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Report No. : |
312082 |
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Report Date : |
20.03.2015 |
IDENTIFICATION DETAILS
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Name : |
CONNECT HOLDINGS CORPORATION |
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Registered Office : |
Sheran Minamiazabu Bldg.2-10-2 Minami Azabu
Minatoku Tokyo 106-0047 |
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Country : |
Japan |
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Financials (as on) : |
31.08.2014 |
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Date of Incorporation : |
March, 2011 |
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Legal Form : |
Limited Company (Kabushiki Kaisha) |
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Line of Business : |
Marketing company for planning, producing, selling general goods and marketing research for young ladies. |
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No. of Employees : |
6 |
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 |
|
Maximum Credit Limits : |
YEN 34,269.5 MILLION |
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|
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Status : |
Satisfactory |
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Payment Behaviour : |
Slow but correct |
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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 – 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 |
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Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
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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 |
CONNECT HOLDINGS CORPORATION
REGD NAME: KK
Connect Holdings
MAIN
OFFICE: Sheran Minamiazabu
Bldg.2-10-2 Minami Azabu Minatoku Tokyo
106-0047 JAPAN
Tel:
03-5349-6580 Fax: 03-5349-6581
*..
Moved to the caption address in Mar/2014 from the one as given.
URL: http://www.connect-hd.co.jp/
E-Mail address: (thru
the URL)
Marketing
company for planning, producing, selling general goods and marketing research
for young ladies.
None
but group company, SBY holds 6 retails shops in Tokyo, Osaka, Kagoshima.
None
None
NOBUMI
NAGAKURA, PRES
Yen
Amount: In million Yen, unless
otherwise stated
FINANCES FAIR A/SALES Yen 1,510,653 M
PAYMENTSSLOW
BUT CORRECT CAPITAL Yen 416M
TREND SLOW WORTH Yen
487,818 M
STARTED 2000 EMPLOYES 6
MARKETING COMPANY TARGETING
YOUNG LADIES FOR VARIOUS TYPE OF CLIENTS, FROM GLOBAL COMPANY LIKE Google TO
LOCAL MODEL AGENCIES.
FINANCIAL SITUATION COSIDERED
FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.
MAX
CREDIT LIMIT: YEN 34,269.5 MILLION, 30 DAYS NORMAL TERMS
|
Terms Ending |
Annual Sales* |
R.Profit* |
N.Profit* |
S.Growth |
Net Worth* |
|
|
Results: |
31/03/2011 |
893,531 |
-423,023 |
-438,398 |
(%) |
242,013 |
|
(Consolidated) |
31/08/2012 |
1,842,704 |
-22,019 |
-183,978 |
106.23 |
122,614 |
|
31/08/2013 |
1,456,089 |
27,334 |
42,069 |
-20.98 |
401,282 |
|
|
31/08/2014 |
1,510,653 |
29,580 |
11,673 |
3.75 |
487,818 |
|
|
31/08/2015 |
1,661,718 |
32,538 |
12,840 |
10.00 |
500,658 |
|
|
Forecast
(or estimated) figures for 2015 term. |
*..Unit: Million Yen |
|||||
The
subject company was established as a holdings company in 2011 and was listed on
the TSE Mothers markets. They are a planner, producer as well as a seller of
general goods for young women.
The
sales volume for August /2014 fiscal term amounted to Yen 1,510,653 million, a 3.7%
up from Yen 1,456,089 million in the previous term. The recurring profit was posted at Yen 29,580
million and the net profit at Yen 11,673 million, respectively, compared with
Yen 27,334 million recurring profit and Yen 42,069 million net profit, respectively,
a year ago.
For
the current term ending August 2015 the recurring profit is projected at Yen
32,538 million and the net profit at Yen 12,840 million, respectively, on a 1%
rise/ in turnover, to Yen 1,661,718million.
Final results are yet to be released.
The
financial situation is considered FAIR and good for ORDINARY business
engagements. Max Credit Limit is
estimated
at Yen 34,269.5 Million, 30 days normal terms.
Date Registered: March 2011
Legal Status:
Limited Company (Kabushiki Kaisha)
Authorized: 184 million shares
Issued:
55 million shares
Sum: Yen 416
million
Major shareholders (%): Tatsuo Sato,(51.39)
No. of shareholders: 6,408
Listed on the S/Exchange (s) of:
Tokyo
Managements:
NOBUMI NAGAKURA, PRED; Yasushi
Okuda, dir;
Toshiyuki Sekimoto, dir; Tatsuo
Sato, dir; Ayumu Kawamura, dir
Nothing
detrimental is known as to the commercial morality of executives.
Related companies: SBY
Activities: Marketing company trading young ladies
for various type of clients, from global company like google to local model
agencies.
Clients:
[Mfrs, wholesalers]
No. of
accounts: Unavailable
Domestic
areas of activities: Tokyo
Suppliers:
[Mfrs, wholesalers] N/A
Payment record: Slow
but correct
Location: Business area in Tokyo. Office premises at the caption address are
leased and maintained satisfactorily.
Bank References:
MUFG
(Omotesando)
Relations:
Satisfactory
(In Million Yen)
|
FINANCES: (Consolidated
in million yen) |
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Terms Ending: |
31/08/2014 |
31/08/2013 |
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INCOME STATEMENT |
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Annual Sales |
1,510,653 |
1,456,089 |
|
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Cost of Sales |
753,117 |
650,063 |
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GROSS PROFIT |
757,536 |
806,026 |
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Selling & Adm Costs |
721,575 |
765,922 |
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OPERATING PROFIT |
35,961 |
40,104 |
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Non-Operating P/L |
-6,381 |
-12,770 |
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RECURRING PROFIT |
29,580 |
27,334 |
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NET PROFIT |
11,673 |
42,069 |
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BALANCE SHEET |
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|||
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Cash |
|
70,567 |
110,666 |
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Receivables |
96,851 |
78,148 |
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Inventory |
189,770 |
103,909 |
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Securities, Marketable |
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Other Current Assets |
334,598 |
90,766 |
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TOTAL CURRENT ASSETS |
691,786 |
383,489 |
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Property & Equipment |
70,528 |
62,812 |
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Intangibles |
59,883 |
80,080 |
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Investments, Other Fixed Assets |
71,174 |
133,865 |
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TOTAL ASSETS |
893,371 |
660,246 |
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Payables |
92,529 |
59,673 |
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Short-Term Bank Loans |
77,000 |
37,000 |
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Other Current Liabs |
128,006 |
111,720 |
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TOTAL CURRENT LIABS |
297,535 |
208,393 |
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Debentures |
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Long-Term Bank Loans |
107,017 |
48,750 |
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Reserve for Retirement Allw |
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Other Debts |
1,000 |
1,820 |
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TOTAL LIABILITIES |
405,552 |
258,963 |
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MINORITY INTERESTS |
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||
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Common
stock |
416,514 |
381,500 |
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Additional
paid-in capital |
422,513 |
387,498 |
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Retained
earnings |
(356,042) |
(367,716) |
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Evaluation
p/l on investments/securities |
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|
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Others |
4,833 |
0 |
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Treasury
stock, at cost |
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TOTAL S/HOLDERS` EQUITY |
487,818 |
401,282 |
|
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TOTAL EQUITIES |
893,370 |
660,245 |
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CONSOLIDATED CASH FLOWS |
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Terms ending: |
31/08/2014 |
31/08/2013 |
|
|
|
Cash
Flows from Operating Activities |
|
-15,508 |
-17,778 |
|
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Cash
Flows from Investment Activities |
-208,872 |
-68,258 |
|
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Cash
Flows from Financing Activities |
182,154 |
93,308 |
|
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Cash,
Bank Deposits at the Term End |
|
68,167 |
110,666 |
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ANALYTICAL RATIOS Terms ending: |
31/08/2014 |
31/08/2013 |
||
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Net
Worth (S/Holders' Equity) |
487,818 |
401,282 |
|
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Current
Ratio (%) |
232.51 |
184.02 |
|
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Net
Worth Ratio (%) |
54.60 |
60.78 |
|
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Recurring
Profit Ratio (%) |
1.96 |
1.88 |
|
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Net Profit
Ratio (%) |
0.77 |
2.89 |
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|
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Return
On Equity (%) |
2.39 |
10.48 |
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.42 |
|
|
1 |
Rs.92.99 |
|
Euro |
1 |
Rs.67.29 |
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 |
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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 |
|
|
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 |
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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 |
-- |
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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.