Recurring MVNO Revenue ModelAs an MVNO, the company earns recurring subscription and usage fees, creating steady, predictable revenue streams. This asset-light model reduces capex needs versus network owners and supports scalable margin improvement as subscriber base grows, a durable advantage over 2–6 months.

Consistent Free Cash Flow GenerationSustained positive operating and free cash flow, with roughly 75% FCF coverage of net income and ~10% FCF growth, supports reinvestment, working-capital needs, and potential debt repayment. Strong cash conversion enhances financial flexibility over the medium term.

Healthy Margins And Profitable GrowthMargins are robust for a service-focused MVNO and reflect operational efficiency and pricing power. Combined with multi-year revenue scaling, the company demonstrates sustainable earnings quality and capacity to absorb cost variation while remaining profitable over coming quarters.

Bears Say

Rising LeverageA meaningful increase in leverage from near-zero levels weakens balance-sheet flexibility and raises interest-rate and refinancing risk. Higher debt narrows the margin for error if cash flow weakens, constraining strategic options and increasing financial vulnerability over the medium term.

Margin And Cash-flow VariabilityHistorical swings in free cash flow (including a weak FY2022) and year-to-year margin shifts indicate earnings volatility. This variability complicates long-range planning, makes capital allocation less predictable, and raises execution risk in maintaining investment and service levels.

Dependency On Third-party Network AccessReliance on wholesale network partners limits control over pricing, capacity and service quality. Supplier pricing or capacity changes could compress margins or impair service competitiveness. Lack of disclosed partner details reduces transparency on counterparty concentration risk.

9424 FAQ

What was Japan Communications Inc.’s price range in the past 12 months?

Japan Communications Inc. lowest stock price was ¥119.00 and its highest was ¥193.00 in the past 12 months.

What is Japan Communications Inc.’s market cap?

Japan Communications Inc.’s market cap is ¥23.69B.

When is Japan Communications Inc.’s upcoming earnings report date?

Japan Communications Inc.’s upcoming earnings report date is Aug 06, 2026 which is in 170 days.

How were Japan Communications Inc.’s earnings last quarter?

Japan Communications Inc. released its earnings results on Feb 05, 2026. The company reported ¥1.58 earnings per share for the quarter, beating the consensus estimate of N/A by ¥1.58.

Is Japan Communications Inc. overvalued?

According to Wall Street analysts Japan Communications Inc.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Japan Communications Inc. pay dividends?

Japan Communications Inc. does not currently pay dividends.

What is Japan Communications Inc.’s EPS estimate?

Japan Communications Inc.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Japan Communications Inc. have?

Japan Communications Inc. has 166,838,750 shares outstanding.

What happened to Japan Communications Inc.’s price movement after its last earnings report?

Japan Communications Inc. reported an EPS of ¥1.58 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went same 0%.

Which hedge fund is a major shareholder of Japan Communications Inc.?

Currently, no hedge funds are holding shares in JP:9424

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

Japan Communications Inc.

Japan Communications Inc., a mobile virtual network operator (MVNO), provides mobile services in Japan. It develops and sells network security solutions; operates FinTech platform; and researches and develops technologies for MVNO and MVNE. The company was founded in 1996 and is headquartered in Tokyo, Japan.