Strengthening the financial foundation and optimizing cash flow and funding
First written in FY2016. 3 of 29 entries say "Advanced", first in FY2017. Latest entry: FY2027-H1.
The whole theme swung hardest in 2022: 41 of 154 companies on the "Worse" side.
77 other companies' latest entry also says "Other".
- FY2027-H1Deterioration in operating cash flow and an increase in short-term borrowingsAnnual report
「Cash used in operating activities totaled ¥1,115 million, compared with ¥337 million provided in the same period of the previous year. The main factors were increases in funds from the recognition of ¥1,154 million in interim profit before income taxes and other adjustments and a ¥565 million increase in trade payables, partly offset by decreases in funds from a ¥1,460 million increase in inventories and ¥526 million in income tax payments. / Cash provided by financing activities totaled ¥874 million, an increase of ¥748 million year on year. The main factor was an increase in funds from a ¥1,580 million net increase in short-term borrowings, partly offset by cash outflows of ¥400 million for repayments of long-term borrowings and ¥208 million in dividend payments.」
Operating cash flow deteriorated from cash inflow in the same period of the previous year to ¥1,115.739 million of cash outflow, while short-term borrowings increased by ¥1,580 million net, primarily due to the increase in inventories and other factors. - FY2026MitigatedAnnual report
「Cash provided by operating activities totaled ¥1,990 million, an increase of ¥1,474 million year on year.」
Operating cash flow recovered from ¥516.56 million to ¥1,990.64 million. Short-term borrowings decreased by ¥720 million net, while repayments of long-term borrowings continued, reducing total interest-bearing debt and lease liabilities from ¥4,286.10 million to ¥3,394.30 million. - 2026-05-26RestatedGeneral Meetings of Shareholders
「To achieve sustainable growth and enhance corporate value over the medium to long term, we will pursue customer value through manufacturing and services and give tangible form to the Group's slogan, “We found a way! One step ahead.”」
The company reconfirms the pursuit of customer value through manufacturing and services as a challenge for fiscal 2026. - FY2026-H1Operating cash flow recovered, but short-term borrowings increasedAnnual report
「This was mainly due to increases of ¥576 million in notes payable and accounts payable and ¥1,080 million in short-term borrowings, together with a decrease of ¥317 million in long-term borrowings.」
Cash provided by operating activities in the interim period totaled ¥337.244 million, improving from cash outflow in the same period of the previous year, while short-term borrowings increased by ¥1,080 million due to seasonal factors and other causes. - FY2025-H1Seasonal increase in operating assets and long-term borrowingsAnnual report
「Funds increased mainly due to the recognition of ¥1,506 million in interim profit before income taxes and other adjustments and a ¥524 million increase in trade payables, partly offset by decreases in funds due to a ¥1,777 million increase in trade receivables and a ¥182 million increase in inventories.」
The increase in trade receivables and inventories due to seasonal factors and other causes resulted in ¥122 million of cash outflow from operating activities. Financing activities included ¥700 million in new long-term borrowings and ¥525.566 million in repayments, resulting in an increase in long-term borrowings. - FY2024MitigatedAnnual report
「Cash provided by operating activities totaled ¥2,458 million, an increase of ¥189 million year on year. / This was mainly due to decreases of ¥440 million in short-term borrowings and ¥623 million in long-term borrowings.」
Operating cash flow increased to ¥2,458.231 million, while both short-term and long-term borrowings decreased. Cash and cash equivalents also increased to ¥2,418.418 million. - FY2024-Q3Seasonal increase in trade receivables and short-term borrowingsAnnual report
「This was mainly due to a ¥2,041 million increase in notes and accounts receivable, contract assets and a ¥716 million increase in cash and deposits attributable to seasonal factors, including fluctuations in business activity. / This was mainly due to a ¥610 million increase in short-term borrowings and a ¥380 million decrease in long-term borrowings.」
Seasonal factors increased trade receivables and contract assets, while short-term borrowings increased by ¥610 million and long-term borrowings decreased by ¥380 million. - FY2024-Q2Seasonal increase in operating assets funded by borrowingsAnnual report
「The main factors were cash outflows of ¥523 million for repayments of long-term borrowings and ¥146 million in dividend payments, partly offset by cash inflows from a ¥1,250 million net increase in short-term borrowings and ¥410 million in proceeds from long-term borrowings.」
Operating activities used cash due to seasonal increases in trade receivables and inventories, while financing activities provided funding through a net increase in short-term borrowings and new long-term borrowings. - FY2024-Q1Seasonal increase in operating assets and short-term borrowingsAnnual report
「This was mainly due to a ¥539 million increase in notes and accounts receivable and contract assets attributable to seasonal factors, including fluctuations in business activity, and an ¥894 million increase in inventories. / This was mainly due to a ¥1,650 million increase in short-term borrowings and a ¥224 million decrease in long-term borrowings.」
Seasonal factors increased trade receivables, contract assets and inventories, while short-term borrowings increased by ¥1,650 million and long-term borrowings decreased by ¥224 million. - FY2023-Q3Seasonal increases in trade receivables and inventories and decrease in long-term borrowingsAnnual report
「This was mainly due to an ¥1,868 million increase in notes and accounts receivable and contract assets attributable to seasonal factors, including fluctuations in business activity, and a ¥902 million increase in inventories. This was mainly due to a ¥779 million increase in accounts payable and a ¥133 million decrease in long-term borrowings.」
At the end of the third quarter, seasonal factors increased trade receivables, contract assets and inventories, while long-term borrowings decreased by ¥133 million. - FY2023-Q2Seasonal increases in trade receivables and inventories and short-term borrowingsAnnual report
「This was mainly due to a ¥1,560 million increase in trade receivables and a ¥1,107 million increase in inventories attributable to seasonal factors, including fluctuations in business activity.」
Seasonal factors increased trade receivables and inventories, resulting in ¥448.097 million of cash outflow from operating activities. Short-term borrowings also increased by ¥570 million, changing the funding mix for working capital. - FY2023-Q1Seasonal increases in trade receivables and inventories and short-term borrowingsAnnual report
「This was mainly due to a ¥349 million increase in trade receivables and a ¥1,041 million increase in inventories attributable to seasonal factors, including fluctuations in business activity.」
At the end of the first quarter, seasonal factors increased trade receivables and inventories, while short-term borrowings also increased by ¥560 million. Working capital and the borrowing mix changed. - FY2022Decrease in operating cash flow and slight increase in interest-bearing debtAnnual report
「Cash provided by operating activities totaled ¥437 million, a decrease of ¥1,366 million year on year.」
Operating cash flow decreased to ¥437.38 million, while the combination of ¥1,050 million in new long-term borrowings and ¥837.20 million in repayments resulted in a slight increase in interest-bearing debt at period-end, from ¥6,444.33 million to ¥6,478.32 million. - FY2022-Q3Seasonal inventory build and increases in short- and long-term borrowingsAnnual report
「This was mainly due to a ¥696 million increase in notes and accounts receivable attributable to seasonal factors, including fluctuations in business activity, and a ¥1,587 million increase in inventories. This was mainly due to increases of ¥479 million in notes and accounts payable, ¥420 million in short-term borrowings and ¥236 million in long-term borrowings.」
In addition to the seasonal increase in trade receivables and inventories, both short-term and long-term borrowings increased, changing working capital and the borrowing mix. - FY2022-Q2Seasonal inventory build and increase in long-term borrowingsAnnual report
「This was mainly due to a ¥1,473 million increase in inventories attributable to seasonal factors, including fluctuations in business activity. / This was mainly due to a ¥552 million increase in notes and accounts payable and a ¥454 million increase in long-term borrowings.」
The seasonal increase in inventories continued, while trade payables and long-term borrowings also increased. Financing activities combined new long-term borrowings and repayments with a decrease in short-term borrowings. - FY2022-Q1Seasonal inventory build and change in the borrowing mixAnnual report
「This was mainly due to a ¥1,325 million increase in inventories attributable to seasonal factors, including fluctuations in business activity.」
Seasonal factors increased inventories by ¥1,325 million. Short-term borrowings decreased by ¥340 million, while long-term borrowings increased by ¥432 million, changing the borrowing mix. - FY2021AdvancedAnnual report
「Funds used in financing activities totaled ¥970 million, compared with ¥748 million used in the same period of the previous year. The main factors were cash outflows of ¥157 million for lease liability repayments and ¥1,661 million for repayments of long-term borrowings, partly offset by a ¥65 million net increase in short-term borrowings and ¥900 million in proceeds from long-term borrowings.」
The company repaid ¥1,661 million of long-term borrowings and managed funding through a combination of a net increase in short-term borrowings and new long-term borrowings. The balance of borrowings and other debt decreased from ¥7,105 million to ¥6,444.33 million. - FY2021-Q3Seasonal increases in trade receivables and inventories and short-term borrowings continuedAnnual report
「This was mainly due to a ¥1,752 million increase in notes and accounts receivable attributable to seasonal factors, including fluctuations in business activity, and a ¥457 million increase in inventories. / This was mainly due to a ¥485 million increase in notes and accounts payable and a ¥1,505 million increase in short-term borrowings, partly offset by an ¥844 million decrease in long-term borrowings due within one year.」
Seasonal factors increased trade receivables and inventories, while short-term borrowings increased by ¥1,505 million and long-term borrowings due within one year decreased. - FY2021-Q2Seasonal increases in trade receivables and inventories and short-term borrowings continuedAnnual report
「This was mainly due to an ¥1,108 million increase in notes and accounts receivable attributable to seasonal factors, including fluctuations in business activity, and a ¥708 million increase in inventories. / This was mainly due to increases of ¥442 million in notes and accounts payable and ¥1,785 million in short-term borrowings, a ¥845 million decrease in long-term borrowings due within one year, and a ¥274 million increase in long-term borrowings.」
Seasonal factors increased trade receivables and inventories, while short-term borrowings increased by ¥1,785 million. - FY2021-Q1Seasonal inventory build and increase in short-term borrowingsAnnual report
「This was mainly due to a ¥925 million increase in inventories attributable to seasonal factors, including fluctuations in business activity. / This was mainly due to an ¥1,825 million increase in short-term borrowings and a ¥901 million decrease in long-term borrowings due within one year.」
In addition to the seasonal increase in inventories, short-term borrowings increased by ¥1,825 million, changing working capital and the borrowing mix. - FY2020AdvancedAnnual report
「The main factors were cash outflows of ¥153 million for lease liability repayments and ¥629 million for repayments of long-term borrowings, partly offset by a ¥150 million net increase in short-term borrowings.」
The company repaid ¥629 million of long-term borrowings, while short-term borrowings increased by ¥150 million net. The balance of borrowings and other debt decreased from ¥7,592.766 million at the end of the previous fiscal year to ¥7,105.003 million. - FY2020-Q3Seasonal increases in working capital and short-term borrowings continuedAnnual report
「This was mainly due to a ¥1,619 million increase in notes and accounts receivable attributable to seasonal factors, including fluctuations in business activity, and a ¥566 million increase in inventories. This was mainly due to increases of ¥614 million in notes and accounts payable, ¥1,050 million in short-term borrowings and ¥920 million in long-term borrowings due within one year, partly offset by a ¥1,401 million decrease in long-term borrowings.」
Seasonal factors increased trade receivables and inventories, while short-term borrowings and long-term borrowings due within one year increased and long-term borrowings decreased. - FY2020-Q2Seasonal increases in working capital and short-term borrowings continuedAnnual report
「This was mainly due to a ¥608 million increase in notes and accounts receivable attributable to seasonal factors, including fluctuations in business activity, and a ¥978 million increase in inventories. / The main factors were a ¥632 million increase in trade receivables and a ¥987 million increase in inventories, which reduced funds. / Funds increased as a result of a net ¥1,170 million increase in short-term borrowings.」
The increase in trade receivables and inventories due to seasonal factors resulted in ¥290 million of cash outflow from operating activities, which was funded by a net increase in short-term borrowings. - FY2020-Q1Seasonal inventory build and increase in short-term borrowingsAnnual report
「This was mainly due to an ¥1,144 million increase in inventories attributable to seasonal factors, including fluctuations in business activity. / This was mainly due to a ¥650 million increase in short-term borrowings, a ¥967 million increase in long-term borrowings due within one year, and a ¥1,148 million decrease in long-term borrowings.」
Inventories increased due to seasonal factors, while short-term borrowings and long-term borrowings due within one year also increased, changing the borrowing mix. - FY2019Borrowings increased to fund M&AAnnual report
「Our group obtains the funds required to operate its businesses through internal funds and borrowings, and its basic policy is to build a sound financial position and improve cash flow in preparation for capital investment and investments necessitated by changes in the business environment.」
To fund ¥2.335729 billion in payments for the acquisition of shares in subsidiaries, the company raised ¥3.12 billion in long-term borrowings and other financing, increasing the balance of interest-bearing debt from ¥4.41762 billion in the previous fiscal year to ¥7.592766 billion. - FY2019-Q2Expanded funding accompanying acquisitions and an increase in working capitalAnnual report
「The main factor was a decrease in funds resulting from an increase of ¥779 million in trade receivables and an increase of ¥957 million in inventories.」
An increase in trade receivables and inventories resulted in ¥610 million of cash outflow from operating activities. In addition, against the backdrop of acquisitions of shares in subsidiaries and other factors, net short-term borrowings increased by ¥1.403 billion and proceeds from long-term borrowings amounted to ¥2.51 billion. - FY2018RestatedAnnual report
「Alongside responding flexibly to changing conditions through the focused allocation of management resources, we will continue to make unremitting corporate efforts to improve earnings through streamlining and other measures.」
Profitability improvements through the allocation and streamlining of management resources continued as the policy for addressing the financial foundation and funding. - FY2017AdvancedAnnual report
「We will further improve the efficient use of assets and profitability and continue to reduce interest-bearing debt, including borrowings.」
The reduction of interest-bearing debt continued as a means of strengthening the financial foundation. Long-term borrowings decreased from ¥2.609 billion to ¥2.109 billion, and the balance of borrowings and other debt also declined from the previous fiscal year. - FY2016First statedAnnual report
「In addition to consistently pursuing basic initiatives such as inventory management, rationalization and value analysis, we will optimize cash flow and funding based on changes in the external environment, including foreign-exchange movements and rising interest rates, as well as progress in each business.」
Inventory, VA, cash flow and funding were identified as means of strengthening the financial foundation.