Risk of Rising Funding Rates and Funding Costs
First written in FY2016. 9 of 33 entries say "Mitigated", first in FY2017-Q2. Latest entry: 2026-08-06.
Jaccs moved to the "Worse" side of this theme in 2025, 2 years after the typical company in this theme (2023).
The whole theme swung hardest in 2023: 9 of 38 companies on the "Worse" side.
1 other company's latest entry also says "Materialised".
- 2026-08-06MaterialisedEarnings
「Consolidated operating expenses were ¥43,246 million, up 4.4% year on year, as system-related expenses, including data-center relocation costs, and financial expenses associated with higher funding costs increased.」
Higher financial expenses resulting from increased funding costs continued to affect first-quarter operating expenses. - FY2026Update interest-rate sensitivity and finance cost resultsAnnual report
「As of 31 March 2026, assuming that the benchmark interest rate rises by 10 basis points (0.1%), standalone finance costs are estimated to increase by ¥1,051 million over one year.」
The impact of a 10-basis-point increase on finance costs was updated to ¥1,051 million. Actual finance costs also increased to ¥31,554 million. - FY2026-H1MaterialisedAnnual report
「Consolidated operating expenses were ¥83.787 billion, up 5.2% from the same interim period of the previous year, due to higher system-related costs and financial costs and other expenses accompanying the rise in funding rates.」
The increase in finance costs and other expenses due to higher funding rates was reflected in actual operating expenses, and total finance costs increased from ¥11,858 million in the same interim period of the previous year to ¥14,815 million. - FY2025MaterialisedAnnual report
「As of 31 March 2025, assuming that the benchmark interest rate rises by 10 basis points (0.1%), standalone finance costs are estimated to increase by ¥1,186 million over one year.」
The impact of higher funding rates was quantified at ¥1,186 million for a 10-basis-point increase in the benchmark interest rate. Actual finance costs also increased from ¥20,596 million in the previous year to ¥25,044 million. - FY2025-H1MaterialisedAnnual report
「Consolidated operating expenses were ¥79.654 billion, up 7.9% from the same interim period of the previous year, as credit loss-related costs, mainly due to the increase in operating receivables, and financial costs and other expenses rose with higher funding rates.」
The increase in finance costs and other expenses due to higher funding rates was reflected in actual operating expenses. Total finance costs increased from ¥9,880 million in the same interim period of the previous year to ¥11,858 million. - FY2024Higher finance costs and update to interest-rate sensitivityAnnual report
「While working to contain the increase in funding costs, approximately 70% of our funding is raised at fixed rates to avoid exposure to excessive interest-rate volatility.」
While the policy of keeping approximately 70% of funding at fixed rates continued, finance costs increased from ¥15,663 million in the previous year to ¥20,596 million, and the increase in standalone finance costs resulting from a 10-basis-point rise was updated to ¥532 million. - FY2024-Q3Continued increase in finance costs due to higher transaction volumeAnnual report
「Meanwhile, on the cost side, credit loss-related costs increased as total receivables expanded, while financial costs also increased with the expansion of transaction volume. As a result, consolidated operating expenses were ¥112.038 billion, up 8.5% year on year.」
Finance costs continued to increase as transaction volume expanded, and consolidated operating expenses rose 8.5% year on year. - FY2024-Q2Higher finance costs due to increased transaction volumeAnnual report
「Consolidated operating expenses were ¥73.788 billion, up 7.1% year on year, as credit loss-related costs increased with the expansion of total receivables and financial costs increased with the expansion of transaction volume.」
Total finance costs increased from ¥7,245 million in the same period of the previous year to ¥9,880 million, and higher finance costs associated with increased transaction volume pushed up consolidated operating expenses. - FY2024-Q1Higher finance costs push up operating expensesAnnual report
「Consolidated operating expenses were ¥35.508 billion, up 6.3% year on year, mainly due to higher finance costs.」
Higher finance costs were the main driver of the increase in consolidated operating expenses, which rose 6.3% year on year. - FY2023Increase in finance costs and update to interest-rate sensitivityAnnual report
「While working to reduce funding costs, approximately 70% of our funding is raised at fixed rates to avoid exposure to excessive interest-rate volatility.」
The policy of keeping approximately 70% of funding at fixed rates continued. Meanwhile, consolidated finance costs increased to ¥1,566.3 billion, and the disclosed increase in standalone finance costs resulting from a 10-basis-point rise was ¥526 million. - FY2023-Q2MitigatedAnnual report
「Consolidated operating expenses were ¥68.911 billion, up 1.6% year on year. Credit loss-related costs declined due to lower financial costs and progress in improving asset quality, but card issuance-related costs and other expenses increased as the number of cardholders grew.」
Finance costs decreased, reducing the earnings impact of funding costs from the same period of the previous year. - FY2023-Q1MitigatedAnnual report
「Consolidated operating expenses were ¥33.413 billion, down 0.3% year on year, due to lower financial costs.」
The decrease in finance costs was reflected in lower consolidated operating expenses, and the earnings impact of funding costs decreased from the same period of the previous year. - FY2022MitigatedAnnual report
「Approximately 70% of our funding is raised at fixed rates to avoid exposure to excessive interest-rate volatility.」
The company indicated a policy of keeping approximately 70% of its funding at fixed rates, specifying its response to interest-rate volatility risk. It disclosed that a 10-basis-point increase would raise standalone finance costs by ¥448 million. - FY2022-Q3MitigatedAnnual report
「Consolidated operating expenses were ¥100,764 million, down 7.0% year on year, due to lower finance costs and the containment of bad-debt-related expenses.」
Finance costs decreased, and consolidated operating expenses also decreased by 7.0% year on year. - FY2022-Q2MitigatedAnnual report
「Consolidated operating expenses were ¥67,842 million, down 9.1% year on year, due to lower finance costs and the containment of bad-debt-related expenses.」
Finance costs decreased, and consolidated operating expenses also decreased by 9.1% year on year. - FY2022-Q1MitigatedAnnual report
「Total finance costs decreased from ¥4,812 million in the first quarter of the previous year to ¥3,930 million in the first quarter of the current year.」
Total finance costs decreased from the same period of the previous year. - FY2021MitigatedAnnual report
「As of 31 March 2021, the fixed-rate ratio for the Group's total funding, including straight bonds and commercial paper, was 63.2%, while the floating-rate ratio was 36.8%. Assuming that risk variables other than interest rates remain constant and that the benchmark interest rate as of that date rises by 10bp (0.1%), standalone finance costs are estimated to increase by ¥444 million over the six months following the end of the period.」
The fixed-rate ratio was raised from 60.8% in the previous fiscal year to 63.2%, and the ¥444 million impact of higher interest rates continues to be quantified. - FY2021-Q3Continued increase in finance costs due to Indonesian currency depreciationAnnual report
「Although promotional expenses and other costs declined in line with the curtailment of sales activities, consolidated operating expenses rose 3.3% year on year to ¥108,396 million due mainly to higher bad-debt-related expenses in the overseas business and higher finance costs resulting from the depreciation of the Indonesian currency.」
The increase in finance costs due to the depreciation of the Indonesian currency continues to be reported, and total finance costs reached ¥1,294.4 billion. - FY2021-Q2Higher finance costs due to rupiah depreciation and other factorsAnnual report
「Although selling, general and administrative expenses declined in line with lower transaction volume and the curtailment of sales activities, consolidated operating expenses rose 8.3% year on year to ¥74,655 million, mainly due to higher bad-debt-related expenses in Indonesia and higher finance costs resulting from the depreciation of the rupiah.」
The depreciation of Indonesia's rupiah was cited as a factor behind the increase in finance costs, and funding and finance costs continued to rise. - FY2020MitigatedAnnual report
「As of 31 March 2020, the fixed-rate ratio for the Group's total funding, including straight bonds and commercial paper, was 60.8%, while the floating-rate ratio was 39.2%. Assuming that risk variables other than interest rates remain constant and that the benchmark interest rate as of that date rises by 10bp (0.1%), standalone finance costs are estimated to increase by ¥444 million over the six months following the end of the period.」
The fixed-rate ratio was raised to 60.8%, and the impact of higher interest rates on finance costs was quantified at ¥444 million. Measures to address the risk of higher interest rates are also specified. - FY2020-Q3Increase in total finance costsAnnual report
「Total finance costs 10,262 10,713」
Total finance costs increased from ¥10,262 million in the same period of the previous year to ¥10,713 million. - FY2020-Q2Increase in total finance costsAnnual report
「Total finance costs 6,346 6,831」
Total finance costs increased from ¥6,346 million in the same period of the previous year to ¥6,831 million. - FY2019-Q3Higher finance costs and other expenses due to rupiah depreciationAnnual report
「Operating expenses increased due to higher bad-debt-related expenses accompanying the expansion of operating receivables, as well as higher finance costs and other expenses resulting from the depreciation of the Indonesian rupiah.」
The depreciation of Indonesia's rupiah was cited, in addition to MPMF Co. becoming a consolidated subsidiary and increased transaction volume, as a factor behind the increase in finance costs and other expenses. - FY2019-Q2Higher finance costs due to increased transaction volumeAnnual report
「Operating expenses increased due to selling, general and administrative expenses and finance costs associated with higher transaction volume, as well as system-related costs aimed at growth and efficiency.」
Finance costs increased from ¥4,465 million in the same period of the previous year to ¥6,346 million. The company explained that the increase was due to higher transaction volume. - FY2019-Q1RestatedAnnual report
「Finance costs and other expenses increased as a result of MPMF Co. becoming a consolidated subsidiary.」
The increase in finance costs and other expenses following the consolidation of MPMF Co. continues to be reported. - FY2018RestatedAnnual report
「As of 31 March 2018, the fixed-rate ratio for the company's total funding, including straight bonds and commercial paper, was 49.5%, while the floating-rate ratio was 50.5%.」
The fixed-rate and floating-rate funding ratios were updated, and the risk of a lag in passing on higher interest rates continues to be reported. - FY2018-Q3Higher costs following the consolidation of a subsidiaryAnnual report
「The Group's operating expenses increased as various costs were incurred as a result of MPMF Co. in Indonesia becoming a consolidated subsidiary.」
The increase in costs following the consolidation of MPMF Co. is described as a factor behind the increase in operating expenses. - FY2018-Q2Higher finance costs following the consolidation of a subsidiaryAnnual report
「Finance costs increased as a result of MPMF Co. in Indonesia becoming a consolidated subsidiary.」
Finance costs increased from ¥3,697 million in the same period of the previous year to ¥4,465 million, which the company attributed to MPMF Co. becoming a consolidated subsidiary. - FY2017-Q3RestatedAnnual report
「In addition, the Group's operating expenses decreased as a result of lower finance costs due to favorable funding conditions.」
The decrease in finance costs attributable to favorable funding conditions continues to be reported. - FY2017-Q2MitigatedAnnual report
「The Group's operating expenses decreased as a result of lower finance costs due to favorable funding conditions.」
For the quarter, the company explained that finance costs decreased against a backdrop of favorable funding conditions. - FY2016First statedAnnual report
「As of 31 March 2016, the interest-rate fixed-rate ratio, including swaps, for the Group's total funding, including straight bonds and commercial paper, was 51.3%, while the floating-rate ratio was 48.7%.」
The fixed-rate and floating-rate funding ratios are presented, and the lag in passing on higher interest rates and the risk of rising funding costs are described.