MIRA INFORM REPORT

 

 

Report Date :

18.09.2012

 

IDENTIFICATION DETAILS

 

Name :

OHYAMA COMPANY LTD

 

 

Registered Office :

Puraya Bldg 6F, 1-9-12 Nihombashi-Hamacho Chuoku Tokyo 103-0007

 

 

Country :

Japan

 

 

Financials (as on) :

31.10.2011

 

 

Date of Incorporation :

November 1949

 

 

Com. Reg. No.:

(Tokyo-Chuoku) 039166

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Import, wholesale of cosmetics

 

 

No. of Employees :

101 employees

 

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 :

Moderate

Payment Behaviour :

Slow

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

 

 

japan - ECONOMIC OVERVIEW

 

In the years following World War II, government-industry cooperation, a strong work ethic, mastery of high technology, and a comparatively small defense allocation (1% of GDP) helped Japan develop a technologically advanced economy. Two notable characteristics of the post-war economy were the close interlocking structures of manufacturers, suppliers, and distributors, known as keiretsu, and the guarantee of lifetime employment for a substantial portion of the urban labor force. Both features are now eroding under the dual pressures of global competition and domestic demographic change. Japan's industrial sector is heavily dependent on imported raw materials and fuels. A tiny agricultural sector is highly subsidized and protected, with crop yields among the highest in the world. Usually self-sufficient in rice, Japan imports about 60% of its food on a caloric basis. Japan maintains one of the world's largest fishing fleets and accounts for nearly 15% of the global catch. For three decades, overall real economic growth had been spectacular - a 10% average in the 1960s, a 5% average in the 1970s, and a 4% average in the 1980s. Growth slowed markedly in the 1990s, averaging just 1.7%, largely because of the after effects of inefficient investment and an asset price bubble in the late 1980s that required a protracted period of time for firms to reduce excess debt, capital, and labor. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, Japan in 2011 stood as the fourth-largest economy in the world after second-place China, which surpassed Japan in 2001, and third-place India, which edged out Japan in 2011. A sharp downturn in business investment and global demand for Japan's exports in late 2008 pushed Japan further into recession. Government stimulus spending helped the economy recover in late 2009 and 2010, but the economy contracted again in 2011 as the massive 9.0 magnitude earthquake in March disrupted manufacturing. Electricity supplies remain tight because Japan has temporarily shut down almost all of its nuclear power plants after the Fukushima Daiichi nuclear reactors were crippled by the earthquake and resulting tsunami. Estimates of the direct costs of the damage - rebuilding homes, factories, and infrastructure - range from $235 billion to $310 billion, and GDP declined almost 0.5% in 2011. Prime Minister Yoshihiko NODA has proposed opening the agricultural and services sectors to greater foreign competition and boosting exports through membership in the US-led Trans-Pacific Partnership trade talks and by pursuing free-trade agreements with the EU and others, but debate continues on restructuring the economy and reining in Japan's huge government debt, which exceeds 200% of GDP. Persistent deflation, reliance on exports to drive growth, and an aging and shrinking population are other major long-term challenges for the economy.

 

Source : CIA

 

Company name

 

OHYAMA COMPANY LTD

 

 

REGD NAME

 

KK Ohyama

 

 

MAIN OFFICE

 

Puraya Bldg 6F, 1-9-12 Nihombashi-Hamacho Chuoku Tokyo 103-0007 JAPAN

Tel: 03-6858-3947      Fax: 03-6858-3942

                                               

URL:                 http://www.ohyama.net

E-Mail address:            info@ohyama.net

 

 

ACTIVITIES

 

Import, wholesale of cosmetics

 

 

BRANCHES   

 

Osaka, Sapporo, Sendai, Nagoya, Fukuoka, Kumamoto, other (Tot 12)

 

 

OFFICERS

 

KEN’ICHI KAKUDO, PRES

Masayuki Tsuchiya, mgn dir

Kazushi Sakamoto, dir              

 

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY    

 

FINANCES        FAIR                 A/SALES          Yen 13,359 M

PAYMENTS SLOw                   CAPITAL           Yen 57 M

TREND STEADY           WORTH            Yen 1,819 M

STARTED         1949                 EMPLOYES      101

 

 

COMMENT

 

WHOLESALER OF COSMETICS.

 

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

 

 

HIGHLIGHTS

           

The subject company was established originally in 1959 by Yujiro Ohyama for selling soaps, toothpaste, other daily necessities, on his account, and was incorporated in 1949.  This is a trading firm specializing in import and wholesale of cosmetics and detergents.  Goods are imported.  Clients include major chain stores, wholesalers, in the same line of business.  The firm went into financial difficulties in 2001 and sought for court protection under the Corporate Rehabilitation Law.  The liabilities were reported at Yen 16,400 million.  Proceedings started in Nov 2001 and closed in May 2005.  Operations continued and in Oct 2009 paid off all the liabilities.

 

 

FINANCIAL INFORMATION

 

The sales volume for Oct/2011 fiscal term amounted to Yen 13,359 million, a 6% up from Yen 12,630 million in the previous term.  Client networks expanded.  The recurring profit was posted at Yen 136 million and the net profit at Yen 29 million, respectively, compared with Yen 49 million net profit a year ago.

 

For the current term ending Oct 2012 the recurring profit is projected at Yen 140 million and the net profit at Yen 35 million, respectively, on a 5% rise in turnover, to Yen 14,000 million.

 

The financial situation is considered FAIR and good for ORDINARY business engagements. 

 

 

REGISTRATION

 

Date Registered:  Nov 1949

Regd No.:         (Tokyo-Chuoku) 039166

Legal Status:      Limited Company (Kabushiki Kaisha)

Authorized:         300,000 shares

Issued:                98,000 shares

Sum:                   Yen 57 million

 

Major shareholders (%): Employees’ S/Holding Assn (34.9), Ken’ichi Kakudo (32.4), Masahito Hiraki (22.8), Executives’ S/Holding Assn (9.9)

 

No. of shareholders: 4

 

Nothing detrimental is known as to the commercial morality of executives.

 

OPERATION

           

Activities: Imports and wholesales cosmetics (52%), shampoo, rinses, detergents, soaps (--14%), accessories, others (9%).

 

Clients: [Mfrs, wholesalers] Aeon Retail Co, Sumisho Drug Stores, Seiyu Ltd, Daiei Ltd, Tokyu Hands, Tokyo Dome, Drug Eleven, Don Quijote, Sugi Holdings Co (Pharmaceutical company), Matsumoto Kiyoshi Co, Plaza Style Co, other

 

No. of accounts: 500

 

Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Avance Inc, COGIT Inc, Kose Cosmeport Corp, T-Garden, Japan Gateway, L’Oreal Japan, Nexans Corp, FEX 3030, other

 

Payment record: Slow

 

Location: Business area in Tokyo.  Office premises at the caption address are leased and maintained satisfactorily.

 

Bank References:

MUFG (Ohdenmacho)

SMBC (Asakusabashi)

Relations: Satisfactory

 

 

FINANCES

(In Million Yen)

 

       Terms Ending:

31/10/2012

31/10/2011

31/10/2010

31/10/2009

Annual Sales

　

14,000

13,359

12,630

11,347

Recur. Profit

　

140

136

　

　

Net Profit

　

35

29

49

339

Total Assets

　

　

4,164

4,385

4,399

Current Assets

　

　

3,393

3,566

3,656

Current Liabs

　

　

1,780

1,872

2,057

Net Worth

　

　

1,819

1,815

1,766

Capital, Paid-Up

　

　

57

57

57

Div.P.Share(¥)

　

　

0.00

0.00

0.00

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

4.80

5.77

11.31

..

    Current Ratio

 

..

190.62

190.49

177.73

    N.Worth Ratio

..

43.68

41.39

40.15

    R.Profit/Sales

 

1.00

1.02

..

..

    N.Profit/Sales

0.25

0.22

0.39

2.99

    Return On Equity

..

1.59

2.70

19.20

 

Notes: Forecast (or estimated) figures for the 31/10/2012 fiscal term.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.53.97

UK Pound

1

Rs.87.52

Euro

1

Rs.70.84

 

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%)

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.