MIRA INFORM REPORT

 

 

Report No. :

509893

Report Date :

17.05.2018

 

 

IDENTIFICATION DETAILS

 

Name :

CONTINENTAL CO LTD

 

 

Formerly Known As :

CONTINENTAL DIAMOND CO LTD

 

 

Registered Office :

4-27-7 Kaminoge Setagayaku Tokyo

 

 

Country :

Japan

 

 

Financials (as on) :

31.08.2017

 

 

Date of Incorporation :

Feb 1997

 

 

Com. Reg. No.:

0109-02-024938

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Imports and wholesales polished diamonds, pearls, other gem stones

 

 

No. of Employees :

3

 

 

 

 

RATING & COMMENTS

(Mira Inform has adopted New Rating mechanism w.e.f. 23rd January 2017)

 

MIRA’s Rating :

A

 

Credit Rating

Explanation

Rating Comments

A

Acceptable Risk

Business dealings permissible with moderate risk of default

 

Status :

Satisfactory

 

 

Payment Behaviour :

No Complaints

 

 

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 - averaging 10% 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 resulted in several years of economic stagnation as firms sought 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 since 2013, supported by 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 need to address 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 a sharp contraction, so Prime Minister ABE has twice postponed the next increase, which is 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.

Under the Abe Administration, Japan’s government sought to open the country’s economy to greater foreign competition and create new export opportunities for Japanese businesses, including by joining 11 trading partners in the Trans-Pacific Partnership (TPP). Japan became the first country to ratify the TPP in December 2016, but the United States signaled its withdrawal from the agreement in January 2017. 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). Japan also reached agreement with the European Union on an Economic Partnership Agreement in July 2017, and is likely seek to ratify both agreements in the Diet this year.

 

Source : CIA

 

Company Name And Address

 

CONTINENTAL CO LTD

REGD NAME:   YK Continental

MAIN OFFICE:  Dia Palace Okachimachi Bldg V-704, 3-17-1 Taito Taitoku Tokyo 110-0016 JAPAN

                        Tel: 03-3839-5430     Fax: 03-3839-5147

 

                        *.. Registered at 4-27-7 Kaminoge Setagayaku Tokyo

                        **.. Firm name changed in Jun/2015 from Continental Diamond Co Ltd

                       

URL:                 N/A

 

ACTIVITIES:      Import, wholesale of diamonds, pearls, other gemstones

 

BRANCHES:     Nil

FACTORIES:     (Subcontracted)

 

OFFICERS:       BOBBY SHAR, PRES (Indian resident)

 

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY

 

FINANCES        FAIR                             A/SALES          Yen 450 M

PAYMENTS       NO COMPLAINTS          CAPITAL           Yen 3 M

TREND             STEADY                       WORTH            Yen 45 M

STARTED         1997                             EMPLOYES      3

 

 

COMMENT

 

IMPORTER AND WHOLESALER SPECIALIZING IN POLISHED DIAMONDS AND OTHER GEMSTONES.

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY

BUSINESS ENGAGEMENTS.

 

 

HIGHLIGHTS

           

            The subject company was established by Bobby Shah, Indian businessman residing in    Japan nearly 30 years, in order to make most of his previous experience in the subject line of business.  This is a trading firm specializing in importing and wholesaling polished diamonds, pearls, and other gem stones.  80% of the goods are imported from India, Israel, Belgium, Hong Kong, other.  Clients include local jewelry processors, jewelry wholesalers, jewelry stores, etc.  

FINANCIAL INFORMATION

           

            Financials are only partially disclosed.

 

            The sales volume for Aug/2017 fiscal term amounted to Yen 450 million, a 5% up from Yen 430 million in the previous term.  The net profit remained unchanged at Yen 3 million.

 

For the current term ending Aug 2018 the net profit is projected at Yen 5 million, on a 6% rise in turnover, to Yen 475 million.  Demand is seen recovering.

 

The financial situation is considered maintained FAIR and good for ORDINARY business engagements. 

 

 

REGISTRATION

 

Date Registered:  Feb 1997

Regd No.:        0109-02-024938 (Tokyo-Setagayaku)

Legal Status:       Private Limited Company (Yugen Gaisha)

Regd Capital:      Yen 3 million

Major shareholders (%): Bobby Shah (100)

           

Nothing detrimental is known as to his commercial morality.

 

 

OPERATION

 

Activities: Imports and wholesales polished diamonds, pearls, other gem stones             (--100%)

           

Goods are imported from India, Belgium, Israel, Hong Kong, other.

Stones are partially processed into jewelry products on consignment to local jewelry processors.

 

Clients: Jewelry processors, jewelry wholesalers, jewelry stores, other 

No. of accounts: 100

Domestic areas of activities: Centered in greater-Tokyo

Suppliers: [Mfrs, wholesalers] Imports from India, Belgium, Israel, Hong Kong, etc.

 

Payment record: No Complaints

 

Location: Business area in Tokyo.  Office premises at the caption address are leased and maintained satisfactorily.

 

Bank References:

Mizuho Bank (Ueno)

Relations: Satisfactory

FINANCES

 

(In Million Yen)

 Terms Ending:

　

31/08/2018

31/08/2017

31/08/2016

31/08/2015

Annual Sales

　

475

450

430

450

Recur. Profit

　

..

..

..

..

Net Profit

　

5

3

3

3

Total Assets

　

　

N/A

N/A

N/A

Net Worth

　

　

45

42

39

Capital, Paid-Up

　

　

3

3

3

Div.P.Share(¥)

　

　

0.00

0.00

0.00

<Analytical Data>

　

(%)

(%)

(%)

(%)

    S.Growth Rate

　

5.56

4.65

-4.44

-6.25

    Current Ratio

　

　

..

..

..

    N.Worth Ratio

　

　

..

..

..

    N.Profit/Sales

　

1.05

0.67

0.70

0.67

 

Note: Financials are only partially disclosed.

Forecast (or estimated) for the 31/08/2018 fiscal term.

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

INR 67.83

UK Pound

1

INR 91.68

Euro

1

INR 80.29

YEN

1

INR 0.61

 

Note : Above are approximate rates obtained from sources believed to be correct

 

 

INFORMATION DETAILS

 

Analysis Done by :

PRI

 

 

Report Prepared by :

KET

                                                


 

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)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.