# Shinwa Co., Ltd.: business model and financials

> Latest period: FY ending Aug 2025, consolidated, J-GAAP
> Unit: JPY millions
> Sources: 有価証券報告書－第75期(2024/09/01－2025/08/31) (S100X5L9)
> Page: https://vizora.meequs.com/en/company/shinwa
> Retrieved: 2026-09-30T18:33:13.897Z

## Company

Shinwa, founded in 1951, is a company in Specialty Trading & Wholesale listed on TSE Prime. It has 925 employees (consolidated).

| Field | Value |
| --- | ---: |
| Legal name | Shinwa Co., Ltd. |
| Ticker | 7607 |
| Stock price | View on Yahoo Finance (https://finance.yahoo.co.jp/quote/7607.T) |
| Listing | TSE Prime |
| Head office | 名古屋市守山区苗代二丁目9番3号 |
| Representative (per filing) | 代表取締役社長 瀧谷善郎 |
| Founded | Feb 1951 |
| Share capital | ¥951.1M |
| Employees (consolidated) | 925 |
| Average salary (parent only) | ¥7.3M |
| Fiscal year end | August |
| Website | www.shinwa-jpn.co.jp (https://www.shinwa-jpn.co.jp/) |
| Corporate number | 2180001000574 |
| EDINET | E02896 |
| Industries (Vizora) | Specialty Trading & Wholesale |

> Profile source: annual securities report (S100X5L9, filed 2025-11-19). As of filing

## Five-axis industry profile

Primary industry: Specialty Trading & Wholesale (2025-08-31)

| Axis | Industry percentile | Peers |
| --- | ---: | ---: |
| Revenue growth | 46.1 | 179 |
| Profitability | 79.2 | 185 |
| Cash conversion | 90.8 | 179 |
| Efficiency | 27.3 | 185 |

Each axis is shown independently. Missing values are labeled unavailable; no combined score is calculated. Industry rank is not an investment recommendation.

## Key points (generated from figures)

- About 78% of Shinwa's sales come from Japan, with Americas and Asia Pacific making up much of the rest.
- Out of every ¥100 of sales, about ¥5 is left as operating profit.
- Revenue changed +10.7% from the prior year, operating profit +27.5%.

## Company structure

- Segment revenue mix: Japan 78.0%、Americas 10.0%、Asia Pacific 6.6%、China 4.8%、Other 0.6%
- Revenue → net income: ¥86146486000 → ¥3314145000
- Net income → operating cash flow: ¥3314145000 → ¥11336933000（difference ¥8022788000）
- Main uses of operating cash flow: CapEx ¥810196000 / dividends ¥1445804000 / buybacks ¥786000
- Change in cash: ¥8859565000
Segment shares use total reported segment revenue, which may include inter-segment sales. The cash bridge is operating cash flow minus net income and combines non-cash items and working-capital effects.

## Key figures at a glance

| Metric | Value | Note |
| --- | ---: | ---: |
| Revenue | ¥86.1B |  |
| Operating income | ¥4.54B | Margin 5.3% |
| Net income | ¥3.31B | Margin 3.8% |
| Free cash flow | ¥10.5B |  |
| Largest business | Japan | of segment revenue 78.0% |
| Employees (consolidated) | 925 |  |
| EPS | ¥230.11 |  |
| Book value per share | ¥2402.37 |  |
| Equity ratio | 58.4% |  |
| Shares outstanding | 13,815,319 |  |
| Treasury shares | 413,700 |  |
| Shareholders | 8,166 |  |
| Average salary (parent only) | ¥7.3M | Filing company only |
| Cash ratio | 38.7% | Cash ÷ revenue 33.4% |
| Vs. industry median margin | +2.4 pp | Specialty Trading & Wholesale |
| ROE | 8.4% | Derived from disclosed figures |
| ROA | 4.7% | Derived from disclosed figures |

## Notable figures

- FY2025, operating cash flow is 3.4× net income
- FY2025, one segment accounts for 68% of positive segment profit
- FY2025, cash is 39% of total assets

## What changed in 5 years

| Metric | FY ending Aug 2020 | FY ending Aug 2025 | Change |
| --- | ---: | ---: | ---: |
| Revenue | ¥68113522000 | ¥86146486000 | +26.5% |
| Operating income | ¥4831624000 | ¥4536051000 | -6.1% |
| Operating margin | 7.1% | 5.3% | -1.8 pp |
| Employees | 807 people | 925 people | +14.6% |
| Cash and equivalents | ¥16446632000 | ¥28786255000 | +75.0% |

### Change in segment revenue mix

Span: FY ending Aug 2020 → FY ending Aug 2025. Stable segment keys are connected; unmatched shares are marked as new or reorganized. Shares use total segment revenue.

| Flow | Revenue share |
| --- | ---: |
| 日本 → 日本 | 74.8% |
| 米国 → 事業再編・廃止 | 7.2% |
| 東南アジア → 事業再編・廃止 | 4.2% |
| 中国 → 中国 | 4.8% |
| 中国 → 事業再編・廃止 | 7.2% |
| その他 → その他 | 0.6% |
| その他 → 事業再編・廃止 | 1.2% |
| 新設・再編 → 日本 | 3.2% |
| 新設・再編 → 米州 | 10.0% |
| 新設・再編 → アジア・パシフィック | 6.6% |

Segment revenue source references: 10 (derived)

## Business growth × margin

X-axis: segment revenue CAGR. Y-axis: latest operating margin. Bubble size: latest revenue. CAGR requires at least two comparable years.

| Segment | CAGR span | Revenue CAGR | Latest revenue | Operating margin | Source refs |
| --- | ---: | ---: | ---: | ---: | ---: |
| Japan | 5 years | +5.7% | ¥67160265000 | 4.6% | 2 |
| Americas | 2 years | +7.7% | ¥8649927000 | 7.7% | 2 |
| Asia Pacific | — | — | ¥5674652000 | 11.8% | 2 |
| China | 5 years | -12.7% | ¥4155797000 | 2.6% | 2 |
| Other | 5 years | -16.3% | ¥505844000 | -1.0% | 2 |

## Income statement（FY ending Aug 2025, consolidated, J-GAAP）

| Item | Amount (JPY mn) | % of revenue | Source |
| --- | ---: | ---: | ---: |
| Revenue | 86,146 | 100.0% | S100X5L9 |
| Cost of revenue | 72,281 | 83.9% | S100X5L9 |
| Gross profit | 13,865 | 16.1% | S100X5L9 |
| SG&A | 9,329 | 10.8% | S100X5L9 |
| Operating income | 4,536 | 5.3% | S100X5L9 |
| Ordinary income | 4,810 | 5.6% | S100X5L9 |
| Pretax income | 4,807 | 5.6% | S100X5L9 |
| Income tax | 1,493 | 1.7% | S100X5L9 |
| Net income | 3,314 | 3.8% | S100X5L9 |
| Net income attributable to owners | 3,312 | 3.8% | S100X5L9 |

## Per ¥100 of revenue（FY ending Aug 2025）

| Part | JPY |
| --- | ---: |
| Cost of revenue | 84 |
| SG&A | 11 |
| Operating income | 5 |
| (Ref.) Net income | 4 |

### Margin funnel

Gross margin 16.1% → Operating margin 5.3% → Net margin 3.8%
Derived from reported figures (DERIVED).

## Revenue and profit pattern

Pattern: Revenue and profit up
Revenue growth: +10.7%; Core profit growth: +27.5%
Growth quality: margin-expansion
Operating leverage (core profit growth ÷ revenue growth): 2.57×
Calculated from comparable annual consolidated filings.

## Year over year（FY ending Aug 2024 → FY ending Aug 2025、JPY mn）

| Metric | Prior | Current | Change | % change |
| --- | ---: | ---: | ---: | ---: |
| Revenue | 77,846 | 86,146 | 8,301 | +10.7% |
| Gross profit | 12,096 | 13,865 | 1,769 | +14.6% |
| Operating income | 3,559 | 4,536 | 977 | +27.5% |
| Net income attributable to owners | 2,730 | 3,312 | 583 | +21.3% |
| Operating cash flow | 3,966 | 11,337 | 7,371 | +185.8% |
| Free cash flow | 3,214 | 10,527 | 7,313 | +227.5% |

## History（JPY mn）

| Period | Revenue | Op. income | Op. margin | Net income | Op. CF | FCF | Source |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| FY ending Aug 2019 | 62,461 | 4,690 | 7.5% | 3,258 | 6,162 | 5,831 | S100K8FL |
| FY ending Aug 2020 | 68,114 | 4,832 | 7.1% | 3,306 | 1,177 | 42 | S100MWWV |
| FY ending Aug 2021 | 61,161 | 4,002 | 6.5% | 2,769 | -1,035 | -1,900 | S100PO85 |
| FY ending Aug 2022 | 71,063 | 5,214 | 7.3% | 3,784 | 7,505 | 5,972 | S100SBJE |
| FY ending Aug 2023 | 76,114 | 4,996 | 6.6% | 3,585 | 1,219 | -524 | S100UTXQ |
| FY ending Aug 2024 | 77,846 | 3,559 | 4.6% | 2,730 | 3,966 | 3,214 | S100X5L9 |
| FY ending Aug 2025 | 86,146 | 4,536 | 5.3% | 3,312 | 11,337 | 10,527 | S100X5L9 |

## People and productivity（FY ending Aug 2025, consolidated, J-GAAP）

| Metric | Value |
| --- | ---: |
| Revenue per employee (consolidated) | ¥93.1M |
| Operating income per employee (consolidated) | ¥4.9M |
| Net income per employee (consolidated) | ¥3.6M |

Employees, revenue and profit are consolidated. Average annual salary is a separate parent-company figure. Calculated from disclosed figures (DERIVED).

| History | FY ending Aug 2021 | FY ending Aug 2022 | FY ending Aug 2023 | FY ending Aug 2024 | FY ending Aug 2025 |
| --- | ---: | ---: | ---: | ---: | ---: |
| Employees (consolidated) | 836 | 855 | 860 | 900 | 925 |
| Average salary (parent company) | ¥6M | ¥6.5M | ¥6.6M | ¥6.9M | ¥7.3M |
| Average age (parent company) | 37.8 years | 38.4 years | 39.2 years | 39.4 years | 40.1 years |
| Average tenure (parent company) | 10.7 years | 11.0 years | 11.6 years | 11.6 years | 11.7 years |

Year over year: Employees (consolidated) +2.8% · Revenue (consolidated) +10.7%

## Segments（FY ending Aug 2025, consolidated, J-GAAP、JPY mn）

| Segment | Revenue | Share | Op. income | Op. margin |
| --- | ---: | ---: | ---: | ---: |
| Japan | 67,160 | 78.0% | 3,079 | 4.6% |
| Americas | 8,650 | 10.0% | 665 | 7.7% |
| Asia Pacific | 5,675 | 6.6% | 669 | 11.8% |
| China | 4,156 | 4.8% | 107 | 2.6% |
| Other | 506 | 0.6% | -5 | -1.0% |

### segmentMix — Revenue and profit mix

Calculated from disclosed figures (DERIVED). Shares use total segment revenue and total positive segment profit respectively. Difference = profit share − revenue share (pt). Inter-segment sales may prevent reconciliation to company revenue.

| Segment | Revenue share | Profit share | Difference (pt) | Margin |
| --- | ---: | ---: | ---: | ---: |
| Japan | 78.0% | 68.1% | -9.8 | 4.6% |
| Americas | 10.0% | 14.7% | 4.7 | 7.7% |
| Asia Pacific | 6.6% | 14.8% | 8.2 | 11.8% |
| China | 4.8% | 2.4% | -2.5 | 2.6% |
| Other | 0.6% | — | — | -1.0% |

Loss-making segment (excluded from profit shares): Other -5 JPY mn

Segment → industry: Other → Specialty Trading & Wholesale / China → Specialty Trading & Wholesale / Asia Pacific → Specialty Trading & Wholesale / Americas → Specialty Trading & Wholesale / Japan → Specialty Trading & Wholesale

## Revenue by geography

No geographic revenue breakdown was disclosed.

## Cash flow（FY ending Aug 2025, consolidated, J-GAAP）

| Item | Amount (JPY mn) | % of revenue | Source |
| --- | ---: | ---: | ---: |
| Operating cash flow | 11,337 | 13.2% | S100X5L9 |
| Capital expenditure | 810 | 0.9% | S100X5L9 |
| Free cash flow | 10,527 | 12.2% | 算出 |
| Investing cash flow | -810 | -0.9% | S100X5L9 |
| Financing cash flow | -1,493 | -1.7% | S100X5L9 |
| Dividends paid | 1,446 | 1.7% | S100X5L9 |
| Share buyback | 1 | 0.0% | S100X5L9 |
| Change in cash | 8,860 | 10.3% | S100X5L9 |
| Cash and equivalents | 28,786 | 33.4% | S100X5L9 |

## Balance sheet

Figures are as of each fiscal year end. Derived values are marked as such in the source column. Lease liabilities are excluded from interest-bearing debt.

| Metric | FY ending Aug 2021 | FY ending Aug 2022 | FY ending Aug 2023 | FY ending Aug 2024 | FY ending Aug 2025 | Source |
| --- | ---: | ---: | ---: | ---: | ---: | ---: |
| Cash and equivalents | 14,568 | 18,846 | 17,270 | 19,623 | 28,786 | S100SBJE, S100UTXQ, S100X5L9 |
| Total assets | 56,906 | 62,699 | 58,924 | 65,600 | 74,409 | S100PO85, S100SBJE, S100UTXQ, S100X5L9 |
| Net assets | 31,951 | 36,250 | 39,246 | 41,628 | 43,609 | S100SBJE, S100UTXQ, S100X5L9 |
| Share capital | 951 | 951 | 951 | 951 | 951 | S100PO85, S100SBJE, S100UTXQ, S100X5L9 |
| Trade receivables | 10,325 | — | — | — | — | S100PO85 |
| Property, plant and equipment | 6,523 | 6,886 | 7,963 | 8,048 | 8,254 | S100PO85, S100SBJE, S100UTXQ, S100X5L9 |
| Intangible assets excluding goodwill | 436 | 1,057 | 1,054 | 888 | 696 | S100PO85, S100SBJE, S100UTXQ, S100X5L9 |
| Goodwill | 48 | 29 | 10 | 19 | 15 | S100PO85, S100SBJE, S100UTXQ, S100X5L9 |
| Investment securities | 2,064 | 2,094 | 2,534 | 2,857 | 2,680 | S100PO85, S100SBJE, S100UTXQ, S100X5L9 |
| Current assets | 47,556 | 52,298 | 47,003 | 53,009 | 62,290 | S100PO85, S100SBJE, S100UTXQ, S100X5L9 |
| Current liabilities | 23,890 | 25,171 | 18,017 | 22,015 | 28,898 | S100PO85, S100SBJE, S100UTXQ, S100X5L9 |
| Trade payables | 10,547 | 10,851 | 10,301 | 11,958 | 14,311 | S100PO85, S100SBJE, S100UTXQ, S100X5L9 |
| Short-term borrowings | 1,198 | — | — | — | — | S100PO85 |
| Long-term borrowings | 13 | — | — | — | — | S100PO85 |
| Total liabilities | 24,955 | 26,449 | 19,678 | 23,972 | 30,800 | S100PO85, S100SBJE, S100UTXQ, S100X5L9 |
| Non-controlling interests | 110 | 141 | 141 | 154 | 143 | S100PO85, S100SBJE, S100UTXQ, S100X5L9 |
| Equity attributable to owners of parent | 31,736 | 34,560 | 37,048 | 38,469 | 40,712 | S100PO85, S100SBJE, S100UTXQ, S100X5L9 |
| Retained earnings | 29,909 | 32,705 | 35,167 | 36,555 | 38,762 | S100PO85, S100SBJE, S100UTXQ, S100X5L9 |
| Treasury stock | -801 | -791 | -781 | -772 | -312 | S100PO85, S100SBJE, S100UTXQ, S100X5L9 |

### Assets and funding mix

| Assets | Share | Source |
| --- | ---: | ---: |
| Cash | 39% | S100X5L9 |
| Property, plant and equipment | 11% | S100X5L9 |
| Intangibles and goodwill | 1% | S100X5L9 |
| Investment securities | 3% | S100X5L9 |
| Other assets | 46% | S100X5L9 |

| Funding source | Share | Source |
| --- | ---: | ---: |
| Trade payables | 19% | S100X5L9 |
| Other liabilities | 22% | S100X5L9 |
| Equity | 59% | S100X5L9 |

### Balance sheet history

| Metric | FY ending Aug 2021 | FY ending Aug 2022 | FY ending Aug 2023 | FY ending Aug 2024 | FY ending Aug 2025 |
| --- | ---: | ---: | ---: | ---: | ---: |
| Total assets | 56,906 | 62,699 | 58,924 | 65,600 | 74,409 |
| Equity | 31,951 | 36,250 | 39,246 | 41,628 | 43,609 |
| Interest-bearing debt | — | — | — | — | — |
| Cash | 14,568 | 18,846 | 17,270 | 19,623 | 28,786 |

## Asset intensity and goodwill

Ratios are derived from reported values. Goodwill is used only when separately reported, never inferred from combined intangible assets.

| Metric | Value | Sources |
| --- | ---: | ---: |
| Asset intensity (fixed assets ÷ revenue) | 9.6% | S100X5L9 |
| Fixed assets ÷ total assets | 11.1% | S100X5L9 |
| Goodwill ÷ parent equity | 0.0% | S100X5L9 |

Goodwill over 4 years: 48 → 15 JPY; total investing cash flow: -5,950 JPY. This does not imply causation.

### Cash quality

Net cash = cash − interest-bearing debt. Net debt ratio = (interest-bearing debt − cash) ÷ positive operating cash flow. Omit when debt components are incomplete; other ratios are derived from reported figures.

| Metric | Value |
| --- | ---: |
| Cash ratio (cash ÷ total assets) | 38.7% |
| Cash ÷ revenue | 33.4% |
| Net cash (cash − interest-bearing debt) | — |
| Net debt ÷ operating cash flow | — |
| Cash conversion (operating CF ÷ operating income) | 249.9% |
| Cash vs. profit gap | 8,025 JPY mn (of net income 242.3%) |
| Shareholder returns / net income | 43.7% |
| Shareholder returns / FCF | 13.7% |
| Shareholder payments — dividends / net income | 43.6% |
| Shareholder payments — dividends / FCF | 13.7% |
| CapEx intensity (capex ÷ revenue) | 0.9% |
| Investing CF relative to operating CF | 7.1% |

## ROA and ROE

ROE is decomposed into net margin × asset turnover × financial leverage. Leverage can raise ROE, so the ratio alone does not assess a company's condition. Ending balances are used without a prior year; total equity approximates parent equity when unavailable.

| Period | Net margin | Asset turnover | ROA | Financial leverage | ROE | Sources |
| --- | ---: | ---: | ---: | ---: | ---: | ---: |
| 2021 | 4.5% | 1.07× | 4.9% | 1.79× | 8.7% | S100PO85 |
| 2022 | 5.3% | 1.19× | 6.3% | 1.80× | 11.4% | S100SBJE |
| 2023 | 4.7% | 1.25× | 5.9% | 1.70× | 10.0% | S100UTXQ |
| 2024 | 3.5% | 1.25× | 4.4% | 1.65× | 7.2% | S100X5L9 |
| 2025 | 3.8% | 1.23× | 4.7% | 1.77× | 8.4% | S100X5L9 |

## Ownership

| Counterparty | Relation | Ratio | As of |
| --- | ---: | ---: | ---: |
| 日本マスタートラスト信託銀行株式会社（信託口） | Major shareholder | 10.8% | 2025-08-31 |
| 進和取引先持株会 | Major shareholder | 3.8% | 2025-08-31 |
| 進和従業員持株会 | Major shareholder | 3.7% | 2025-08-31 |
| 根 本 哲 夫 | Major shareholder | 3.1% | 2025-08-31 |
| 東朋テクノロジー株式会社 | Major shareholder | 3.0% | 2025-08-31 |
| 野村信託銀行株式会社（投信口） | Major shareholder | 2.9% | 2025-08-31 |
| 根 本 完 治 | Major shareholder | 2.8% | 2025-08-31 |
| 株式会社日本カストディ銀行（信託口） | Major shareholder | 2.7% | 2025-08-31 |
| 加 藤 皓 己 | Major shareholder | 2.5% | 2025-08-31 |
| 岸 直 人 | Major shareholder | 2.2% | 2025-08-31 |

## Sources

| Document | ID | Published | URL |
| --- | ---: | ---: | ---: |
| 有価証券報告書－第75期(2024/09/01－2025/08/31) | S100X5L9 | 2025-11-19 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100X5L9,, |
| 有価証券報告書－第74期(2023/09/01－2024/08/31) | S100UTXQ | 2024-11-22 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100UTXQ,, |
| 有価証券報告書－第73期(2022/09/01－2023/08/31) | S100SBJE | 2023-11-17 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100SBJE,, |
| 訂正有価証券報告書－第72期(令和3年9月1日－令和4年8月31日) | S100PO85 | 2022-11-21 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100PO85,, |
| 有価証券報告書－第71期(令和2年9月1日－令和3年8月31日) | S100MWWV | 2021-11-19 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100MWWV,, |
| 有価証券報告書－第70期(令和1年9月1日－令和2年8月31日) | S100K8FL | 2020-11-20 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100K8FL,, |

## Definitions

- Amounts are in millions of JPY (rounded). The period is stated in each table heading
- Operating margin = operating income ÷ revenue. Net income is attributable to owners of the parent when disclosed
- Free cash flow (FCF) = operating cash flow − capital expenditure
- ¥100 model = breakdown per ¥100 of revenue (rounded so parts sum to 100)
- Segment revenues include inter-segment sales and may not sum to consolidated revenue
- Source IDs are EDINET document IDs (docID). "算出" (derived) means computed from other disclosed values
- All figures are extracted mechanically from filings. AI-written text never generates figures
- Source: company filings submitted to EDINET (Financial Services Agency of Japan). Figures were extracted, edited and processed, and charts and text were created, by Vizora — not by the FSA (used under the Public Data License v1.0).