Financial Products Group Co., Ltd. (7148) AI Stock Analysis

• Market Cap: ¥189.21B
• Dividend Yield: 6.22%
• Average Volume (3M): 428.99K
• Price to Earnings (P/E): 11.3
• Beta (1Y): 1.28
• Revenue Growth: 12.19%
• EPS Growth: -3.58%
• Country: JP
• Employees: 355
• Sector: Financial
• Sector Strength: 71
• Industry: Financial - Conglomerates
• EPS (TTM): 34.92
• Shares Outstanding: 83,803,600
• 10 Day Avg. Volume: 750,300
• 30 Day Avg. Volume: 428,993
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ¥2,596.00
• Price Target Upside: 9.95% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 71 Outperform
• Price Target: ¥2,596.00 ▲(9.95% Upside)

The stock's overall score is driven by strong financial performance, particularly in revenue growth and operational efficiency, despite challenges in cash flow and leverage. Valuation metrics suggest the stock is attractively priced, with a high dividend yield. Technical indicators are neutral, reflecting a lack of strong momentum in either direction.

Financial Products Group Co., Ltd. Business Overview & Revenue Model

Company Description

Financial Products Group Co., Ltd. provides various financial services in Japan. The company is involved in the leasing fund business for aircraft, marine transport containers, and ships. It also engages in the real estate fund, insurance sales, M and A advisory, FinTech, private equity, security, and trust businesses. In addition, the company provides doctor transportation services. Financial Products Group Co., Ltd. was incorporated in 2001 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Financial Products Group Co., Ltd. primarily generates revenue through the leasing and installment sales of real estate properties. The company acquires real estate, which it then leases out to generate rental income or sells through installment plans, providing a steady revenue stream. Additionally, the company offers various financial services such as consulting and asset management, earning fees and commissions. These services are often enhanced through strategic partnerships with financial institutions and other real estate enterprises, which help broaden their client base and increase their service offerings.

Financial Products Group Co., Ltd. Financial Statement Overview

Summary

The company exhibits strong revenue growth and operational performance, with healthy gross and EBIT margins. However, it faces challenges in cash flow management and maintains a high leverage position, which poses potential risks in volatile market conditions.

Income Statement

The company demonstrated strong revenue growth, increasing from ¥59.19 billion in 2022 to ¥107.78 billion in 2024, reflecting a robust growth trajectory. Gross profit margin and EBIT margin are healthy, indicating efficient cost management and operational effectiveness. However, the net profit margin slightly decreased from 19.0% in 2023 to 18.9% in 2024, suggesting a slight pressure on profitability.

Balance Sheet

The company maintains a strong equity base, with stockholders' equity increasing from ¥36.07 billion in 2022 to ¥53.21 billion in 2024. The debt-to-equity ratio is high, reflecting significant leverage which poses potential risks in a volatile market environment. However, the equity ratio is stable, indicating a solid capital structure.

Cash Flow

The company faces challenges in cash flow management, with negative free cash flow in recent periods. Operating cash flow was negative in 2024, which could impact liquidity if not addressed. The free cash flow to net income ratio is unfavorable, highlighting issues in translating earnings into cash.

Breakdown	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	107.78B	71.15B	59.19B	14.92B	12.71B
Gross Profit	38.35B	26.31B	18.63B	11.68B	7.94B
EBITDA	30.65B	18.46B	12.05B	5.84B	3.37B
Net Income	20.46B	12.47B	8.47B	2.95B	1.14B
Balance Sheet
Total Assets	230.62B	183.68B	158.05B	91.90B	132.85B
Cash, Cash Equivalents and Short-Term Investments	18.45B	16.63B	13.61B	21.29B	27.79B
Total Debt	149.62B	112.94B	99.85B	53.50B	96.03B
Total Liabilities	177.29B	139.38B	121.89B	62.51B	105.37B
Stockholders Equity	53.21B	44.19B	36.07B	29.24B	27.22B
Cash Flow
Free Cash Flow	-30.32B	-4.59B	-51.16B	26.53B	12.13B
Operating Cash Flow	-29.27B	4.77B	-50.87B	26.66B	12.20B
Investing Cash Flow	6.57B	-9.36B	-552.00M	-1.15B	-2.17B
Financing Cash Flow	24.23B	7.34B	43.65B	-31.92B	-891.04M

Financial Products Group Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2361.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7148, the sentiment is Positive. The current price of 2361 is above the 20-day moving average (MA) of 2344.90, above the 50-day MA of 2347.84, and below the 200-day MA of 2447.69, indicating a neutral trend. The MACD of -4.31 indicates Negative momentum. The RSI at 52.55 is Neutral, neither overbought nor oversold. The STOCH value of 79.31 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7148.

Financial Products Group Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7148	71 Outperform	¥189.21B	11.31		6.22%	12.19%	-3.58%
Sector *	62 Neutral	AU$10.42B	9.87	13.11%	4.72%	32.06%	21.38%
JSE	―	€922.14M	15.44	7.25%	―	―	―
MNXBF	―	$1.24B	9.85	-5.08%	5.07%	―	―
8789	71 Outperform	¥23.35B	12.56		1.27%	21.87%	-19.19%
8609	71 Outperform	¥147.85B	13.41		4.55%	-5.10%	-9.68%
7157	54 Neutral	¥197.80B	32.28		―	22.42%	5.10%

Financial Products Group Co., Ltd. Corporate Events

Financial Products Group Co., Ltd. Reports Q3 2025 Financial Results

Financial Products Group Co., Ltd. reported its consolidated financial results for the third quarter ending June 30, 2025, showing an 11.5% increase in net sales compared to the previous year. However, the company’s operating income, ordinary income, and profit attributable to owners of the parent all declined by 16.5%, 14.0%, and 17.2% respectively. The company also announced a dividend forecast for the fiscal year ending September 30, 2025, with no revisions to the latest forecast. The financial results indicate a challenging period for the company despite increased sales, with implications for stakeholders regarding profitability and dividend expectations.

Financial Partners Group Secures JPY 22 Billion Loan for Shibuya Project

Financial Partners Group Co., Ltd. has entered into a JPY 22.0 billion loan agreement with financial covenants to fund a large-scale real estate project in Shibuya-ku, Tokyo. This strategic move aims to support the company’s growth in the real estate sector, with no expected changes to its earnings forecast for the fiscal year ending September 30, 2025.

Financial Partners Group Secures Loan for Real Estate Fund Business

Financial Partners Group Co., Ltd. has entered into a loan agreement with financial covenants to secure funding for its domestic real estate fund business. The agreement, based on an existing syndicated committed credit line, requires maintaining certain financial conditions, including net assets and income levels, but does not alter the company’s earnings forecast for the fiscal year ending September 30, 2025.