MIRA
INFORM REPORT
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Report Date : |
11.01.2007 |
IDENTIFICATION
DETAILS
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Name : |
TOKYO KIHO CO LTD |
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Registered Office : |
Aurum
Bldg 4F, 1-26-2 Higashiueno Taitoku Tokyo 110-0015 |
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Country : |
Japan |
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Date of Incorporation : |
Jan 1960 |
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Legal Form : |
Limited Company (Kabushiki
Kaisha) |
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Line of Business : |
Import and wholesale of jewelry
and precious metals |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal.
Capable to meet normal commitments. |
Satisfactory |
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Maximum Credit Limit : |
Yen
294.8 millions |
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Status : |
Satisfactory
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
name
TOKYO KIHO CO LTD
REGD NAME
Tokyo Kiho KK
MAIN OFFICE
Aurum Bldg 4F, 1-26-2 Higashiueno
Taitoku Tokyo 110-0015 JAPAN
Tel : 03-3834-6261
Fax : 03-3831-2987
URL : http://www.tokyokiho.com/
E-Mail address: info@tokyokiho.com
ACTIVITIES
Import, wholesale of jewelry,
precious metals
BRANCHES
Osaka
CHIEF EXEC
CHIAKI NAKAGAWA, PRES & CEO
Yen Amount: In million Yen, unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 13,180 M
PAYMENTS REGULAR CAPITAL Yen 636 M
TREND SLOW WORTH Yen 3,741 M
STARTED 1960 EMPLOYES 158
COMMENT
WHOLESALER SPECIALIZING IN
JEWELRY.
FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.
MAX CREDIT LIMIT: YEN 294.8
MILLION, 30 DAYS NORMAL TERMS.
Forecast
(or estimated) figures for 31/03/2007 fiscal term
HIGHLIGHTS
The subject company was established by Kisaburo Masaki, now ch, as a wholesaler of jewelry and accessories, owned & managed by the Masaki family. This is a comprehensive wholesaler of jewelry and precious stones & metals. Strength in handling a wide range of items including ingots, diamonds and colored stones. Particularly strong in diamond jewelry. Goods are also imported from Europe, USA, S/E Asian countries. Goods are retailed through a subsidiary jewelry store, JMC KK, too. Two overseas JV’s in Singapore and Hong Kong were closed by Apr 2004 as a round of restructuring. Imports are now handled directly or through specialized traders. Holds large-scale sales promotion campaigns regularly nationwide.
FINANCIAL INFORMATION
The sales volume for Mar/2006 fiscal term amounted to Yen 13,180 million, a 6.6% down from Yen 14,108 million in the previous term. This is referred to sluggish consumer spending. The operations plunged into the red to register Yen 171 million recurring loss and Yen 394 million net loss, respectively, compared with Yen 14 million recurring profit and Yen 14 million net profit, respectively, a year ago. Profits deterioration is largely referred to write offs of N/C’s and extraordinary losses of Yen 162 million in asset-impairment accounting, and Yen 68 million in inventory evaluation losses.
For the current term ending Mar 2007 the recurring profit is projected at Yen 110 million and the net profit at Yen 100 million, on a 12.3% fall in turnover, to Yen 11,500 million. Brand items will continue steady growth, while the firm is narrowing items to highly-profitable ones to improve profits. Operational expenses will drastically cut down, including sales promotion campaign expenses. Extraordinary losses are gone. Operations will turn profitable.
First Half results ending Sept 2006: sales Yen 5,790 million (down 16.2%), operational profits Yen 49 million (up from Yen 112 million losses), recurring profit Yen 64 million (up from Yen 135 million losses), net profit Yen 63 million (up from Yen 234 million losses). (% compared with the same period the previous year). Unprofitable sales promotion campaigns were drastically cut down on to improve profitability. Stressed on selective items, too.
The financial situation is considered FAIR and good for ORDINARY business engagements. Max credit limit is estimated at Yen 294.8 million, on 30 days normal terms.
REGISTRATION
Date Registered : Jan 1960
Legal Status : Limited Company
(Kabushiki Kaisha)
Authorized : 13,110,000 shares
Issued : 4,478,636 shares
Sum : Yen 636 million
Major shareholders (%) : Kisaburo Masaki (21.8), Customers’ S/Holding Assn (8.3), Fujie Masaki
(6.5), Employees’ S/Holding Assn (6.2), Seiwa Shoji (5.7), Midori
Masaki (3.1), Chiaki Nakagawa (2.6), Bank of Tokyo-Mitsubishi UFJ
(1.6), Kazuhiro Sakata (1.6), KK Furuya (1.6)
No. of shareholders : 268
Listed on the S/Exchange (s) of : JASDAQ
Managements : Kisaburo Masaki, ch; Chiaki Nakagawa, pres; Yasuhiko Masaki, mgn
dir; Hideki Ishizuka, dir; Hiroaki Miyakoshi, dir; Midori Masaki, dir
Nothing detrimental is known as
to the commercial morality of executives.
Related companies
No consolidated subsidiaries
OPERATION
Activities: Wholesales jewelry & precious metals; diamonds, pearls, sapphire, ruby, emerald, fingerings, necklaces, bracelets, pierced earrings, other jewelry accessories.
(Sales breakdown by items): designer brands jewelry (25.5%); diamond jewelry (28.1%); fashion jewelry & accessories (21.0%); colored stone jewelry (14.2%); pearl jewelry (6.8%); import jewelry (3.0%); Royal Hour-glass, others (--1.6%).
Designer brands: Sayoko,
Lucciola, Asplandi, Kohoryu, other (--all Japanese designers).
Clients
[Jewelry stores, department stores, chain stores, mail order houses] Sagami Co, Mitsukoshi, Gem Select, Brother Sales, Makino Tokeiten, JMC (subsidiary), Nissen (mail order house), Tokyo Masuiwaya, other.
No. of accounts: 2,000
Domestic areas of activities:
Nationwide
Suppliers
[Mfrs, jewelry processors, wholesalers] Kinki Hoshoku, Urakei Pearl, Mizuno Handy Harman, Meijido, NNK, Kondo Jewelry, Taiho Kikinzoku, other.
Payment record: Regular
Location
Business area in Tokyo. Office premises at the caption address are owned and maintained satisfactorily.
Bank References
SMBC (Ueno)
Bank of Tokyo-Mitsubishi UFJ
(Ueno)
Relations: Satisfactory
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FINANCES:
(Non-Consolidated in million yen) |
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Terms
Ending: |
31/03/2006 |
31/03/2005 |
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INCOME
STATEMENT |
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Annual Sales |
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13,180
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14,108
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Cost of Sales |
10,047
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10,732
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GROSS PROFIT |
3,133
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3,377
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Selling & Adm Costs |
3,279
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3,310
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OPERATING PROFIT |
-146 |
67 |
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Non-Operating P/L |
-25 |
-53 |
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RECURRING PROFIT |
-171 |
14 |
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NET PROFIT |
-394 |
14 |
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BALANCE
SHEET |
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Cash |
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755 |
1,005
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Receivables |
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3,511
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3,995
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Inventory |
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5,221
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4,739
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Securities, Marketable |
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Other Current Assets |
179 |
261 |
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TOTAL CURRENT ASSETS |
9,666
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10,000
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Property & Equipment |
365 |
520 |
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Intangibles |
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38 |
22 |
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Investments, Other Fixed Assets |
554 |
530 |
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TOTAL ASSETS |
10,623
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11,072
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Payables |
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1,096
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1,074
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Short-Term Bank Loans |
4,790
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4,229
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Other Current Liabs |
325 |
707 |
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TOTAL CURRENT LIABS |
6,211
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6,010
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Debentures |
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244 |
486 |
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Long-Term Bank Loans |
39 |
40 |
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Reserve for Retirement Allw |
317 |
307 |
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Other Debts |
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70 |
52 |
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TOTAL LIABILITIES |
6,881
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6,895
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MINORITY INTERESTS |
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Common
stock |
636 |
636 |
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Additional
paid-in capital |
504 |
504 |
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Retained
earnings |
2,590
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3,028
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Evaluation
p/l on investments/securities |
12 |
8 |
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Others |
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0 |
1 |
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Treasury
stock, at cost |
(1) |
(1) |
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TOTAL S/HOLDERS` EQUITY |
3,741
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4,176
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TOTAL EQUITIES |
10,623
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11,072
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CONSOLIDATED
CASH FLOWS |
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Terms
ending: |
31/03/2006 |
31/03/2005 |
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Cash
Flows from Operating Activities |
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-69 |
-1,014
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Cash
Flows from Investment Activities |
115 |
105 |
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Cash
Flows from Financing Activities |
-109 |
770 |
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Cash,
Bank Deposits at the Term End |
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610 |
673 |
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ANALYTICAL
RATIOS Terms ending: |
31/03/2006 |
31/03/2005 |
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Net
Worth (S/Holders' Equity) |
3,741
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4,176
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Current
Ratio (%) |
155.63
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166.39
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Net
Worth Ratio (%) |
35.22
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37.72
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Recurring
Profit Ratio (%) |
-1.30
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0.10 |
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Net
Profit Ratio (%) |
-2.99
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0.10 |
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Return
On Equity (%) |
-10.53
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0.34 |
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RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial
base with the strongest capability for timely payment of interest and
principal sums |
Unlimited |
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71-85 |
Aa |
Possesses adequate working capital. No
caution needed for credit transaction. It has above average (strong)
capability for payment of interest and principal sums |
Large |
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56-70 |
A |
Financial & operational base are
regarded healthy. General unfavourable factors will not cause fatal effect.
Satisfactory capability for payment of interest and principal sums |
Fairly Large |
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41-55 |
Ba |
Overall operation is considered normal.
Capable to meet normal commitments. |
Satisfactory |
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26-40 |
B |
Unfavourable & favourable factors
carry similar weight in credit consideration. Capability to overcome
financial difficulties seems comparatively below average/normal. |
Small |
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11-25 |
Ca |
Adverse factors are apparent. Repayment of
interest and principal sums in default or expected to be in default upon
maturity |
Limited with full security |
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<10 |
C |
Absolute credit risk exists. Caution
needed to be exercised |
Credit not recommended |
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NR |
In view of the lack of information, we
have no basis upon which to recommend credit dealings |
No Rating |
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