MIRA INFORM REPORT

 

 

Report Date :

11.02.2014

 

IDENTIFICATION DETAILS

 

Name :

ZENKOH CO LTD

 

 

Registered Office :

Nagahori Shinkosan Bldg 5F, 1-1-4 Kitahorie Nishiku Osaka 550-0014

 

 

Country :

Japan

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

February, 1979

 

 

Com. Reg. No.:

1200-01-044674 (Osaka-Nishiku)

 

 

Legal Form :

Limited Company (Kabushiki Kaisha)

 

 

Line of Business :

Import, export of surfactant, steel products, machinery, apparel

 

 

No. of Employees :

24

 

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 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 30, 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 and address

 

ZENKOH CO LTD

 

REGD NAME:    KK Zenkoh Shoji

MAIN OFFICE:  Nagahori Shinkosan Bldg 5F, 1-1-4 Kitahorie Nishiku Osaka 550-0014 JAPAN

                        Tel: 06-6534-1971     

Fax: 06-6534-1823

 

URL:                 http://www.zenkoh.com

E-Mail address: zenkoh@zenkoh.com

 

 

ACTIVITIES  

 

Import, export of surfactant, steel products, machinery, apparel, other

 

 

BRANCHES   

 

Tokyo, Nagoya, Osaka

 

 

OVERSEAS   

 

Korea, China, Thailand

 

 

OFFICERS

 

TOSHIHIRO DANJO, PRES       

Toshiyuki Danjo, ch

Masanao Ohba, mgn dir

           

 

Yen Amount

 

In million Yen, unless otherwise stated

 

 


SUMMARY    

 

FINANCES        FAIR                             A/SALES          Yen 1,861 M

PAYMENTS      SLOW BUT CORRECT   CAPITAL           Yen 35 M

TREND             SLOW                          WORTH            Yen 36 M

STARTED         1979                             EMPLOYES      24

 

 

COMMENT    

 

TRADING FIRM SPECIALIXING IN STEEL PRODUCTS, SURFACTANTS, MACHINERY, OTHER.

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

                       

                       

HIGHLIGHTS

           

The subject company was established by Toshiyuki Danjo, now chm, in order to make most of his experience in the subject line of business.  Toshihiro is his son, who took the pres office in Mar 2013.  This is a trading firm, owned and operated by the Danjo family, for import, export and wholesale of steel products, surfactant, machinery, apparel, other (See OPERATION).  Handles wire-saw, too.  Imports from Korea, other.  Clients include wire makers, machinery makers, other

 

 

FINANCIAL INFORMATION

           

The sales volume for Dec/2012 fiscal term amounted to Yen 1,861 million, a 57% drop from Yen 3,296 million in the previous term.  This is referred to the oversupply of saw-wire and subsequent price downs.  The operations plunged into the red to register Yen 61 million recurring loss and Yen 57 million net losses, respectively, compared with Yen 8 million recurring profit and Yen 13 million net profit, respectively, a year ago.

 

For the term that ended Dec 2013 the operations were projected to come back to profitability to post Yen 50 million recurring profit and Yen 25 million net profit, respectively, on a 10% rise in turnover, to Yen 2,050 million.  Weaker Yen may have raised earnings in Yen terms.  Final results are yet to be released. 

 

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

 

 

REGISTRATION

 

Date Registered:  Feb 1979

Regd No.:         1200-01-044674 (Osaka-Nishiku)

Legal Status:      Limited Company (Kabushiki Kaisha)

Authorized:         100,000 shares

Issued:                70,000 shares

Sum:                   Yen 35 million

Major shareholders (%): Toshiyuki Danjo (40), Yasuyuki Shibatani (20), Toshihiro Danjo (20), Kayoku Danjo (20)

No. of shareholders: 4

 

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

 

 

OPERATION

           

Activities: Imports, exports and wholesales surfactants, steel products, machinery, apparel, other (--100%)

 

Exports: Surfactants (LO for wire drawing, detergents, rust-preventive chemicals), machinery (wiring machinery, electric furnace, other), other

Imports: steel & stainless products (wires, cords, wire ropes, plates, sheets), apparel (leather, knitted, furs), beddings, fishing cruiser, other

 

Clients: [Mfrs, wholesalers] TKX, Megumi Co, Suncall Corp, Tama Spring, Aichi Hatuzyo Co, Yuki Seiko, Shibata Spring Mfg Co, Sanwa Mesh Co, other 

            No. of accounts: 200

            Domestic areas of activities: Nationwide

Suppliers: [Mfrs, wholesalers] Kiswire Japan, Cos Japan Co, Kyoeisha Chemical,

Asahi-Seiki Mfg Co, Sanwa Diamond Works, other

 

Payment record: Slow but correct

 

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

 

Bank References:

                        Kinki Osaka Bank (Horie)

                        Ikeda Senshu Bank (Honmachi)

                        Relations: Satisfactory

 

 

FINANCES (In Million Yen)

 

       Terms Ending:

31/12/2013

31/12/2012

31/12/2011

31/12/2010

Annual Sales

 

2,050

1,861

3,296

3,717

Recur. Profit

 

50

-61

8

77

Net Profit

 

25

-57

13

80

Total Assets

 

 

821

945

1,135

Current Assets

 

 

742

870

1,076

Current Liabs

 

 

436

417

744

Net Worth

 

 

36

95

89

Capital, Paid-Up

 

 

35

35

35

Div.P.Share(¥)

 

 

0.00

0.00

0.00

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

10.16

-43.54

-11.33

66.61

    Current Ratio

 

..

170.18

208.63

144.62

    N.Worth Ratio

..

4.38

10.05

7.84

    R.Profit/Sales

 

2.44

-3.28

0.24

2.07

    N.Profit/Sales

1.22

-3.06

0.39

2.15

    Return On Equity

..

-158.33

13.68

89.89

 

Notes: Forecast (or estimated) figures for the 31/12/2013 fiscal term.

 

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.62.19

UK Pound

1

Rs.102.14

Euro

1

Rs.84.74

 

 

INFORMATION DETAILS

 

Report Prepared by :                                                 

NNA

 

 

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.