Risk of difficulty in raising funds due to continued losses and insufficient collateral
First written in FY2021. 3 of 6 entries say "Restated". Latest entry: FY2026.
1 other company's latest entry also says "Mitigated".
- FY2026MitigatedAnnual report
「To resolve this situation, the company obtained consent at a meeting of its board of directors held on 26 June 2025 to enter into a basic commitment line agreement with a maximum amount of ¥300 million with Yoshino Katsuhide (吉野勝秀), the company’s representative director, and arrange funding. The company has determined that it is in a position to sufficiently cover working capital.」
The company continues to disclose the risk of dependence on borrowings from investors and equity financing because borrowing from financial institutions is difficult. At the same time, it has indicated a ¥300 million commitment line with a director and a financing plan involving the 10th series of stock acquisition rights. However, the amount raised through the stock acquisition rights may decrease depending on the exercise status. - FY2025MitigatedAnnual report
「At a meeting of the board of directors held on 26 June 2025, the company resolved to establish a borrowing facility with its director, Yoshino Katsuhide (吉野 勝秀), and entered into an agreement.」
The Company continues to disclose the risk that long-term losses and insufficient collateral make borrowing from financial institutions difficult, leaving it dependent on investor borrowings and equity financing. Meanwhile, it secured funding by entering into a ¥300 million borrowing facility from a director for working capital. - FY2025-H1RestatedAnnual report
「However, even after these measures are implemented, securing revenue and operating profit, which are important factors in improving business performance and financial position, will remain heavily dependent on external factors. In addition, the raising of funds through share acquisition rights is not guaranteed to occur. Accordingly, material uncertainty regarding the going-concern assumption is recognised at this time.」
As securing net sales and operating profit depends on external factors and the exercise of the Ninth Series of Stock Acquisition Rights is not guaranteed, significant uncertainty regarding financing and the going-concern assumption continues to be recognized. - FY2022RestatedAnnual report
「However, even after these measures are implemented, securing revenue and operating profit, which are important factors in improving business performance and financial position, will remain heavily dependent on external factors. In addition, the raising of funds through share acquisition rights is not guaranteed to occur. Accordingly, material uncertainty regarding the going-concern assumption is recognised at this time.」
The Company continues to recognize material uncertainty regarding financing and going concern because the exercise of the stock acquisition rights has not been committed to and revenue and operating income depend on external factors. - FY2022-Q3RestatedAnnual report
「However, even after these measures are implemented, securing revenue and operating profit, which are important factors in improving business performance and financial position, will remain heavily dependent on external factors. In addition, the raising of funds through share acquisition rights is not guaranteed to occur. Accordingly, material uncertainty regarding the going-concern assumption is recognised at this time.」
While proceeding with funding through third-party allotments and stock acquisition rights, the company continues to disclose uncertainty regarding financing and going-concern status, stating that the exercise of the stock acquisition rights is not guaranteed. - FY2021First statedAnnual report
「The Group has remained in the red for an extended period and does not own assets that can be used as collateral. Accordingly, it is currently difficult to raise funds through borrowings from banks and other financial institutions. The Company is therefore seeking financing through borrowings from investors and equity financing.」
The Company newly disclosed the risk that long-term losses and insufficient collateral make borrowing from financial institutions difficult, leaving it dependent on investor borrowings and equity financing.