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TKLFTokyo Lifestyle Co., Ltd.
$2.05$865514
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Tokyo Lifestyle Co., Ltd. (TKLF) Financial Ratios

Latest Ratios: P/E Ratio 0.0x · EV/EBITDA 8.6x · ROE 30.7%. (2019–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

TKLF Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Market Cap$865514$1M$9M$36M$77M———
Enterprise Value$10.0B$10.0B$72M$9.7B$123M———
P/E Ratio →0.000.000.12—1.77———
P/S Ratio0.000.000.050.210.33———
P/B Ratio0.000.000.261.211.73———
P/FCF——0.06—————
P/OCF——4.83—————

P/E links to full P/E history page with 30-year chart

TKLF EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
EV / Revenue—0.320.3756.960.53———
EV / EBITDA8.638.630.162523.2211.34———
EV / EBIT14.1210.280.05—13.79———
EV / FCF——0.48—————

TKLF Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Gross Margin11.4%11.4%11.9%17.3%18.6%19.2%19.7%19.8%
Operating Margin2.2%2.2%3.0%0.5%3.1%4.8%6.7%7.5%
Net Profit Margin3.2%3.2%578.5%-4.7%1.7%2.2%3.5%3.3%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
ROE30.7%30.7%3464.8%-21.8%11.8%25.9%36.6%29.8%
ROA8.4%8.4%781.7%-5.9%3.3%4.8%6.1%4.8%
ROIC6.4%6.4%4.3%0.6%6.2%5.2%4.9%9.2%
ROCE8.4%8.4%—1.4%14.3%38.1%43.1%38.5%

TKLF Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Debt / Equity1.661.661.802.651.533.4013.824.66
Debt / EBITDA9.259.250.1420.226.276.6620.266.16
Net Debt / Equity—1.551.74328.941.052.6613.354.45
Net Debt / EBITDA8.638.630.142513.954.285.2119.575.89
Debt / FCF——0.42—————
Interest Coverage2.742.740.020.340.025.490.053.68

TKLF Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Current Ratio1.351.350.011.091.791.171.081.16
Quick Ratio1.311.310.011.011.240.830.750.72
Cash Ratio0.050.050.000.020.320.200.110.05
Asset Turnover—1.331.371.161.841.991.501.45
Inventory Turnover42.6042.6039.0219.526.096.694.973.71
Days Sales Outstanding—198.87209.90202.4464.7777.65104.41116.52

TKLF Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Dividend Yield————————
Payout Ratio————————

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Earnings Yield100.0%92203.6%810.5%—56.6%———
FCF Yield——1609.3%—————
Buyback Yield0.0%0.0%0.0%0.0%0.0%———
Total Shareholder Yield0.0%0.0%0.0%0.0%0.0%———
Shares Outstanding—$422202$4M$4M$4M$4M$3M$3M

Key Metrics

Growth RegimeMixed
ProfitabilityStrained
Balance SheetVulnerable
Cash FlowDeteriorating
Top Statement Risk

Geopolitical trade corridor dependency

Thin Margins Limit Operational Flexibility

As reported in recent financial statements, TKLF maintains a structurally thin gross margin of 11.4%, which, when combined with a 2.2% operating margin, suggests the company lacks the pricing power necessary to absorb even minor fluctuations in logistics costs or competitive pricing pressures within the J-Beauty sector.

The company's reliance on a high-volume, low-margin wholesale model leaves virtually no room for error in cost management. Investors should monitor whether the firm can shift toward higher-margin private-label offerings, as the current reliance on third-party brand distribution appears to offer minimal protection against margin compression.

Capital Efficiency Remains Highly Volatile

Based on reported figures, TKLF's ROIC has fluctuated significantly, reaching 6.4% in 2025Q4 after periods of near-zero or negative returns, which indicates that the company has struggled to consistently generate value above its cost of capital while scaling its international footprint and cross-border logistics infrastructure.

The inconsistency in return on capital suggests that the company's aggressive expansion strategy may be diluting overall efficiency. Without a sustained trend of improving returns, the current capital allocation strategy warrants further investigation to determine if the growth is truly value-accretive or merely adding complexity to the balance sheet.

Working Capital Cycles Indicate Strain

According to recent SEC filings, TKLF's cash conversion cycle has reached 154 days in 2025Q4, a figure that highlights significant friction in managing inventory and receivables, particularly given the company's reliance on complex, cross-border trade channels that are inherently sensitive to regulatory and geopolitical delays.

The extended DSO and volatile inventory turnover suggest that the company is struggling to convert its rapid top-line growth into actual cash liquidity. This inefficiency creates a structural dependency on external financing, which may become increasingly problematic if trade corridors face further disruption or if credit conditions tighten.

Liquidity Buffers Remain Precariously Tight

As indicated by the company's financial disclosures, the current ratio of 1.35 in 2025Q4 provides only a modest buffer against the firm's significant working capital requirements, leaving the business vulnerable to sudden shocks in the Japan-China trade corridor that could rapidly deplete available cash reserves.

The company's liquidity position appears fragile when considering the potential for inventory obsolescence in the beauty sector. Investors should monitor the quick ratio closely, as any further deterioration would likely signal an inability to meet short-term obligations without relying on potentially expensive or dilutive external capital sources.

Revenue Growth Obscures Operational Reality

The most commonly misapplied metric for TKLF is the headline revenue growth rate, which, at 15,968% in recent periods, likely obscures a shift in accounting treatment rather than reflecting true organic operational expansion, thereby misleading investors regarding the company's actual scale and underlying business momentum.

Analysts should prioritize cash flow from operations and gross profit dollars over top-line revenue figures to avoid being misled by potential principal-versus-agent accounting shifts. Relying on revenue growth as a proxy for success in this business model is dangerous, as it ignores the thin margins and high working capital intensity that define the firm's true economic reality.

Download Financial Ratios Data

Includes 30+ ratios · 7 years · Updated daily

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TKLF — Frequently Asked Questions

Quick answers to the most common questions about buying TKLF stock.

What is Tokyo Lifestyle Co., Ltd.'s P/E ratio?

Tokyo Lifestyle Co., Ltd.'s current P/E ratio is 0.0x. The historical average is 0.6x.

What is Tokyo Lifestyle Co., Ltd.'s EV/EBITDA?

Tokyo Lifestyle Co., Ltd.'s current EV/EBITDA is 8.6x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 6.7x.

What is Tokyo Lifestyle Co., Ltd.'s ROE?

Tokyo Lifestyle Co., Ltd.'s return on equity (ROE) is 30.7%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 18.8%.

Is TKLF stock overvalued?

Based on historical data, Tokyo Lifestyle Co., Ltd. is trading at a P/E of 0.0x. Compare with industry peers and growth rates for a complete picture.

What are Tokyo Lifestyle Co., Ltd.'s profit margins?

Tokyo Lifestyle Co., Ltd. has 11.4% gross margin and 2.2% operating margin.

How much debt does Tokyo Lifestyle Co., Ltd. have?

Tokyo Lifestyle Co., Ltd.'s Debt/EBITDA ratio is 9.3x, indicating high leverage. A ratio above 4x may signal elevated financial risk.