Investment Aligned with Operating Cash Flow and Interest-Bearing Debt Control through Inventory and Cost Reductions
First written in FY2016-Q3. 11 of 35 entries say "Worsened", first in FY2018-Q2. Latest entry: 2026-10-14.
Axas Holdings moved to the "Worse" side of this theme in 2018, 8 years before the typical company in this theme (2026).
The whole theme swung hardest in 2018: 2 of 21 companies on the "Worse" side.
1 other company's latest entry also says "Mitigated".
- FY2026-H1Operating cash flow turned positive, while inventory growth and an increase in short-term borrowings occurred simultaneouslyAnnual report
「Funds generated from operating activities amounted to ¥382 million, compared with ¥770 million used in the same interim period of the previous year. …This decreased due to a ¥33 million increase in inventories, among other factors.」
Operating cash flow shifted from ¥770 million used in the same interim period of the previous year to ¥382 million generated, while the increase in inventories narrowed to ¥33 million. At the same time, short-term borrowings increased by ¥350 million, so improvements in financial management coexisted with a higher burden. - FY2025WorsenedAnnual report
「Funds used in operating activities amounted to ¥1,193 million, compared with ¥749 million generated in the previous consolidated fiscal year. The principal factors increasing funds were profit before income taxes of ¥336 million and depreciation and amortization of ¥365 million, among other items. These were offset by a ¥1,276 million increase in inventories and real estate held for sale, among other factors.」
Operating cash flow shifted from ¥749 million generated in the previous year to ¥1,193 million used, with increases in inventories and real estate held for sale becoming sources of cash outflow. - FY2025-H1WorsenedAnnual report
「Funds used in operating activities amounted to ¥770 million, compared with ¥411 million generated in the same interim period of the previous year. The principal factors increasing funds were a ¥164 million increase in trade payables and depreciation and amortization of ¥178 million, against an interim loss before income taxes of ¥87 million. These were offset by an ¥87 million increase in trade receivables, a ¥746 million increase in inventories and other factors.」
Operating cash flow shifted from ¥411 million generated in the same interim period of the previous year to ¥770 million used, while inventories also increased by ¥746 million. Factors driving deterioration emerged against the policy of improving finances through inventory reduction and controlling interest-bearing debt. - FY2024Positive operating cash flow and lower inventories alongside higher interest-bearing debtAnnual report
「Funds generated from operating activities amounted to ¥749 million, down 40.8% from the previous fiscal year. The principal factors increasing funds were depreciation and amortization of ¥389 million and a ¥699 million decrease in inventories, against profit before income taxes of ¥48 million. These were partly offset by a ¥106 million decrease in trade payables and other factors.」
Operating cash flow remained positive at ¥749 million, while inventories decreased by ¥699 million. At the same time, the company undertook long-term borrowing and issued bonds, bringing interest-bearing debt to ¥13,099 million. - FY2024-Q3Inventory reduction alongside increases in long-term borrowings and bondsAnnual report
「Total assets at the end of the third quarter under review stood at ¥17,062 million, down 3.0% from the end of the previous fiscal year, a decrease of ¥531 million. This was mainly due to a ¥492 million decrease in inventories, among other factors. Total liabilities stood at ¥15,183 million, down 2.1%, a decrease of ¥331 million from the end of the previous consolidated fiscal year. This was mainly due to decreases in accounts payable and other liabilities of ¥1,102 million, among other items, partly offset by increases in long-term borrowings, including the portion due for repayment within one year, of ¥718 million, and bonds, including those due for redemption within one year, of ¥200 million, among other items.」
Inventories decreased by ¥492 million, while long-term borrowings increased by ¥718 million and bonds by ¥200 million. Progress toward financial improvement coexisted with a higher funding burden. - FY2024-Q2Inventory declined and positive operating cash flow continued, while borrowings and bonds increasedAnnual report
「Cash generated from operating activities was ¥411 million (compared with ¥460 million generated in the same quarter of the previous year). The main factors increasing cash were a ¥327 million decrease in inventories, depreciation of ¥187 million and a ¥197 million increase in trade payables, against a quarterly loss before income taxes of ¥72 million. These were offset by a ¥115 million decrease in other current liabilities and a ¥127 million decrease in consumption taxes payable, among other factors.」
Operating cash flow remained positive at ¥411 million, while inventories decreased by ¥327 million. At the same time, long-term borrowings increased by ¥815 million and bonds by ¥200 million, indicating that investment and financing burdens coexisted. - FY2024-Q1Operating activities and inventory improved, but borrowings and bonds increasedAnnual report
「This was mainly due to increases of ¥1,359 million in cash and deposits and ¥112 million in trade receivables, among other items, partly offset by a ¥68 million decrease in inventories. Total liabilities were ¥17,009 million, up 9.6%, an increase of ¥1,494 million from the end of the previous consolidated fiscal year. This was mainly due to increases of ¥1,589 million in short-term borrowings, ¥917 million in long-term borrowings, including current maturities, and ¥200 million in bonds, partly offset by a ¥1,065 million decrease in accounts payable, among other items.」
Cash and deposits increased and inventories declined, while short- and long-term borrowings and bonds increased, resulting in simultaneous improvement and increased burdens in financial management. - FY2023Operating cash flow turned positive, while inventory and short-term borrowings declined and cash also declinedAnnual report
「Cash generated from operating activities was ¥1,265 million (compared with ¥400 million used in the previous fiscal year). The main factors increasing cash were depreciation of ¥327 million and a ¥625 million decrease in inventories, against profit before income taxes of ¥15 million, among other factors. Cash used in financing activities was ¥2,697 million (compared with ¥205 million generated in the previous fiscal year). The main factors increasing cash were ¥200 million in proceeds from long-term borrowings and ¥300 million in proceeds from the issuance of bonds, while cash decreased due to a net decrease of ¥2,570 million in short-term borrowings, ¥289 million used to repay long-term borrowings and ¥200 million used to redeem bonds, among other factors.」
Operating cash flow shifted from ¥400 million used to ¥1,265 million generated, and inventories and short-term borrowings also declined. Meanwhile, cash and cash equivalents decreased by ¥1,584 million due to cash outflows from financing activities. - FY2023-Q3Short-term borrowings and inventory declined, while cash declined and bonds increasedAnnual report
「Total assets at the end of the third quarter of the current consolidated fiscal year were ¥17,511 million, down 7.4% from the end of the previous fiscal year, a decrease of ¥1,403 million from the end of the previous consolidated fiscal year. This was mainly due to decreases of ¥1,067 million in cash and deposits and ¥450 million in inventories, among other items. Total liabilities were ¥15,388 million, down 8.1%, a decrease of ¥1,347 million from the end of the previous consolidated fiscal year. This was mainly due to a decrease of ¥1,520 million in short-term borrowings, partly offset by an increase of ¥100 million in bonds, among other items.」
Inventories and short-term borrowings declined, while cash and deposits also decreased by ¥1,067 million and bonds increased by ¥100 million. Financial improvement coexisted with cash outflow and a change in the funding mix. - FY2023-Q2Operating cash flow turned positive while bonds were issuedAnnual report
「Cash generated from operating activities was ¥460 million (compared with ¥134 million used in the same quarter of the previous year). The main factors increasing cash were a ¥273 million decrease in inventories and depreciation of ¥159 million, against quarterly profit before income taxes of ¥132 million, among other factors.」
Operating cash flow shifted from ¥134 million used in the same quarter of the previous year to ¥460 million generated, and inventories also decreased by ¥273 million. Meanwhile, the funding structure included the issuance of ¥300 million in bonds and repayment of ¥144 million in long-term borrowings. - FY2023-Q1Short-term borrowings declined, while cash declined and inventory increasedAnnual report
「This was mainly due to increases of ¥455 million in inventories and ¥109 million in trade receivables, among other items, partly offset by a ¥1,790 million decrease in cash and deposits. Total liabilities were ¥15,721 million, down 6.1%, a decrease of ¥1,014 million from the end of the previous consolidated fiscal year. This was mainly due to a ¥300 million increase in bonds, partly offset by a ¥1,440 million decrease in short-term borrowings.」
Short-term borrowings and total liabilities declined, while cash and deposits decreased by ¥1,790 million and inventories increased by ¥455 million. Bonds increased by ¥300 million, resulting in simultaneous financial improvement and funding burdens. - FY2022-Q3Short-term borrowings declined, while cash declined and fixed assets increasedAnnual report
「Total assets at the end of the third quarter of the current consolidated fiscal year were ¥16,901 million, down 8.7% from the end of the previous fiscal year, a decrease of ¥1,619 million from the end of the previous consolidated fiscal year. This was mainly due to a decrease of ¥3,368 million in cash and deposits, partly offset by an increase of ¥1,076 million in property, plant and equipment. Total liabilities were ¥14,719 million, down 10.8%, a decrease of ¥1,780 million from the end of the previous consolidated fiscal year. This was mainly due to a decrease of ¥2,030 million in short-term borrowings, partly offset by an increase of ¥290 million in long-term borrowings.」
Short-term borrowings and total liabilities declined, while cash and deposits decreased by ¥3,368 million and property, plant and equipment increased by ¥1,076 million. Financial improvement coexisted with investment and cash outflow. - FY2022-Q2WorsenedAnnual report
「Cash used in operating activities was ¥134 million (compared with ¥35 million generated in the same quarter of the previous year).」
Operating cash flow shifted from ¥35 million generated in the same quarter of the previous year to ¥134 million used, while inventories also increased by ¥395 million. Investing activities used ¥1,001 million, and long-term borrowings increased by ¥360 million and short-term borrowings by ¥70 million. - FY2022-Q1Borrowings declined, while inventory and cash also declinedAnnual report
「Total assets at the end of the first quarter of the current consolidated fiscal year were ¥16,809 million, down 9.2% from the end of the previous fiscal year, a decrease of ¥1,711 million from the end of the previous consolidated fiscal year. This was mainly due to decreases of ¥3,440 million in cash and deposits, partly offset by increases of ¥702 million in inventories, ¥141 million in trade receivables, ¥140 million in buildings and structures and ¥734 million in land. Total liabilities were ¥14,802 million, down 10.3%, a decrease of ¥1,696 million from the end of the previous consolidated fiscal year. This was mainly due to a ¥462 million increase in long-term borrowings, partly offset by decreases of ¥2,270 million in short-term borrowings and ¥125 million in accounts payable, among other items.」
Short-term borrowings and total liabilities declined, while inventories increased by ¥702 million and cash and deposits decreased by ¥3,440 million. Improvement and burdens coexisted relative to the financial improvement policy. - FY2021WorsenedAnnual report
「Cash generated from operating activities was ¥158 million, down 81.6% year on year. The main factors increasing cash were depreciation of ¥242 million and a ¥116 million decrease in trade receivables, against profit before income taxes of ¥260 million. These were offset by a ¥419 million increase in inventories and a ¥50 million decrease in trade payables, among other factors.」
Operating cash flow decreased from ¥859 million to ¥158 million, while inventories increased by ¥419 million. Investment expenditure of ¥795 million and financing through short- and long-term borrowings also occurred, leaving burdens relative to the financial improvement policy. - FY2021-Q3Short-term borrowings declined while long-term borrowings increased, and cash also declinedAnnual report
「Total liabilities were ¥12,940 million, down 15.8%, a decrease of ¥2,425 million from the end of the previous consolidated fiscal year. This was mainly due to decreases of ¥3,150 million in short-term borrowings and ¥25 million in current maturities of long-term borrowings, partly offset by an ¥856 million increase in long-term borrowings and other items.」
Liabilities declined, mainly due to a decrease in short-term borrowings, while long-term borrowings increased. Cash and deposits also decreased by ¥2,405 million, resulting in simultaneous improvement and cash outflow in financial management. - FY2021-Q2Operating cash flow contracted and borrowings increased, while cash roseAnnual report
「Cash generated from operating activities was ¥35 million (compared with ¥246 million generated in the same quarter of the previous year). The main factors increasing cash were depreciation of ¥117 million, interest paid of ¥44 million and a ¥36 million decrease in other current assets, against quarterly profit before income taxes of ¥168 million. These were offset by a ¥71 million increase in inventories, a ¥96 million decrease in trade payables, a ¥45 million decrease in consumption taxes payable and other items, ¥42 million in interest paid and ¥59 million in income taxes paid.」
Operating cash flow narrowed from ¥246 million in the same quarter of the previous year to ¥35 million, while inventories increased by ¥71 million. Cash and deposits increased by ¥786 million, but borrowings also increased, including ¥220 million in short-term borrowings and ¥919 million in long-term borrowings. - FY2021-Q1Borrowings declined, but inventory and cash deterioratedAnnual report
「This was mainly due to increases of ¥441 million in inventories, ¥42 million in trade receivables and ¥45 million in income tax receivables, among other items, partly offset by a ¥2,469 million decrease in cash and deposits. Total liabilities were ¥13,402 million, down 12.8%, a decrease of ¥1,964 million from the end of the previous consolidated fiscal year. This was mainly due to decreases of ¥1,850 million in short-term borrowings and ¥69 million in long-term borrowings, among other items.」
While short- and long-term borrowings decreased, inventories increased by ¥441 million and cash and deposits decreased by ¥2,469 million. Improvement and burdens coexisted relative to the financial management policy. - FY2020-Q3WorsenedAnnual report
「Total liabilities were ¥13,552 million, up 26.2%, an increase of ¥2,810 million from the end of the previous consolidated fiscal year. This was mainly due to increases of ¥1,000 million in short-term borrowings, ¥1,342 million in long-term borrowings and ¥500 million in bonds, among other items.」
Short- and long-term borrowings and bonds increased, expanding the burden relative to the financial management policy of reducing inventory and costs and controlling interest-bearing debt. - FY2020-Q2Operating cash flow and inventory improved, but borrowing and investment burdens increasedAnnual report
「Cash generated from operating activities was ¥246 million (compared with ¥95 million used in the same quarter of the previous year). …This was increased by a ¥128 million decrease in inventories and other factors, while cash used in investing activities was ¥2,530 million… Cash generated from financing activities was ¥2,252 million… This increase was mainly due to a net increase of ¥850 million in short-term borrowings and ¥1,600 million in proceeds from long-term borrowings, among other factors.」
Operating cash flow shifted from ¥95 million used to ¥246 million generated, and inventories also decreased by ¥128 million. Meanwhile, investment expenditure of ¥2,393 million for the acquisition of property, plant and equipment and financing through short- and long-term borrowings occurred, resulting in simultaneous improvement and increased burdens relative to the policy. - FY2020-Q1WorsenedAnnual report
「Total assets at the end of the first quarter of the current consolidated fiscal year were ¥15,163 million, up 24.7% from the end of the previous fiscal year, an increase of ¥3,007 million from the end of the previous consolidated fiscal year. This was mainly due to increases of ¥75 million in cash and deposits, ¥89 million in trade receivables, ¥474 million in inventories and ¥2,314 million in property, plant and equipment, partly offset by a ¥51 million decrease in other current assets and other items. Total liabilities were ¥13,728 million, up 27.8%, an increase of ¥2,986 million from the end of the previous consolidated fiscal year. This was mainly due to increases of ¥127 million in trade payables, ¥1,300 million in short-term borrowings and ¥1,487 million in long-term borrowings, among other items.」
Inventories increased by ¥474 million, while short-term borrowings increased by ¥1,300 million and long-term borrowings by ¥1,487 million. The figures worsened relative to the policy of improving the financial position through inventory reduction and control of interest-bearing debt. - FY2019WorsenedAnnual report
「Cash used in operating activities was ¥18 million, down 93.6% year on year. The main factors increasing cash were depreciation of ¥209 million, restructuring-related expenses of ¥99 million and a ¥72 million increase in trade payables, against a loss before income taxes of ¥11 million. These were offset by a ¥208 million increase in inventories, a ¥70 million increase in trade receivables, ¥71 million in interest paid and ¥52 million in income taxes paid, among other factors.」
Cash used in operating activities narrowed from ¥295 million in the previous fiscal year to ¥18 million, while inventories increased by ¥208 million. Net increases in short-term borrowings totaled ¥1,380 million, leaving factors adverse to the policy of reducing inventory and controlling interest-bearing debt. - FY2019-Q3WorsenedAnnual report
「This was mainly due to increases of ¥370 million in inventories, ¥333 million in land and ¥168 million in buildings and structures, net, partly offset by a ¥180 million decrease in cash and deposits and other items. Total liabilities were ¥10,105 million, up 7.8%, an increase of ¥727 million from the end of the previous consolidated fiscal year. This was mainly due to increases of ¥860 million in short-term borrowings and ¥81 million in trade payables, partly offset by decreases of ¥75 million in long-term borrowings, ¥66 million in other current liabilities and ¥32 million in accounts payable and other items.」
Inventories increased by ¥370 million and short-term borrowings by ¥860 million, worsening the figures relative to the policy of improving the financial position through inventory reduction and control of interest-bearing debt. - FY2019-Q2Operating cash flow deficit narrowed, but inventory and short-term borrowings increasedAnnual report
「Cash used in operating activities was ¥95 million (compared with ¥204 million used in the same quarter of the previous year). The main factors increasing cash were depreciation of ¥92 million and a ¥161 million increase in trade payables, against quarterly profit before income taxes of ¥34 million. These were offset by a ¥302 million increase in inventories and ¥52 million in income taxes paid or refunded, among other factors.」
Cash used in operating activities narrowed from ¥204 million in the same quarter of the previous year to ¥95 million, while inventories increased by ¥302 million. Short-term borrowings also increased by ¥390 million, resulting in mixed developments relative to the policy of controlling inventory and interest-bearing debt. - FY2019-Q1WorsenedAnnual report
「Total assets at the end of the first quarter of the current consolidated fiscal year were ¥11,567 million, up 6.2% from the end of the previous fiscal year, an increase of ¥674 million from the end of the previous consolidated fiscal year. This was mainly due to increases of ¥162 million in cash and deposits, ¥54 million in trade receivables, ¥465 million in inventories and ¥98 million in property, plant and equipment, partly offset by a ¥106 million decrease in deposits and other items. Total liabilities were ¥10,082 million, up 7.5%, an increase of ¥704 million from the end of the previous consolidated fiscal year. This was mainly due to increases of ¥118 million in trade payables and ¥620 million in short-term borrowings, partly offset by a ¥55 million decrease in long-term borrowings and other items.」
Inventories increased by ¥465 million and short-term borrowings by ¥620 million, worsening the quarterly figures relative to the policy of improving the financial position through inventory reduction and control of interest-bearing debt. - FY2018-Q3WorsenedAnnual report
「This was mainly due to decreases of ¥128 million in cash and deposits and ¥347 million in property, plant and equipment, among others, compared with increases of ¥727 million in inventories and other items.」
Inventories increased by ¥727 million from the end of the previous fiscal year, worsening the quarterly figures relative to the policies of improving the financial position and reducing inventory. Short-term borrowings also increased by ¥660 million. - FY2018-Q2WorsenedAnnual report
「Cash used in operating activities was ¥204 million (compared with ¥130 million generated in the same quarter of the previous year). The main factors increasing cash were depreciation of ¥109 million, a ¥38 million decrease in trade receivables and a ¥44 million decrease in other current assets, against profit before income taxes of ¥32 million. These were offset by a ¥310 million increase in inventories, a ¥77 million decrease in trade payables and other factors.」
Operating cash flow shifted from ¥130 million generated in the same quarter of the previous year to ¥204 million used, while inventories also increased by ¥310 million. The figures for the quarter worsened relative to the policies of improving the financial position and reducing inventory. - FY2017RestatedAnnual report
「For capital investment in new store openings and other projects, we will undertake capital investments with high recoverability and balanced against operating cash flow. At the same time, by reducing inventories and lowering costs, we will control increases in interest-bearing debt and work to improve the equity ratio.」
The company is reiterating its policy of managing operating cash flow balance, recoverability, inventory and costs, and interest-bearing debt as an integrated whole. - FY2017-Q3RestatedAnnual report
「Our group is pursuing various initiatives to reduce bank borrowings and other debt, but bank borrowings and other debt may increase further in line with our group's growth strategy.」
The company is reiterating its financial management approach of pursuing debt reduction while also acknowledging the possibility of increased borrowings accompanying its growth strategy. - FY2017-Q2RestatedAnnual report
「Our group is pursuing various initiatives to reduce bank borrowings and other debt, but bank borrowings and other debt may increase further in line with our group's growth strategy.」
The company is reiterating its financial management approach of pursuing debt reduction while also acknowledging the possibility of increased borrowings accompanying its growth strategy. - FY2017-Q1RestatedAnnual report
「Our group is pursuing various initiatives to reduce bank borrowings and other debt, but bank borrowings and other debt may increase further in line with our group's growth strategy.」
The company is reiterating its financial management approach of working to reduce borrowings while acknowledging that debt balances may increase through growth investment. - FY2016AdvancedAnnual report
「Cash used in financing activities was ¥1,281 million. This decrease resulted from ¥405 million used to repay short-term borrowings, ¥57 million used to repay lease receivables and ¥819 million used to repay long-term borrowings.」
Borrowings were repaid in line with the policies of maintaining balance with operating cash flow, reducing inventory and costs, and controlling interest-bearing debt. - FY2016-Q3First statedAnnual report
「For capital investment in new store openings and other projects, we will undertake capital investments with high recoverability and balanced against operating cash flow. At the same time, by reducing inventories and lowering costs, we will control interest-bearing debt and work to improve the equity ratio.」
The policy is to manage store-opening investment, inventory, costs and interest-bearing debt as an integrated whole and use this to improve the financial position.