Revenue GrowthRe-accelerating revenue (+7.2% in 2025) signals strengthening market demand for Koken's medical devices and software. Durable top-line expansion supports recurring service and license revenue, improves predictability for capex and R&D spending, and provides a foundation to scale operations over the medium term.

Margin SustainabilityStable mid-40% gross margins and improved operating margin (~10.7%) reflect persistent product pricing power and operational leverage. Consistent gross margins support reinvestment in product development and service capabilities, preserving long-term profitability even as the business scales.

Balance Sheet HealthDeclining leverage and growing equity indicate an improving capital structure with manageable debt levels. A stronger balance sheet increases resilience to cyclical healthcare spending, preserves financing optionality for strategic investments, and reduces insolvency risk over the medium term.

Bears Say

Cash GenerationMaterial deterioration in cash generation (OCF down to 136M; FCF -232M) reduces internal funding for capex, service contracts, and product development. Persistent negative FCF would force external financing or asset sales and constrains durable investment in growth initiatives.

Earnings QualityA large gap between reported earnings and cash from operations suggests earnings are supported by accruals or timing effects rather than cash conversion. This weakens confidence in reported profitability and raises the risk that earnings will not sustainably fund dividends or reinvestment.

Return ProfileMid-single-digit returns (~6.4% ROE) imply limited ability to generate outsized shareholder returns versus capital invested. Persistently modest returns signal potential operational inefficiencies or competitive pressure that can cap long-term earnings growth and hamper capital allocation effectiveness.

7963 FAQ

What was Koken Ltd.’s price range in the past 12 months?

Koken Ltd. lowest stock price was ¥1470.00 and its highest was ¥2282.00 in the past 12 months.

What is Koken Ltd.’s market cap?

Koken Ltd.’s market cap is ¥10.56B.

When is Koken Ltd.’s upcoming earnings report date?

Koken Ltd.’s upcoming earnings report date is May 13, 2026 which is in 67 days.

How were Koken Ltd.’s earnings last quarter?

Koken Ltd. released its earnings results on Feb 10, 2026. The company reported ¥105.82 earnings per share for the quarter, beating the consensus estimate of N/A by ¥105.82.

Is Koken Ltd. overvalued?

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

Does Koken Ltd. pay dividends?

Koken Ltd. pays a Annually dividend of ¥35 which represents an annual dividend yield of 1.89%. See more information on Koken Ltd. dividends here

What is Koken Ltd.’s EPS estimate?

Koken Ltd.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Koken Ltd. have?

Koken Ltd. has 5,104,003 shares outstanding.

What happened to Koken Ltd.’s price movement after its last earnings report?

Koken Ltd. reported an EPS of ¥105.82 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went down -4.867%.

Which hedge fund is a major shareholder of Koken Ltd.?

Currently, no hedge funds are holding shares in JP:7963

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

Koken Ltd.

Koken Ltd., together with its subsidiaries, produces and sells occupational personal protective and environment quality improvement equipment in Japan. It operates in Mask-Related Business, Environmental- Related Businesses, and Other Businesses segments. The company offers clean air solutions, including KOACH, a clean zone creator; KOKENLAMINAR, a push-pull ventilation system; and LAMIKOACH, an air ventilation system as contamination source control. It also provides IMADEZE, a copper-based lactate antibacterial agent; masks for medical facilities and general consumers; and functional water production systems, such as electrolyzed water generators, endoscope washers/disinfectors, blood stain washer kits, and portable showers, as well as magnetically treated water. In addition, the company offers respirators for industrial use, including particulate respirators, powered air-purifying respirators, supplied air respirators, chemical cartridge respirators, and gas masks; respirators for general consumers; equipment for accident and disaster countermeasures; and protective clothes, ear plugs, face shields, etc. The company was founded in 1943 and is headquartered in Tokyo, Japan.