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Report No. : |
312263 |
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Report Date : |
20.03.2015 |
IDENTIFICATION DETAILS
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Name : |
SMILE CORPORATION |
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Registered Office : |
Shiomi SIF Bldg 4F, 2-8-10 Shiomi Kotoku Tokyo 135-0052 |
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Country : |
Japan |
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Financials (as on) : |
31.03.2015 |
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Date of Incorporation : |
Jun 1977 |
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Legal Form : |
Limited Company |
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Line of Business : |
Subject is engaged in wholesale, import of packaging materials, foods, wine, and clothing. |
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No. of Employee : |
136 |
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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Maximum Credit Limit : |
YEN 3638.9 Million |
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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 – December 31, 2014
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Country Name |
Previous Rating (30.09.2014) |
Current Rating (31.12.2014) |
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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 |
A2 |
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Moderate |
B1 |
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High |
B2 |
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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.
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Source
: CIA |
SMILE CORPORATION
REGD NAME: KK
Smile
MAIN OFFICE: Shiomi
SIF Bldg 4F, 2-8-10 Shiomi Kotoku Tokyo 135-0052 JAPAN
Tel: 03-6743-7070
Fax: 03-5677-2302
URL: http://www.smilecorp.co.jp/
E-Mail
address: fags@smilecorp.co.jp
Wholesale,
import of packaging materials, foods, wine, clothing.
Osaka,
Sapporo
Shanghai
(subsidiary)
IZUMI
KAWAGUCHI, PRES Atsushi Ohno, v pres
Tokuji
Izumi, dir Takeshi
Tezuka, dir
Kengo
Tanaka, dir
Yen
Amount: In million Yen, unless
otherwise stated
FINANCES FAIR A/SALES Yen 27,492 M
PAYMENTS NO COMPLAINTS CAPITAL Yen
570 M
TREND UP WORTH Yen 3,463 M
STARTED 1977 EMPLOYES 136
IMPORTER & WHOLESALER
SPECIALIZING IN PACKAGING MATERIALS,
WINE
& FOODS.
FINANCIAL
SITUATION CONSIDERED FAIR AND GOOD FOR BUSINESS
ENGAGEMENTS.
MAX CREDIT LIMIT: YEN 3638.9
MILLION, 30 DAYS NORMAL TERMS
The
subject company was established originally as a packaging materials mfg company
and in Apr 1995 merged KK Smile (100% owned by Seiyu Ltd), renamed as captioned
and expanded business operations to import, export, wholesale of foods, wines,
furniture, in addition to food packaging materials. The subject wholesales packaging materials,
including machinery & logistic equipment as a main line. Also, in large part, designs, develops and
manufactures (consigned to subsidiaries) original brand merchandise, in
addition to foods, wines, office furniture, tableware, other items. The office furniture import from Europe,
Asia, Turkey. Clients include
supermarkets, chain stores, consumer coops, nationwide, in addition to Seiyu
Ltd and group firms. Strong business
ties with Seiyu Ltd and group firms. In
Sept 2011, the firm became under the ownership of Senko Co Ltd (See REGISTRATION).
The sales
volume for Mar/2014 fiscal term amounted to Yen 27,492 million, a 3% up from
Yen 26,723 million in the previous term,.
The recurring profit was posted at Yen 623 million and the net profit at
Yen 376 million, respectively, compared with Yen 787 million recurring profit
and Yen 615 million net profit, respectively, a year ago.
For the current term ending Mar
2015 the recurring profit is projected at Yen 640 million and the net profit at
Yen 385 million, respectively, on a 4% rise in turnover, to Yen 28,500
million.
The financial
situation is considered FAIR and good for ORDINARY business engagements. Max credit limit is estimated at Yen 638.9
million, on 30 days normal terms.
Date
Registered: Jun 1977
Legal
Status: Limited Company (Kabushiki Kaisha)
Authorized:
4.6 million shares
Issued:
3 MILLION shares
Sum:
Yen 570.5 million
Major
shareholders (%): Senko Co Ltd* (94.9), Employees’ S/Holding Assn (1.9),
Yoshiyuki Yagi (0.8), Izumi Kawaguchi (0.8), Atsushi Ohno (0.7)
No.
of shareholders: 12
*..
Senko Co Ltd, engaged in transportation of residential materials including
those of prefab houses, Osaka, founded 1946, listed Tokyo S/E, capital Yen
20,521 million, sales Yen 333,881 million, operating profit Yen 12,122 million,
recurring profit Yen 11,305 million, net profit Yen 6,503 million, total assets
Yen 243,594 million, net worth Yen 67,820 million, employees 8,738, pres
Yasuhisa Fukuda
Nothing detrimental is known as to
the commercial morality of executives.
Activities: Import,
wholesale of packaging materials (25%): packaging tools, machinery &
logistic equipment, others; designs, plans, develops, manufactures (on
consignment to subsidiaries): original brand goods (51%); foods (15%): fruits
& vegetables, livestock products, fishery products, wines (from France,
Spain, Italy, Germany, UK, USA, etc); clothing for men, women, babies &
children, clothing accessories, underwear, beddings; European-style office
furniture, toasters (from Dualit, UK), tableware, cutlery, other general
commodities, others (--9%). (Breakdowns
are all about).
(Import 20%).
Clients:
[Supermarkets, wholesalers, chain stores] Seiyu Ltd and group firms, Ryohin
Kikaku, Askul Corp, Howay Industry Co Ltd, Ricoh group firms, Canon group
firms, Domino’s Pizza Japan Inc, other.
No. of accounts: 300
Domestic areas of activities:
Nationwide
Suppliers:
[Mfrs, wholesalers] Shizuoka Sangyo, Maruto Shoji Co, Crown Package, Sun Echo Engineering, Mitsui Bussan
Packaging, Chuo Chemical Ind, Harada, other.
Payment
record: No Cmplaints
Location:
Business area in Tokyo. Office premises
at the caption address are leased and maintained satisfactorily.
Bank
References:
Mizuho Bank (Ikebukuro)
MUFG (Nish-Ikebukuro)
Relations: Satisfactory
(In Million Yen)
|
Terms Ending: |
31/03/2015 |
31/03/2014 |
31/03/2013 |
31/03/2012 |
|
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Annual
Sales |
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28,500 |
27,492 |
26,723 |
6,376 |
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Recur.
Profit |
|
640 |
623 |
987 |
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Net
Profit |
|
385 |
376 |
615 |
127 |
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Total
Assets |
|
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10,682 |
11,557 |
11,311 |
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Current
Assets |
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|
9,704 |
10,704 |
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Current
Liabs |
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6,745 |
8,041 |
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Net
Worth |
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3,463 |
3,118 |
2,605 |
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Capital,
Paid-Up |
|
|
570 |
570 |
570 |
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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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S.Growth Rate |
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3.67 |
2.88 |
4.78 |
-6.15 |
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Current Ratio |
|
.. |
143.87 |
133.12 |
.. |
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N.Worth Ratio |
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.. |
32.42 |
26.98 |
23.03 |
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R.Profit/Sales |
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2.25 |
2.27 |
3.69 |
.. |
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N.Profit/Sales |
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1.35 |
1.37 |
2.30 |
1.99 |
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Return On Equity |
|
.. |
10.86 |
19.72 |
4.88 |
Notes: The 31/03/2012 fiscal term
is for irregular 3 months due to the change in accounting term to Apr/Mar from
the previous Jan/Dec. Growth rates are
adjusted on a 12-month basis.
Forecast
(or estimated) figures for the 31/03/2015 fiscal term.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
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Indian Rupees |
|
US Dollar |
1 |
Rs.62.42 |
|
|
1 |
Rs.92.99 |
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Euro |
1 |
Rs.67.29 |
INFORMATION DETAILS
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Analysis Done by
: |
RAS |
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Report Prepared
by : |
ASH |
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.