Business Continuity Risk from Upfront Investment and Inability to Raise Funds
First written in FY2017. 1 of 2 entries say "Mitigated", first in FY2021. Latest entry: FY2021.
The whole theme swung hardest in 2026: 8 of 18 companies on the "Worse" side.
3 other companies' latest entry also says "Mitigated".
- FY2021MitigatedAnnual report
「Working capital is funded primarily through internal funds, borrowings from banks and other financial institutions, and the issuance of bonds. At the end of the current consolidated fiscal year, interest-bearing debt stood at ¥770 million, while cash and cash equivalents stood at ¥4.629 billion.」
In response to the risk of being unable to raise funds, the company disclosed internal funds, borrowings and bonds as funding sources, along with period-end interest-bearing debt of ¥770 million and cash and cash equivalents of ¥4.629 billion. - FY2017First statedAnnual report
「We are making proactive upfront investments, including strengthening and expanding our databases and developing various systems to expand the Electronic Business. The Electronic Business, where user needs change rapidly, may require substantial investment in the future. If the financial condition of major business partners deteriorates or the collection of funds from other business partners becomes impossible or delayed, we may need to raise funds externally. If we are unable to obtain external financing in such circumstances, this could have a material impact on the continuation of our business.」
The company states that, while upfront investment in the Electronic Business continues, an inability to collect funds from business partners, collection delays or an inability to obtain external financing could affect business continuity.