Interest Rate and Liquidity Risks on Borrowings and Bonds
First written in FY2017. 8 of 16 entries say "Mitigated", first in FY2019. Latest entry: FY2026.
Open Up Group moved to the "Worse" side of this theme in 2025, 5 years after the typical company in this theme (2020).
The whole theme swung hardest in 2017: 3 of 11 companies on the "Worse" side.
8 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「Bonds and borrowings at the end of the current consolidated fiscal year totaled ¥9,983 million, up from ¥5,030 million at the end of the previous consolidated fiscal year.」
Bonds and borrowings increased by ¥5 billion following the issuance of bonds, expanding exposure to interest rate and liquidity risk. Undrawn commitment lines and other facilities totaled ¥27.5 billion. - FY2026-H1WorsenedAnnual report
「Liabilities at the end of the current interim consolidated period increased by ¥4,013 million, or 9.2%, from the end of the previous consolidated fiscal year to ¥47,848 million. The main changes were a ¥4,980 million increase in non-current bonds and borrowings, an ¥801 million increase in deferred tax liabilities, a ¥584 million increase in other current liabilities, and a ¥956 million decrease in trade and other payables.」
The issuance of ¥5 billion in bonds and other factors increased non-current bonds and borrowings by ¥4,980 million, expanding exposure to liabilities and liquidity from the end of the previous fiscal year. - FY2025-H1WorsenedAnnual report
「Net cash used in financing activities was ¥4,083 million, compared with ¥5,071 million used in the same period of the previous year. The main factors were ¥3,916 million in dividend payments, ¥2,559 million used for lease liability repayments, ¥1,980 million used for long-term borrowing repayments, and a ¥4,731 million increase in short-term borrowings.」
While long-term borrowings were repaid, short-term borrowings increased by ¥4,731 million, again increasing exposure to borrowing and liquidity risk from the low level at the end of the previous fiscal year. - FY2024-Q3MitigatedAnnual report
「The main changes resulted from a ¥1,891 million transfer to liabilities directly associated with assets held for sale, a ¥969 million increase in other current liabilities, a ¥703 million decrease in current income taxes payable, and a ¥459 million decrease in current bonds and borrowings, among other factors.」
At the end of the third quarter, bonds and borrowings totaled ¥1,000 million, comprising ¥955 million in current liabilities and ¥45 million in non-current liabilities, down from ¥1,535 million at the end of the previous fiscal year. Exposure to borrowings and liquidity risk has declined. - FY2024-Q2MitigatedAnnual report
「Bonds and borrowings 11 1,415 1,153 Bonds and borrowings 11 120 60」
Bonds and borrowings decreased from ¥1,535 million at the end of the previous fiscal year to ¥1,213 million at the end of the second quarter, based on the combined total of current and non-current liabilities, lowering exposure to interest rate and liquidity risk. - FY2023MitigatedAnnual report
「Bonds and borrowings totaled ¥1,535 million at the end of the current consolidated fiscal year, down from ¥1,848 million at the end of the previous consolidated fiscal year.」
Bonds and borrowings decreased by ¥313 million from the end of the previous fiscal year, lowering exposure to interest rate and liquidity risk. - FY2023-Q3WorsenedAnnual report
「Net cash used in financing activities was ¥9,982 million, compared with ¥15,139 million used in the same period of the previous year. The main factors were ¥4,030 million used for share buybacks, ¥3,967 million in dividend payments, ¥3,022 million used for lease liability repayments, and a net increase of ¥1,507 million in short-term borrowings.」
While cash outflows from financing activities continued, short-term borrowings increased by a net ¥1,507 million, increasing exposure to borrowings and liquidity risk. - FY2023-Q2WorsenedAnnual report
「Net cash used in financing activities was ¥6,993 million, compared with ¥10,661 million used in the same period of the previous year. The main factors were ¥2,782 million used for share buybacks, ¥2,496 million in dividend payments, ¥2,173 million used for lease liability repayments, and a net increase of ¥2,055 million in short-term borrowings.」
While cash outflows included share buybacks and other items, short-term borrowings increased by a net ¥2,055 million, again increasing exposure to borrowing and liquidity risk. - FY2023-Q1WorsenedAnnual report
「The main changes were an increase of ¥1,701 million in bonds and borrowings under current liabilities, an increase of ¥1,258 million in other financial liabilities under current liabilities, a decrease of ¥860 million in current income tax payable, and a decrease of ¥743 million in trade and other payables.」
At the end of the current quarter, current bonds and borrowings increased by ¥1,701 million, reversing the decline in exposure resulting from repayments through the previous fiscal year. - FY2022MitigatedAnnual report
「Bonds and borrowings totaled ¥1,848 million at the end of the current consolidated fiscal year, down from ¥11,002 million at the end of the previous consolidated fiscal year.」
Repayments sharply reduced bonds and borrowings from ¥11,002 million to ¥1,848 million, lowering exposure to interest rate and liquidity risk. - FY2022-Q3MitigatedAnnual report
「The main changes were a ¥2,994 million decrease in long-term borrowings due to repayments, a ¥749 million decrease in the current portion of long-term borrowings, a ¥3,308 million decrease in other current liabilities, and a ¥1,137 million increase in provision for bonuses.」
Repayments reduced long-term borrowings by ¥2,994 million and the current portion of long-term borrowings by ¥749 million, reducing exposure to borrowings and liquidity risk. - FY2022-Q2MitigatedAnnual report
「The main changes were a ¥2,412 million decrease in long-term borrowings, a ¥1,166 million decrease in other current liabilities, an ¥861 million decrease in provision for bonuses, a ¥739 million decrease in the current portion of long-term borrowings, a ¥1,004 million increase in short-term borrowings, and a ¥382 million increase in other non-current liabilities.」
Long-term borrowings and the current portion of long-term borrowings decreased, reducing total liabilities from the end of the previous consolidated fiscal year. Meanwhile, short-term borrowings increased. - FY2021WorsenedAnnual report
「Borrowings are primarily used to finance capital investment and working capital, with repayment dates no later than 5 years after the balance sheet date. We have entered into interest rate swap transactions for the interest rate risk associated with some long-term borrowings to fix interest payments.」
Long-term borrowings of ¥8,978 million were recorded in connection with the business integration and other factors, again increasing exposure to borrowings and liquidity risk. Meanwhile, interest payments were fixed through interest rate swaps. - FY2020MitigatedAnnual report
「Borrowings and bonds are primarily financing obtained in connection with share acquisitions, with repayment dates no later than 4 years after the balance sheet date. Although they are exposed to interest rate risk and liquidity risk, interest rate risk is limited because all borrowings other than short-term borrowings bear fixed interest rates.」
The maximum repayment period for borrowings and bonds was shortened from 5 years after the end of the previous fiscal year to 4 years. The explanation that fixed interest rates limit interest rate risk was also maintained. - FY2019MitigatedAnnual report
「Borrowings and bonds are primarily used to finance acquisitions, and their redemption dates are after the balance-sheet date and no more than 5 years later. Although they are exposed to interest rate and liquidity risks, interest rate risk is limited because all borrowings other than short-term borrowings carry fixed interest rates.」
Long-term borrowings were eliminated, and the maximum repayment period was shortened from 7 years to 5 years. Disclosure of interest rate and liquidity risks remains in place. - FY2017First statedAnnual report
「Borrowings and bonds are primarily financing obtained in connection with share acquisitions, with repayment dates no later than 7 years after the balance sheet date. Although they are exposed to interest rate risk and liquidity risk, interest rate risk is limited because all borrowings other than short-term borrowings bear fixed interest rates.」
For borrowings and bonds, including M&A financing, the company disclosed repayment periods of up to 7 years and the associated interest rate and liquidity risks, while explaining that fixed interest rates limit interest rate risk.