|
Report Date : |
03.08.2012 |
IDENTIFICATION DETAILS
|
Name : |
PRITI GEMS CO LTD |
|
|
|
|
Registered Office : |
Satoh Bldg 405,
3-43-10 Taito Taitoku Tokyo 110-0016 |
|
|
|
|
Country : |
Japan |
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|
|
|
Financials (as on) : |
31.12.2011 |
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|
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Date of Incorporation : |
April
1998 |
|
|
|
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Com. Reg. No.: |
(Tokyo-Taitoku)
016010 |
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|
|
|
Legal Form : |
Private Limited Company |
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|
|
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Line of Business : |
Import, wholesale of polished diamonds |
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|
|
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No. of Employees : |
07 |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Status : |
Small Company |
|
Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
NOTES:
Any query related to this report can be made
on e-mail: infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – March 31st, 2012
|
Country Name |
Previous Rating (31.12.2011) |
Current Rating (31.03.2012) |
|
Japan |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
PRITI GEMS CO LTD
YK Priti Gems
Satoh Bldg 405,
3-43-10 Taito Taitoku Tokyo 110-0016 JAPAN
Tel:
03-5812-7977 Fax: 03-5812-7976
URL: N/A
Import,
wholesale of polished diamonds
Kofu
(subcontracted)
NAYAN
SHAH, PRES (Indian resident)
Noboru
Koyama, dir
Yen
Amount: In million Yen, unless
otherwise stated
FINANCES FAIR A/SALES Yen 1,400 M
PAYMENTS No
Complaints CAPITAL Yen 10 M
TREND UP WORTH Yen 65 M
STARTED 1998 EMPLOYES 7
IMPORTER AND WHOLESALER SPECIALIZING IN POLISHED DIAMONDS. FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.
The subject company was established by Nayan Shah, an Indian businessman, in order to make most of his over 10 years’ experience in the subject line of business. A resident of Japan for nearly 20 years, speaking fluent Japanese, he had cultivated a wide business network in Japan, which prompted him to start his own company jointly with Noboru Koyama, says Nayan Shah. This is a trading firm specializing in import and wholesale of polished and pre-cut diamonds. 80% of the products are imported from India, other from Hong Kong, Thailand, Israel, Belgium, etc. Has a branch office in Kofu City, Yamanashi-Pref, hub of Jewelry mfrs, processors and wholesalers. Goods are shipped to jewelers, chain stores centering in greater-Tokyo region. The stones are partially subcontracted mfg to domestic jewelry makers into jewelry products.
Financials
are only partially disclosed.
The sales volume for Dec/2011 fiscal term amounted to Yen 1,400 million, a 10% up from Yen 1,270 million in the previous term. This is attributed to the price hike of diamonds, says N Shah. The net profit was posted at Yen 15 million, compared with Yen 10 million net profit a year ago.
For the current term ending Dec 2012 the net profit is projected at Yen 15 million, on a 7% rise in turnover, to Yen 1,500 million.
The financial situation is considered FAIR and good for ORDINARY business engagements.
Date Registered: Apr 1998
Regd No.: (Tokyo-Taitoku) 016010
Legal Status:
Private Limited Company (Yugen Kaisha)
Regd Capital: Yen
10 million
Major shareholders (%): Noboru Koyama (50), Nayan Shah
(45)
No. of
shareholders: 3
Nothing
detrimental is known as to the commercial morality of executives.
Activities: Imports and wholesales polished diamonds (eight-cut diamonds, fancy sized diamonds, small brilliants, polished, medium-sized diamonds, large-sized diamonds), other gem stones (--100%).
Goods are imported from India (80%) centrally, other from Israel (10%), Hong Kong, Belgium, Thailand, other.
Diamonds are partially subcontracted mfg to local jewelry processors into products & accessories.
Clients: [Jewelry stores, jewelry processors, chain stores] K2 Diamond, Komiya, Kuwari Hoshoku, Oriental Diamond, Four Stars, GN Co, other.
Also exports to Singapore, Hong Kong, Thailand, etc.
No. of accounts: 400
Domestic areas of activities: Centered in greater-Tokyo
Suppliers: [Mfrs, wholesalers] Imports from India (80%), other from Israel (10%),
Belgium, Hong Kong, Thailand, USA, etc.
Jewelry products are supplied from domestic subcontracted jewelry processors.
Payment record: No Complaints
Location:
Business area in Tokyo. Office premises
at the caption address are leased and maintained satisfactorily.
Bank References:
Asahi
Shinkin Bank (H/O)
SMBC
(Ueno)
Relations:
Satisfactory
(In Million Yen)
|
|
|
31/12/2012 |
31/12/2011 |
31/12/2010 |
31/12/2009 |
|
Annual
Sales |
|
1,500 |
1,400 |
1,270 |
1,080 |
|
Recur.
Profit |
|
|
|
|
|
|
Net
Profit |
|
15 |
15 |
10 |
4 |
|
Total
Assets |
|
|
N/A |
N/A |
N/A |
|
Net
Worth |
|
|
65 |
54 |
47 |
|
Capital,
Paid-Up |
|
|
10 |
10 |
10 |
|
Div.P.Share(¥) |
|
|
0.00 |
0.00 |
0.00 |
|
<Analytical Data> |
(%) |
(%) |
(%) |
(%) |
|
|
S.Growth Rate |
7.14 |
10.24 |
17.59 |
-91.83 |
|
|
Current Ratio |
|
|
.. |
.. |
.. |
|
N.Worth Ratio |
|
.. |
.. |
.. |
|
|
N.Profit/Sales |
1.00 |
1.07 |
0.79 |
0.37 |
|
Notes:
Financials are only partially disclosed.
Forecast
(or estimated) figures for 31/12/2012 fiscal term.
DIAMOND INDUSTRY –
INDIA
-
From time immemorial, India is well known in the world
as the birthplace for diamonds. It is difficult to trace the origin of diamonds
but history says that in the remote past, diamonds were mined only in India.
Diamond production in India can be traced back to almost 8th Century
B.C. India, in fact, remained undisputed leader till 18th
Century when Brazilian fields were discovered in 1725 followed by emergence of
S. Africa, Russia and Australia.
-
The achievement of the Indian diamond industry was
possible only due to combination of the manufacturing skills of the Indian
workforce and the untiring and unflagging efforts of the Indian diamantaires,
supported by progressive Government policies.
-
The area of study of family owned diamond businesses
derives its importance from the huge conglomerate of family run organizations
which operate in the diamond industry since many generations.
-
Some of the basic traits of family run business
enterprises include spirit of entrepreneurship, mutual trust lowers transaction
costs, small, nimble and quick to react, information as a source of advantage
and philanthropy.
-
Family owned diamond businesses need to improve on
many fronts including higher standard of corporate governance, long-term
performance – focused strategies, modern management and technology.
-
The diamond jewellery industry in India today may be
more than Rs 60000 mil and is rated amongst the fastest growing in the
world. Indi ranks third in the world in domestic diamond consumption.
-
Utmost caution is to be exercised while dealing with
some medium and large diamond traders which are usually engaged in fictitious
import – export, inter-company transactions, financially assisted by banks. In
the process, several public sector banks lost several hundred million rupees.
They mostly diverted borrowed money for diamond business into real estate and
capital markets.
-
Excerpts from Times of India dated 30th
October 2010 is as under –
DIAMOND SAGA – DIRTY DOZEN STUCK WITH 2K CR DEBT
This
could be the biggest credibility crisis the Indian diamond industry has ever
faced. Fifteen banks run the risk of losing Rs 2000 crore lent to a dozen
diamond firms in Surat. Until about two months ago, they had not repaid
these dues. Bankers believe many diamantaires borrowed money during the
economic downturn two years ago and diverted funds to businesses like real
estate and capital markets. Many of themselves made money from these businesses
but their diamond companies have gone sick and declared insolvency.
-
Most of the money borrowed from the banks in the name
of their diamond business has been diverted in real estate and the share
market. The banks are not in a position to seize their properties because in
many cases, these were purchased in the name of their relatives and friends.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.55.78 |
|
UK Pound |
1 |
Rs.86.75 |
|
Euro |
1 |
Rs.68.32 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
|
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 |
|
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 |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
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 |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
---- |
NB |
New Business |
---- |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.