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Report No. : |
322558 |
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Report Date : |
16.05.2015 |
IDENTIFICATION DETAILS
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Name : |
KOTHARI DIAMOND CO LTD |
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Registered Office : |
JI Kofu Daiichi Mansion 202, 5-3-17 Sumiyoshi Kofu 400-0851 |
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Country : |
Japan |
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Financials (as on) : |
31.12.2014 |
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Date of Incorporation : |
September 2005 |
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Com. Reg. No.: |
0900-02-006992 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Imports and wholesales diamonds, pearls, antimony, other jewelry
(--100%). |
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No. of Employees : |
3 |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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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 |
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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.
Since the complete shutdown of Japan’s nuclear reactors after the earthquake
and tsunami disaster in 2011, Japan's industrial sector has become 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 four 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. A sales tax increase caused
the economy to contract during the 2nd and 3rd quarters of 2014. The economy
has largely recovered in the three years since the disaster, but reconstruction
in the Tohoku region has been uneven due to labor shortages. 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 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. The government will continue a
longstanding debate on restructuring the economy and reining in Japan's huge
government debt, which amounts to more than 240% 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 2015, although the government
in 2014 decided to postpone the final phase of the increase until 2017 to give
the economy time to recover from the 2014 increase. 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 |
KOTHARI DIAMOND CO
LTD
Kothari Diamond YK
JI Kofu Daiichi Mansion 202, 5-3-17 Sumiyoshi Kofu 400-0851 JAPAN
Tel: 055-220-1193 Fax:
055-220-1195
URL: N/A
ACTIVITIES: Import, wholesale of diamonds, precious
metals
BRANCHES: Nil
FACTORIES: (subcontracted)
OFFICER(S): NARAJ KOTHARI, PRES
S Kothari, dir
Yen Amount: In million Yen,
unless otherwise stated
FINANCES R/WEAK A/SALES Yen 280 M
PAYMENTS SLOW BUT CORRECT CAPITAL Yen 10 M
TREND SLOW WORTH Yen 39 M
STARTED 2005 EMPLOYES 3
COMMENT: IMPORTER AND WHOLESALER OF DIAMONDS &
JEWELRY. FINANCIAL SITUATION CONSIDERED RATHER WEAK BUT SHOULD
BE GOOD FOR MODERATE BUSINESS ENGAGEMENTS.
The subject company was established by Naraj Kothari, Indian resident,
in order to make most of his experience in the subject line of business. This is a trading firm specializing in import
and wholesale of diamonds, precious metals and jewelry. Goods are all imported from India. Diamonds & stones are also subcontracted
mfg into jewelry products to local jewelry processors.
Financials are only partially disclosed.
Profits are not disclosed and only estimated.
The sales volume for Dec/2014 fiscal term amounted to Yen 280 million, a
7% down from Yen 300 million in the previous term. Consumer spending was sluggish. The net profit is estimated posted at Yen 1
million, similarly in the previous year.
For the current term ending Dec 2015 the net profit is projected at Yen
2 million, on a 7% rise in turnover, to Yen 300 million.
The financial situation is considered RATHER WEAK but should be good for
MODERATE business engagements.
Date Registered: Sept 2005
Regd No.: 0900-02-006992
(Yamanashi-Kofu)
Legal Status: Private Limited Company
(Yugen Kaisha)
Regd Capital: Yen 10 million
Major shareholders
(%): A Kothari (100)
Nothing detrimental is known as to the commercial morality of
executives.
Activities: Imports and
wholesales diamonds, pearls, antimony, other jewelry (--100%).
Goods are wholly imported from India.
Clients: Jewelry
processors, jewelry stores in Yamanashi-Pref & vicinities (50%), in Tokyo
& other areas (50%)
No. of accounts: Unavailable
Domestic areas of activities: Centered in Kofu, extending into Tokyo and
vicinities
Suppliers: [Mfrs] Imports
wholly from India
Payment record: Slow but correct
Location: Business area in
Kofu. Office premises at the caption
address is owned by N Kothari as his home residence and maintained
satisfactorily.
Bank References:
Mizuho Bank (Kofu)
Yamanashi Chuo Bank (Sumiyoshi)
Relations: Money deposits & transfers only
(In Million Yen)
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Terms Ending: |
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31/12/2015 |
31/12/2014 |
31/12/2013 |
31/12/2012 |
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Annual Sales |
|
300 |
280 |
300 |
310 |
|
Recur. Profit |
|
.. |
.. |
.. |
.. |
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Net Profit |
|
2 |
1 |
1 |
1 |
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Total Assets |
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|
N/A |
N/A |
N/A |
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Net Worth |
|
|
39 |
38 |
37 |
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Capital, Paid-Up |
|
|
10 |
10 |
10 |
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Div.P.Share(¥) |
|
|
0.00 |
0.00 |
0.00 |
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<Analytical Data> |
|
(%) |
(%) |
(%) |
(%) |
|
S.Growth Rate |
|
7.14 |
-6.67 |
-3.23 |
19.23 |
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Current Ratio |
|
|
.. |
.. |
.. |
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N.Worth Ratio |
|
|
.. |
.. |
.. |
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N.Profit/Sales |
|
0.67 |
0.36 |
0.33 |
0.32 |
Notes: Financials are only partially disclosed. Profits are only estimate as not disclosed
Forecast (or estimated) figures for the 31/12/2015 fiscal term.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.63.57 |
|
|
1 |
Rs.100.30 |
|
Euro |
1 |
Rs.72.37 |
INFORMATION DETAILS
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Analysis Done by
: |
DIV |
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Report Prepared
by : |
TPT |
RATING EXPLANATIONS
|
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 |
-- |
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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.