Improving Capital Productivity Through Balance Sheet Reform
First written in FY2016. 12 of 22 entries say "Advanced", first in FY2019-Q2. Latest entry: FY2026.
The whole theme swung hardest in 2018: 2 of 20 companies on the "Worse" side.
11 other companies' latest entry also says "Other".
- FY2026Continued increase in debt and decline in the equity interest ratio following the acquisitionAnnual report
「Liabilities increased by ¥105,609 million from the end of the previous consolidated fiscal year to ¥231,751 million, mainly due to an increase in borrowings used to acquire shares of ビアメカニクス. Equity also increased by ¥16,608 million, mainly due to increases in retained earnings and the foreign currency translation adjustment for foreign operations resulting from the weaker yen at the end of the period. As a result, the ratio of equity attributable to owners of the parent changed from 79.9% to 69.4%, a decrease of 10.5 percentage points from the end of the previous consolidated fiscal year.」
The impact of borrowings associated with the acquisition of ビアメカニクス was reflected over the full fiscal year, and changes in liabilities and the equity ratio increased further from the previous interim period. - FY2026-H1Increase in debt from acquisition financing and decline in equity interestAnnual report
「Liabilities increased by ¥85,315 million from the end of the previous consolidated fiscal year to ¥211,457 million, mainly due to an increase in borrowings used to acquire shares of ビアメカニクス. Equity increased by ¥2,953 million, mainly due to an increase in the foreign currency translation adjustment for foreign operations resulting from the weaker yen at the end of the period. As a result, the ratio of equity attributable to owners of the parent changed from 79.9% to 70.7%, a decrease of 9.2 percentage points from the end of the previous consolidated fiscal year.」
Borrowings for the acquisition of ビアメカニクス increased liabilities, and the ratio of equity attributable to owners of the parent declined from 79.9% to 70.7%. - FY2025AdvancedAnnual report
「Current assets decreased by ¥14,798 million to ¥414,511 million, mainly due to the reduction in inventories associated with production adjustments, while non-current assets decreased by ¥16,363 million to ¥235,380 million, mainly due to the sale of investment securities.」
Asset efficiency and balance sheet reform progressed through inventory reductions associated with production adjustments and the sale of investment securities. - FY2025-H1AdvancedAnnual report
「As described below, we signed a transfer agreement dated 30 September 2024 and transferred property, plant and equipment on 1 November 2024.」
To improve asset efficiency, rental property in Kumagaya, Saitama Prefecture, was transferred, and a gain on sales of property, plant and equipment of approximately ¥1 billion is expected to be recognized in the fiscal year ending March 2025. - FY2022RestatedAnnual report
「③ Improving asset efficiency ・Shortening lead times and optimizing inventories ・Streamlining and selling non-core assets ・Reducing cross-shareholdings」
Initiatives targeting lead times, inventories, non-core assets and cross-shareholdings have been reaffirmed as measures to improve asset efficiency. - FY2022-Q2AdvancedAnnual report
「The main factors were the sale and redemption of securities and investment securities in anticipation of future capital expenditures.」
In anticipation of future capital expenditures, securities and investment securities were sold and redeemed, resulting in cash flows from investing activities of ¥5,418 million. - FY2021AdvancedAnnual report
「During the fiscal year, the number of issues for which the number of shares decreased was — issues of unlisted shares and 5 issues of shares other than unlisted shares, with total proceeds from sales related to the reduction in the number of shares of ¥409 million.」
The company demonstrated progress under its policy of reducing cross-shareholdings by selling 5 listed issues for total proceeds of ¥409 million. - FY2021-Q3AdvancedAnnual report
「Current assets decreased by ¥13,465 million from the end of the previous consolidated fiscal year to ¥285,872 million, mainly because trade and other receivables declined due to lower revenue and inventories decreased as inventory reduction efforts progressed. Non-current assets decreased by ¥4,632 million from the end of the previous consolidated fiscal year to ¥254,624 million, mainly because other financial assets declined following the sale and redemption of investment securities.」
Inventories decreased from ¥100,495 million at the end of the previous fiscal year to ¥90,153 million through inventory reduction efforts, while the sale and redemption of investment securities also progressed. Balance sheet reform was implemented further. - FY2021-Q2AdvancedAnnual report
「Current assets decreased by ¥9,181 million from the end of the previous consolidated fiscal year to ¥290,156 million, mainly because trade and other receivables declined due to lower revenue and inventories decreased as inventory reduction efforts progressed. Non-current assets decreased by ¥4,357 million from the end of the previous consolidated fiscal year to ¥254,899 million, mainly because other financial assets declined following the sale and redemption of investment securities.」
Inventory was reduced from ¥100,495 million to ¥91,856 million as inventory reduction efforts progressed, and investment securities were also sold and redeemed. Balance sheet reform remains in the implementation phase. - FY2021-Q1AdvancedAnnual report
「Gain on sales of property, plant and equipment for the nine-month period of the current consolidated fiscal year primarily includes the gain recognized in connection with the sale of the Komaki Plant.」
As part of the existing initiative to streamline and sell non-core assets, the Komaki Plant was sold and a gain on sales of property, plant and equipment of ¥10,266 million was recognized. - FY2020AdvancedAnnual report
「The transaction agreement was signed on 29 November 2019, and the transfer was completed on 16 April 2020.」
The transfer of a logistics warehouse was completed on 16 April 2020 following the agreement, with the aim of improving capital productivity and strengthening the financial position. The transfer price was ¥11.04 billion. - FY2020-Q1RestatedAnnual report
「The company is also working to improve capital productivity through balance sheet reform.」
The improvement of capital productivity through balance sheet reform has been reaffirmed as an ongoing initiative under Task321. - FY2019AdvancedAnnual report
「During the consolidated fiscal year, we transferred 60% of the issued shares of アマダリース, which had been wholly owned by us, to Tokyo Century Corporation.」
The transfer of 60% of the shares of アマダリース was completed, and the equity interest changed from 100% to 40%, resulting in its classification changing from a consolidated subsidiary to an equity-method affiliate. Balance sheet reform, including the removal of assets and liabilities from the balance sheet, progressed to the implementation stage. - FY2019-Q3AdvancedAnnual report
「At the end of the third quarter of the consolidated fiscal year, assets held for sale and directly related liabilities met the criteria for classification as held for sale following the signing in November 2018 of a share transfer agreement to sell part of the shares of アマダリース, a consolidated subsidiary in the Metalworking Machinery segment, to Tokyo Century Corporation in March 2019.」
In connection with the agreement to sell part of the shares of アマダリース, related assets of ¥11,952 million and liabilities of ¥1,685 million were classified as held for sale. Balance sheet reform has progressed from the contractual stage to the accounting classification stage. - FY2019-Q2AdvancedAnnual report
「The company decided to transfer part of its shares after determining that placing Amada Lease's assets and liabilities off balance sheet would improve capital productivity as part of balance sheet reform.」
The company transferred part of its shares in Amada Lease to Tokyo Century in March 2019 and entered into an agreement to reduce its equity interest from 100% to 40%. It identifies reform of the leasing business and placing assets and liabilities off balance sheet as specific measures under balance sheet reform. - FY2019-Q1RestatedAnnual report
「The company is also working to improve capital productivity through balance sheet reform.」
The company reaffirms improving capital productivity through balance sheet reform as an ongoing measure toward achieving Task321. - FY2018-Q3RestatedAnnual report
「The company is also working to improve growth, profitability and capital efficiency by improving capital productivity through balance sheet reform.」
The company reaffirms improving capital productivity through balance sheet reform as an integrated measure to enhance growth and profitability. - FY2018-Q1RestatedAnnual report
「The company is also working to improve growth, profitability and capital efficiency by improving capital productivity through balance sheet reform.」
The company reaffirms improving capital productivity through balance sheet reform as an integrated measure to enhance growth and profitability. - FY2017RestatedAnnual report
「Shortening lead times by promoting local production, optimizing inventories by establishing regional supply chain management structures, securitizing accounts receivable by rebuilding the sales finance business, and streamlining and selling non-core assets such as rental real estate and marketable securities based on profitability assessments」
The company reiterates local production, regional supply chain management, the rebuilding of the sales finance business and the streamlining of non-core assets as means of improving capital productivity. - FY2016First statedAnnual report
「③ Improving capital productivity, shortening lead times through the shift to local production, reducing inventories by establishing a supply chain management structure, rebuilding the sales finance business, reducing accounts receivable by reviewing the funding structure, and streamlining and selling non-core assets such as idle real estate and marketable securities based on profitability assessments」
The company presents multiple measures to improve capital efficiency, targeting inventories, accounts receivable and non-core assets.