Borrowings and Financial Covenants
First written in FY2021. 8 of 19 entries say "Mitigated", first in FY2022-Q2. Latest entry: FY2026.
Basis moved to the "Worse" side of this theme in 2023, 2 years before the typical company in this theme (2025).
39 other companies' latest entry also says "Mitigated".
- FY2026MitigatedAnnual report
「The Group has entered into loan agreements with financial institutions as lenders. Interest-bearing debt represented 13.1% of the Group’s total assets as of the end of June 2026.」
The interest-bearing debt ratio declined from 14.6% in the previous fiscal year to 13.1%, and long-term borrowings also decreased as a result of repayments. At the same time, the Group newly disclosed the potential for borrowings to increase in connection with M&A and the possibility of breaching financial covenants. - FY2026-H1WorsenedAnnual report
「This was mainly because the ¥100 million increase in short-term borrowings exceeded decreases of ¥57.308 million in accounts payable and ¥13.478 million in corporate taxes payable.」
Short-term borrowings increased by ¥100 million from the end of the previous consolidated fiscal year, increasing borrowing exposure. The company repaid ¥22.5 million of long-term borrowings. - FY2025MitigatedAnnual report
「The Group has entered into borrowing agreements with financial institutions as lenders and has substantial borrowings. As of the end of the fiscal year ended June 2025, interest-bearing debt represented 14.6% of the Group’s total assets.」
The interest-bearing debt ratio declined from 25.1% in the previous fiscal year to 14.6%. Short-term borrowings decreased from ¥700 million to ¥300 million, and long-term borrowings also declined, reducing borrowing exposure. - FY2025-H1MitigatedAnnual report
「Non-current liabilities were ¥279.190 million, a decrease of ¥25.182 million from the end of the previous fiscal year. This was due to the repayment of ¥22,500 in long-term borrowings.」
Repayment of long-term borrowings reduced non-current liabilities and the balance of long-term borrowings. Short-term borrowings of ¥700 million were unchanged from the end of the previous consolidated fiscal year, so part of the borrowing exposure has declined. - FY2024WorsenedAnnual report
「The Group has entered into borrowing agreements with financial institutions as lenders and has substantial borrowings. As of the end of the fiscal year ended June 2024, interest-bearing debt represented 25.1% of the Group’s total assets.」
The interest-bearing debt ratio increased from 22.6% in the previous fiscal year to 25.1%. Although short-term borrowings decreased to ¥700 million, long-term borrowings of ¥243.750 million were recorded, bringing total borrowings to ¥988.750 million. - FY2024-Q3MitigatedAnnual report
「Total liabilities at the end of the third quarter were ¥1,862.711 million. These consisted mainly of short-term borrowings of ¥700 million, trade accounts payable of ¥309.921 million, accrued expenses of ¥252.503 million and long-term borrowings of ¥300 million, including current maturities.」
Short-term borrowings decreased from ¥800 million and long-term borrowings from ¥311.250 million at the end of the previous quarter to ¥700 million and ¥300 million, respectively, indicating reduced borrowing exposure. - FY2024-Q2WorsenedAnnual report
「Total liabilities at the end of the second quarter were ¥1,950.476 million. These consisted mainly of short-term borrowings of ¥800 million, trade accounts payable of ¥303.270 million, accrued expenses of ¥257.702 million and long-term borrowings of ¥311.250 million, including current maturities.」
At the end of the second quarter, the company had ¥800 million in short-term borrowings and ¥311.250 million in long-term borrowings. Cash flows also included ¥315 million in proceeds from long-term borrowings, indicating increased borrowing exposure. - FY2023WorsenedAnnual report
「The company has entered into borrowing agreements with financial institutions as lenders and has substantial borrowings. As of the end of the fiscal year ended June 2023, interest-bearing debt represented 22.6% of total assets. The borrowing agreements entered into by the company contain financial covenants.」
The interest-bearing debt ratio increased from 18.0% in the previous fiscal year to 22.6%, and short-term borrowings increased from ¥500 million to ¥800 million. Exposure to borrowings subject to financial covenants has increased. - FY2023-Q3WorsenedAnnual report
「Current liabilities at the end of the third quarter were ¥1,717.127 million, an increase of ¥358.758 million from the end of the previous fiscal year. This was mainly due to a ¥400 million increase in short-term borrowings and a ¥45 million decrease in current maturities of long-term borrowings. Total syndicated loan commitments ¥1,500 million Drawn balance ¥900 million Undrawn amount ¥600 million」
Short-term borrowings increased by ¥400 million from the end of the previous fiscal year. Total syndicated loan commitments were ¥1,500 million and the drawn balance was ¥900 million. The existing syndicated loan was also refinanced in January 2023. - FY2023-Q2RestatedAnnual report
「Current liabilities at the end of the second quarter were ¥1,553.597 million, an increase of ¥195.228 million from the end of the previous fiscal year. This was mainly due to a ¥200 million increase in short-term borrowings and a ¥30 million decrease in current maturities of long-term borrowings. Total syndicated loan commitments ¥900 million Drawn balance ¥700 million Undrawn amount ¥200 million」
Short-term borrowings increased by ¥200 million from the end of the previous fiscal year, and the drawn balance of the syndicated loan was ¥700 million. This reconfirms the increase in borrowing exposure indicated in the previous quarter. - FY2023-Q1WorsenedAnnual report
「This was mainly due to an increase of ¥200 million in short-term borrowings, which exceeded decreases of ¥70.079 million in corporate taxes payable, ¥25.720 million in provision for bonuses and ¥24.517 million in consumption taxes payable.」
Short-term borrowings increased by ¥200 million from the end of the previous fiscal year, increasing borrowing exposure. No breach of the financial covenants is mentioned. - FY2022MitigatedAnnual report
「As of the end of the fiscal year ended June 2022, interest-bearing debt represented 18.0% of total assets. The borrowing agreements entered into by the company contain financial covenants.」
The interest-bearing debt ratio declined from 22.6% in the previous fiscal year to 18.0%, while long-term borrowings decreased from ¥105 million to ¥45 million. The financial covenants remain in place. - FY2022-Q3MitigatedAnnual report
「Non-current liabilities decreased by ¥45 million from the end of the previous fiscal year, leaving no balance at the end of the third quarter. This was due to the repayment of long-term borrowings.」
The company repaid ¥45 million of long-term borrowings, reducing non-current liabilities to zero. Long-term borrowing exposure related to the financial covenants has declined further. - FY2022-Q2MitigatedAnnual report
「Non-current liabilities were ¥15 million, a decrease of ¥30 million from the end of the previous fiscal year. This was due to the repayment of long-term borrowings.」
Repayment of long-term borrowings reduced non-current liabilities by ¥30 million, lowering the balance of long-term borrowings from ¥45 million to ¥15 million. This indicates lower borrowing exposure. - FY2021First statedAnnual report
「As of the end of the fiscal year ended June 2021, interest-bearing debt represented 22.6% of total assets. The borrowing agreements entered into by the company contain financial covenants.」
The company identifies the possibility of breaching financial covenants related to maintaining net assets and operating income or loss as a risk.