Consistent Revenue GrowthSustained top-line growth demonstrates continued customer adoption of the subscription rental model and supports revenue predictability. Over 2–6 months this trend underpins recurring cash inflows, enables scale benefits, and provides a base for margin improvement if variable costs remain controlled.

Healthy Gross MarginA near-48% gross margin indicates structural pricing power or favorable unit economics in core rental operations. This margin buffer supports investment in customer experience and marketing while insulating operating profit from modest revenue shocks, aiding sustainable profitability improvements over time.

Strong Operating Cash GenerationSolid operating cash generation versus reported income shows the business converts sales into cash effectively, underpinning liquidity and operational resilience. Over months this supports working-capital needs and funds reinvestment or debt servicing even if accounting profits remain muted.

Bears Say

Weak Net ProfitabilityExtremely low net margins indicate the company struggles to translate healthy gross profits into retained earnings after SG&A, interest, and other costs. Persistently thin net profitability limits retained earnings, hinders reinvestment capacity, and constrains long-term shareholder returns absent structural cost or pricing changes.

Negative Free Cash FlowNegative free cash flow signals the company requires external funding or must draw reserves to finance growth or capital needs. Over a multi-month horizon this raises refinancing and liquidity risk, increasing dependence on debt or equity raises that can dilute stakeholders or elevate leverage costs.

High LeverageElevated leverage increases fixed interest obligations and reduces financial flexibility, making the business more sensitive to revenue disruptions or margin pressure. High debt levels constrain strategic options and raise refinancing risk over the coming months, especially with limited net profitability.

9557 FAQ

What was airCloset, Inc.’s price range in the past 12 months?

airCloset, Inc. lowest stock price was ¥215.00 and its highest was ¥523.00 in the past 12 months.

What is airCloset, Inc.’s market cap?

airCloset, Inc.’s market cap is ¥1.85B.

When is airCloset, Inc.’s upcoming earnings report date?

The company’s upcoming earnings report date is not yet available.

How were airCloset, Inc.’s earnings last quarter?

Currently, no data Available

Is airCloset, Inc. overvalued?

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

Does airCloset, Inc. pay dividends?

airCloset, Inc. does not currently pay dividends.

What is airCloset, Inc.’s EPS estimate?

airCloset, Inc.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does airCloset, Inc. have?

airCloset, Inc. has 8,284,200 shares outstanding.

What happened to airCloset, Inc.’s price movement after its last earnings report?

Currently, no data Available

Which hedge fund is a major shareholder of airCloset, Inc.?

Currently, no hedge funds are holding shares in JP:9557

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

airCloset, Inc.

airCloset, Inc. provides online fashion rental services in Japan. It also operates airCloset, a fashion rental service for women; and airCloset Mall, a manufacturer's officially monthly rental mall. The company was incorporated in 2014 and is based in Tokyo, Japan.