Risk of accelerated repayment upon breach of financial covenants under loan agreements
First written in FY2026-H1. 1 of 2 entries say "Restated". Latest entry: 2026-08-14.
- 2026-08-14RestatedEarnings
「The loan agreement contains the following financial covenants. If any covenant is breached, all obligations under the agreement may become immediately due and payable.」
The company reconfirms the financial covenants attached to the loan agreement dated 29 January 2026 and the possibility that a breach could result in the loss of the benefit of time for performance. - FY2026-H1First statedAnnual report
「This agreement contains the following financial covenants. If any covenant is breached, the company may lose the benefit of time with respect to all obligations under the agreement. (1) In each consolidated fiscal year, total equity on the consolidated statement of financial position must be maintained at 75% or more of total equity at the end of the immediately preceding consolidated fiscal year. (2) Operating profit on the consolidated statement of income must not be a loss for 2 consecutive fiscal years.」
The borrowing agreement dated 29 January 2026 contains financial covenants requiring equity to be maintained at 75% or more of the amount at the end of the immediately preceding fiscal year and operating profit not to be a loss for 2 consecutive fiscal years. If the covenants are breached, the company may lose the benefit of time with respect to all obligations. The balance of borrowings under the agreement is ¥1,464,286 thousand.