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MIRA INFORM REPORT
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Report No. : |
485286 |
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Report Date : |
12.01.2018 |
IDENTIFICATION DETAILS
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Name : |
NAKANISHI INC |
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Registered Office : |
700 Shimo-Hinata Kanuma City Tochigi-Pref 322-8666 |
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Country : |
Japan |
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Financials (as on) : |
31.12.2017 |
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Date of Incorporation : |
June, 1981 |
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Com. Reg. No.: |
0600-01-010545 (Tochigi-Kanuma) |
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Legal Form : |
Limited Company (Kabushiki Kaisha) |
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Line of Business : |
Manufacturer of Dental Precision Rotary Instruments. |
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No. of Employees : |
741 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
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MIRA’s Rating : |
A+ |
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Credit Rating |
Explanation |
Rating Comments |
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A+ |
Low Risk |
Business dealings permissible with low
risk of default |
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Maximum Credit Limit : |
Yen 1,011.1 Million |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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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
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Country Name |
Previous Rating (30.06.2017) |
Current Rating (30.09.2017) |
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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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Moderately Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderately High Risk |
C1 |
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High Risk |
C2 |
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Very High Risk |
D |
JAPAN - ECONOMIC OVERVIEW
Over the past 70 years, government-industry cooperation, a strong work ethic, mastery of high technology, and a comparatively small defense allocation (slightly less than 1% of GDP) have helped Japan develop an advanced economy. Two notable characteristics of the post-World War II 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 have significantly eroded under the dual pressures of global competition and domestic demographic change.
Measured on a purchasing power parity basis that adjusts for price differences, Japan in 2016 stood as the fourth-largest economy in the world after first-place China, which surpassed Japan in 2001, and third-place India, which edged out Japan in 2012. For three postwar decades, overall real economic growth was impressive - a 10% average in the 1960s, 5% in the 1970s, and 4% in the 1980s. Growth slowed markedly in the 1990s, averaging just 1.7%, largely because of the aftereffects of inefficient investment and the collapse of an asset price bubble in the late 1980s, which entailed considerable 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.
Japan enjoyed an 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. Led by the Bank of Japan’s aggressive monetary easing, Japan is making modest progress in ending deflation, but demographic decline – a low birthrate and an aging, shrinking population – poses a major long-term challenge for the economy. The government currently faces the quandary of balancing its efforts to stimulate growth and institute economic reforms with the necessity of addressing its sizable public debt, which stands at 235% of GDP. To help raise government revenue, Japan adopted legislation in 2012 to gradually raise the consumption tax rate. However, the first such increase, in April 2014, led to another recession, so Prime Minister ABE has twice postponed the next increase, now scheduled for October 2019. Structural reforms to unlock productivity are seen as central to strengthening the economy in the long-run.
Scarce in critical natural resources, Japan has long been dependent on imported energy and raw materials. After the complete shutdown of Japan’s nuclear reactors following the earthquake and tsunami disaster in 2011, Japan's industrial sector has become even more dependent than before on imported fossil fuels. However, ABE’s government is seeking to restart nuclear power plants that meet strict new safety standards and is emphasizing nuclear energy’s importance as a base-load electricity source. In August 2015, Japan successfully restarted one nuclear reactor at the Sendai Nuclear Power Plant in Kagoshima prefecture, and several other reactors around the country have since resumed operations; however, opposition from local governments has delayed several more restarts that remain pending. Reforms of the electricity and gas sectors, including full liberalization of Japan’s energy market in April 2016 and gas market in April 2017, constitute an important part of Prime Minister Abe’s economic program.
In October 2015, Japan and 11 trading partners reached agreement on the Trans-Pacific Partnership (TPP), a pact that had promised to open Japan's economy to increased foreign competition and create new export opportunities for Japanese businesses. Japan was the second country to ratify the TPP in December 2016; the United States signaled its withdrawal from the TPP on January 23, 2017, and as of April 2017 the agreement has not gone into effect.
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Source
: CIA |
Company
name and address
NAKANISHI INC
REGD NAME: KK
Nakanishi
MAIN OFFICE: 700
Shimo-Hinata Kanuma City Tochigi-Pref 322-8666 JAPAN
Tel:
0289-64-3380 Fax: 0289-64-5636
* The given address is its Tokyo Branch Office
URL: http://www.nsk-nakanishi.co.jp
E-Mail address: info@nsk-nakanishi.co.jp
ACTIVITIES
Mfg of dental
precision rotary instruments
BRANCHES
Tokyo (as given),
Osaka, Nagoya
OVERSEAS
USA, Europe,
China, S/E Asia, other (Tot 13) (--subsidiaries)
FACTORIES
At the caption
address
CHIEF
EXEC
EIICHI NAKANISHI,
PRES
Yen Amount: In million Yen, unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 31,829 M
PAYMENTS REGULAR CAPITAL Yen 867 M
TREND STEADY WORTH Yen 55,441 M
STARTED 1981 EMPLOYES 741
COMMENT
MFR OF DENTAL PRECISION ROTARY INSTRUMENTS.
FINANCIAL SITUATION COSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS
ENGAGEMENTS.
MAX CREDIT LIMIT:
YEN 1,011.1 MILLION, 30 DAYS NORMAL TERMS
HIGHLIGHTS
The subject
company is a manufacturer specializing in high-speed rotation technology. Evacuated from Tokyo to Kanuma, Tochigi-Pref during WWII & stayed. Manufactures a
range of products from dental-use equipment to industrial-use grinders. All products are independently developed,
produced & marketed. One of the
world leaders in dental equipment along with KaVo Dental Systems Japan. Overseas sales account for the majority (79%). Realigned sales
network in the US, where it has a subsidiary, in 2012. Reinforcing sales in Europe, including Germany. Undertaking market
development in Russia & China.
Liquidated the company in Vietnam & acquired an Italian sterilized
products maker in 2013. Fostering medical-related products, such as for
cerebral-surgery.
FINANCIAL
INFORMATION
The sales volume
for Dec/2016 fiscal term amounted to Yen 31,829 million, a 0.19% fall from Yen
31,862 million in the previous
term.
The recurring profit was posted at Yen 7,643 million and the net profit at yen
5,297 million, respectively, compared with Yen 9,879 million recurring profit
and Yen 6,203 million net profit, respectively, a year ago.
For the term that
ended Dec 2017 the recurring profit was projected at Yen 8,790 million and the
net profit at Yen 6,100 million, on a 4.31% up in turnover, to Yen 33,200
million. Final results are yet to be
released.
The financial
situation is considered FAIR and good for ORDIANRY business engagements. Max credit limit is estimated at Yen 1,011.1
million, on 30 days normal terms.
REGISTRATION
Date Registered: Jun 1981
Regd No.:
0600-01-010545
(Tochigi-Kanuma)
Legal
Status: Limited Company (Kabushiki Kaisha)
Authorized: 125 million shares
Issued:
31.419.800 shares
Sum:
Yen 867 million
Major shareholders
(%):
Company’s Treasury Stock (8.0), State Street Bank & Trust (5.6), Nakanishi
E&N (4.8), Takasuke Nakanishi (4.5), Chiyo Nakanishi (4.5), Japan Trustee
Services T9 (3.9), Chase Manhattan Bank 385036 (3.6), Eiichi Nakanishi (2.9),
Kensuke Nakanishi (2.9); foreign owners (43.0)
No.
of shareholders: 1,407
Listed
on the S/Exchange (s) of: JASDAQ
Managements: Eiichi
Nakanishi, pres; Kensuke Nakanishi, v pres; Toshiharu Onoue, s/mgn dir; Kaoru
Matsuoka, mgn dir; Yuji Ynaganose, dir, Fusato Suzuki, dir
Nothing detrimental is known as to the
commercial morality of executives.
Related
companies: NSK America Corp, NSK Europe GmbH, NSK Shanghai Co, other
OPERATION
Activities: Manufactures
dental precision rotary instruments and general industrial precision rotary
instruments:
(Sales breakdown
by divisions):
Dental Products
(87%), Industrial Products (10%), Others (3%)
Overseas Sales
Ratio (78%)
Clients: [Dental
industry, wholesalers] Bressler, NSK Europe, Nihon Shika Kogyosha, Momose
Dental Co, NSK-America, NSK France, other
No. of accounts: 1,000
Domestic areas of activities: Nationwide
Suppliers: [Mfrs,
wholesalers] SMB Hambai, TANOI, NSK Hambai, Rightone Electronics Ind, Ouyou
Denshi Ind, Wakabayashi Kogyo, RTC Inc, Hisago Electric Products, other.
Payment
record: Regular
Location: Business area in Kanuma City, Tochigi-Pref. Office premises at the caption address are
owned and maintained satisfactorily.
Bank
References:
Ashikaga
Bank (Kanuma)
Mizuho
Bank (Utsunomiya)
Relations:
Satisfactory
FINANCES
(In Million Yen)
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Terms
Ending: |
31/12/2017 |
31/12/2016 |
31/12/2015 |
31/12/2014 |
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Annual
Sales |
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33,200 |
31,829 |
31,862 |
30,908 |
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Recur.
Profit |
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8,790 |
7,643 |
9,879 |
10,757 |
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Net
Profit |
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6,100 |
5,297 |
6,203 |
6,965 |
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Total
Assets |
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61,907 |
58,472 |
55,900 |
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Current
Assets |
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42,361 |
42,161 |
37,402 |
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Current
Liabs |
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5,541 |
5,161 |
5,434 |
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Net
Worth |
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55,741 |
52,733 |
49,830 |
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Capital,
Paid-Up |
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867 |
867 |
867 |
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Div.Ttl
in Million (¥) |
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1,588 |
1,453 |
1,290 |
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<Analytical Data> |
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(%) |
(%) |
(%) |
(%) |
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S.Growth Rate |
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4.31 |
-0.10 |
3.09 |
33.02 |
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Current Ratio |
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.. |
764.50 |
816.92 |
688.30 |
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N.Worth Ratio |
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.. |
90.04 |
90.19 |
89.14 |
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R.Profit/Sales |
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26.48 |
24.01 |
31.01 |
34.80 |
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N.Profit/Sales |
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18.37 |
16.64 |
19.47 |
22.53 |
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Return On Equity |
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.. |
9.50 |
11.76 |
13.98 |
Notes: Forecast (or estimated) figures for the 31/12/2017
fiscal term.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
INR 63.74 |
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1 |
INR 86.01 |
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Euro |
1 |
INR 76.14 |
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Yen |
1 |
INR 0.57 |
Note:
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
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Analysis Done by
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PRA |
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Report Prepared
by : |
NIT |
RATING EXPLANATIONS
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Credit Rating |
Explanation |
Rating Comments |
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A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
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A+ |
Low Risk |
Business dealings permissible with low
risk of default |
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A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
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B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
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C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
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D |
High Risk |
Business dealing not recommended or on
secured terms only |
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NB |
New Business |
No recommendation can be done due to
business in infancy stage |
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NT |
No Trace |
No recommendation can be done as the
business is not traceable |
NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.
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 are as follows:
·
Financial
condition covering various ratios
·
Company
background and operations size
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Promoters
/ Management background
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Payment
record
·
Litigation
against the subject
·
Industry
scenario / competitor analysis
·
Supplier
/ Customer / Banker review (wherever available)
This report is issued at
your request without any risk and responsibility on the part of MIRA INFORM
PRIVATE LIMITED (MIPL) or its officials.