Riso Kagaku Corporation (6413) AI Stock Analysis

• Market Cap: ¥78.05B
• Dividend Yield: 4.01%
• Average Volume (3M): 68.95K
• Price to Earnings (P/E): 17.4
• Beta (1Y): 0.88
• Revenue Growth: 0.31%
• EPS Growth: -11.70%
• Country: JP
• Employees: 2,802
• Sector: Technology
• Sector Strength: 88
• Industry: Computer Hardware
• EPS (TTM): 22.53
• Shares Outstanding: 72,000,000
• 10 Day Avg. Volume: 53,980
• 30 Day Avg. Volume: 68,953
• PEG Ratio: -1.45
• Price to Book (P/B): 1.22
• Price to Sales (P/S): 1.03
• P/FCF Ratio: 50.88
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 66 Neutral
• Price Target: ¥1,388.00 ▲(11.22% Upside)
• Action: Downgraded Date: 10/29/25
• Date: Action: Downgraded 10/29/25

Riso Kagaku Corporation's overall stock score is driven by its strong financial performance, characterized by robust revenue growth and solid balance sheet. However, technical indicators suggest a bearish trend, and valuation metrics indicate moderate pricing with an attractive dividend yield. The absence of earnings call data and corporate events limits additional insights.

Positive Factors

Very strong balance sheet / low leverage

A very high equity ratio and near-zero leverage give the company durable financial flexibility. Low debt reduces insolvency risk, supports steady dividend policy and capital allocation, and allows management to invest in product development or weather cyclical demand without capital market dependence.

Recurring consumables and service revenue

A business model combining hardware placements with repeat consumables and service income creates high revenue visibility and customer lifetime value. Durable installed-base economics support steady cash flows, margin resilience, and cross-sell opportunities over multiple years.

High and improving gross margins

Strong, improving gross margins indicate structural cost advantages in production or pricing power on consumables. Combined with positive revenue growth and stable net margin, this supports sustainable operating profitability and capacity to fund R&D, service infrastructure, or shareholder returns.

Negative Factors

Declining free cash flow conversion

Weaker conversion of earnings into free cash flow reduces internal funding for capex, dividends, or buybacks. Persistent lower operating cash or rising capital spending can pressure liquidity, limit strategic investments, and increase reliance on cash reserves despite a strong balance sheet.

Pressure on returns and net income

A falling ROE and declining net income signal deteriorating profitability efficiency. If not reversed, lower returns can constrain shareholder value creation and may reflect competitive pressures, pricing erosion, or inefficiencies that impair long-term capital allocation and investor confidence.

Reliance on cyclical hardware placements

While consumables provide steady revenue, growth still depends on periodic hardware sales. This exposes top-line variability to customers' capital expenditure cycles and macro spending, making sustained revenue acceleration contingent on new equipment demand beyond installed-base consumption.

Riso Kagaku Corporation Business Overview & Revenue Model

Company Description

Riso Kagaku Corporation engages in the printing equipment, real estate, and other businesses in Japan and internationally. The company offers production printers, full color inkjet printers, digital duplicators, and digital screen makers under the VALEZUS, ComColor, GOCCOPRO, and RISOGRAPH names. It offers its products to educational institutions, government and public agencies, companies, and local communities. The company also engages in the leasing of buildings; and print creating and digital communication business. Riso Kagaku Corporation was founded in 1946 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Riso Kagaku Corporation generates revenue primarily through the sale of its printing equipment, including high-speed inkjet printers and duplicators, alongside the consumables required for their operation, such as ink and paper. The company's revenue model is heavily reliant on both hardware sales and the recurring sales of consumables, which creates a steady stream of income. Additionally, Riso engages in service agreements and maintenance contracts for its equipment, further supplementing its earnings. Strategic partnerships with educational institutions and commercial printing companies also bolster its revenue, as they often require large volumes of printing solutions. The company’s focus on innovation and quality helps maintain its market position and attract repeat customers.

Riso Kagaku Corporation Financial Statement Overview

Summary

Riso Kagaku Corporation demonstrates strong financial health with robust revenue growth and profitability margins. The balance sheet is solid with low leverage and a high equity ratio, reducing financial risk. However, there are some concerns about declining net income and free cash flow, which should be monitored. Overall, the company's financial position is stable with opportunities for improvement in cash flow management.

Income Statement

The income statement shows a strong gross profit margin and consistent revenue growth over the years. Gross Profit Margin improved to 59.7% in 2025 from 57.6% in 2024, and the Net Profit Margin is stable at around 5.2%. The company's EBIT and EBITDA margins have shown improvement, indicating effective cost management. Revenue Growth has been positive with a 5.5% increase in 2025 compared to 2024, indicating a healthy upward trajectory. However, the decline in Net Income from the previous year suggests some pressure on bottom-line profitability.

Balance Sheet

The balance sheet reflects a strong equity position with an Equity Ratio of 74.8% in 2025, suggesting financial stability and low leverage with a Debt-to-Equity Ratio at 0.07. This indicates prudent financial management and low risk of insolvency. Return on Equity showed a slight decrease from 7.2% in 2024 to 6.1% in 2025, which might be a concern if not addressed, but overall, the company appears financially robust with a positive asset base.

Cash Flow

The cash flow statement highlights a decline in Free Cash Flow due to reduced operating cash flow and higher capital expenditure. The Free Cash Flow to Net Income ratio decreased, suggesting a lesser conversion of profits into cash. Operating Cash Flow to Net Income ratio remains positive, but the reduction from prior years indicates potential cash management challenges. Despite these concerns, the company maintains a positive cash flow position, which is essential for ongoing operations.

Breakdown	TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2021
Income Statement
Total Revenue	77.56B	78.72B	74.60B	74.66B	69.31B	68.43B
Gross Profit	46.91B	47.03B	42.96B	42.07B	39.06B	37.87B
EBITDA	8.94B	9.28B	9.42B	9.20B	8.14B	5.19B
Net Income	3.24B	4.09B	4.83B	4.62B	3.58B	1.65B
Balance Sheet
Total Assets	89.51B	88.91B	88.63B	84.77B	81.83B	81.76B
Cash, Cash Equivalents and Short-Term Investments	16.14B	13.83B	21.49B	20.66B	19.75B	18.52B
Total Debt	7.02B	4.41B	24.00M	43.00M	239.00M	329.00M
Total Liabilities	25.34B	22.40B	21.74B	20.48B	18.86B	20.70B
Stockholders Equity	64.17B	66.50B	66.89B	64.30B	62.97B	61.07B
Cash Flow
Free Cash Flow	0.00	1.59B	5.55B	4.74B	4.14B	3.39B
Operating Cash Flow	0.00	3.35B	6.48B	5.64B	5.39B	5.63B
Investing Cash Flow	0.00	-8.30B	-1.30B	-742.00M	-1.38B	-2.16B
Financing Cash Flow	0.00	-1.47B	-5.60B	-4.44B	-3.59B	-1.16B

Riso Kagaku Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1248.00
• 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:6413, the sentiment is Positive. The current price of 1248 is below the 20-day moving average (MA) of 1251.20, below the 50-day MA of 1253.20, and above the 200-day MA of 1191.70, indicating a bullish trend. The MACD of 4.32 indicates Negative momentum. The RSI at 59.82 is Neutral, neither overbought nor oversold. The STOCH value of 52.73 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6413.

Riso Kagaku Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7739	76 Outperform	¥148.33B	22.83	―	1.92%	7.46%	-8.01%
7751	69 Neutral	¥4.49T	12.76	―	3.27%	4.02%	-41.52%
6737	69 Neutral	¥93.22B	18.57	―	4.76%	1.81%	9.07%
6724	67 Neutral	¥671.82B	15.36	6.07%	3.69%	0.48%	6.92%
6413	66 Neutral	¥78.05B	17.39	―	4.01%	0.31%	-11.70%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
6588	55 Neutral	€176.38B	-28.01	-6.22%	1.61%	-4.91%	-136.94%

Riso Kagaku Corporation Corporate Events

Riso Kagaku Lifts Profit Despite Lower Sales, Keeps Dividend Outlook Intact

Riso Kagaku reported consolidated net sales of ¥56.47 billion for the nine months ended December 31, 2025, down 1.1% year on year, with operating profit falling 13.7% to ¥3.69 billion and ordinary profit down 5.4% to ¥4.33 billion. Despite softer sales and profit pressures, profit attributable to owners of parent rose 19.5% to ¥3.23 billion, and basic earnings per share increased to ¥50.49, supported by improved comprehensive income.

Total assets grew to ¥92.61 billion while net assets edged up to ¥67.15 billion, though the equity ratio slipped to 72.5% from 74.8%, indicating a modest change in capital structure. For the full fiscal year ending March 31, 2026, the company forecasts a 1.9% decline in net sales to ¥77.2 billion and lower operating and ordinary profits, but expects a 10.1% rise in profit attributable to owners of parent and plans to maintain a total annual dividend of ¥50 per share, signaling continued shareholder returns despite a challenging earnings environment.

The most recent analyst rating on (JP:6413) stock is a Hold with a Yen1382.00 price target. To see the full list of analyst forecasts on Riso Kagaku Corporation stock, see the JP:6413 Stock Forecast page.

Riso Kagaku Posts Higher Nine-Month Profit Despite Lower Sales, Keeps Full-Year Outlook and Dividend Plan

Riso Kagaku Corporation reported consolidated net sales of ¥56.47 billion for the nine months ended December 31, 2025, down 1.1% year on year, with operating profit declining 13.7% to ¥3.69 billion and ordinary profit down 5.4% to ¥4.33 billion, even as profit attributable to owners of parent rose 19.5% to ¥3.23 billion and basic earnings per share increased following a two-for-one stock split. Total assets expanded to ¥92.61 billion and equity rose to ¥67.15 billion, though the equity-to-asset ratio slipped to 72.5%, and the company maintained its dividend stance with no interim payout and a planned year-end dividend of ¥50 per share, while keeping full-year forecasts unchanged, projecting modest top-line contraction but a double-digit rise in full-year net profit, signaling stable shareholder returns despite profitability pressure at the operating level.

The most recent analyst rating on (JP:6413) stock is a Hold with a Yen1392.00 price target. To see the full list of analyst forecasts on Riso Kagaku Corporation stock, see the JP:6413 Stock Forecast page.

Riso Kagaku Launches ¥500 Million Share Buyback to Bolster Capital Efficiency

Riso Kagaku Corporation’s board has approved a share buyback program authorizing the repurchase of up to 430,000 shares, or about 0.68% of its outstanding common stock, for a maximum total of ¥500 million through market purchases on the Tokyo Stock Exchange between February 18 and March 24, 2026. The company frames the move as part of a capital management strategy aimed at enhancing flexibility in responding to changes in the business environment while returning earnings to shareholders, a step that may support capital efficiency metrics and could be viewed positively by investors focused on shareholder returns.

The most recent analyst rating on (JP:6413) stock is a Hold with a Yen1392.00 price target. To see the full list of analyst forecasts on Riso Kagaku Corporation stock, see the JP:6413 Stock Forecast page.

Riso Kagaku Strengthens Philippine Market Presence Through Share Acquisition

Riso Kagaku Corporation has announced the acquisition of shares in two newly established companies, RISO Copylandia Philippines Corp. (RCP) and Copylandia Sales Corp. (CSC), as part of its strategy to enhance its presence in the Philippine market. This move underscores the company’s commitment to expanding regional operations by transitioning part of its distributor’s business to these successor entities, strengthening its market footprint and potential future growth in the region.

The most recent analyst rating on (JP:6413) stock is a Hold with a Yen1263.00 price target. To see the full list of analyst forecasts on Riso Kagaku Corporation stock, see the JP:6413 Stock Forecast page.

Riso Kagaku Corporation Announces Treasury Stock Purchase

Riso Kagaku Corporation has announced the purchase of 175,000 shares of its own common stock at a total cost of 213,445,000 yen, as part of a treasury stock acquisition plan. This move, executed on the Tokyo Stock Exchange, is part of a broader strategy approved by the Board to purchase up to 470,000 shares, potentially impacting the company’s stock value and shareholder equity.

The most recent analyst rating on (JP:6413) stock is a Hold with a Yen1263.00 price target. To see the full list of analyst forecasts on Riso Kagaku Corporation stock, see the JP:6413 Stock Forecast page.