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Report No. : |
330590 |
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Report Date : |
03.07.2015 |
IDENTIFICATION DETAILS
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Name : |
KAWASHIMA SELKON TEXTILE CO LTD |
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Registered Office : |
265 Shizuichi-Ichiharacho Sakyoku Kyoto 601-1123 |
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Country : |
Japan |
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Financials (as on) : |
31.03.2015 |
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Date of Incorporation : |
May 1938 |
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Com. Reg. No.: |
1300-01-000056 |
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Legal Form : |
Limited Company |
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Line of Business : |
Mfr of kimonos, car/train/airplane interiors |
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No. of Employees : |
860 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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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, 2015
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Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
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Japan |
A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low Risk |
A2 |
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Moderate Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderate High Risk |
C1 |
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High Risk |
C2 |
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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 an 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. Scarce in many natural resources, Japan has long been dependent on imported raw materials. Since the complete shutdown of Japan’s nuclear reactors after the earthquake and tsunami disaster in 2011, Japan's industrial sector has become even more dependent than it was previously on imported fossil 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 impressive - 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 aftereffects 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 four times since 2008. 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 of that year disrupted manufacturing. The economy has largely recovered in the four years since the disaster, although reconstruction in the affected Tohoku region has lagged, in part due to a shortage of labor in the construction sector. Japan enjoyed a sharp uptick in growth in 2013 on the basis of Prime Minister Shinzo Abe’s “Three Arrows” economic revitalization agenda - dubbed “Abenomics” - of monetary easing, “flexible” fiscal policy, and structural reform. Abe’s government has replaced the preceding administration’s plan to phase out nuclear power with a new policy of seeking to restart nuclear power plants that meet strict new safety standards, and emphasizing nuclear energy’s importance as a base-load electricity source. Japan joined the Trans-Pacific Partnership (TPP) 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 2014 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. While seeking to stimulate and reform the economy, the government must also devise a strategy for reining in Japan's huge government debt, which amounts to more than 230% of GDP. To help raise government revenue, Japan adopted legislation in 2012 to gradually raise the consumption tax rate to 10% by 2015, beginning with a hike from 5% to 8% implemented in April 2014. That increase had a contractionary effect on GDP, however, so PM Abe in late 2014 decided to postpone the final phase of the increase until April 2017 to give the economy more time to recover. Led by the Bank of Japan’s aggressive monetary easing, Japan is making progress in ending deflation, but demographics - low birthrate and an aging, shrinking population - pose major long-term challenges for the economy.
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Source
: CIA |
KAWASHIMA
SELKON TEXTILE CO LTD
Kawashima Orimono Selkon KK
265 Shizuichi-Ichiharacho Sakyoku Kyoto
601-1123 JAPAN
Tel: 075-741-4111 Fax: 075-741-4309
*.. The is
its Tokyo Office
URL: http://www.kawashimaselkon.co.jp
E-Mail address: (thru the URL)
Mfr of kimonos,
car/train/airplane interiors
Tokyo, Osaka, Nagoya, Fukuoka,
Sapporo, Sendai, Yokohama, other (Tot 19)
At the caption address; Kyoto
(Tot 2)
SUSUMU YAMAGUCHI, PRES Yasuharu Hirata, mgn dir
Shinzo Okuno, dir Hitoshi Mori, dir
Akira Mitsuoka, dir Tokunori Nozawa, dir
Yen Amount: In
million Yen, unless otherwise stated
FINANCES FAIR A/SALES Yen 30,438 M
PAYMENTSNO COMPLAINTS CAPITAL Yen
9,381 M
TREND STEADY WORTH Yen 12,807 M
STARTED 1938 EMPLOYES 860
MFR OF
KIMONO, VEHICLES INTERIOR GOODS, OWNED BY LIXIL GROUP
FINANCIAL SITUATION COSIDERED FAIR AND GOOD FOR ORDINARY
BUSINESS ENGAGEMENTS.
This is a long-established
“Nishijin” (brand-name of kimono textiles) fabrics mfr founded as kimono store
in1843 in Edo period. Excels in
high-quality products, such as traditional Japanese “obi” and art fabrics. Top-ranked maker of “obi”. Merged with Selkon Co, mfr of interiors for
automobiles, trains and air planes, and advanced into this area. The company plans to reinforce sales of
own-brand environment-friendly curtains.
The kimono sales subsidiary pulled out from unprofitable stores,
including in-shops at department stores.
In July 2010, transferred part of interior products for vehicles, such
as autos, trains and airplanes, to a subsidiary equity-method firm, TB
Kawashima KK, jointly founded with Toyota Tsusho Corp and Toyota Boshoku
Corp. In Aug 2011, the firm went into
business tie-up with LIXIL Group Corp (See REGISTRATION)
and became its wholly owned consolidated subsidiary, and delisted from the
Tokyo S/E. In Apr 2013 absorbed Juraku
Co Ltd.
The sales volume for Mar/2015 fiscal
term amounted to Yen 30,438 million, a 6% down from Yen 32,372 million in the
previous term. The recurring profit was
posted at Yen 1,275 million and the net profit at Yen 1,273 million,
respectively, compared with Yen 1,715 million recurring profit and Yen 1,512
million net profit, respectively, a year ago.
For the current term ending Mar 2016
the recurring profit is projected at Yen 1,300 million and the net profit at
Yen 1,300 million, on a 3% rise in turnover, to Yen 31,350 million.
The financial situation is
considered FAIR and good for ORDINARY business engagements.
Date
Registered: May 1938
Regd
No.: 1300-01-000056
(Kyoto-Sakyoku)
Legal Status: Limited
Company (Kabushiki Kaisha
Authorized:
176,167,000
shares
Issued: 93,903,222
shares
Sum: Yen
9,381 million
Major
shareholders (%): LIXIL Group Corp* (100)
*.. LIXIL Group Corp, largest mfr of housing facilities and comprehensive
maker of building Materials, Tokyo, founded 1949, listed Tokyo S/E, capital Yen
68,121 million, sales Yen 1,673,405 million, operating profit Yen 51,674
million, recurring profit Yen 57,862 million, net profit Yen 22,012 million,
total assets Yen 1,875,249 million, net worth Yen 602,563 million, employees
52,427, pres Yoshiaki Fujimori
Nothing detrimental is known as
to the commercial morality of executives.
Activities:
Manufactures: obi, kimono & artistic fabrics, interior fabrics (curtains,
carpets, drapers, walling, other), others (--100%).
Clients:
[Mfrs, wholesalers] Nafco Corp, Leo Palace 21, Takashimaya, Daimaru Matsuzakaya
Department Store, Sogo Seibu Department Store, Isetan Mitsukoshi Department
Stores, Scroll Corp, Kingrun Medicare Corp, other
No. of accounts: 500
Domestic areas of activities:
Nationwide
Suppliers:
[Mfrs, wholesalers] Chori Co, NI Teijin Shoji, Tachikawa Co, Kawashima Textile
Shanghai, Bridgestone Corp, Kawashima Selkon Sewing Co, Toso Co, Nichibei Co,
Tajima Inc, Yamamoto Sangyo Co, Bridgestone Corp, other
Payment record: No Complaints
Location:
Business area in Kyoto. Office premises
at the caption address are owned and maintained satisfactorily.
Bank References:
SMBC
(Kyoto)
Bank
of Kyoto (H/O)
Relations:
Satisfactory
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Terms Ending: |
31/03/2016 |
31/03/2015 |
31/03/2014 |
31/03/2013 |
|
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Annual Sales |
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31,350 |
30,438 |
32,372 |
32,024 |
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Recur. Profit |
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1,300 |
1,275 |
1,715 |
1,283 |
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Net Profit |
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1,300 |
1,273 |
1,512 |
222 |
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Total Assets |
|
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24,149 |
25,022 |
25,077 |
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Current Assets |
|
|
12,037 |
12,326 |
11,936 |
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Current Liabs |
|
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8,083 |
10,275 |
10,963 |
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Net Worth |
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12,807 |
11,321 |
10,236 |
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Capital, Paid-Up |
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9,381 |
9,381 |
9,381 |
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Div.P.Share(¥) |
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0.00 |
0.00 |
0.00 |
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<Analytical Data> |
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(%) |
(%) |
(%) |
(%) |
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S.Growth Rate |
|
3.00 |
-5.97 |
1.09 |
-3.59 |
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Current Ratio |
|
.. |
148.92 |
119.96 |
108.88 |
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N.Worth Ratio |
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.. |
53.03 |
45.24 |
40.82 |
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R.Profit/Sales |
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4.15 |
4.19 |
5.30 |
4.01 |
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N.Profit/Sales |
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4.15 |
4.18 |
4.67 |
0.69 |
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Return On Equity |
|
.. |
9.94 |
13.36 |
2.17 |
Notes: Forecast (or estimated)
figures for the 31/03/2016 fiscal term.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 63.57 |
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|
1 |
Rs. 99.20 |
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Euro |
1 |
Rs. 70.35 |
INFORMATION DETAILS
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Analysis Done by
: |
KAS |
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Report Prepared
by : |
DPT |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation
is considered normal. Capable to meet normal commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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-- |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.