MIRA INFORM REPORT

 

 

Report No. :

307122

Report Date :

09.02.2015

 

IDENTIFICATION DETAILS

 

Name :

D&M HOLDINGS INC

 

 

Registered Office :

D&M Bldg, 2-1 Nisshincho Kawasakiku Kawasaki Kanagawa-Pref 210-0024

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

June, 2008

 

 

Com. Reg. No.:

0200-01-082080 (Kawasaki-Kawasakiku)

 

 

Legal Form :

Limited Company (Kabushiki Kaisha)

 

 

Line of Business :

Manufacturer of Audio, Video & Media Equipment.

 

 

No. of Employees :

550

 

 

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 – December 31, 2014

 

Country Name

Previous Rating

(30.09.2014)

Current Rating

(31.12.2014)

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. 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

 

D&M Holdings Inc

 

REGD NAME:                KK D&M Holdings

 

MAIN OFFICE:              D&M Bldg, 2-1 Nisshincho Kawasakiku Kawasaki Kanagawa-Pref 210-0024

                      JAPAN

                                                Tel: 044-670-1111     Fax: 044-670-2680

 

URL:                             http//:www.d&m-holdings.com/jp

E-mail:                         info@d&m-holdings.com              

 

 

ACTIVITIES

 

Mfg of audio, video & media equipment

 

 

BRANCHES

 

Nil

 

 

FACTORIES

           

At the caption address

 

 

OFFICER(S)

 

JM CORDILL, PRES                 

Hirofumi Ichikawa, rep dir

Ian K Loring, dir

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY

 

FINANCES        R/WEAK                       A/SALES                      Yen 35,166 M

PAYMENTSSlow but correct       CAPITAL                       Yen 14,199 M

TREND UP                                WORTH                        Yen (-) 8,953 M

STARTED         2008                             EMPLOYES                  550

           

                                                           

COMMENT

 

MFR OF AUDIO, VIDEO & MEDIA EQUIPMENT. 

 

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

NEGATIVE NET WORTH

 

 

HIGHLIGHTS

           

The subject company was established originally in 2002 on the basis of succeeding business operations of D&M Holdings Inc and now became a holding company of group firms.  This is a specialized mfr of audio, video and media equipment for Denon, Maintz, Mcintosh, Boston Snell Escient Denon DJ, Calrec, Allen Heath, and Premium Sound Solutions brands.  Goods are manufactured at Shirakawa Factory in Fukushima-Pref and group firms.  Goods are exported.

 

 

FINANCIAL INFORMATION

 

The sales volume for Mar/2014 fiscal term amounted to Yen 35,166 million, a 6% up from 33,141 million in the previous term.  The operations continued in the red to register Yen 1,523 million recurring loss and Yen 17,453 million net losses, respectively, compared with Yen 3,714 recurring loss and Yen 454 million net profit, respectively, a year ago.  Depreciation of goodwill and other assets ate into the profits, the firm says.

 

 

REGISTRATION

 

Date Registered:                      Jun 2008

Regd No.:                                 0200-01-082080 (Kawasaki-Kawasakiku)

Legal Status:               Limited Company (Kabushiki Kaisha)

Authorized:                  283,997 shares

Issued:                         283,997 shares

Sum:                            Yen 14,199,730,000.00

Major shareholders (%): BCJ-2 (100)

*.. Investment Fund operated by Bain Capital Japan

           

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

 

 

 

 

 

OPERATION

 

Activities: Manufactures audio, video and media equipment for: Denon, Marantz, Mcintosh, Boston Snell, Escient Denon DJ, Calrec and Allen & Health brands (--100%).

 

Clients: [Mfrs, wholesalers] D&M Europe, Denon Electronics USA, Marantz America, Denon Consumer Marketing, Daiichi Kosho Co, Brother Ind Ltd, Nikkoshi Ltd, other

No. of accounts: 300

Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] D&M Mfg Hong Kong, Anam Electronics, Rhome Co, Hitachi High-Technologies, Miyako Marantz, Alps Electric, Panasonic Corp, other.

Imports from China, Hong Kong, other

 

Payment record: Slow but correct

 

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

 

Bank References:

            Mizuho Bank (Ueno)

            SMBC (Tokyo-Chuo)

            Relations: Satisfactory

 

 

FINANCES

(In Million Yen)

 

       Terms Ending:

31/03/2015

31/03/2014

31/03/2013

31/03/2012

Annual Sales

 

36,200

35,166

33,141

31,460

Recur. Profit

 

0

-1,523

-3,714

-3,270

Net Profit

 

0

-17,453

454

2,998

Total Assets

 

 

47,340

73,845

73,937

Current Assets

 

 

12,319

8,657

8,146

Current Liabs

 

 

53,684

32,654

23,970

Net Worth

 

 

-8,953

8,499

8,009

Capital, Paid-Up

 

 

14,199

14,199

14,199

Div.P.Share(¥)

 

 

0.00

0.00

0.00

<Analytical Data>

 

(%)

(%)

(%)

(%)

    S.Growth Rate

 

2.94

6.11

5.34

0.47

    Current Ratio

 

..

22.95

26.51

33.98

    N.Worth Ratio

 

..

-18.91

11.51

10.83

    R.Profit/Sales

 

0.00

-4.33

-11.21

-10.39

    N.Profit/Sales

 

0.00

-49.63

1.37

9.53

 

Notes: Financials are disclosed in digested form.

Forecast (or estimated) figures for the 31/03/2015 fiscal term. 

 

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.61.74

UK Pound

1

Rs.94.65

Euro

1

Rs.70.79

 

INFORMATION DETAILS

 

Analysis Done by :

RAS

 

 

Report Prepared by :

NIT

 

               

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%)

 

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