Reliance on Interest-Bearing Debt and Interest Rate Risk
First written in FY2017. 5 of 16 entries say "Restated". Latest entry: FY2027-H1.
The whole theme swung hardest in 2017: 28 of 107 companies on the "Worse" side.
9 other companies' latest entry also says "Other".
- FY2027-H1The company continues to address rising interest rates through fixed-rate borrowings and hedgingAnnual report
「With the upward trend in interest rates expected to continue, the company had fixed the interest rates on 51% of its borrowings as of the end of the first half, seeking to reduce the impact of interest rate fluctuations on its results.」
The company explains that, while the risk of rising interest rates persists, fixing the rates on 51% of its borrowings is reducing the impact of interest rate fluctuations on its results. - FY2026Increase in interest-bearing debt and progress toward fixed-rate borrowingAnnual report
「At the end of the consolidated fiscal year, corporate interest-bearing debt stood at ¥254,076 million, up 17.3% year on year, while the average interest rate during the period on the relevant balance was 1.43%, up 0.16 percentage points from the previous fiscal year.」
Although corporate interest-bearing debt and the average funding rate increased, the company has fixed the rates on 56% of its borrowings to mitigate the impact of interest rate fluctuations. - FY2026-H1MitigatedAnnual report
「Although interest rates are expected to continue rising, the company has fixed the interest rates on 52.1% of its borrowings, limiting the increase in interest costs.」
While the risk of continued interest rate increases remains, the company has fixed the rates on 52.1% of its borrowings and states that the resulting increase in interest costs will be limited. - FY2025WorsenedAnnual report
「At the end of the consolidated fiscal year, corporate interest-bearing debt stood at ¥216,645 million, up 13.4% year on year, while the average interest rate during the period on the relevant balance was 1.42%, up 0.52 percentage points from the previous fiscal year.」
The company specifically describes increases in interest-bearing debt and the average funding rate, as well as its reliance on borrowings and exposure to higher interest rates. - FY2025-Q1RestatedAnnual report
「The company conducts interest rate swap and interest rate cap transactions, which are derivative transactions, to prepare for the risk of future interest rate increases.」
The company continues to conduct interest rate swap and interest rate cap transactions to address the risk of interest rate increases associated with interest-bearing debt. - FY2024-Q2RestatedAnnual report
「The company conducts interest rate swap and interest rate cap transactions, which are derivative transactions, to prepare for the risk of future interest rate increases.」
The company continues its policy of conducting interest rate swap and interest rate cap transactions to address the risk of interest rate increases associated with interest-bearing debt. - FY2024-Q1RestatedAnnual report
「The company conducts interest rate swap transactions, which are derivative transactions, to prepare for the risk of future interest rate increases.」
The company continues its policy of conducting interest rate swap transactions to address the risk of interest rate increases associated with interest-bearing debt. - FY2023-Q1RestatedAnnual report
「The company conducts interest rate swap transactions, which are derivative transactions, to prepare for the risk of future interest rate increases.」
The company continues its policy of conducting interest rate swap transactions to address the risk of interest rate increases associated with interest-bearing debt. - FY2018RestatedAnnual report
「Investments in the company's value-add real estate business and clean energy business are funded not only through equity investments using internal funds but primarily through borrowings from financial institutions for each individual project, resulting in an increase in the ratio of interest-bearing debt to total assets. Accordingly, if interest rates rise in the future, funding costs may increase, customer-investor required yields may rise, and real estate prices may decline.」
The company continues to disclose the potential impact of increased reliance on borrowings and higher interest rates on funding costs, required yields and real estate prices. - FY2017First statedAnnual report
「Investments in the company's value-add real estate business and clean energy business are funded not only through equity investments using internal funds but primarily through borrowings from financial institutions for each individual project, resulting in an increase in the ratio of interest-bearing debt to total assets. Accordingly, if interest rates rise in the future, funding costs may increase, customer-investor required yields may rise, and real estate prices may decline.」
The company states that increased reliance on borrowings and higher interest rates may affect funding costs, investor yields and real estate prices. It also refers to hedging with interest rate swaps and caps.