Corporate Events

In Q1-2025, Nippon Seiro reported 4.32B yen in total revenues and 140M yen in net income, which represents a decrease of 19% in total revenues and a decrease of 35.8% in net income, compared to the corresponding quarter last year. In terms of profitability, the company's gross margin was 19%, below the sector median of 29.8%, and the net margin was 3.2%, also below the sector median of 5.3%. Moreover, the company's Return on Capital Employed (ROCE) was 15.9% on a trailing twelve-month basis, versus 11.1% a year ago, and also above the sector median of 8.3%. ROCE measures how effectively a company uses its capital to generate profit, which is crucial for capital-intensive energy companies.

Moving to the balance sheet, Nippon Seiro's balance sheet increased by 0.9% and currently stands at 29.39B yen. From a liquidity perspective, Nippon Seiro's current ratio is 0.95, suggesting that the company may face difficulties in covering its short-term liabilities with its current assets. In terms of leverage, the company's total debt totals 17.22B yen, a 12% decrease year-over-year. Moreover, the company's debt-to-capital ratio is 74.9%, above the sector median of 30.6%. This metric is useful for assessing Nippon Seiro's financial leverage, especially in the energy sector which is known for its high capital expenditures and long-term project investments that typically require significant amounts of debt financing to sustain operations and growth.

From a valuation perspective, Nippon Seiro is currently trading at a Price-to-Earnings (P/E) ratio of 3.4x, marking a decrease of 21.6% compared to the same quarter last year. This suggests that investors are willing to pay less for every dollar of earnings generated by the company.