Financial burden from substantial borrowings and rising floating interest rates
First written in FY2023. 4 of 7 entries say "Worsened", first in FY2024-Q1. Latest entry: FY2026-H1.
The whole theme swung hardest in 2017: 26 of 105 companies on the "Worse" side.
- FY2026-H1WorsenedAnnual report
「Total liabilities at the end of the current interim consolidated accounting period were ¥57,830 million, an increase of ¥31,115 million from the previous consolidated fiscal year-end. The main factors were increases of ¥17,238 million in lease liabilities, ¥8,720 million in net borrowings and ¥1,779 million in trade and other payables.」
Liabilities increased due to the merger with Escrit. Borrowings rose from ¥12,371 million at the previous fiscal year-end to ¥21,091 million, while lease liabilities reached approximately ¥24 billion. The group’s financial-burden exposure expanded. - FY2025MitigatedAnnual report
「Our group plans to reduce borrowings over the medium to long term. However, if this reduction does not progress, borrowings and the recognition of finance costs and interest expense may affect the group’s financial position and performance. As of 31 December 2025, total borrowings were ¥12,371 million, of which 91.1% carried floating interest rates.」
Total borrowings declined from ¥13,529 million to ¥12,371 million, and borrowings as a percentage of total assets declined from 39.0% to 33.6%. The floating-rate proportion was 91.1%, and the company disclosed an after-tax profit impact of ¥72,893 thousand if interest rates rise. - FY2025-H1MitigatedAnnual report
「This was due to a ¥404 million decrease resulting from the payment of income taxes payable and other liabilities for the previous consolidated fiscal year and a ¥99 million net decrease in borrowings.」
Borrowings decreased ¥99 million on a net basis, and the borrowing balance at June 2025 fell to ¥13,429 million from ¥13,529 million at the previous fiscal year-end. This filing does not disclose a new quantified impact from the floating-rate risk. - FY2024WorsenedAnnual report
「As of 31 December 2024, borrowings represented 39.0% of total assets. Total borrowings were ¥13,529 million, of which 89.3% carried floating interest rates.」
Total borrowings increased from ¥13,088 million in the prior year to ¥13,529 million, and the company disclosed a ¥78,712 thousand after-tax profit impact from higher floating rates. The proportions of total assets and floating-rate borrowings declined year on year. - FY2024-H1WorsenedAnnual report
「Although income taxes payable and other liabilities decreased by ¥321 million due to the payment of corporate income taxes, net borrowings increased by ¥1,661 million, other financial liabilities increased by ¥97 million due to acquisitions of property, plant and equipment for new and existing stores, and contract liabilities from customers increased by ¥71 million.」
Borrowings increased ¥1,661 million on a net basis, with the borrowing balance rising from ¥13,088 million at December 2023 to ¥14,749 million. - FY2024-Q1WorsenedAnnual report
「Although income taxes payable and other liabilities decreased by ¥348 million due to the payment of corporate income taxes, net borrowings increased by ¥1,607 million due to borrowings under overdraft agreements with financial institutions and other transactions, while contract liabilities from customers increased by ¥252 million.」
Borrowings increased ¥1,607 million on a net basis due to borrowings under overdraft agreements and other transactions, indicating an increase in the borrowing balance. - FY2023First statedAnnual report
「As of 31 December 2023, borrowings represented 40.5% of total assets. Total borrowings were ¥13,088 million, of which 91.9% carried floating interest rates.」
The company disclosed borrowings equivalent to 40.5% of total assets, total borrowings of ¥13,088 million and a floating-rate proportion of 91.9%, together with the potential impact if borrowings cannot be reduced or market interest rates rise.