Dependence on Interest-Bearing Debt and Rising Interest Rates
First written in FY2016. 17 of 26 entries say "Worsened", first in FY2019-Q2. Latest entry: FY2026.
The whole theme swung hardest in 2020: 63 of 142 companies on the "Worse" side.
- FY2026MitigatedAnnual report
「As of the end of the current consolidated fiscal year, the ratio of interest-bearing debt to total assets was 51.1%. The company is working to prevent any further increase in this ratio by formulating appropriate capital expenditure plans and improving asset efficiency.」
The ratio of interest-bearing debt to total assets decreased from 53.3% in the previous fiscal year to 51.1%, and interest-bearing debt also decreased to ¥7,423.3 million. Interest expense, meanwhile, increased to ¥2,160 million. - FY2026-H1Increase in short-term borrowings, decrease in long-term borrowingsAnnual report
「Liabilities totaled ¥11,963.3 million, a decrease of ¥228.8 million (△1.9%) from the end of the previous consolidated fiscal year. The main factors were a ¥255.0 million increase in short-term borrowings, offset by a ¥307.0 million decrease in notes and accounts payable and a ¥148.3 million decrease in long-term borrowings.」
Although total liabilities decreased, short-term borrowings increased by ¥255.0 million and long-term borrowings decreased by ¥148.3 million. - FY2025Continued high dependence on interest-bearing debtAnnual report
「As of the end of the current consolidated fiscal year, the ratio of interest-bearing debt to total assets was 53.3%. The company is working to prevent any further increase in this ratio by formulating appropriate capital expenditure plans and improving asset efficiency.」
The ratio of interest-bearing debt to total assets rose from 52.0% in the previous fiscal year to 53.3%, while interest expense also increased to ¥2,049 million. The company cites capital expenditure management and improved asset efficiency as measures to prevent a further increase in the ratio. - FY2025-H1WorsenedAnnual report
「Liabilities totaled ¥13,125.8 million, an increase of ¥1,164.9 million (+9.7%) from the end of the previous consolidated fiscal year. The main factor was a ¥1,411.4 million increase in short-term borrowings, despite a ¥159.9 million decrease in long-term borrowings.」
Although long-term borrowings decreased, short-term borrowings increased by ¥1,411.4 million, and total liabilities also increased by 9.7% from the end of the previous consolidated fiscal year. - FY2024-Q3MitigatedAnnual report
「Liabilities totaled ¥12,305.4 million, a decrease of ¥445.5 million (△3.5%) from the end of the previous consolidated fiscal year. The main factor was a ¥1,067.9 million decrease in long-term borrowings, despite a ¥532.0 million increase in notes and accounts payable.」
Long-term borrowings decreased by ¥1,067.9 million, and total liabilities also decreased by 3.5% from the end of the previous consolidated fiscal year. Interest-bearing debt exposure is contracting. - FY2024-Q2MitigatedAnnual report
「Liabilities totaled ¥12,385.4 million, a decrease of ¥365.6 million (△2.9%) from the end of the previous consolidated fiscal year. The main factor was a ¥918.5 million decrease in long-term borrowings, despite a ¥481.9 million increase in notes and accounts payable.」
Long-term borrowings decreased by ¥918.5 million, and total liabilities also decreased by 2.9% from the end of the previous fiscal year. Short-term borrowings, meanwhile, increased. - FY2024-Q1MitigatedAnnual report
「Liabilities totaled ¥11,982.3 million, a decrease of ¥768.6 million (△6.0%) from the end of the previous consolidated fiscal year. The main factors were a ¥120.6 million increase in notes and accounts payable and a ¥30.0 million increase in short-term borrowings, offset by a ¥736.0 million decrease in long-term borrowings and a ¥375.7 million decrease in other current liabilities.」
Although short-term borrowings increased by ¥30.0 million, long-term borrowings decreased by ¥736.0 million, and total liabilities also decreased by 6.0% from the end of the previous fiscal year. Interest-bearing debt exposure is contracting, but the breach of financial covenants is continuing. - FY2023WorsenedAnnual report
「As of the end of the current consolidated fiscal year, interest-bearing debt accounted for 53.5% of consolidated total assets. If interest expense increases as a result of higher borrowing rates, this could affect the Group’s operating results and other financial results.」
The ratio of interest-bearing debt to total assets rose from 49.8% to 53.5%. Interest-bearing debt totaled ¥7,969.3 million, and interest expense was ¥1,191 million. - FY2023-Q3WorsenedAnnual report
「Liabilities totaled ¥12,905.0 million, an increase of ¥1,792.0 million (+16.1%) from the end of the previous consolidated fiscal year. The main factors were a ¥846.8 million decrease in long-term borrowings, offset by a ¥1,428.5 million increase in short-term borrowings and a ¥996.4 million increase in notes and accounts payable.」
Although long-term borrowings decreased, short-term borrowings increased by ¥1,428.5 million, and total liabilities also increased by 16.1% from the end of the previous fiscal year. - FY2023-Q2WorsenedAnnual report
「Liabilities totaled ¥12,580.2 million, an increase of ¥1,467.2 million (+13.2%) from the end of the previous consolidated fiscal year. The main factors were a ¥503.6 million decrease in long-term borrowings, offset by a ¥1,331.2 million increase in short-term borrowings and a ¥331.3 million increase in notes and accounts payable.」
Although long-term borrowings decreased, short-term borrowings increased by ¥1,331.2 million, and total liabilities also increased by 13.2% from the end of the previous fiscal year, indicating an expansion in interest-bearing debt exposure. - FY2023-Q1WorsenedAnnual report
「Liabilities totaled ¥11,712.3 million, an increase of ¥599.4 million (+5.4%) from the end of the previous consolidated fiscal year. The main factors were a ¥312.6 million decrease in long-term borrowings, offset by a ¥474.8 million increase in short-term borrowings, a ¥204.7 million increase in notes and accounts payable, and a ¥238.1 million increase in other current liabilities.」
Although long-term borrowings decreased, short-term borrowings increased by ¥474.8 million, and total liabilities also increased by 5.4% from the end of the previous fiscal year. - FY2022WorsenedAnnual report
「As of the end of the current consolidated fiscal year, interest-bearing debt accounted for 49.8% of consolidated total assets.」
The ratio of interest-bearing debt to total assets rose from 41.5% in the previous fiscal year to 49.8%, while interest-bearing debt increased from ¥6,039.3 million to ¥7,112.2 million. Interest expense was ¥582 million. - FY2022-Q3WorsenedAnnual report
「Liabilities totaled ¥10,526.8 million, an increase of ¥717.1 million (+7.3%) from the end of the previous consolidated fiscal year. The main factor was a ¥1,282.1 million increase in short-term borrowings, despite a ¥527.5 million decrease in long-term borrowings.」
Short-term borrowings increased by ¥1,282.1 million, and total liabilities also increased by 7.3% from the end of the previous fiscal year. Although long-term borrowings decreased, interest-bearing debt exposure expanded, mainly through short-term borrowings. - FY2022-Q2Change in Borrowing MixAnnual report
「Liabilities totaled ¥9,644.5 million, a decrease of ¥165.0 million (△1.7%) from the end of the previous consolidated fiscal year. The main factors were a ¥286.9 million increase in short-term borrowings, offset by a ¥395.0 million decrease in notes and accounts payable and a ¥337.5 million decrease in long-term borrowings.」
Although total liabilities decreased, short-term borrowings increased by ¥286.9 million and long-term borrowings decreased by ¥337.5 million. The change in the composition of borrowings is noted. - FY2022-Q1WorsenedAnnual report
「Liabilities totaled ¥10,503.3 million, an increase of ¥693.6 million (+7.1%) from the end of the previous consolidated fiscal year. The main factors were a ¥101.7 million decrease in notes and accounts payable, a ¥207.6 million decrease in long-term borrowings, a ¥563.2 million increase in short-term borrowings, and a ¥480.6 million increase in other current liabilities.」
Short-term borrowings increased by ¥563.2 million, and total liabilities also increased by 7.1% from the end of the previous fiscal year, so the increase in interest-bearing debt exposure is noted. - FY2021WorsenedAnnual report
「As of the end of the current consolidated fiscal year, interest-bearing debt accounted for 41.5% of consolidated total assets.」
The ratio of interest-bearing debt to total assets rose from 31.3% to 41.5%, while interest-bearing debt increased from ¥4,713.6 million to ¥6,039.3 million. The company also notes that it drew down long-term borrowings as a precaution against the COVID-19 pandemic. - FY2021-Q3WorsenedAnnual report
「Liabilities totaled ¥10,238.8 million, an increase of ¥1,668.9 million (+19.5%) from the end of the previous consolidated fiscal year. The main factors were a ¥1,251.3 million increase in long-term borrowings and a ¥177.9 million increase in short-term borrowings.」
Long-term and short-term borrowings increased by a combined ¥1,439.2 million, and total liabilities also increased by 19.5% from the end of the previous fiscal year. The increase in interest-bearing debt exposure is continuing. - FY2021-Q2WorsenedAnnual report
「Liabilities totaled ¥9,220.6 million, an increase of ¥650.7 million (+7.6%) from the end of the previous consolidated fiscal year. The main factor was a ¥1,302.7 million increase in long-term borrowings, despite a ¥680.5 million decrease in notes and accounts payable.」
Long-term borrowings increased by ¥1,302.7 million, and total liabilities also increased by 7.6% from the end of the previous fiscal year, so the increase in interest-bearing debt exposure is further noted. - FY2021-Q1WorsenedAnnual report
「Liabilities totaled ¥9,127.2 million, an increase of ¥557.3 million (+6.5%) from the end of the previous consolidated fiscal year. The main factors were a ¥623.2 million decrease in notes and accounts payable and a ¥1,091.2 million increase in long-term borrowings.」
Long-term borrowings increased by ¥1,091.2 million, and total liabilities also increased by 6.5% from the end of the previous fiscal year, so the increase in interest-bearing debt exposure is noted. - FY2020-Q3WorsenedAnnual report
「Liabilities were ¥85,731 million, an increase of ¥12,594 million from the end of the previous consolidated fiscal year (+17.2%). The main factors were a ¥9,788 million increase in short-term borrowings and a ¥2,400 million increase in notes and accounts payable.」
Short-term borrowings increased by ¥978.8 million, resulting in a 17.2% increase in total liabilities from the end of the previous fiscal year. The increase in interest-bearing debt exposure is also noted. - FY2020-Q2WorsenedAnnual report
「Liabilities were ¥75,911 million, an increase of ¥2,774 million from the end of the previous consolidated fiscal year (+3.8%). The main factors were a ¥2,334 million decrease in long-term borrowings, offset by a ¥3,816 million increase in short-term borrowings and a ¥1,741 million increase in notes and accounts payable.」
Short-term borrowings increased by ¥3,816 million, and total liabilities increased 3.8% from the end of the previous fiscal year. The disclosure describes an increase in interest-bearing debt exposure. - FY2020-Q1WorsenedAnnual report
「The main factors were a ¥7,353 million increase in short-term borrowings and a ¥3,936 million decrease in long-term borrowings.」
The disclosure describes changes in the borrowing mix and interest-bearing debt exposure resulting from an increase in short-term borrowings and a decrease in long-term borrowings. - FY2019-Q3WorsenedAnnual report
「The main factor was a ¥2,900 million increase in long-term borrowings.」
Long-term borrowings increased by ¥2,900 million from the end of the previous consolidated fiscal year, and the disclosure describes an increase in interest-bearing debt exposure. - FY2019-Q2WorsenedAnnual report
「The main factor was a ¥2,543 million increase in long-term borrowings.」
Long-term borrowings increased by ¥2,543 million from the end of the previous consolidated fiscal year, and the disclosure describes an increase in interest-bearing debt exposure. It does not mention the occurrence of an interest-rate increase risk itself. - FY2017MitigatedAnnual report
「As of the end of the current consolidated fiscal year, interest-bearing debt accounted for 19.6% of consolidated total assets. If interest expense increases due to higher borrowing rates in the future, it may affect the Group's operating results and other aspects of performance.」
The interest-bearing debt-to-total-assets ratio declined from 22.8% in the previous year to 19.6%, and interest expense also decreased from ¥466 million to ¥380 million. The interest-rate increase risk itself continues. - FY2016First statedAnnual report
「As of the end of the current consolidated fiscal year, interest-bearing debt accounted for 22.8% of consolidated total assets. Accordingly, an increase in interest expense due to higher borrowing rates may affect the Group's operating results and other aspects of performance.」
The Group reports an interest-bearing debt-to-total-assets ratio of 22.8% and identifies higher interest expense resulting from rising borrowing rates as a risk.