Difficulty Recovering Security Deposits and Guarantee Deposits
First written in FY2023. 1 of 3 entries say "Mitigated", first in FY2024. Latest entry: FY2025.
The whole theme swung hardest in 2017: 7 of 41 companies on the "Worse" side.
29 other companies' latest entry also says "Restated".
- FY2025RestatedAnnual report
「When opening a school, we conduct credit assessments of building and other property owners and checks to avoid excessive concentration on the same building or other property owner. However, a corporate or individual building owner may become insolvent or otherwise fall into financial distress, making it difficult to collect security deposits and guarantee deposits.」
The company has reconfirmed its response to the risk involving security deposits and guarantee deposits through credit assessments of building owners and avoidance of concentration on specific owners. - FY2024MitigatedAnnual report
「When opening a school, we conduct credit assessments of building and other property owners and checks to avoid excessive concentration on the same building or other property owner. However, if a corporate or individual building owner becomes insolvent or otherwise falls into financial distress, making it difficult to collect security deposits and guarantee deposits, and making continued use of the building difficult, this may affect the company's financial condition and operating results.」
The company explicitly identifies credit assessments of building owners and avoiding concentration on specific owners as measures to address the risk of being unable to collect security deposits and guarantee deposits. - FY2023First statedAnnual report
「If a corporate or individual building owner becomes insolvent or otherwise falls into financial distress, making it difficult to collect security deposits and guarantee deposits, and making continued use of the building difficult, this may affect the company's financial condition and operating results.」
The company has identified, as new key risks, difficulty collecting security deposits and guarantee deposits due to the insolvency or other financial distress of building owners, as well as difficulty continuing to use the buildings, in connection with deposits paid when opening school facilities.