Kyoritsu Maintenance Co., Ltd. (9616) AI Stock Analysis

• Market Cap: ¥273.11B
• Dividend Yield: 1.26%
• Average Volume (3M): 605.59K
• Price to Earnings (P/E): 18.7
• Beta (1Y): 0.63
• Revenue Growth: 12.15%
• EPS Growth: 17.25%
• Country: JP
• Employees: 5,939
• Sector: Consumer Cyclical
• Sector Strength: 59
• Industry: Travel Lodging
• EPS (TTM): 23.18
• Shares Outstanding: 78,439,640
• 10 Day Avg. Volume: 446,320
• 30 Day Avg. Volume: 605,590
• PEG Ratio: 2.23
• Price to Book (P/B): 3.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -15.93
• 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: ¥4,080.00
• Price Target Upside: 16.84% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 74 Outperform
• Price Target: ¥3,964.00 ▲(13.52%Upside)

The overall score reflects strong financial performance and positive technical indicators, supported by a balanced valuation. The company's growth trajectory and operational efficiency are notable strengths, though cash flow management requires attention due to recent capital expenditures.

Kyoritsu Maintenance Co., Ltd. Business Overview & Revenue Model

Company Description

Kyoritsu Maintenance Co., Ltd. is a Japanese company primarily engaged in the provision of dormitory services, hotel operations, and comprehensive building management services. Founded in 1979, the company operates through various segments, including Dormitory Business, Hotel Business, and Comprehensive Building Management Business, catering to students, business travelers, and corporate clients across Japan.

How the Company Makes Money

Kyoritsu Maintenance Co., Ltd. generates revenue through its diversified business segments. The Dormitory Business segment provides accommodation services to students and company employees, generating income from rental fees and associated services. The Hotel Business segment operates business and resort hotels, earning revenue from room bookings, food and beverage sales, and other hospitality services. The Comprehensive Building Management Business offers facility management and maintenance services to commercial and residential properties, contributing to the company's earnings through service fees and contracts. Strategic partnerships with educational institutions and corporations, along with a focus on expanding its hotel network, play a significant role in strengthening the company's revenue streams.

Kyoritsu Maintenance Co., Ltd. Financial Statement Overview

Summary

Kyoritsu Maintenance Co., Ltd. demonstrates strong revenue growth and profitability improvements, with healthy margins and operational efficiency gains. The balance sheet is stable, though the reliance on debt should be monitored. Cash flow management challenges are noted with significant capital investments impacting free cash flow. Overall, the company is poised for growth but must manage leverage and liquidity risks effectively.

Income Statement

Kyoritsu Maintenance Co., Ltd. shows strong revenue growth with a significant increase from previous years, evident in its TTM revenue of ¥223.47 billion. The gross profit margin has improved to approximately 24.9%, and the net profit margin is healthy at 7.7%. The EBIT and EBITDA margins also show positive trends at 9.4% and 13.7% respectively, highlighting operational efficiency improvements. The company has recovered well from previous losses, indicating strong financial performance and growth trajectory.

Balance Sheet

The company's balance sheet reflects a moderate debt-to-equity ratio of 1.43, indicating a balanced approach to leverage. The return on equity (ROE) is strong at 17.7%, demonstrating effective use of shareholder funds to generate profits. However, the equity ratio is relatively low at 34.8%, suggesting a higher reliance on debt financing. Overall, the balance sheet is stable but with potential risks due to leveraged positions.

Cash Flow

Kyoritsu's operating cash flow is positive, yet the free cash flow is negative at -¥15.76 billion in the TTM period, pointing to significant capital expenditures. The operating cash flow to net income ratio is low at 0.29, which may indicate challenges in converting income into cash. The free cash flow to net income ratio is also negative, highlighting potential liquidity constraints. Despite this, the company is investing heavily, which could support future growth.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
223.47B	204.13B	175.63B	173.70B	121.28B	169.77B
	Gross Profit
55.75B	48.99B	32.76B	22.04B	9.99B	34.22B
	EBIT
20.96B	16.71B	7.33B	1.43B	-9.06B	11.21B
	EBITDA
30.52B	25.04B	13.60B	8.54B	-9.01B	16.71B
	Net Income Common Stockholders
17.24B	12.41B	4.24B	539.00M	-12.16B	6.93B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
20.41B	31.81B	56.03B	37.94B	24.59B	18.30B
	Total Assets
279.76B	270.92B	272.31B	241.72B	239.03B	217.09B
	Total Debt
139.76B	137.94B	153.23B	135.43B	129.67B	93.05B
	Net Debt
119.35B	106.14B	97.20B	97.49B	105.08B	74.75B
	Total Liabilities
182.42B	184.32B	197.73B	171.14B	168.25B	133.13B
	Stockholders Equity
97.34B	86.60B	74.58B	70.59B	70.78B	83.95B
Cash Flow		Free Cash Flow
-15.76B	539.00M	2.73B	14.78B	-25.47B	-3.40B
	Operating Cash Flow
4.95B	24.08B	7.75B	25.72B	-17.84B	16.46B
	Investing Cash Flow
-22.03B	-31.53B	-6.65B	-16.73B	-10.01B	-22.90B
	Financing Cash Flow
6.93B	-16.79B	16.98B	4.13B	34.24B	8.21B

Kyoritsu Maintenance Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3492.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9616, the sentiment is Positive. The current price of 3492 is below the 20-day moving average (MA) of 3519.35, above the 50-day MA of 3234.28, and above the 200-day MA of 2827.17, indicating a bullish trend. The MACD of 77.48 indicates Positive momentum. The RSI at 58.60 is Neutral, neither overbought nor oversold. The STOCH value of 35.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9616.

Kyoritsu Maintenance Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9722	76 Outperform	¥120.10B	13.21		0.40%	14.07%	-0.42%
6547	75 Outperform	¥29.86B	6.54		1.07%	17.42%	-23.93%
6565	75 Outperform	¥20.70B	8.14		1.37%	7.35%	9.94%
9616	74 Outperform	¥273.11B	18.72		1.26%	12.15%	17.25%
Sector *	63 Neutral	$6.98B	11.41	2.80%	4.24%	2.68%	-24.94%
9708	60 Neutral	¥115.76B	44.75		0.82%	2.09%	-26.33%
9704	47 Neutral	€14.98B	225.79	1.65%	―	12.51%	―

Kyoritsu Maintenance Co., Ltd. Corporate Events

Kyoritsu Maintenance Boosts Year-End Dividends Amid Record Income

Kyoritsu Maintenance Co., Ltd. announced an increase in its year-end dividends to 22 yen per share, surpassing previous forecasts. This decision reflects the company’s record-high income for the fiscal year, attributed to strong performance in its core business areas. The total annual dividend is set at 38 yen per share, marking a 55.1% increase from the previous year, highlighting the company’s robust financial health and commitment to rewarding shareholders.

The most recent analyst rating on (JP:9616) stock is a Buy with a Yen3900.00 price target. To see the full list of analyst forecasts on Kyoritsu Maintenance Co., Ltd. stock, see the JP:9616 Stock Forecast page.

Kyoritsu Maintenance Reports Strong Financial Performance for FY 2025

Kyoritsu Maintenance Co., Ltd. reported a notable increase in its consolidated financial results for the fiscal year ended March 31, 2025, with net sales rising by 12.2% and operating income increasing by 22.6%. The company also executed a two-for-one stock split, impacting its earnings per share calculations. Despite a decrease in cash and cash equivalents at the end of the period, the company increased its total dividend payout, reflecting a strong financial position and commitment to shareholder returns.

The most recent analyst rating on (JP:9616) stock is a Buy with a Yen3900.00 price target. To see the full list of analyst forecasts on Kyoritsu Maintenance Co., Ltd. stock, see the JP:9616 Stock Forecast page.