Financial covenants under the syndicated loan
First written in FY2016-Q3. 11 of 27 entries say "Mitigated", first in FY2018-Q1. Latest entry: FY2026-H1.
The whole theme swung hardest in 2025: 23 of 75 companies on the "Worse" side.
28 other companies' latest entry also says "Mitigated".
- FY2026-H1MitigatedAnnual report
「Total borrowings ¥2,044.9 million ¥1,582.0 million Repayments of borrowings ¥462.9 million ¥256.0 million Borrowing balance ¥1,582.0 million ¥1,326.0 million」
The borrowing balance subject to the financial covenants decreased from ¥1,582 million to ¥1,326 million. The covenant-bound borrowings themselves remain in place. - 2026-03-19RestatedOccurring Fact
「Financial covenants: ① Maintain consolidated net assets at 75% or more of the amount at the end of the immediately preceding fiscal year. ② Do not record a loss in ordinary income or loss for 2 consecutive fiscal years on the consolidated income statement.」
The renewed commitment line will also be subject to financial covenants concerning the maintenance of net assets and ordinary income or loss. - FY2025MitigatedAnnual report
「The borrowing balances subject to the financial covenants are as follows.」
The borrowing balance subject to the financial covenants decreased from ¥1,641.9 million to ¥1,582.0 million. Covenant-bound borrowings remain, but exposure based on the subject balance has declined. - FY2025-H1WorsenedAnnual report
「The borrowing balances subject to the financial covenants are as follows.」
The borrowing balance subject to the financial covenants increased from ¥1,641.9 million at the end of the previous consolidated fiscal year to ¥1,671.7 million, increasing exposure to covenant-bound borrowings. - FY2024-Q3Decrease in refinanced borrowings and emergence of a commitment line balanceAnnual report
「The borrowing balances subject to the financial covenants are as follows.」
The term loan balance subject to the financial covenants decreased from ¥1,754.1 million to ¥1,705.0 million, while a new commitment line borrowing balance of ¥600 million became subject to the covenants. - FY2024-Q2MitigatedAnnual report
「Borrowing balance ¥1,754.1 million ¥1,542.5 million」
The borrowing balance subject to the financial covenants decreased from ¥1,754.1 million at the end of the previous consolidated fiscal year to ¥1,542.5 million. The refinanced agreements also contain financial covenants. - FY2024-Q1MitigatedAnnual report
「Borrowing balance ¥1,754.1 million ¥1,648.3 million」
The borrowing balance subject to the financial covenants decreased from ¥1,754.1 million at the end of the previous consolidated fiscal year to ¥1,648.3 million. The financial covenants themselves remain in place. - FY2023-Q3MitigatedAnnual report
「Borrowing balance ¥2,177.3 million ¥1,859.9 million」
The borrowing balance subject to the financial covenants decreased from ¥2,177.3 million at the end of the previous consolidated fiscal year to ¥1,859.9 million. - FY2023-Q2MitigatedAnnual report
「Borrowing balance ¥2,177.3 million ¥1,965.7 million」
The borrowing balance subject to the financial covenants decreased by ¥211.6 million from the end of the previous consolidated fiscal year. The financial covenants themselves remain in place. - FY2023-Q1Decrease in borrowings subject to financial covenantsAnnual report
「Borrowing balance ¥2,177.3 million ¥2,071.5 million」
The borrowing balance subject to the financial covenants decreased by ¥105.8 million from the end of the previous consolidated fiscal year. The borrowings remain subject to financial covenants, and no breach is reported. - FY2022RestatedAnnual report
「The financial covenants under the term loan agreement refinanced in September 2020, with a refinancing amount of ¥2,571 million and a maturity date at the end of March 2024, require: ① consolidated net assets from the fiscal year ending August 2022 onward to be no lower than in the previous consolidated fiscal year; and ② consolidated ordinary income or loss from the fiscal year ending August 2022 onward not to be a loss for two consecutive fiscal years.」
Continues to disclose the financial covenants concerning net assets and ordinary income or loss under the refinanced term loan, together with the subject borrowing balance of ¥2,177 million. - FY2022-Q2RestatedAnnual report
「The company has entered into term loan agreements with multiple banks. Some of these agreements contain financial covenants requiring net assets for consolidated fiscal years from the fiscal year ending August 2020 onward, or ordinary income for consolidated fiscal years from the fiscal year ending August 2021 onward, to remain above specified amounts.」
Continues to disclose that the refinanced term loan is subject to financial covenants concerning net assets and ordinary income. - FY2022-Q1RestatedAnnual report
「The financial covenants under the term loan agreement refinanced in September 2020, with a refinancing amount of ¥2,571 million and a maturity date at the end of March 2024, require: ① consolidated net assets from the fiscal year ending August 2022 onward to be no lower than in the previous consolidated fiscal year; and ② consolidated ordinary income or loss from the fiscal year ending August 2022 onward not to be a loss for two consecutive fiscal years.」
Continues to disclose the conditions concerning net assets and ordinary income or loss from the fiscal year ending August 2022 onward under the financial covenants attached to the refinanced term loan. No breach of the covenants is reported. - FY2021-Q3RestatedAnnual report
「The company has entered into term loan agreements with multiple banks. Some of these agreements contain financial covenants requiring net assets for consolidated fiscal years from the fiscal year ending August 2020 onward, or ordinary income for consolidated fiscal years from the fiscal year ending August 2021 onward, to remain above specified amounts.」
Continues to disclose that the term loans and commitment lines are subject to financial covenants concerning net assets and ordinary income. - FY2021-Q1WorsenedAnnual report
「The company entered into a commitment line agreement in March 2020 and newly entered into commitment line agreements arranged through two banks in October 2020. These agreements contain financial covenants requiring net assets or ordinary income for consolidated fiscal years from the fiscal year ending August 2020 onward to remain above specified amounts.」
Discloses that the commitment line and term loan remain subject to financial covenants after the refinancing. Net assets were negative at the quarter-end, but no breach of the covenants is reported. - FY2020MitigatedAnnual report
「Discussions with the financial institutions concerned regarding all borrowings due for repayment in March 2021 had been concluded by 15 October 2020」
States that discussions with the financial institutions had been concluded for all borrowings subject to refinancing upon maturity. However, the refinanced agreements also contain financial covenants. - FY2020-Q3WorsenedAnnual report
「The repayment date for borrowings obtained under a term loan agreement entered into in April 2018 to refinance existing borrowings will arrive in March 2021. The repayment plan assumed repayment from operating cash flow based on the group's business plan and refinancing when the repayment date arrived. In response to the current serious situation, the company will hold discussions with the financial institutions concerned regarding refinancing and other measures based on a newly formulated business plan.」
The March 2021 repayment date and discussions on refinancing existing borrowings, including those subject to financial covenant risks, were identified as new material issues. No breach of the financial covenants is reported. - FY2018MitigatedAnnual report
「The previous fiscal year's annual securities report included a section on material events and circumstances under 'Business and Other Risks.' During the current consolidated fiscal year, the company made early repayments through refinancing to eliminate the financial covenants attached to its borrowing agreements with the financial institutions concerned. It also issued new shares through a third-party allotment to stabilize long-term funding, and payment for the shares was completed. As measures to address these material events and circumstances have already been implemented, the events or circumstances that could raise substantial doubt about the going concern assumption have been eliminated.」
States that the material events relating to the financial covenants under the former borrowing agreements were eliminated upon completion of the refinancing, early repayments and third-party allotment of new shares. - FY2018-Q3MitigatedAnnual report
「With respect to existing borrowings, the company made early repayments on 13 April 2018 under the syndicated loan agreement and the committed syndicated loan agreement. The risk had been eliminated during the three-month consolidated accounting period.」
The company made early repayments on existing syndicated loans and other borrowings, and states that the risk associated with the previous financial covenants had been eliminated. New financial covenants are attached to the term loan. - FY2018-Q2MitigatedAnnual report
「With respect to existing borrowings, the company made early repayments on 13 April 2018 under the syndicated loan agreement and the committed syndicated loan agreement. As of the date of filing the quarterly report, the risk had been eliminated.」
The company made early repayments on existing syndicated loans and other borrowings, and states that the risk associated with the previous financial covenants had been eliminated as of the filing date. New financial covenants are attached to the term loan. - FY2018-Q1MitigatedAnnual report
「The company has obtained consent not to exercise rights concerning loss of the benefit of time under the financial covenants. Based on the above, the company has determined that no material uncertainty exists regarding the going concern assumption.」
Although the breach of the financial covenants continues, the company states that it obtained consent from the financial institutions not to exercise their rights concerning acceleration of the debt. - FY2017MaterialisedAnnual report
「As a result of recording a net loss attributable to owners of the parent for the current consolidated fiscal year, among other factors, the company came to be in breach of its financial covenants, creating circumstances that raised substantial doubt about the going concern assumption.」
A breach of the financial covenants actually occurred as a result of recording a net loss, among other factors. The company states that it obtained consent from the financial institutions not to exercise their rights concerning acceleration of the debt. - FY2017-Q3WorsenedAnnual report
「The company entered into a syndicated loan agreement on 26 December 2016, with financial covenants requiring net assets and ordinary income for consolidated fiscal years ending after the end of each consolidated fiscal year to remain above specified amounts.」
Drawn borrowings under the agreement dated 26 December 2016 increased from ¥702 million at the previous disclosure to ¥1,001 million, leaving ¥299 million undrawn. No breach of the financial covenants is reported. - FY2017-Q2Addition of an agreement with financial covenantsAnnual report
「The company entered into a syndicated loan agreement on 26 December 2016, with financial covenants requiring net assets and ordinary income for consolidated fiscal years ending after the end of each consolidated fiscal year to remain above specified amounts.」
Discloses that, in addition to the existing agreements, it entered into a syndicated loan agreement on 26 December 2016 with a total amount of ¥1.3 billion and drawn borrowings of ¥702 million. No breach of the financial covenants is reported. - FY2017-Q1RestatedAnnual report
「The company entered into a syndicated loan agreement on 6 August 2015, with financial covenants requiring net assets and ordinary income for consolidated fiscal years ending after August 2015 to remain above specified amounts.」
Continues to disclose the financial covenants attached to the syndicated loan concerning net assets and ordinary income. - FY2016RestatedAnnual report
「The company entered into a syndicated loan agreement on 6 August 2015, with financial covenants requiring net assets and ordinary income for consolidated fiscal years ending after August 2016 to remain above specified amounts.」
Restates the syndicated loan financial covenants and the thresholds relating to net assets and ordinary income. - FY2016-Q3First statedAnnual report
「Maintain total net assets as reported in the consolidated and non-consolidated balance sheets at each fiscal year-end at no less than 75% of the respective amounts at the end of August 2014. Ensure that ordinary income or loss as reported in the consolidated and non-consolidated income statements is not a loss for two consecutive fiscal years.」
Discloses financial covenants requiring net assets to be maintained at no less than 75% of the benchmark amount and preventing ordinary losses for two consecutive fiscal years.