MIRA INFORM REPORT
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Report Date : |
17.10.2008 |
IDENTIFICATION
DETAILS
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Name : |
YAMAGUCHI SHOKAI CORPORATION |
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Registered Office : |
1-4-23 Hamano-Chaya Kurashiki City Okayama-Pref
710-0061 |
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Country : |
Japan |
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Financials (as on) : |
31.08.2008 |
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Date of Incorporation : |
May,1985 |
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Legal Form : |
Limited Company |
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Line of Business : |
Wholesale, retail of billboards,
bridge construction materials, other |
RATING &
COMMENTS
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MIRA’s Rating : |
Ca |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
Yen 5.8 Million |
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Status : |
Moderate |
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Payment Behaviour : |
Regular |
name
YAMAGUCHI SHOKAI
CORPORATION
REGD NAME
KK Yamaguchi Shokai
MAIN OFFICE
1-4-23 Hamano-Chaya Kurashiki City Okayama-Pref 710-0061 JAPAN
Tel: 086-422-1910 Fax:
086-422-5674
E-Mail address: yama.2@sqr.or.jp
ACTIVITIES
Wholesale, retail of billboards, bridge construction
materials, other
STORES
At the caption address, Tokyo, Osaka, Okayama, Matsuyama
FACTORY(IES)
(subcontracted)
OFFICER(S)
KEISUKE YAMAGUCHI, PRES Takeshi
Yamaguchi, ch
Yen Amount: In
million Yen, unless otherwise stated
SUMMARY
FINANCES WEAK A/SALES Yen 1,100 M
PAYMENTS REGULAR CAPITAL Yen
30 M
TREND SLOW WORTH Yen (-) 191 M
STARTED 1985 EMPLOYES 15
COMMENT
TRADING FIRM SPECIALIZING IN BILLBOARDS.
FINANCIAL SITUATION CONSIDERED WEAK
BUT SHOULD BE GOOD FOR MODERATE BUSINESS ENGAGEMENTS.
MAX CREDIT LIMIT
YEN 5.8 MILLION, 30 DAYS, ALL CREDITS BEING RECOMMENDED WITH STRICT
SECURED/GUARANTEED TERMS
HIGHLIGHTS
The subject company
was established by Takeshi Yamaguchi in order to make most of his experience in
the subject line of business. Started
to wholesale and retail billboards for elections and has since expanded
business operations to include bridge construction materials, medical supplies,
other. Keisuke is his son who took the
pres office in Apr 2006. This is a
private firm wholly owned by the Yamaguchi family. The medical supplies include X-ray films. Clients include local municipalities, PR
firms, hospitals, other, centering in Okayama-Pref.
FINANCIAL INFORMATION
The firm stopped
disclosing financials as from the 31/08/2006 fiscal term and only partial
figures have been made available.
Family-based firms tend not to disclose financials to third parties.
The sales volume for
Aug/2007 fiscal term amounted to Yen 1,100 million, a 55% hike from Yen 709
million in the previous term. This is attributed to the local assembly
elections conducted in the term. The
operations, on the other hand, continued in the red for three consecutive
terms, registering Yen 90 million net losses for the term, although loss
amounts slightly decreased from Yen 98 million a year ago. This is referred to, according to the firm,
the disposal of dead stocks that had been accumulated from the past election
campaigns.
For the term that
ended Aug 2008 the operations were projected to come back to profitability but
the net profits are believed posted at a minimum amount post-taxes, on a 9%
fall in turnover, to Yen 1,000 million.
Final results have not been made available.
The financial
situation is considered EXTREMELY WEAK (negative net worth) but should be good
for MODERATE business engagements, as judged from locally established
reputation and business operations.
This is further supported by its business operations into local
municipalities. Max credit limit is
estimated at Yen 5.8 million, on 30 days.
We strongly recommend that all credits to be tied with strictly secured
and guaranteed terms on new transactions.
REGISTRATION
Date
Registered: May 1985
Legal
Status: Limited
Company (Kabushiki Kaisha)
Authorized: 2,400 shares
Issued: 600
shares
Sum: Yen 30 million
Major shareholders (%):Takeshi Yamaguchi (30), Keisuke
Yamaguchi (20), Takako Yamaguchi (18), Akihiro Hiramatsu (16), Yasuko Hiramatsu
(16)
No. of
shareholders: 5
Nothing detrimental is known as to the commercial morality
of executives.
OPERATION
Activities: Wholesales and retails billboards
(mainly for election campaigns), corporate marketing campaigns, road pavement materials
(the firm calls it as seamless joints), fiber hardboards, operating 5 retail
stores, other:
(Sales Breakdowns):
Election campaign billboards (30%); Bridge construction materials,
road pavement materials (--30%), medical supplies (mainly X-ray films) (20%),
airplane models, other toys (20%).
Clients
[Local municipalities, PR firms,
hospitals] JTA Trading, Denden Kokoku (PR firm), Oriental Shiraishi, National
Okayama Hospital, other.
No. of
accounts: 500
Domestic
areas of activities: Centered in Okayama & Osaka
Suppliers
[Mfrs, wholesalers] Chori Corp,
Konica Medical, Hiramatsu Enterprises, JTA Trading, Jalux, Aviation Center*
(Germany), Rise Soon Co* (China), Shen Lon Enterprise* (China), other.
* Simultaneously clients of the
firm.
Payment
record: Regular
Location:
Business area in Kurashiki City, Okayama-Pref.
Office premises at the caption address are owned and maintained
satisfactorily.
Bank References
Chugoku Bank (Kurashiki-Kita)
Tomato Bank (Kurashiki)
Relations: Satisfactory
FINANCES: (In Million Yen)
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Terms Ending: |
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31/08/2008 |
31/08/2007 |
31/08/2006 |
31/08/2005 |
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Annual
Sales |
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1,000 |
1,100 |
709 |
1,127 |
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Recur.
Profit |
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-9 |
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Net
Profit |
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0 |
-90 |
-98 |
-10 |
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Total
Assets |
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N/A |
N/A |
1,554 |
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Net
Worth |
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-191 |
-101 |
3 |
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Capital,
Paid-Up |
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30 |
30 |
30 |
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Div.P.Share(¥) |
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0.00 |
0.00 |
0.00 |
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<Analytical Data> |
(%) |
(%) |
(%) |
(%) |
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S.Growth Rate |
-9.09 |
55.15 |
-37.09 |
-15.33 |
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Current Ratio |
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.. |
.. |
.. |
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N.Worth Ratio |
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.. |
.. |
0.19 |
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N.Profit/Sales |
0.00 |
-8.18 |
-13.82 |
-0.89 |
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Notes: Financials are only partially disclosed as from the
31/08/2006 fiscal term.
Forecast (or estimated) figures for the 31/08/2008 fiscal
term.
FOREIGN EXCHANGE
RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.48.68 |
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UK Pound |
1 |
Rs.84.37 |
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Euro |
1 |
Rs.65.70 |
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. |
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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This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a composite
of weighted scores obtained from each of the major sections of this report. The
assessed factors and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)