|
|
|
MIRA INFORM REPORT
|
Report No. : |
501356 |
|
Report Date : |
31.03.2018 |
IDENTIFICATION DETAILS
|
Name : |
AIKI RIOTECH CORPORATION |
|
|
|
|
Registered Office : |
39 Inokuchikobando-cho Inazawa City Aichi-Pref 492-8162 |
|
|
|
|
Country : |
Japan |
|
|
|
|
Financials (as on) : |
30.09.2017 |
|
|
|
|
Date of Incorporation : |
April, 1976 |
|
|
|
|
Com. Reg. No.: |
1800-01-087263 (Aichi-Inazawa) |
|
|
|
|
Legal Form : |
Limited Company (Kabushiki Kaisha) |
|
|
|
|
Line of Business : |
Manufacture of Textile Machines & Equipment. |
|
|
|
|
No. of Employees : |
32 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
|
MIRA’s Rating : |
B |
|
Credit Rating |
Explanation |
Rating Comments |
|
B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow but Correct |
|
|
|
|
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
|
Country Name |
Previous Rating (30.09.2017) |
Current Rating (31.12.2017) |
|
Japan |
A1 |
A1 |
|
Risk Category |
ECGC Classification |
|
Insignificant |
A1 |
|
Low Risk |
A2 |
|
Moderately Low Risk |
B1 |
|
Moderate Risk |
B2 |
|
Moderately High Risk |
C1 |
|
High Risk |
C2 |
|
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).
|
Source
: CIA |
Company
name and address
AIKI RIOTECH CORPORATION
REGD NAME: KK
Aiki Riotech
MAIN OFFICE: 39
Inokuchikobando-cho Inazawa City Aichi-Pref 492-8162 JAPAN
Tel:
0587-21-9191 Fax: 0587-21-1277
URL: http://www.aiki-japan.com
E-Mail address: info@aiki-japan.com
ACTIVITIES
Mfg of textile machines
& equipment
BRANCHES
Tokyo, Osaka,
Nagoya, Ehime, Fukuoka (--sales agents)
OVERSEAS
Bangladesh, China, India, Iran, Italy, Korea, Brazil, Taiwan, Turkey, Pakistan, Syria, Thailand, Turkey, USA (--sales
agents)
FACTORY
At the caption
address
OFFICER(S)
HAJIME MATSUMOTO,
PRES & CEO
Yoshihiro
Tomomatsu, dir
Yen Amount: In million Yen, unless otherwise stated
SUMMARY
FINANCES R/WEAK A/SALES Yen 1,384 M
PAYMENTS SLOW BUT CORRECT CAPITAL Yen 30 M
TREND SLOW WORTH Yen 48 M
STARTED 2009 EMPLOYES 32
COMMENT
MFR SPECIALIZING IN TEXTILE & INDUSTRIAL MACHINERY.
FINANCIAL SITUATION CONSIDERED RATHER WEAK
BUT SHOULD BE GOOD FOR MODERATE BUSINESS ENGAGEMENTS.
HIGHLIGHTS
The subject company
was established on the basis of business/operations transferred from Aiki Lease
KK, a machinery leasing company,
at the caption address. Aiki Lease KK was established originally in 1976
as mfr of textile machinery by father of Hajime Matsumoto, and changed the
business operations in 2009 to
leasing of textile machinery. Hajime Matsumoto took the pres office in Dec/2009. This is a specialized mfr of textile
machines & equipment (See OPERATION). Products are exported mostly to China, other
S/E Asian countries and also to
USA and South America. Exports are through general trading houses.
FINANCIAL
INFORMATION
The sales volume for Sept/2017 fiscal term
amounted to Yen 1,384 million, a 6% fall from Yen 1,488 million in the previous
term. The recurring
profit was posted at Yen 33 million and the net losses of Yen 21 million,
respectively, compared with Yen 3 million recurring profit and Yen 5 million
net profit, respectively, a year ago.
For the current term ending Sept 2018 the
recurring profit is projected at Yen 35 million and the net profit at Yen 25
million, respectively, on a 3% rise in turnover, to Yen 1,430 million. .
The financial
situation is considered RATHER WEAK but should be good for MODERATE business engagements.
REGISTRATION
Date
Registered: Apr 1976
Regd
No.: 1800-01-087263
(Aichi-Inazawa)
Legal
Status: Limited Company (Kabushiki Kaisha)
Authorized: 60,000 shares
Issued:
15,600 shares
Sum:
Yen 30 million
Major
shareholders (%): Hajime Matsumoto (56), Yoshihiro Tomomatsu (43)
No.
of Shareholders: 2
Nothing
detrimental is known as to the commercial morality of executives.
OPERATION
Activities: Manufactures
textile machines & equipment & industrial machines/equipment (--100%).
(Mfg items):
Textile Machinery: air texturing
machines, air covering machines, complex draw texturizing machines, yarn
splitting machines, rewinders, soft winders, their parts & components;
Industrial
Machinery: carbon fiber mfg equipment, equipment for industrial super fiber, PVC
& other coated yarn spinning line, machines for multi-axial sheet of fabric
(non-woven), other
Machines are mostly exported.
Clients: [Textile
industry, wholesalers] Exports to China (50%), India (10%), Turkey, Brazil,
Korea, Pakistan, other.
Domestically to: Toray Textile, Itochu Corp, Marubeni Corp, Teijin
Modern Yarn Co, other.
No. of accounts: 300 (Domestic)
Domestic areas of activities: Nationwide
Suppliers: [Mfrs,
wholesalers] Kato Hajime Kozai Co, Okaya & Co, Toyotsu Machinery, NC
Automation, Mizuno Shoten, Tokai Shoji KK, Sugiura Sangyo, NC Automation,
other.
Imports from Korea, other.
Payment
record: Slow but correct
Location: Business area in Inazawa City, Aichi-Pref. Office premises at the caption address are owned
and maintained satisfactorily.
Bank References:
Aichi Bank (Inazawa)
MUFG (Ichinomiya)
Relations: Satisfactory
FINANCES
(In Million Yen)
|
Terms Ending: |
30/09/2018 |
30/09/2017 |
30/09/2016 |
30/09/2015 |
|
|
Annual
Sales |
|
1,430 |
1,384 |
1,488 |
1,621 |
|
Recur.
Profit |
|
35 |
33 |
3 |
23 |
|
Net
Profit |
|
25 |
-21 |
5 |
30 |
|
Total
Assets |
|
|
728 |
565 |
622 |
|
Current
Assets |
|
|
558 |
452 |
495 |
|
Current
Liabs |
|
|
273 |
313 |
340 |
|
Net
Worth |
|
|
48 |
69 |
63 |
|
Capital,
Paid-Up |
|
|
30 |
30 |
30 |
|
Div.P.Share(¥) |
|
|
0.00 |
0.00 |
0.00 |
|
<Analytical Data> |
|
(%) |
(%) |
(%) |
(%) |
|
S.Growth Rate |
|
3.32 |
-6.99 |
-8.20 |
8.28 |
|
Current Ratio |
|
.. |
204.40 |
144.41 |
145.59 |
|
N.Worth Ratio |
|
.. |
6.59 |
12.21 |
10.13 |
|
R.Profit/Sales |
|
2.45 |
2.38 |
0.20 |
1.42 |
|
N.Profit/Sales |
|
1.75 |
-1.52 |
0.34 |
1.85 |
|
Return On Equity |
|
.. |
-43.75 |
7.25 |
47.62 |
Notes: Forecast (or estimated) figures for the
30/09/2018 fiscal term.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
INR 65.04 |
|
|
1 |
INR 92.28 |
|
Euro |
1 |
INR 80.62 |
|
Yen |
1 |
INR 0.61 |
Note:
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
|
Analysis Done by
: |
VAR |
|
|
|
|
Report Prepared
by : |
NIT |
RATING EXPLANATIONS
|
Credit Rating |
Explanation |
Rating Comments |
|
A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
|
A+ |
Low Risk |
Business dealings permissible with low
risk of default |
|
A |
Acceptable Risk |
Business dealings permissible with moderate
risk of default |
|
B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
|
C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
|
D |
High Risk |
Business dealing not recommended or on secured
terms only |
|
NB |
New Business |
No recommendation can be done due to
business in infancy stage |
|
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
·
Promoters
/ Management background
·
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.