MIRA INFORM REPORT

 

 

Report Date :

01.03.2014

 

IDENTIFICATION DETAILS

 

Name :

JAPAN SECURITY SYSTEM INC

 

 

Registered Office :

World Trade Center Bldg 9F, 2-4-1 Hamamatsucho Minatoku Tokyo 105-0013

 

 

Country :

Japan

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

August 2004

 

 

Com. Reg. No.:

2100-01-051374

 

 

Legal Form :

Limited Company (Kabushiki Kaisha)

 

 

Line of Business :

Wholesale of security cameras & peripherals

 

 

No. of Employees :

30

 

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 :

No complaints

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 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 exceeds 225% 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

 

JAPAN SECURITY SYSTEM INC

 

REGD NAME:    KK Nihon Bouhan System

MAIN OFFICE:  World Trade Center Bldg 9F, 2-4-1 Hamamatsucho Minatoku Tokyo 105-0013

                                    JAPAN

                                    Tel: 003-0809-1217     Fax: 03-6809-1701

 

                        *.. The is its Fukuoka Branch Office

                       

URL:                 http://www.js-sys.com/

E-Mail address: info@js-sys.com

 

 

ACTIVITIES

 

Wholesale of security cameras & peripherals

 

 

BRANCHES   

 

Sendai, Nagoya, Osaka Hiroshima, Fukuoka

 

 

OVERSEAS   

 

Taiwan

 

 

FACTORIES

 

(subcontracted)

 

 

OFFICER(S)  

 

IZUMI KAKU, PRES

Fumika Kaku, s/mgn dir

Tomofumi Nishiyama dir

 

Yen Amount:     In million Yen, unless otherwise stated

 

SUMMARY    

 

FINANCES                    FAIR                             A/SALES          Yen 1,065 M

PAYMENTS      NO COMPLAINTS          CAPITAL           Yen 10 M

TREND             UP                                WORTH            Yen 227 M

STARTED                     2004                             EMPLOYES      30

                       

 

COMMENT    

 

WHOLESALER SPECIALIZING IN SECURITY/MONITOR CAMERAS

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

 

 

HIGHLIGHTS

 

The subject company was established by Izumi Kaku in order to make most of his experience in the subject lien of business, as On-Sales KK, and renamed as captioned in Jan 2009.  This is a fabless mfr of security cameras and peripherals.  Products are also mfr’d on OEM basis.  Opened Taipei Office in Jan 2006.  Products are subcontracted mfg to overseas & domestic mfrs.  Closed distributorship agreements with NTT and Panasonic Corp in Jun 2010.  Sales keep growing.  The firm moved the headquarters to Tokyo from Fukuoka in Jan 2013, with Fukuoka becoming its branch office.

 

 

FINANCIAL INFORMATION

 

The sales volume for Dec/2012 fiscal term amounted to Yen 1,065 million, a 28% up from Yen 831 million in the previous term.  Sales growth owes much to the Great North Japan Earthquake in March 2011, where after the security/monitoring systems became a necessity and demand grew.  The recurring profit was posted at Yen 67 million and the net profit at Yen 40 million, respectively, compared with Yen 45 million recurring profit and Yen 29 million, respectively, a year ago.

 

For the term that ended Dec 2013 the recurring profit was projected at Yen 75 million and the net profit at Yen 50 million, respectively, on a 3% rise in turnover, to Yen 1,100 million.  Final results are yet to be released.

 

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

 


 

REGISTRATION

 

Date Registered:  Aug 2004

Regd No.:         2100-01-051374 (Tokyo-Minatoku)

Legal Status:      Limited Company (Kabushiki Kaisha)

Authorized:         800 shares

Issued:                200 shares

Sum:                   Yen 10 million

Major shareholders (%): Izumi Kaku (100)

 

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

 

 

OPERATION

 

Activities: Manufactures, imports and exports security cameras: outdoor cameras, one cable cameras, dome cameras, indoor standard cameras, digital video recorders, dummy cameras, housing cases, camera/monitor brackets, and peripheral devices (--100%)..

Mfg is subcontracted to makers in China, USA, Japan, other.

 

Clients: [Mfrs, wholesalers, agent dealers] Arucom Inc (10%), Advance Co, Kumaden Co, AD System,UM Tech Inc, Japan IT Communication Co, Nikko System, Panasonic Corp, NTT, Japan Eagles, Saison Corp, other

No. of accounts: 300

Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] AV Tech Corp, Geo Vision, other

Imports from USA, China, Korea, other

 

Payment record: No complaints

 

Location: Business area in Hakata, Fukuoka-Pref.  Office premises at the caption address are leased and maintained satisfactorily.

 

Bank References:

Bank of Fukuoka (Hakata-Ekimae)

Nishinippon City Bank (Hakata-Ekimae)

Relations: Satisfactory

 

 


 

FINANCES

 

(In Million Yen)

       Terms Ending:

31/12/2013

31/12/2012

31/12/2011

31/12/2010

Annual Sales

 

1,100

1,065

831

286

Recur. Profit

 

75

67

45

 

Net Profit

 

50

40

29

11

Total Assets

 

 

407

355

N/A

Current Assets

 

 

372

339

 

Current Liabs

 

 

95

83

 

Net Worth

 

 

227

187

158

Capital, Paid-Up

 

 

10

10

10

Div.P.Share(¥)

 

 

0.00

0.00

0.00

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

3.29

28.16

21.13

-10.90

    Current Ratio

 

..

391.58

408.43

..

    N.Worth Ratio

..

55.77

52.68

..

    R.Profit/Sales

 

6.82

6.29

5.42

..

    N.Profit/Sales

4.55

3.76

3.49

3.85

    Return On Equity

..

17.62

15.51

6.96

 

Notes: Accounting term was changed to Jan/Dec from Aug/July from the 31/12/2010 fiscal term.  Growth rates are adjusted on a 12-month basis.

 

Forecast (or estimated) figures for the 31/12/2012 fiscal term.

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.62.07

UK Pound

1

Rs.103.61

Euro

1

Rs.85.03

 

 

INFORMATION DETAILS

 

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.