Risks Related to Recovery of Security Deposits and Early Termination
First written in FY2016. 5 of 10 entries say "Mitigated", first in FY2018. Latest entry: FY2026.
The whole theme swung hardest in 2026: 12 of 30 companies on the "Worse" side.
5 other companies' latest entry also says "Other".
- FY2026Decline in security deposit balance and increase in ratio to total assetsAnnual report
「The balance of these security deposits was ¥191.428 million at the end of the fiscal year ended March 2026, equivalent to 3.6% of total assets.」
Security deposits paid declined from ¥192.234 million in the previous fiscal year to ¥191.428 million, while the ratio to total assets increased from 3.5% to 3.6%. - FY2025MitigatedAnnual report
「The balance of these security deposits was ¥192.234 million at the end of the fiscal year ended March 2025, equivalent to 3.5% of total assets. These deposits are to be refunded in accordance with the contracts when the contracts are terminated upon expiration of their terms or for other reasons. However, some or all of the deposits may become irrecoverable if the lessor becomes insolvent or for other reasons.」
Security deposits paid fell from ¥193.159 million, or 3.6% of total assets, in the previous fiscal year to ¥192.234 million, or 3.5%. The risks of non-recovery and contractual penalties upon early termination themselves remain. - FY2024Increase in security deposit balance; decrease in ratio to total assetsAnnual report
「The balance of security deposits paid in connection with the lease for the relevant store property was ¥193.159 million at the end of the fiscal year ended March 2024, equivalent to 3.6% of total assets.」
The balance of security deposits paid increased from ¥189.002 million to ¥193.159 million, while the ratio to total assets declined from 3.7% to 3.6%. The risks of non-recovery and contractual penalties upon early termination remain. - FY2023WorsenedAnnual report
「The balance of these security deposits was ¥189.002 million at the end of the fiscal year ended March 2023, equivalent to 3.7% of total assets. These deposits are to be refunded in accordance with the contracts when the contracts are terminated upon expiration of their terms or for other reasons. However, some or all of the deposits may become irrecoverable if the lessor becomes insolvent or for other reasons.」
Security deposits paid increased from ¥183.233 million, or 3.4% of total assets, in the previous fiscal year to ¥189.002 million, or 3.7%. The risks of non-recovery and contractual penalties upon early termination remain. - FY2022MitigatedAnnual report
「The balance of these security deposits was ¥183.233 million at the end of the fiscal year ended March 2022, equivalent to 3.4% of total assets. These deposits are to be refunded in accordance with the contracts when the contracts are terminated upon expiration of their terms or for other reasons. However, some or all of the deposits may become irrecoverable if the lessor becomes insolvent or for other reasons.」
Security deposits paid fell from ¥188.033 million, or 3.7% of total assets, in the previous fiscal year to ¥183.233 million, or 3.4%. The risks of non-recovery and contractual penalties upon early termination remain. - FY2021MitigatedAnnual report
「The balance of these security deposits was ¥188.033 million at the end of the fiscal year ended March 2021, equivalent to 3.7% of total assets. These deposits are to be refunded in accordance with the contracts when the contracts are terminated upon expiration of their terms or for other reasons. However, some or all of the deposits may become irrecoverable if the lessor becomes insolvent or for other reasons.」
Security deposits paid fell from ¥188.765 million, or 4.1% of total assets, in the previous fiscal year to ¥188.033 million, or 3.7%. The risks of non-recovery and contractual penalties upon early termination remain. - FY2020MitigatedAnnual report
「The balance of these security deposits was ¥188.765 million at the end of the fiscal year ended March 2020, equivalent to 4.1% of total assets.」
Security deposits paid fell from ¥215.365 million, or 4.9% of total assets, in the previous fiscal year to ¥188.765 million, or 4.1%. The risk of contractual penalties upon early termination and other risks remains. - FY2018MitigatedAnnual report
「The balance of security deposits paid in connection with the lease for the relevant store property was ¥215.365 million at the end of the fiscal year ended March 2018, equivalent to 4.9% of total assets. These deposits are to be refunded in accordance with the contracts when the contracts are terminated upon expiration of their terms or for other reasons. However, some or all of the deposits may become irrecoverable if the lessor becomes insolvent or for other reasons. In addition, if a contract is terminated before the end of its specified term, a contractual penalty may be payable in accordance with the contract.」
Security deposits paid fell to ¥215.365 million, or 4.9% of total assets, from ¥227.809 million, or 5.9%, in the previous fiscal year, with both the balance and the ratio declining. The risk of contractual penalties upon early termination remains. - FY2017WorsenedAnnual report
「The balance of the security deposits was ¥227.809 million as of the end of the fiscal year ended March 2017, representing 5.9% of total assets. These deposits are to be returned in accordance with the leases when the contracts expire or are otherwise terminated. However, some or all of the deposits may become unrecoverable if the lessor experiences financial failure or for other reasons. In addition, if a lease is terminated before the period specified in the contract expires, a contractual penalty may be payable in accordance with the terms of the contract.」
In addition to the security deposit balance and its ratio to total assets, the potential burden of contractual penalties upon early termination is explicitly stated. - FY2016First statedAnnual report
「The balance of security deposits paid in connection with leases for the relevant stores was ¥249.245 million as of the end of the fiscal year ended March 2016, representing 4.9% of total assets. These deposits are to be returned in accordance with the leases when the contracts expire or are otherwise terminated. However, some or all of the deposits may become unrecoverable if the lessor experiences financial failure or for other reasons.」
The disclosure states the security deposit balance and its ratio to total assets, as well as the risks associated with the lessor's failure and early termination.