Reliance on Interest-Bearing Debt, Interest Rates and Financial Covenants
First written in FY2025. 8 of 9 entries say "Worsened", first in FY2026-H1. Latest entry: 2026-10-15.
Garden moved to the "Worse" side of this theme in 2025, 4 years after the typical company in this theme (2021).
The whole theme swung hardest in 2020: 64 of 143 companies on the "Worse" side.
85 other companies' latest entry also says "Worsened".
- 2026-10-15WorsenedEarnings
「これは主に、長期借入金が2,233百万円増加、１年内返済予定の長期借入金が808百万円増加した一方、社債が349百万円減少したこと等によるものです。」
長期借入金および１年内返済予定の長期借入金が中間期に増加し、財務エクスポージャーが拡大した。 - FY2027-H1WorsenedAnnual report
「Liabilities at the end of the interim accounting period increased by ¥2,863 million from the end of the previous fiscal year to ¥12,458 million. This was mainly attributable to increases of ¥2,233 million in long-term borrowings and ¥808 million in current maturities of long-term borrowings, partly offset by a ¥349 million decrease in bonds, among other factors.」
Long-term borrowings increased by ¥2,233 million and current maturities of long-term borrowings by ¥808 million from the end of the previous fiscal year, further expanding the Company’s exposure to liabilities and debt financing. - FY2026WorsenedAnnual report
「As of the end of February 2026, interest-bearing debt, including borrowings, bonds and lease obligations, represented 42.0% of total assets, indicating dependence on borrowings from financial institutions and other sources.」
The interest-bearing debt ratio increased from 36.0% to 42.0%, expanding the company’s financial exposure to long-term borrowings and other debt. - FY2026-H1WorsenedAnnual report
「Long-term borrowings, including long-term borrowings due for repayment within 1 year, increased from ¥2,452,429 thousand to ¥5,141,084 thousand. As of 31 August 2025, long-term borrowings had become significant to the operation of the business and had changed materially from the end of the previous fiscal year.」
The balance of long-term borrowings increased substantially from the previous fiscal year-end and was described as significant to business operations and subject to a material change, increasing exposure to interest-bearing debt, interest rates and financial covenants. - FY2025First statedAnnual report
「As of the end of February 2025, interest-bearing debt, including borrowings, bonds and lease obligations, represented 36.0% of total assets, indicating dependence on borrowings from financial institutions and other sources.」
The company describes the possibility that difficulty obtaining or refinancing borrowings, higher interest rates or a breach of financial covenants could worsen cash flow. No breach had occurred at period-end.