Credit, Market, Interest Rate and Liquidity Risks of Financial Instruments
First written in FY2017. 9 of 15 entries say "Mitigated", first in FY2020. Latest entry: FY2026-H1.
The whole theme swung hardest in 2026: 7 of 17 companies on the "Worse" side.
4 other companies' latest entry also says "Other".
- FY2026-H1Decrease in Cash and Debt RepaymentAnnual report
「Cash and cash equivalents (hereinafter, "funds") for the six-month period decreased by ¥619 million from the end of the previous fiscal year to ¥4,102 million.」
Cash and cash equivalents decreased by ¥619 million, while financing activities included repayments of ¥700 million in short-term borrowings and ¥149 million in long-term borrowings. - FY2025MitigatedAnnual report
「To secure liquidity, the company raised a total of ¥3,319 million during the fiscal year through a public offering in December 2024 and a private placement in January 2025, securing the working capital required for business operations.」
The company raised a total of ¥3,319 million through a public offering and a private placement and is working to secure liquidity and working capital. - FY2025-H1Decrease in cash and current assets and repayment of borrowingsAnnual report
「Current assets decreased by ¥161 million from the end of the previous consolidated fiscal year to ¥3,176 million. This was mainly attributable to decreases of ¥90 million in cash and deposits and ¥73 million in trade receivables. Non-current liabilities decreased by ¥1,098 million from the end of the previous consolidated fiscal year to ¥1,586 million.」
Cash and deposits and current assets decreased, while non-current liabilities and long-term borrowings also decreased. Financial and liquidity risk indicators showed mixed movements. - FY2024-Q3Increase in Current Assets, Cash and DepositsAnnual report
「Current assets increased by ¥805 million from the end of the previous consolidated fiscal year to ¥3,215 million. This was mainly attributable to increases of ¥570 million in cash and deposits and ¥128 million in trade receivables.」
Current assets increased by ¥805 million and cash and deposits increased by ¥570 million. Meanwhile, current liabilities continued to exceed current assets. - FY2024-Q2MitigatedAnnual report
「Cash and cash equivalents (hereinafter, "funds") for the six-month period ended 30 September increased by ¥1,078 million from the end of the previous consolidated fiscal year to ¥2,363 million.」
Cash and cash equivalents increased by ¥1,078 million, mainly due to ¥680 million in proceeds from a private placement. While the company's funding position improved, its going-concern situation continued separately. - FY2024-Q1MitigatedAnnual report
「Regarding the breach of the financial covenants, the company explained its measures for restoring performance to its financing institutions, obtained a waiver of the financial covenants and has no significant funding concerns.」
A breach of the financial covenants occurred, but the company obtained a waiver from its financing institutions and determined that it had no significant funding concerns. - FY2023RestatedAnnual report
「To secure liquidity and establish a stable and flexible funding structure in preparation for unforeseen circumstances during the COVID-19 pandemic, the company renewed syndicated loan (commitment line) agreements totaling ¥4 billion as of 31 March 2023 and has secured sufficient working capital.」
The company continued to state that it had renewed its ¥4 billion commitment line agreements and secured sufficient working capital. - FY2023-Q3MitigatedAnnual report
「Regarding the possibility of breaching the financial covenants, the company explained its measures for restoring performance to its financing institutions and obtained a waiver of the financial covenants.」
The potential breach of the financial covenants was waived after the company explained the situation to its financing institutions, and measures addressing funding and going-concern matters are progressing. - FY2022MitigatedAnnual report
「To secure liquidity and establish a stable and flexible funding structure in preparation for unforeseen circumstances during the COVID-19 pandemic, the company had entered into syndicated loan (commitment line) agreements totaling ¥4 billion as of 31 March 2022. As this secured sufficient working capital, the company determined that its funding issues had been resolved.」
The company continued to determine that sufficient working capital had been secured through commitment lines totaling ¥4 billion and that its funding issues had been resolved. The total commitment declined from ¥5 billion in the previous fiscal year to ¥4.9 billion, while outstanding borrowings stood at ¥1 billion. - FY2022-Q2MitigatedAnnual report
「At a meeting of the Board of Directors held on 26 August 2021, the company resolved to borrow funds for working capital and other purposes during the period affected by COVID-19. (1) Lender Development Bank of Japan Inc. (2) Loan amount ¥1 billion (3) Drawdown date 31 August 2021 (4) Repayment date 31 August 2029 (5) Repayment method Lump-sum repayment at maturity (6) Collateral and guarantees Unsecured and unguaranteed」
The company borrowed a ¥1 billion subordinated capital loan from Development Bank of Japan Inc. to address working capital and other needs amid the impact of COVID-19. Repayment is due on 31 August 2029, and the loan is unsecured and unguaranteed. - FY2021-Q3MitigatedAnnual report
「As of 13 January 2021, the company had obtained written consent from its financing institutions that the financial covenants would not apply to the current consolidated fiscal year. As this secured sufficient working capital, the company determined that its funding issues had been resolved.」
The company obtained consent from its financing institutions not to apply the financial covenants, secured working capital and stated that its funding issues had been resolved. - FY2021-Q2MitigatedAnnual report
「The company also worked to stabilize its financial base by securing working capital through a commitment line agreement.」
The company continued its commitment line to secure working capital and borrowed ¥1 billion from Development Bank of Japan Inc. on 31 August 2020, with repayment due on 31 August 2025. - FY2020MitigatedAnnual report
「To secure liquidity and establish a stable and flexible funding structure in preparation for unforeseen circumstances during the COVID-19 pandemic, the company entered into a new ¥3 billion syndicated loan (commitment line) agreement with its financing institutions in June 2020, in addition to its existing ¥2 billion syndicated loan (commitment line) agreement. As this secured sufficient working capital, the company determined that its funding issues had been resolved.」
The company entered into a new ¥3 billion commitment line in addition to the existing ¥2 billion facility and stated that it had secured working capital in preparation for the COVID-19 pandemic. - FY2018RestatedAnnual report
「Long-term borrowings and lease liabilities arising from finance lease transactions are primarily used to fund capital expenditures. Their maturities fall after the balance sheet date, with the longest maturity being 6 years for long-term borrowings and 19 years and 7 months for lease liabilities.」
The company continues to disclose financial instrument risks and its management framework relating to credit, market, interest rate and liquidity risks. - FY2017First statedAnnual report
「Trade receivables, which are operating receivables, are exposed to customers' credit risk. Marketable securities and investment securities are primarily shares held to facilitate business relationships with business partners and others, while bonds and listed shares are exposed to the credit risk of their issuers and the risk of fluctuations in market prices.」
The company specifies the credit risks of customers and issuers and the risk of fluctuations in the market prices of financial instruments, and separately describes the management of interest rate risk from variable-rate instruments and liquidity risk related to funding.