Profitability / MarginsSustained gross and net margin improvement signals durable project-level profitability and pricing discipline across EPC and equipment sales. Higher margins provide ongoing cushion to absorb project cost swings and fund reinvestment in services and product development over the medium term.

Balance Sheet StrengthA high equity ratio and low leverage give the company stable financial flexibility to bid on large public projects, withstand construction risks, and support capex or retrofit investments without immediate refinancing pressure, strengthening resilience over coming quarters.

Recurring Services / Steady RevenueAn installed base that generates O&M, parts and retrofit work creates recurring, higher-margin revenue that smooths cyclical EPC receipts. Combined with modest revenue growth, this supports more stable cash inflows and margin preservation across multi-year maintenance cycles.

Bears Say

Weak Cash GenerationNegative free cash flow and weak operating cash conversion constrain the company’s ability to self-fund projects, service investments, and build cash buffers. Over a 2-6 month horizon this heightens reliance on external financing or working-capital management, raising execution risk.

Margin Volatility / Project RiskVariable EBIT/EBITDA margins point to sensitivity to project mix, cost overruns, and contract timing typical of large EPC work. This structural volatility can cause uneven profitability and cash flows across reporting periods, complicating planning and investment decisions.

Dependence On Public TendersHeavy exposure to municipal tenders and industrial capex cycles makes revenue lumpy and tied to public budgets and policy timing. Tender-driven order intake can produce multi-quarter variability in utilization and backlog, limiting revenue visibility and predictability.

TKUMF FAQ

What was Takuma Co Ltd’s price range in the past 12 months?

Takuma Co Ltd lowest stock price was $8.99 and its highest was $18.43 in the past 12 months.

What is Takuma Co Ltd’s market cap?

Takuma Co Ltd’s market cap is $1.45B.

When is Takuma Co Ltd’s upcoming earnings report date?

Takuma Co Ltd’s upcoming earnings report date is May 20, 2026 which is in 58 days.

How were Takuma Co Ltd’s earnings last quarter?

Takuma Co Ltd released its earnings results on Feb 13, 2026. The company reported $0.374 earnings per share for the quarter, beating the consensus estimate of N/A by $0.374.

Is Takuma Co Ltd overvalued?

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

Does Takuma Co Ltd pay dividends?

Takuma Co Ltd pays a Semiannually dividend of $0.257 which represents an annual dividend yield of 5.54%. See more information on Takuma Co Ltd dividends here

What is Takuma Co Ltd’s EPS estimate?

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

How many shares outstanding does Takuma Co Ltd have?

Takuma Co Ltd has 80,536,800 shares outstanding.

What happened to Takuma Co Ltd’s price movement after its last earnings report?

Takuma Co Ltd reported an EPS of $0.374 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 Takuma Co Ltd?

Currently, no hedge funds are holding shares in TKUMF

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

Takuma Co Ltd

Takuma Co., Ltd. engages in the design, construction, and superintendence of various boilers, plant machineries, pollution prevention and environmental equipment plants, heating and cooling equipment, and feed water/drainage sanitation equipment and facilities in Japan and internationally. It operates through four segments: Domestic Environment and Energy Business, Overseas Environment and Energy Business, Package Boiler Business, and Equipment and System Business. The Domestic Environment and Energy Business segment operates general waste treatment, industrial waste treatment, waste recycling, wastewater treatment, sludge combustion, and biomass power plants. The Overseas Environment and Energy Business segment operates waste combusting and biomass power plants. The Package Boiler Business segment offers compact through-flow boilers and vacuum water heating systems. The Equipment and System Business segment provides construction equipment, and equipment for the semiconductor industry and cleaning systems. The company was formerly known as Takuma Boiler Manufacturing Co., Ltd. and changed its name to Takuma Co., Ltd. in 1972. Takuma Co., Ltd. was incorporated in 1938 and is headquartered in Amagasaki, Japan.