Curves Holdings Co., Ltd. (7085) AI Stock Analysis

• Market Cap: ¥75.30B
• Dividend Yield: 2.22%
• Average Volume (3M): 213.25K
• Price to Earnings (P/E): 17.5
• Beta (1Y): 0.43
• Revenue Growth: 5.92%
• EPS Growth: 20.63%
• Country: JP
• Employees: 568
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Leisure
• EPS (TTM): 11.44
• Shares Outstanding: 93,857,500
• 10 Day Avg. Volume: 320,850
• 30 Day Avg. Volume: 213,250
• PEG Ratio: 0.85
• Price to Book (P/B): 3.74
• Price to Sales (P/S): 2.01
• P/FCF Ratio: 13.67
• 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): 52.9
• Revenue Forecast (FY): ¥41.12B

• Rating: 76 Outperform
• Price Target: ¥924.00 ▲(15.36% Upside)
• Action: Reiterated Date: 12/11/25
• Date: Action: Reiterated 12/11/25

Curves Holdings Co., Ltd. demonstrates strong financial performance, which is the most significant factor in its overall score. The company's solid revenue growth, profitability, and cash flow management are key strengths. Technical analysis and valuation also contribute positively, though they indicate moderate expectations. The absence of earnings call data and corporate events does not impact the score.

Positive Factors

Improved leverage and high ROE

A sharply lower debt-to-equity ratio and a 21.35% ROE indicate materially reduced financial risk and efficient use of equity. This durable capital structure improvement increases financial flexibility for reinvestment, dividends, or M&A over the coming months.

Strong cash flow generation

Very high FCF conversion and solid operating cash conversion show the company reliably turns profits into cash. This supports sustainable capex, franchise or club investment, and debt reduction, underpinning operational resilience across economic cycles.

Healthy margins and consistent profitability

Robust gross and net margins plus improving operating margins reflect pricing power and cost control in the core fitness business. Durable profitability provides internal funding for membership services and margin protection in slow growth periods.

Negative Factors

Modest revenue growth pace

Revenue growth is positive but modest, with single-digit and low single-digit recent gains. Over the medium term this limits scaling velocity and reliance on organic member additions; slower top-line expansion may constrain investment and market-share gains.

Moderate equity ratio

Despite much lower leverage, a moderate equity ratio signals limited cushion against shocks and may restrict capacity for large capex or acquisitions without raising equity or debt. This tempers strategic optionality over the next several months.

Concentrated membership-driven revenue mix

Heavy dependence on membership fees and physical club access exposes the business to secular shifts (digital fitness, demographic change) and local demand swings. Structural diversification of revenue streams is needed to reduce long-term concentration risk.

Curves Holdings Co., Ltd. Business Overview & Revenue Model

Company Description

CURVES HOLDINGS Co., Ltd. manages and operates fitness club for women under the Curves brand name in Japan. The company also focuses on providing online fitness program under the Ouchi de Curves name. CURVES HOLDINGS Co., Ltd. was founded in 2005 and is headquartered in Tokyo, Japan. CURVES HOLDINGS Co., Ltd. was a former subsidiary of Koshidaka Holdings Co., Ltd.

How the Company Makes Money

Curves Holdings Co., Ltd. generates revenue primarily through membership fees collected from its network of fitness clubs. Members pay monthly or annual subscriptions to access gym facilities, group classes, and personalized training programs. In addition to membership fees, the company also earns income from selling fitness-related merchandise, such as apparel and nutritional supplements. Strategic partnerships with health organizations and wellness brands further enhance revenue opportunities, allowing for co-branded promotions and cross-marketing initiatives. The company's emphasis on community engagement and member retention strategies also plays a crucial role in stabilizing and growing its revenue streams.

Curves Holdings Co., Ltd. Financial Statement Overview

Summary

Curves Holdings Co., Ltd. exhibits a solid financial performance with consistent revenue and profit growth, improved leverage, and strong cash flow management. The company maintains strong profitability metrics and has significantly reduced its financial risk.

Income Statement

Curves Holdings Co., Ltd. has demonstrated consistent revenue growth over the past years, with a notable increase in revenue of 2.37% in the latest period. The company maintains strong profitability metrics, with a gross profit margin of 42.72% and a net profit margin of 11.45%. The EBIT and EBITDA margins have also improved, indicating efficient operational management. Overall, the income statement reflects a positive growth trajectory and stable profitability.

Balance Sheet

The company has significantly improved its financial leverage, reducing the debt-to-equity ratio from 1.90 in 2021 to 0.27 in 2025. This indicates a stronger equity position and reduced financial risk. The return on equity (ROE) has increased to 21.35%, showcasing effective utilization of equity to generate profits. However, the equity ratio remains moderate, suggesting room for further strengthening of the balance sheet.

Cash Flow

Curves Holdings Co., Ltd. has shown robust cash flow management, with a strong free cash flow to net income ratio of 88.83%. The operating cash flow to net income ratio is also healthy at 54.24%, indicating efficient conversion of income into cash. The company has achieved consistent free cash flow growth, reflecting its ability to generate cash sustainably.

Breakdown	Aug 2025	Aug 2024	Aug 2023	Aug 2022	Aug 2021
Income Statement
Total Revenue	37.57B	35.47B	30.02B	27.51B	24.68B
Gross Profit	16.05B	15.15B	12.81B	11.99B	10.40B
EBITDA	8.77B	7.73B	6.18B	5.19B	3.52B
Net Income	4.30B	3.57B	2.55B	2.25B	1.13B
Balance Sheet
Total Assets	39.20B	41.37B	39.11B	38.35B	36.28B
Cash, Cash Equivalents and Short-Term Investments	8.70B	8.30B	8.13B	8.21B	9.76B
Total Debt	5.37B	8.67B	11.96B	15.25B	17.42B
Total Liabilities	19.05B	21.97B	24.04B	26.00B	27.12B
Stockholders Equity	20.16B	19.41B	15.07B	12.36B	9.16B
Cash Flow
Free Cash Flow	5.52B	5.28B	4.07B	2.34B	2.58B
Operating Cash Flow	6.21B	5.43B	4.92B	3.27B	3.24B
Investing Cash Flow	-727.00M	-967.01M	-891.90M	-943.99M	-733.33M
Financing Cash Flow	-4.89B	-4.33B	-4.09B	-4.22B	-2.31B

Curves Holdings Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 801.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7085, the sentiment is Positive. The current price of 801 is above the 20-day moving average (MA) of 758.49, above the 50-day MA of 766.45, and above the 200-day MA of 746.00, indicating a bullish trend. The MACD of 8.92 indicates Negative momentum. The RSI at 74.33 is Negative, neither overbought nor oversold. The STOCH value of 82.39 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7085.

Curves Holdings Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7085	76 Outperform	¥75.30B	17.55	―	2.22%	5.92%	20.63%
7092	74 Outperform	¥43.19B	17.21	―	1.95%	16.36%	38.48%
6074	64 Neutral	¥2.10B	8.33	―	3.75%	3.65%	-8.80%
2340	62 Neutral	¥15.51B	22.11	―	―	14.37%	-44.67%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
4801	61 Neutral	¥27.64B	24.31	―	1.85%	4.17%	-20.08%

Curves Holdings Co., Ltd. Corporate Events

Curves Holdings Delivers Higher Sales, Keeps FY2026 Outlook and Plans Dividend Increase

Curves Holdings reported consolidated net sales of ¥9.64 billion for the three months ended November 30, 2025, an 8.9% year-on-year increase, with operating profit up 6.3% to ¥1.80 billion and ordinary profit up 3.3% to ¥1.76 billion, while profit attributable to owners of parent edged down 1.0% to ¥1.05 billion. The company’s financial position improved, with total assets at ¥37.93 billion and the equity ratio rising to 55.0%, and it maintained its full-year forecast for fiscal 2026, projecting net sales of ¥41.3 billion and a 9.2% increase in profit attributable to owners of parent to ¥4.70 billion. Curves also plans to raise annual dividends to ¥25 per share for the year ending August 31, 2026, including a commemorative component, signaling confidence in earnings stability and a continued commitment to shareholder returns despite a slight dip in quarterly bottom-line profit.

The most recent analyst rating on (JP:7085) stock is a Buy with a Yen851.00 price target. To see the full list of analyst forecasts on Curves Holdings Co., Ltd. stock, see the JP:7085 Stock Forecast page.