MIRA INFORM REPORT

 

 

Report Date :

27.11.2013

 

IDENTIFICATION DETAILS

 

Name :

SANSHO TRADING CO INC

 

 

Registered Office :

1-2-5 Awaza Nishiku Osaka 550-0011

 

 

Country :

Japan

 

 

Financials (as on) :

31.08.2013

 

 

Date of Incorporation :

June 1947

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Importer and wholesalers of peanuts, sweet roasted chestnuts (Tenshin Amaguri), rugs & carpets, fishery products

 

 

No. of Employees :

18

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory 

 

 

Payment Behaviour :

Slow but Correct  

 

 

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 – September 30th, 2013

 

Country Name

Previous Rating

(30.06.2013)

Current Rating

(30.09.2013)

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 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

 


Company name

 

SANSHO TRADING CO INC

 

 

REGD NAME 

 

Sansho Boeki KK

 

 

MAIN OFFICE

 

1-2-5 Awaza Nishiku Osaka 550-0011 JAPAN

Tel: 06-6533-8850      Fax: 06-6533-3161

 

URL:                 http://www.sanchang.co.jp

E-Mail address: info-peanuts@sanchang.co.jp

 

 

ACTIVITIES  

 

Import, wholesale of peanuts, chestnuts, rugs & carpets, fishes, other

 

 

BRANCHES

 

Tokyo

 

 

OVERSEAS   

 

China

 

FACTORIES

 

China (Peanuts factory)


OFFICERS

 

JUN’YA SAKAI, PRES

Yuki Sakai, dir

Miyoko Sakai, dir          

           

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY    

 

FINANCES                    FAIR                                         A/SALES          Yen 3,010 M

PAYMENTS      Slow but Correct               CAPITAL           Yen 30 M

TREND             UP                                            WORTH            Yen 4,633 M

STARTED                     1947                                         EMPLOYES      18

 

 

COMMENT    

 

TRADING FIRM SPECIALIZING IN FOODS, CARPETS, OTHER.

 

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

                       

 

HIGHLIGHTS

           

The subject company was established by grandfather of Jun’ya Sakai as a trading firm specializing in peanuts, chestnuts, other.  Jun’ya took the pres office in Feb 2000.  This is a family-based trading form specializing in peanuts, chestnuts, rugs & carpets, fishery products, other.  Operates a peanuts factory in China.  Financial status is solid with debt-free operations continued.  Clients include peanuts makers, shops, other.

 

 

FINANCIAL INFORMATION

 

Financials are only partially disclosed as is the case with family-based companies.

 

The sales volume for Aug/2012 fiscal term amounted to Yen 3,010 million, an 11% up from Yen 2,700 million in the previous term.  Imports of roasted chestnuts increased.  Rugs & carpets prices went up.  The net profit was posted at 5 million, similarly in the previous term.

 

For the term that ended Aug 2013 the net profit was projected at Yen 7 million, on a 5% rise in turnover, to Yen 3,160 million.  Final results are yet to be released. 

 

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

 

 

REGISTRATION

 

Date Registered:             Jun 1947

Legal Status:      Limited Company (Kabushiki Kaisha)

Authorized:         240,000 shares

Issued:              60,000 shares

Sum:                   Yen 30 million

Major shareholders (%): Jun’ya Sakai & families (--100)

No. of shareholders: 5

 

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

 

OPERATION

           

Activities: Imports and wholesales peanuts, sweet roasted chestnuts (Tenshin Amaguri) (60%), rugs & carpets (20%), fishery products (10%), others (10%)

 

Clients: [Mfrs, wholesalers] Yoshida-Peanut Co, Denroku Co, Gomei Shoji Co, Osaka Kazuya Co, Morimoto Shoten, JEFSA Central Inc, other 

            No. of accounts: 300

            Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Imports from China, Indonesia, Africa, Norway, USA, other

 

Payment record: Slow but Correct  

 

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

 

Bank References:

SMBC (Dojima)

MUFG (Osaka-Chuo)

Relations: Satisfactory

 

 

 


FINANCES

(In Million Yen)

 

Terms Ending:

 

31/08/2013

31/08/2012

31/08/2011

31/08/2010

Annual Sales

 

3,160

3,010

2,700

2,400

Recur. Profit

 

..

..

..

..

Net Profit

 

7

5

5

3

Total Assets

 

 

N/A

N/A

N/A

Net Worth

 

 

4,633

4,628

4,623

Capital, Paid-Up

 

 

30

30

30

Div.P.Share(¥)

 

 

0.00

0.00

0.00

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

4.98

11.48

12.50

20.00

    Current Ratio

 

 

..

..

..

    N.Worth Ratio

 

..

..

..

    N.Profit/Sales

0.22

0.17

0.19

0.13

 

Notes: Financials are only partially disclosed.

Forecast (or estimated) figures for the 31/08/2013 fiscal term.


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.62.45

UK Pound

1

Rs.100.86

Euro

1

Rs.84.50

 

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%)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

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