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MIRA INFORM REPORT
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Report No. : |
496933 |
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Report Date : |
08.03.2018 |
IDENTIFICATION DETAILS
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Name : |
ORANDAYA CORPORATION |
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Registered Office : |
211 Shinminato Mihamaku Chiba 261-0002 |
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Country : |
Japan |
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Financials (as on) : |
31.08.2017 |
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Date of Incorporation : |
December 2013 |
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Legal Form : |
Limited Company (Kabushiki Kaisha) |
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Line of Business : |
Manufactures and retails cakes (Japanese & western), breads, other, operating 40 stores in Chiba-Pref and 9 franchisees (--100%) |
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No. of Employees : |
147 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
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MIRA’s Rating : |
C |
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Credit Rating |
Explanation |
Rating Comments |
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C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
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Status : |
Moderate |
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Payment Behaviour : |
Slow |
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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 (30.09.2017) |
Current Rating (31.12.2017) |
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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 2017 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 first country to ratify the TPP in
December 2016; the United States signaled its withdrawal from the TPP in
January 2017, and in November 2017 the remaining 11 countries agreed on the
core elements of a modified agreement, which they renamed the Comprehensive and
Progressive Agreement for Trans-Pacific Partnership (CPTPP).
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Source
: CIA |
note
Due to negative networth, we do not recommend any credit limit to the company.
Company
name & address
ORANDAYA CORPORATION
REGD NAME: KK
Orandaya
MAIN OFFICE: 211
Shinminato Mihamaku Chiba 261-0002 JAPAN
Tel:
043-241-4111 Fax: 043-241-4116
E-Mail address: (thru the URL)
ACTIVITIES: Mfg
of cakes (Japanese & western), bread
BRANCHES: 40
retail shops in Chiba-Pref
FACTORIES: Chiba
OFFICERS: OSMU
ONIZAWA, PRES Kazuunari Ishii,
dir
Satoshi Nishida, dir Bunji Saito, dir
Eiichi
Moriyama, dir
Yen Amount: In million Yen, unless otherwise
stated
SUMMARY
FINANCES WEAK A/SALES Yen 2,638 M
PAYMENTS SLOW CAPITAL Yen 50 M
TREND SLOW WORTH
Yen (-) 179 M
STARTED 2013 EMPLOYES 147
COMMENT: MFR OF CAKES & BREADS. FINANCIAL SITUATION CONSIDERED WEAK BUT SHOULD BE GOOD FOR MODERATE BUSINESS ENGAGEMENTS.
MAX CREDIT LIMIT: ESTIMATED AT YEN (-) 20.5 MILLION, ON 30 DAYS NORMAL TERMS. NO CREDITS ARE RECOMMENDED.
HIGHLIGHTS
The subject company is a specialized mfr of cakes (Japanese & western), breads, other. Operates 40 retail shops in Chiba-Pref, and 10 franchisees. Products are wholesaled to supermarkets, cake stores, other
FINANCIAL
INFORMATION
The sales volume for the initial term ending Aug/2017 fiscal term amounted to Yen 2,638 million, a 9% fall from Yen 2,884 million in the previous term. The operations continued in the deficit to post Yen 58 million recurring loss and Yen 70 million net losses, respectively, compared with Yen 26 million recurring loss and Yen 41 million net losses, respectively, a year ago.
For the current term ending Aug 2018 the operations are projected to come back to profitability but still limited to a minimum amount post-taxes, on a 3% rise in turnover, to Yen 2,720 million.
The financial situation is considered WEAK but should be good for MODERATE business engagements. Max credit limit is estimated at Yen (-) 20.5 million, on 30 days normal terms. No credits are recommended due to negative net worse.
REGISTRATION
Date Registered: Dec 2013
Legal Status: Limited
Company (Kabushiki Kaisha)
Authorized: 4,000
shares
Issued: 1,000
shares
Sum: Yen
50 million
Major shareholders
(%): Chiba Industrial Bank
(45), Higashi Nippon Disaster Victims Support
for Reconstructing Livelihood Assn (30),Chiba Shinkin Bank (25) for Reconstructing Livelihood Assn
(30),Chiba Shinkin Bank (25)
No.
of shareholders: 5
Nothing
detrimental is known as to the commercial morality of executives.
OPERATION
Activities: Manufactures and retails cakes (Japanese & western), breads, other, operating 40 stores in Chiba-Pref and 9 franchisees (--100%)
Clients: [Consumers, franchisees, mfrs, wholesalers] Ito-Yokado, Aeon Retail, Seiko Mart, other
No. of accounts: Unavailable
Domestic areas of activities: Centered in Chiba-Pref
Suppliers: [Mfrs, wholesalers] Ito-Ya Pack, Okura Leisure Group, Sanko-Shokuhin, Iwase-Esta Tokyo, other
Payment record: Slow
Location: Business area in
Chiba. Office premises at the caption
address are owned and maintained satisfactory.
Bank References:
Chiba Shinkin Bank
(Inage))
Chiba Kogyo Bank
(H/O)
Relations:
Satisfactory
FINANCES
(In Million Yen)
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Terms Ending: |
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31/08/2018 |
31/08/2017 |
31/08/2016 |
31/08/2015 |
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Annual
Sales |
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2,720 |
2,638 |
2,884 |
2,993 |
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Recur.
Profit |
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0 |
-58 |
-26 |
.. |
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Net
Profit |
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0 |
-70 |
-41 |
-92 |
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Total
Assets |
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1,386 |
1,523 |
1,629 |
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Net
Worth |
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-179 |
-108 |
-66 |
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Capital,
Paid-Up |
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50 |
50 |
50 |
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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 |
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3.11 |
-8.53 |
-3.64 |
69.29 |
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Current Ratio |
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.. |
.. |
.. |
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N.Worth Ratio |
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-12.91 |
-7.09 |
-4.05 |
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N.Profit/Sales |
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0.00 |
-2.65 |
-1.42 |
-3.07 |
Notes: Forecast (or estimated) figures for the
31/08/2018 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 64.92 |
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1 |
INR 90.23 |
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Euro |
1 |
INR 80.54 |
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YEN |
1 |
INR 0.61 |
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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NIS |
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Report Prepared
by : |
TPT |
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
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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.