Financial Covenants in Borrowing Agreements
First written in FY2021. 1 of 2 entries say "Materialised", first in FY2023-Q1. Latest entry: FY2023-Q1.
Paycloud Holdings moved to the "Worse" side of this theme in 2023, the same year as the typical company in this theme.
0 other companies' latest entry also says "Materialised".
- FY2023-Q1MaterialisedAnnual report
「As a result, the Company was in a situation where it had breached the financial covenants attached to its loan agreements with financial institutions, giving rise to material doubt about the going concern assumption. Following negotiations with the financial institutions, however, the Company reached an agreement waiving application of the relevant covenants.」
The Company disclosed that it had breached its financial covenants in the previous fiscal year due to an ordinary loss. It subsequently reached an agreement with the financial institutions to waive application of the covenants. - FY2021First statedAnnual report
「① Beginning with the fiscal year ended August 2021, the amount of net assets in the non-consolidated balance sheet of the Company as of the end of each fiscal year must be at least 75% of the total amount of net assets in the Company's non-consolidated balance sheet as of the end of the immediately preceding fiscal year. ② Beginning with the fiscal year ended August 2021, ordinary income or loss shown in the Company's non-consolidated income statement for each fiscal year must not be a loss.」
Financial covenants requiring the maintenance of net assets and avoidance of ordinary losses have been disclosed for borrowings used to acquire バリューデザイン shares.