Dependence on Interest-Bearing Debt and Risks Related to Funding and Rising Interest Rates
First written in FY2016. 12 of 21 entries say "Worsened", first in FY2018. Latest entry: 2026-08-10.
Awa Paper & Technological Company moved to the "Worse" side of this theme in 2024, 3 years after the typical company in this theme (2021).
The whole theme swung hardest in 2017: 26 of 105 companies on the "Worse" side.
84 other companies' latest entry also says "Mitigated".
- 2026-08-10MitigatedEarnings
「Total liabilities were ¥19,041 million, down ¥1,056 million from the end of the previous consolidated fiscal year. Short-term borrowings decreased by ¥1,225 million, while long-term borrowings increased by ¥220 million.」
The decline in short-term borrowings temporarily reduced reliance on interest-bearing debt, while long-term borrowings increased, so this does not indicate that the overall risk has been eliminated. - FY2026WorsenedAnnual report
「As of the end of the consolidated fiscal year, cash and cash equivalents stood at ¥1,585 million, and interest-bearing debt, including borrowings and lease liabilities, stood at ¥14,089 million.」
Interest-bearing debt increased from ¥12,614 million at the end of the previous fiscal year to ¥14,089 million, increasing reliance on financing associated with capital expenditures and other activities. - 2026-05-13WorsenedRevisions to earnings forecasts
「The increases mainly comprised ¥593 million in long-term borrowings due within 1 year, ¥565 million in long-term borrowings, ¥328 million in short-term borrowings, ¥309 million in notes and accounts payable, and ¥205 million in electronically recorded obligations, while electronically recorded obligations related to equipment decreased by ¥1,495 million.」
The company reported increases in long-term borrowings due within 1 year, long-term borrowings, short-term borrowings, and other items in its full-year financial position. - FY2026-H1WorsenedAnnual report
「Total liabilities stood at ¥19,630 million, an increase of ¥25 million from the end of the previous consolidated fiscal year. Long-term borrowings increased by ¥1,243 million, short-term borrowings by ¥253 million, and current maturities of long-term borrowings by ¥236 million, while electronically recorded obligations related to equipment decreased by ¥1,282 million and unpaid amounts included in other current liabilities by ¥383 million.」
Against a backdrop of financing related to the new plant and other projects, long-term borrowings, short-term borrowings, and current maturities of long-term borrowings increased, further increasing reliance on interest-bearing debt. - FY2025WorsenedAnnual report
「As of the end of the consolidated fiscal year, interest-bearing debt, including borrowings and lease liabilities, stood at ¥12,614 million.」
Interest-bearing debt increased from ¥7,747 million at the end of the previous fiscal year to ¥12,614 million. Reliance on financing increased further in connection with construction of the new Komatsushima plant and other activities. - FY2025-H1WorsenedAnnual report
「Total liabilities stood at ¥15,857 million, an increase of ¥1,495 million from the end of the previous consolidated fiscal year. Long-term borrowings increased by ¥1,609 million and short-term borrowings by ¥972 million, while electronically recorded obligations related to equipment decreased by ¥1,233 million.」
Long-term and short-term borrowings increased, resulting in an increase in total liabilities. Financial exposure related to reliance on interest-bearing debt and financing has expanded from the end of the previous fiscal year. - FY2024WorsenedAnnual report
「As of the end of the consolidated fiscal year, interest-bearing debt, including borrowings and lease liabilities, stood at ¥7,747 million.」
Interest-bearing debt increased from ¥4,141 million at the end of the previous fiscal year to ¥7,747 million. Reliance on financing has increased due to higher short-term borrowings and other factors associated with construction of the new Komatsushima plant. - FY2024-Q3WorsenedAnnual report
「Total liabilities stood at ¥11,943 million, an increase of ¥2,137 million from the end of the previous consolidated fiscal year. Although short-term borrowings increased by ¥3,478 million, long-term borrowings decreased by ¥846 million, electronically recorded obligations by ¥297 million, and notes and accounts payable by ¥266 million.」
Short-term borrowings increased by ¥3,478 million, and total liabilities increased by ¥2,137 million. Reliance on interest-bearing debt has expanded from the end of the previous fiscal year, reflecting the increased financing associated with capital expenditures and other activities in the financial position. - FY2024-Q2WorsenedAnnual report
「Total liabilities stood at ¥12,614 million, an increase of ¥2,808 million from the end of the previous consolidated fiscal year. Short-term borrowings increased by ¥3,243 million, while long-term borrowings decreased by ¥367 million.」
Short-term borrowings increased by ¥3,243 million in connection with financing for construction of the new Komatsushima plant and other purposes, resulting in an increase in total liabilities. Reliance on interest-bearing debt and exposure to higher interest rates have shifted from the declining trend through the previous quarter toward expansion. - FY2024-Q1MitigatedAnnual report
「Total liabilities stood at ¥10,269 million, an increase of ¥464 million from the end of the previous consolidated fiscal year. This was mainly due to decreases of ¥235 million in electronically recorded obligations and ¥188 million in long-term borrowings.」
Borrowings and lease liabilities decreased from ¥4,141 million at the end of the previous fiscal year to approximately ¥3,930 million at the end of the current quarter, mainly due to a decrease in long-term borrowings. - FY2023MitigatedAnnual report
「As of the end of the consolidated fiscal year, interest-bearing debt, including borrowings and lease liabilities, stood at ¥4,141 million.」
Interest-bearing debt decreased from ¥4,438 million at the end of the previous fiscal year to ¥4,141 million, reducing reliance on borrowings. - FY2023-Q3WorsenedAnnual report
「Long-term borrowings decreased by ¥325 million, while electronically recorded obligations increased by ¥431 million, short-term borrowings by ¥381 million, and notes and accounts payable, trade by ¥285 million.」
While long-term borrowings decreased, short-term borrowings and other items increased, with interest-bearing debt rising from approximately ¥4,413 million at the end of the previous consolidated fiscal year to approximately ¥4,604 million at the end of the third quarter. - FY2023-Q2WorsenedAnnual report
「Long-term borrowings decreased by ¥144 million, while electronically recorded obligations increased by ¥359 million, short-term borrowings by ¥69 million, notes and accounts payable, trade by ¥228 million, the current portion of long-term borrowings by ¥84 million, and lease liabilities by ¥71 million.」
While long-term borrowings decreased, short-term borrowings, the current portion of long-term borrowings and lease liabilities increased, resulting in an increase in interest-bearing debt-related balances at the end of the current quarter compared with the previous fiscal year-end. - FY2023-Q1MitigatedAnnual report
「Long-term borrowings decreased by ¥171 million, while accrued expenses included in other current liabilities increased by ¥220 million, notes and accounts payable, trade by ¥195 million, and electronically recorded obligations by ¥185 million.」
Long-term borrowings decreased by ¥171 million. Although short-term borrowings increased, the combined balance of borrowings and lease liabilities declined from the end of the previous consolidated fiscal year. - FY2022MitigatedAnnual report
「At the end of the current consolidated fiscal year, interest-bearing debt, including borrowings and lease liabilities, amounted to ¥4,438 million.」
Interest-bearing debt decreased from ¥5,656 million at the end of the previous fiscal year to ¥4,438 million, reducing reliance on borrowings. - FY2022-Q3MitigatedAnnual report
「Long-term borrowings decreased by ¥513 million and short-term borrowings by ¥167 million, while electronically recorded obligations increased by ¥533 million and notes and accounts payable, trade by ¥298 million.」
Long-term borrowings decreased by ¥513 million and short-term borrowings by ¥167 million from the end of the previous consolidated fiscal year, continuing the reduction in interest-bearing debt and reliance on external funding. - FY2022-Q2MitigatedAnnual report
「This was mainly due to increases of ¥285 million in electronically recorded obligations and ¥105 million in notes and accounts payable, trade, while long-term borrowings decreased by ¥342 million and short-term borrowings by ¥87 million.」
Long-term borrowings decreased by ¥342 million and short-term borrowings by ¥87 million from the end of the previous consolidated fiscal year, indicating a reduction in interest-bearing debt and reliance on external funding. - FY2021WorsenedAnnual report
「At the end of the current consolidated fiscal year, interest-bearing debt, including borrowings and lease liabilities, amounted to ¥5,656 million.」
Interest-bearing debt increased from ¥5,420 million at the previous fiscal year-end to ¥5,656 million, indicating greater reliance on external funding. - FY2019MitigatedAnnual report
「The Group's ratio of interest-bearing debt to total assets was high at 31.8% at the end of the fiscal year ending March 2019.」
The ratio of interest-bearing debt to total assets fell from 32.2% in the previous fiscal year to 31.8%, but is still described as high. - FY2018WorsenedAnnual report
「The Group's ratio of interest-bearing debt to total assets was high at 32.2% at the end of the fiscal year ending March 2018.」
The ratio of interest-bearing debt to total assets increased from 28.1% in FY2016 to 32.2%. - FY2016First statedAnnual report
「The Group's ratio of interest-bearing debt to total assets was high at 28.1% at the end of the fiscal year ending March 2016. The Group expects significant funding needs, including substantial capital investment to expand production capacity in Japan and overseas. However, if the Group is unable to raise sufficient funds or interest rates rise, this could affect its business activities and performance.」
The ratio of interest-bearing debt to total assets was 28.1%, with insufficient funding for capital investment and rising interest rates cited as risks.