MIRA INFORM REPORT

 

 

Report Date :

27.06.2014  

 

IDENTIFICATION DETAILS

 

Name :

LIBRA NATUTHERAPY CO LTD

 

 

Registered Office :

Forresta Nishinomiya Bldg 2F, 6-1 Todacho Nishinomiya Hyogo-Pref 662-0916

 

 

Country :

Japan

 

 

Financials (as on) :

31.07.2013

 

 

Date of Incorporation :

April 1988

 

 

Com. Reg. No.:

1400-01-072577

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Import, export, wholesale of aroma therapy products

 

 

No. of Employees

25

 

RATING & COMMENTS

 

MIRA’s Rating :

Ca

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Maximum Credit Limit :

Yen 3.3 Million

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 31, 2014

 

Country Name

Previous Rating

(31.12.2013)

Current Rating

(31.03.2014)

Japan

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low Risk

 

A2

Moderate Low Risk

 

B1

Moderate Risk

 

B2

Moderate High Risk

 

C1

High Risk

 

C2

Very High Risk

 

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. Prime Minister Shinzo ABE has declared the economy his government's top priority; he has overturned his predecessor's plan to permanently close nuclear power plants and is pursuing an economic revitalization agenda of fiscal stimulus, monetary easing, and structural reform. Japan joined the Trans Pacific Partnership negotiations in 2013, a pact that would open Japan's economy to increased foreign competition and create new export opportunities for Japanese businesses. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, Japan in 2013 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 is exceeding 230% of GDP. To help raise government revenue and reduce public debt, Japan decided in 2013 to gradually increase the consumption tax to a total of 10% by the year 2015. Japan is making progress on ending deflation due to a weaker yen and higher energy costs, but reliance on exports to drive growth and an aging, shrinking population pose other major long-term challenges for the economy

 

Source : CIA

 


Company name and address

 

LIBRA NATUTHERAPY CO LTD

 

REGD NAME:    Libra Natutherapy KK

MAIN OFFICE:  Forresta Nishinomiya Bldg 2F, 6-1 Todacho Nishinomiya Hyogo-Pref 662-0916

JAPAN

Tel: 0798-36-2277      Fax: 0798-23-2811

 

URL:                 http://www.libra-kobe.co.jp

E-Mail address: (thru the URL)

 

 

ACTIVITIES

 

Import, export, wholesale of aroma therapy products

 

 

BRANCHES

 

Tokyo, Osaka

 

 

SALONS  

 

12 salons/schools

 

 

OVERSEAS   

 

Singapore

 

 

OFFICERS

 

NOBUMITSU HAYASHI, PRES

Kumi Hayashi, dir

                       

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY

 

FINANCES        WEAK              A/SALES          Yen 220 M

PAYMENTSSLOW                    CAPITAL           Yen 10 M

TREND SLOW              WORTH            Yen (-) 46 M    

STARTED         1988                 EMPLOYES      25

 

 

COMMENT    

 

TRADING FIRM SPECIALIZING IN AROMA THERAPY PRODUCTS.

FINANCIAL SITUATION CONSIDERED WEAK BUT SHOULD BE GOOD FOR MODERATE BUSINESS ENGAGEMENTS.

                       

 

HIGHLIGHTS

           

The subject company was established by Nobumitsu Hayashi in order to make most of his experience in the subject line of business.  This is a trading firm specializing in import, export and wholesale of aroma therapy products, vegetable fats & oils (except for foods), other.  Also operates 12 aroma therapy salons & schools.  Clients include hotels, department stores.

 

 

FINANCIAL INFORMATION

           

Financials are disclosed only partially as from the July/2012 fiscal term.  Profits are not disclosed and are only estimated.

 

The sales volume for Jul/2013 fiscal term amounted to Yen 220 million, a 1% up from Yen 217 million in the previous term.  The profits are estimated posted at Yen 5 million, similarly in the previous term.

 

For the current term ending Jul 2014 the net profit is projected at Yen 7 million, on a 5% rise in turnover, to Yen 230 million.

 

The financial situation is considered WEAK but should be good for MODERATE business engagements. 

 

 

REGISTRATION

 

Date Registered:              Apr 1988

Regd No.:                        1400-01-072577 (Kobe-Nishinomiya)

Legal Status:      Limited Company (Kabushiki Kaisha)

Authorized:         80,000 shares

Issued:                20,000 shares

Sum:                   Yen 10 million

Major shareholders (%): Nobumitsu Hayashi (90), Kumi Hayashi (10)

No. of shareholders: 2

 

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

 

 

OPERATION

           

Activities: Trading firm for import, export and wholesale of aroma therapy products, vegetable fats & oils (not for foods), operating 12 aroma therapy salons/schools, others (--100%)

 

Clients: [Mfrs, wholesalers, consumers] Daimaru Matsuzakaya Department Stores, Hilton Hotel Service, other 

No. of accounts: 200

Domestic areas of activities: Centered in the greater-Osaka

 

Suppliers: [Mfrs, wholesalers] Yamamoto Perfumery Co (40%), Pacific Products, Tree of Life Co, Nitto Pharmaceutical Ind, Takemoto Yohki Co, other

 

Payment record: Slow

 

Location: Business area in Nishinomiya, Hyogo-Pref.  Office premises at the caption address are leased and maintained satisfactory.

 

Bank References:

Amagasaki Shinkin Bank (Nishinomiya)

SMBC (Nishinomiya)

Relations: Satisfactory

 

 

FINANCES

 

 (In Million Yen)

Terms Ending:

 

31/07/2014

31/07/2013

31/07/2012

31/07/2011

Annual Sales

 

230

220

217

276

Recur. Profit

 

..

..

..

..

Net Profit

 

7

5

5

7

Total Assets

 

 

N/A

N/A

221

Net Worth

 

 

-46

-49

-54

Capital, Paid-Up

 

 

10

10

10

Div.P.Share(¥)

 

 

0.00

0.00

0.00

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

4.55

1.38

-21.38

-13.75

    Current Ratio

 

 

..

..

..

    N.Worth Ratio

 

..

..

-24.43

    N.Profit/Sales

3.04

2.27

2.30

2.54

 

Notes: Financials are only partially disclosed.  Profits are not precisely disclosed and only estimated.

Forecast (or estimated) figures for the 31/07/2014 fiscal term.

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.60.16

UK Pound

1

Rs.102.23

Euro

1

Rs.82.04

 

INFORMATION DETAILS

 

Analysis Done by :

SUM

 

 

Report Prepared by :

NIS

 

               

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.