SRS HOLDINGS CO.,LTD. (8163) AI Stock Analysis

• Market Cap: ¥49.87B
• Dividend Yield: 0.62%
• Average Volume (3M): 140.47K
• Price to Earnings (P/E): 59.4
• Beta (1Y): 0.42
• Revenue Growth: 17.12%
• EPS Growth: -58.47%
• Country: JP
• Employees: 1,384
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Restaurants
• EPS (TTM): N/A
• Shares Outstanding: 41,470,184
• 10 Day Avg. Volume: 76,900
• 30 Day Avg. Volume: 140,470
• PEG Ratio: -1.09
• Price to Book (P/B): 2.96
• Price to Sales (P/S): 0.72
• P/FCF Ratio: 32.88
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 55 Neutral
• Price Target: ¥1,256.00 ▲(4.15% Upside)

The overall stock score is primarily influenced by strong financial performance, with significant improvements in revenue and profitability. However, technical analysis indicates bearish momentum, and the high P/E ratio suggests potential overvaluation. The lack of earnings call data and corporate events limits additional insights.

Positive Factors

Revenue Growth

The company's consistent revenue growth indicates a robust market position and effective business strategies, enhancing its long-term prospects.

Cash Flow Improvement

Positive cash flow trends reflect efficient cash management and operational strength, providing financial flexibility for future investments.

Balance Sheet Stability

Improved financial stability with a strong equity base and manageable debt enhances the company's resilience against economic fluctuations.

Negative Factors

High Liabilities

High liabilities could strain the company's financial resources, limiting its ability to invest in growth opportunities and manage economic downturns.

Past Profitability Challenges

Historical profitability issues highlight potential vulnerabilities in cost management and market competitiveness, which could resurface if not addressed.

Earnings Volatility

Significant EPS decline suggests potential instability in earnings, which may affect investor confidence and the company's ability to sustain growth.

SRS HOLDINGS CO.,LTD. Business Overview & Revenue Model

Company Description

SRS Holdings Co.,Ltd. operates a chain of Japanese food restaurant primarily in Japan, Taiwan, Thailand, and Indonesia. It operates approximately 600 restaurants under the Washoku Sato, Tendon Tempura Honpo Santen, Nigiri CHOJIRO, Kazokutei, Miyamoto Munashi, Himawari, Katsuya, and Karayama name, as well as operates a Japanese traditional café under the Meotozenzai name. The company was formerly known as Sato Restaurant Systems Co., Ltd. and changed its name to SRS Holdings Co.,Ltd. in October 2017. The company was incorporated in 1951 and is headquartered in Osaka, Japan.

How the Company Makes Money

SRS HOLDINGS generates revenue through multiple streams, primarily from its investment activities and asset management. The company earns returns on its investments in real estate, technology, and other sectors by capital appreciation and rental income. Additionally, SRS HOLDINGS may charge management fees for overseeing investment portfolios and providing advisory services. Significant partnerships with other financial institutions and investment firms enhance its investment capabilities and provide access to lucrative deals, further contributing to its earnings. The company's focus on diversifying its investment portfolio helps mitigate risks and stabilize revenue generation.

SRS HOLDINGS CO.,LTD. Financial Statement Overview

Summary

SRS HOLDINGS CO.,LTD. has shown strong revenue growth and improved profitability with better margins. The balance sheet indicates financial stability with increasing equity and manageable debt, though liabilities remain high. Cash flow has turned positive, reflecting improved cash management.

Income Statement

The company has shown a strong revenue growth trajectory from 2020 to 2025, with notable increases each year. Gross and net profit margins have improved significantly, indicating enhanced operational efficiency. EBIT and EBITDA margins have also improved, reflecting better cost management. However, profitability metrics were negative in earlier years, suggesting past struggles with costs and revenue generation.

Balance Sheet

The balance sheet shows a positive trend in stockholders' equity and a decreasing debt-to-equity ratio, suggesting improved financial stability. The equity ratio has remained stable, reflecting a balanced approach to asset financing. However, total liabilities remain high, presenting a potential risk in terms of leverage.

Cash Flow

Cash flow has improved notably, with free cash flow turning positive and growing in recent years. The operating cash flow to net income ratio is healthy, suggesting efficient cash generation relative to earnings. However, historical negative free cash flow in earlier years indicates past challenges in cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	70.28B	67.48B	60.23B	54.51B	42.89B	43.71B
Gross Profit	46.09B	42.31B	39.44B	35.51B	27.72B	28.17B
EBITDA	4.14B	4.01B	3.86B	332.16M	3.88B	-2.21B
Net Income	869.53M	925.80M	1.80B	-1.45B	1.57B	-4.07B
Balance Sheet
Total Assets	43.88B	45.94B	35.73B	34.37B	35.49B	31.00B
Cash, Cash Equivalents and Short-Term Investments	11.49B	12.57B	12.37B	12.15B	12.83B	9.43B
Total Debt	16.07B	17.78B	10.30B	11.45B	12.65B	14.25B
Total Liabilities	26.91B	28.92B	19.57B	20.31B	21.10B	21.01B
Stockholders Equity	16.42B	16.50B	15.74B	13.72B	14.11B	9.79B
Cash Flow
Free Cash Flow	0.00	1.48B	1.51B	94.38M	2.82B	-4.68B
Operating Cash Flow	0.00	3.68B	3.73B	2.08B	4.71B	-3.53B
Investing Cash Flow	0.00	-10.46B	-2.29B	-2.80B	-1.86B	882.82M
Financing Cash Flow	0.00	6.98B	-1.22B	-31.00M	550.28M	3.20B

SRS HOLDINGS CO.,LTD. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1206.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8163, the sentiment is Positive. The current price of 1206 is below the 20-day moving average (MA) of 1209.30, above the 50-day MA of 1190.86, and below the 200-day MA of 1221.18, indicating a neutral trend. The MACD of 3.30 indicates Positive momentum. The RSI at 53.83 is Neutral, neither overbought nor oversold. The STOCH value of 62.12 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8163.

SRS HOLDINGS CO.,LTD. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3399	72 Outperform	¥59.63B	17.73	―	0.13%	24.70%	26.13%
9900	67 Neutral	¥56.87B	36.51	―	0.53%	13.01%	33.56%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
3198	60 Neutral	¥47.27B	36.13	―	1.29%	2.90%	-26.37%
3196	59 Neutral	¥45.65B	52.00	―	0.62%	13.05%	-29.04%
3395	57 Neutral	¥57.84B	29.60	―	1.97%	23.52%	-13.42%
8163	55 Neutral	¥49.87B	59.41	―	0.62%	17.12%	-58.47%

SRS HOLDINGS CO.,LTD. Corporate Events

SRS HOLDINGS Announces Key Personnel Change

SRS HOLDINGS CO., LTD. has announced a personnel change following a Board of Directors meeting on November 18, 2025. Chika Tamaru has been appointed as the Executive Officer and Head of the SRS Group Digital Transformation Development Division, a move that underscores the company’s focus on enhancing its digital transformation efforts.

SRS HOLDINGS Reports Increased Sales but Decline in Profit

SRS HOLDINGS CO., LTD. reported its consolidated financial results for the six months ending September 30, 2025, showing an 18.2% increase in net sales compared to the previous year. Despite this growth, the profit attributable to owners of the parent decreased by 8.9%. The company forecasts a 12.6% increase in net sales for the full fiscal year ending March 31, 2026, with a significant 72.8% rise in profit attributable to owners of the parent, indicating a positive outlook for future performance.

SRS HOLDINGS Announces Strategic Personnel Changes

SRS HOLDINGS CO., LTD. announced a series of personnel changes following a Board of Directors meeting on September 29, 2025. These changes involve key positions within the company and its subsidiaries, including appointments for President & CEO and Head of Corporate Strategy Division roles. The personnel restructuring is aimed at enhancing the company’s strategic direction and operational efficiency, potentially impacting its market positioning and stakeholder relations.

SRS HOLDINGS Acquires Sushi Benkei to Boost Sushi Market Presence

SRS HOLDINGS CO., LTD. announced the acquisition of Sushi Benkei Co., Ltd., converting it into a subsidiary to expand its presence in the gourmet conveyor belt sushi market. This strategic move aligns with SRS’s Medium-term Business Plan to become the leading Japanese restaurant chain, leveraging synergies with existing brands and enhancing its market position.

SRS HOLDINGS Director Resigns Amidst Arrest Controversy

SRS HOLDINGS CO., LTD. announced the resignation of Board Director Satoru Ikeda following his arrest, which was previously reported on September 2, 2025. The company expressed regret over the incident and apologized to stakeholders, emphasizing its commitment to strengthening governance and compliance to prevent future occurrences.

SRS HOLDINGS Announces Strategic Personnel Changes

SRS HOLDINGS CO., LTD. has announced several personnel changes following a Board of Directors meeting. These changes involve appointments of directors and executive officers across its subsidiaries, including SATO FOODSERVICE CO., LTD., FOODSNET Corporation, and KAZOKUTEI CO., LTD. The changes are effective as of September 16, 2025, with further resolutions expected at upcoming extraordinary meetings. These adjustments are part of the company’s strategic efforts to streamline operations and enhance leadership across its various divisions.