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Report Date : |
30.04.2013 |
IDENTIFICATION DETAILS
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Name : |
KAWASHIMA SELKON TEXTILE CO Ltd |
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Registered Office : |
265 Shizuichi-Ichiharacho Sakyoku Kyoto
601-1123 |
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Country : |
Japan |
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Financials (as on) : |
31.03.2013 |
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Date of Incorporation : |
May 1938 |
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Com. Reg. No.: |
(Kyoto-Sakyoku)
000056 |
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Legal Form : |
Limited Company |
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Line of Business : |
Manufacturer of kimonos,
car/train/airplane interiors |
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No. of Employees : |
1031 |
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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Status : |
Satisfactory |
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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 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
Japan |
A1 |
A1 |
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Risk Category |
ECGC Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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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 small agricultural
sector is highly subsidized and protected, with crop yields among the highest
in the world. While self-sufficient in rice production, Japan imports about 60%
of its food on a caloric basis. 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. Modest economic
growth continued after 2000, but the economy has fallen into recession three
times since 2008. A sharp downturn in business investment and global demand for
Japan's exports in late 2008 pushed Japan 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 and the ensuing tsunami
in March disrupted manufacturing. The economy has largely recovered in the two
years since the disaster, but reconstruction in the Tohoku region has been
uneven. Newly-elected Prime Minister Shinzo ABE has declared the economy his
government's top priority; he has pledged to reconsider his predecessor's plan
to permanently close nuclear power plants and is pursuing an economic
revitalization agenda of fiscal stimulus and regulatory reform and has said he
will press the Bank of Japan to loosen monetary policy. Measured on a
purchasing power parity (PPP) basis that adjusts for price differences, Japan in
2012 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
2012. The new government will continue a longstanding debate 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 |
KAWASHIMA SELKON TEXTILE CO Ltd
Kawashima Orimono
KK
265
Shizuichi-Ichiharacho Sakyoku Kyoto 601-1123 JAPAN
Tel:
075-741-411 Fax: 075-741-4309
*.. The is its Tokyo Headquarters-(International Division)
URL: http://www.kawashimaselkon.co.jp
E-Mail address: (thru the URL)
Mfr of
kimonos, car/train/airplane interiors
Tokyo,
Osaka, Nagoya, Fukuoka, Sapporo, Sendai, Yokohama, other (Tot 24)
At the
caption address
MASAO
NAKANISHI, PRES Ken Ohkawa, s/mgn
dir
Yasuharu
Hirata, mgn dir Shinzo Okuno,
dir
Hitoshi
Mori, dir Akira
Mitsuoka, dir
Yen
Amount: In million Yen, unless
otherwise stated
FINANCES FAIR A/SALES Yen 33,215 M
PAYMENTSNo
Complaints CAPITAL Yen
9,381 M
TREND SLOW WORTH Yen 10,017 M
STARTED 1938 EMPLOYES 1,031
MFR OF KIMONO, VEHICLES INTERIOR GOODS, OWNED BY LIXIL
GROUP
FINANCIAL SITUATION COSIDERED
FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.
This is a long-established “Nishijin” (brand-name of kimono textiles)
fabrics mfr founded as kimono store in1843 in Edo period. Excels in high-quality products, such as
traditional Japanese “obi” and art fabrics.
Top-ranked maker of “obi”. Merged
with Selkon Co, mfr of interiors for automobiles, trains and air planes, and
advanced into this area. The company
plans to reinforce sales of own-brand environment-friendly curtains. The kimono sales subsidiary will pull out
from unprofitable stores, including in department stores. In July 2010, transferred part of interior
products for vehicles, such as autos, trains and airplanes, to a subsidiary
equity-method firm, TB Kawashima KK, jointly founded with Toyota Tsusho Corp
and Toyota Boshoku Corp. In Aug 2011,
the firm went into business tie-up with LIXIL Group Corp (See REGISTRATION) and became its wholly
owned consolidated subsidiary, and delisted from the Tokyo S/E. In Apr 2013 absorbed Juraku Co Ltd.
The sales volume for Mar/2012 fiscal term amounted to Yen 33,215
million, a 19% down from Yen 40,841 million in the previous term. This is largely referred to the said transfer
of vehicle interior operations to another firm, and the effects of Great East
Japan Earthquake that occurred in Mar 2011.
The operations came back to profitability to post Yen 554 million
recurring profit and Yen 249 million net profit, respectively, compared with
Yen 149 million recurring loss and Yen 1,372 million net losses, respectively,
a year ago.
(Apr/Sept/2012 results): Sales Yen 15,061 million (down 3.1%), operating
profit Yen 307 million (previously Yen 141 million losses), recurring profit
Yen 328 million (previously Yen 291 million losses), net profit Yen 301 million
(previously Yen 325 million loss). (%
& figures compared with the corresponding period a year ago). Sales of interior fabrics were slow,
particularly for government/corporate/commercial institutions. On the profit side, reduction efforts on
costs & expenses worked and profit was yielded.
For the current term ending Mar 2013 the recurring profit is projected
at Yen 570 million and the net profit at Yen 260 million, on a 4% rise in
turnover, to Yen 34,500 million.
The financial situation is considered FAIR and good for ORDINARY
business engagements.
Date Registered: May
1938
Regd No.:
(Kyoto-Sakyoku) 000056
Legal Status:
Limited Company (Kabushiki Kaisha
Authorized: 176,167,000 shares
Issued:
93,903,222 shares
Sum: Yen 9,381
million
Major shareholders (%): LIXIL Group Corp* (100)
*.. LIXIL Group Corp, largest mfr of housing facilities and
comprehensive maker of building Materials, Tokyo, founded 1949, listed Tokyo, Osaka,
Nagoya S/E’s, capital Yen 68,121 million, sales Yen 1,291,396 million,
operating profit Yen 17,915 million, recurring profit Yen 16,125 million, net
profit Yen 1,868 million, total assets Yen 1,481,063 million, net worth Yen
538,776 million, employees 48,163, pres Yoshiaki Fujimori
Nothing detrimental is known as
to the commercial morality of executives.
Activities: Manufactures:
kimono & artistic fabrics, interior fabrics (curtains, carpets, drapers, walling,
other), others (--100%).
Clients: [Mfrs,
wholesalers] Nafco Corp, Leo Palace 21, Takashimaya, Daimaru Matsuzakaya
Department Store, Sogo Seibu Department Store, Isetan Mitsukoshi Department
Stores, Scroll Corp, Kingrun Medicare Corp, other
No. of accounts: 500
Domestic areas of
activities: Nationwide
Suppliers: [Mfrs,
wholesalers] Chori Co, NI Teijin Shoji, Tachikawa Co, Kawashima Textile
Shanghai, Bridgestone Corp, Kawashima Selkon Sewing Co, Toso Co, Nichibei Co,
Tajima Inc, Yamamoto Sangyo Co, Bridgestone Corp, other
Payment record: No Complaints
Location: Business area in
Kyoto. Office premises at the caption
address are owned and maintained satisfactorily.
Bank References:
SMBC
(Kyoto)
Bank
of Kyoto (H/O)
Relations:
Satisfactory
(In Million Yen)
|
Terms Ending: |
31/03/2013 |
31/03/2012 |
31/03/2011 |
31/03/2010 |
|
|
Annual
Sales |
|
34,500 |
33,215 |
40,841 |
56,336 |
|
Recur.
Profit |
|
570 |
554 |
-149 |
-1,307 |
|
Net
Profit |
|
260 |
249 |
-1,372 |
-1,454 |
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Total
Assets |
|
|
27,819 |
28,829 |
42,037 |
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Current
Assets |
|
|
12,808 |
13,104 |
22,225 |
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Current
Liabs |
|
|
12,566 |
15,783 |
26,567 |
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Net
Worth |
|
|
10,017 |
8,218 |
7,176 |
|
Capital,
Paid-Up |
|
|
9,381 |
9,381 |
8,277 |
|
Div.P.Share(¥) |
|
|
0.00 |
0.00 |
0.00 |
|
<Analytical Data> |
(%) |
(%) |
(%) |
(%) |
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|
S.Growth Rate |
3.87 |
-18.67 |
-27.50 |
-23.02 |
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Current Ratio |
|
.. |
101.93 |
83.03 |
83.66 |
|
N.Worth Ratio |
.. |
36.01 |
28.51 |
17.07 |
|
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R.Profit/Sales |
|
1.65 |
1.67 |
-0.36 |
-2.32 |
|
N.Profit/Sales |
0.75 |
0.75 |
-3.36 |
-2.58 |
|
|
Return On Equity |
.. |
2.49 |
.. |
.. |
|
Notes:
Forecast (or estimated) figures for the 31/03/2013 fiscal term.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.27 |
|
UK Pound |
1 |
Rs.84.23 |
|
Euro |
1 |
Rs.70.90 |
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 |
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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 |
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 |
|
---- |
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.