Financing Risk from Breaches of Financial Covenants and Lower Credit Ratings
First written in FY2018. 5 of 7 entries say "Worsened", first in FY2021. Latest entry: FY2026.
Belluna moved to the "Worse" side of this theme in 2021, 1 year before the typical company in this theme (2022).
The whole theme swung hardest in 2025: 23 of 75 companies on the "Worse" side.
13 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「Of the consolidated borrowings outstanding, borrowing agreements totaling ¥105,669 million contain financial covenants requiring, among other things, consolidated net assets to be maintained at 75% or more of the amount at the end of the previous fiscal period.」
The balance of borrowing agreements subject to financial covenants has increased from the previous ¥74,794 million to ¥105,669 million. - 2026-06-01WorsenedGeneral Meetings of Shareholders
「Of the Group's consolidated borrowings, borrowing agreements totaling ¥105,669 million are subject to financial covenants, including a requirement to maintain consolidated net assets at 75% or more of the amount at the end of the previous consolidated fiscal year.」
Borrowing agreements subject to financial covenants total ¥105,669 million. - FY2025WorsenedAnnual report
「Of the consolidated borrowings outstanding, borrowing agreements totaling ¥74,794 million contain financial covenants requiring, among other things, consolidated net assets to be maintained at 75% or more of the amount at the end of the previous fiscal period.」
The balance of borrowing agreements subject to financial covenants has increased from ¥69,794 million in the previous disclosure to ¥74,794 million. - FY2024WorsenedAnnual report
「Of the consolidated borrowings outstanding, borrowing agreements totaling ¥69,794 million contain financial covenants requiring, among other things, consolidated net assets to be maintained at 75% or more of the amount at the end of the previous fiscal period.」
The balance of borrowing agreements subject to financial covenants has increased from the previously disclosed ¥42,936 million to ¥69,794 million. - FY2021WorsenedAnnual report
「Of the consolidated borrowings outstanding, borrowing agreements totaling ¥42,936 million contain financial covenants requiring, among other things, consolidated net assets to be maintained at 75% or more of the amount at the end of the previous fiscal period.」
The balance of borrowing agreements subject to financial covenants has increased from ¥24,950 million to ¥42,936 million. The disclosure also describes diversification of financing methods, including bank borrowings and bond issuance. - FY2019RestatedAnnual report
「Of the consolidated borrowings outstanding, borrowing agreements totaling ¥24,950 million contain financial covenants requiring, among other things, consolidated net assets to be maintained at 75% or more of the amount at the end of the previous fiscal period.」
The balance of the borrowing agreements subject to financial covenants, including the requirement to maintain net assets at 75% or more, is specifically disclosed as ¥24,950 million. - FY2018First statedAnnual report
「Our agreements include financial covenants requiring, among other things, that total consolidated net assets at each fiscal year-end be maintained at no less than 75% of total net assets at the previous fiscal year-end. If we breach these covenants and are required to repay the related borrowings, we may lose the benefit of time for repayment if a default results.」
Financial covenants requiring consolidated net assets of at least 75% are attached to commitment lines and other facilities. Breach-related repayment demands, loss of the benefit of time for repayment and lower funding capacity due to credit-rating deterioration are identified as risks.