development while maintaining profitability, supporting long-term operating leverage as revenues normalize or expand.

Bears Say

Sharp Recent Revenue DeclineA reported revenue growth metric of roughly -53% denotes a significant top-line contraction that can be structural. Sustained revenue declines erode scale, reduce bargaining leverage with platforms and distributors, and constrain the firm’s ability to reinvest in new content and maintain long-term competitive positioning.

Declining EPSEPS falling by roughly 18% signals weakening per-share profitability and potential margin pressure. Continued EPS declines limit retained earnings accumulation, reduce strategic financial flexibility for high-cost productions, and may indicate structural cost or revenue mix issues needing remediation.

Decreasing Stockholders' Equity / Net IncomeA noted decrease in stockholders' equity coupled with declining net income weakens the balance sheet over time. Eroding equity reduces headroom for borrowing, can trigger covenant or rating pressure, and limits the company’s capacity to fund large upfront content investments essential in entertainment.

SLD Entertainment, Inc. News

SLD Entertainment Posts Lower Nine-Month Profit but Keeps Full-Year Outlook Intact

SLD Entertainment, Inc. ( ($JP:3223) ) just unveiled an announcement. SLD Entertainment Inc. reported largely flat non-consolidated net...

1M ago

3223

SLD Entertainment Inc. Reports Financial Decline but Forecasts Recovery

SLD Entertainment, Inc. ( ($JP:3223) ) has issued an announcement. SLD Entertainment Inc. reported a decline in its...

4M ago

3223

3223 FAQ

What was SLD Entertainment, Inc.’s price range in the past 12 months?

SLD Entertainment, Inc. lowest stock price was ¥767.00 and its highest was ¥1330.00 in the past 12 months.

What is SLD Entertainment, Inc.’s market cap?

SLD Entertainment, Inc.’s market cap is ¥1.58B.

When is SLD Entertainment, Inc.’s upcoming earnings report date?

SLD Entertainment, Inc.’s upcoming earnings report date is Apr 10, 2026 which is in 52 days.

How were SLD Entertainment, Inc.’s earnings last quarter?

SLD Entertainment, Inc. released its earnings results on Jan 14, 2026. The company reported -¥2.66 earnings per share for the quarter, missing the consensus estimate of N/A by -¥2.66.

Is SLD Entertainment, Inc. overvalued?

According to Wall Street analysts SLD Entertainment, Inc.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does SLD Entertainment, Inc. pay dividends?

SLD Entertainment, Inc. pays a Annually dividend of ¥20 which represents an annual dividend yield of N/A. See more information on SLD Entertainment, Inc. dividends here

What is SLD Entertainment, Inc.’s EPS estimate?

SLD Entertainment, Inc.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does SLD Entertainment, Inc. have?

SLD Entertainment, Inc. has 1,560,864 shares outstanding.

What happened to SLD Entertainment, Inc.’s price movement after its last earnings report?

SLD Entertainment, Inc. reported an EPS of -¥2.66 in its last earnings report, missing expectations of N/A. Following the earnings report the stock price went down -2.301%.

Which hedge fund is a major shareholder of SLD Entertainment, Inc.?

Currently, no hedge funds are holding shares in JP:3223

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

SLD Entertainment, Inc.

SLD Entertainment, Inc. operates restaurants in Japan. It operates a dining cafe under the kawara CAFE & DINING brand name; and plans and conducts live events and cultural contents focusing on music, art, and food. The company also offers event planning and shop production services; engages in store building activities; and space production services. SLD Entertainment, Inc. was incorporated in 2004 and is headquartered in Tokyo, Japan.