MIRA
INFORM REPORT
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Report Date : |
30.12.2008 |
IDENTIFICATION DETAILS
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Name : |
JAL ROYAL CATERING CO LTD |
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Registered Office : |
1-720 |
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Country : |
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Financials (as on) : |
31.03.2008 |
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Date of Incorporation : |
July 1995 |
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Legal Form : |
Limited Company (Kabushiki Kaisha) |
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Line of Business : |
In-Flight Catering Service |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
YEN 199.3 Million |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
name & address
JAL ROYAL CATERING CO LTD
REGD NAME: JAL
Royal Catering KK
MAIN OFFICE: 1-720
Goryo Bokujo Senrizuka Narita City Chiba-Pref 286-0111
Tel: 0476-32-1311
Fax: 0476-32-1332
URL: http://www.tfk.co.jp/ (Of the
parent, TFK Corp)
E-Mail address: naritasoumu@tfk.co.jp
ACTIVITIES
In-flight
catering service
BRANCHES
Nil
FACTORY(IES)
At the
caption address
OFFICER(S)
MASAYOSHI FUKUDA, PRES Kenji Araki, mgn dir
Tsutomu Nomaguchi, dir
Kazuhiko Enomoto, dir
Akio Imai, dir
Tomohiro Okamoto, dir
Yen Amount: In million Yen, unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 4,598 M
PAYMENTS REGULAR CAPITAL Yen 2,000 M
TREND STEADY WORTH Yen
2,658 M
STARTED 1995 EMPLOYES 150
COMMENT
IN-FLIGHT
CATERING SERVICE PROVIDER, AFFILIATED TO JAPAN AIRLINES.
FINANCIAL SITUATION CONSIDERED FAIR
AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.
MAX CREDIT LIMIT: YEN
199.3 MILLION, 30 DAYS NORMAL TERMS
HIGHLIGHTS
The subject company was established as a JV between Japan
Airlines & Royal Holdings (See REGISTRATION) in order to engage in providing
in-flight catering services on the JAL aircrafts. Provides services on US West Coast, Canada,
FINANCIAL INFORMATION
The sales volume for Mar/2008 fiscal term amounted to Yen
4,598 million, a 0.4% down from Yen 4,616 million in the previous term. Passengers on the international airlines
decreased. The recurring profit was posted
at Yen 446 million and the net profit at Yen 250 million, respectively, compared
with Yen 428 million recurring profit and Yen 269 million net profit,
respectively, a year ago. .
For the current term ending Mar 2009 the recurring profit is
projected at Yen 440 million and the net profit at Yen 240 million,
respectively, on a 7% fall in turnover, to Yen 4,300 million. The slowing economy is having a substantial
impact. Japan Airlines, the parent,
lowered its forecast by 6% saying the global economic turmoil crimps demand for
travel, particularly international travels.
The financial situation is
considered FAIR and good for ORDINARY business engagements. Max credit limit is
estimated at Yen 199.3 million, on 30 days normal terms.
REGISTRATION
Date Registered: July
1995
Legal Status: Limited Company (Kabushiki Kaisha)
Authorized: 40,000 shares
Issued: 40,000 shares
Sum: Yen 2,000 million
Major shareholders (%)
Japan
Airlines*(51), Royal Holdings**(49)
No. of shareholders: 2
* Japan’s leading airlines, Tokyo,
founded 2002, listed Tokyo, Osaka, Nagoya S/E’s, capital Yen 251,000 million,
sales Yen 2,230,416 million, operating profit Yen 90,013 million, recurring
profit Yen 69,817 million, net profit Yen 16,921 million, total assets Yen
2,122,784 million, net worth Yen 453,934 million, employees 49,200, pres Haruka
Nishimatsu
Consolidated
Financials are as attached (See SUPPLEMENTS)
** Holding company of Royal Co,
leading suburban family restaurant chain operator, Tokyo, founded 1956, listed
Tokyo, Fukuoka S/E’s, capital Yen 13,676 million, sales Yen 122,995 million,
operating profit Yen 4,197 million, recurring profit Yen 4,570 million, net
profit Yen 1,064 million, total assets Yen 80,060 million, net worth Yen 48,033
million, employees 2,637, pres Akio Imai
Nothing detrimental is known as
to the commercial morality of executives.
OPERATION
Activities:
In-flight catering service provider on JAL international airplanes (--100%).
Clients
[Airlines] Japan Airlines &
group firms
No. of
accounts: 1
Domestic
areas of activities: Nationwide
Suppliers
[Mfrs, wholesalers] Airport
Ground Service, TFK Corp, other
Payment record:
Regular
Location:
Business area in Narita. Office premises
at the caption address are owned and maintained satisfactorily.
Bank References
Mizuho
Bank (Marunouchi-Chuo)
Chiba
Bank (Narita)
Relations:
Satisfactory
FINANCES: (In Million Yen)
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Terms Ending: |
31/03/2009 |
31/03/2008 |
31/03/2007 |
31/03/2006 |
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Annual
Sales |
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4,300 |
4,598 |
4,616 |
4,783 |
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Recur.
Profit |
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440 |
446 |
428 |
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Net
Profit |
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240 |
250 |
269 |
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Total
Assets |
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3,602 |
3,512 |
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Current
Assets |
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1,168 |
969 |
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Current
Liabs |
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878 |
750 |
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Net
Worth |
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2,658 |
2,508 |
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Capital,
Paid-Up |
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2,000 |
2,000 |
2,000 |
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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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S.Growth Rate |
-6.48 |
-0.39 |
-3.49 |
-1.18 |
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Current Ratio |
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.. |
133.03 |
129.20 |
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N.Worth Ratio |
.. |
73.79 |
71.41 |
.. |
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R.Profit/Sales |
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10.23 |
9.70 |
9.27 |
.. |
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N.Profit/Sales |
5.58 |
5.44 |
5.83 |
0.00 |
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Return On Equity |
.. |
9.41 |
10.73 |
.. |
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Notes:
Forecast (or estimated) figures for the 31/03/2009 fiscal term.
SUPPLEMENTS:
CONSOLIDATED FINANCIALS OF THE MAJOR
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FINANCES: (Consolidated
in million yen) |
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Terms Ending: |
31/03/2008 |
31/03/2007 |
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INCOME STATEMENT |
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Annual Sales |
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2,230,416 |
2,301,915 |
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Cost of Sales |
1,776,979 |
1,885,211 |
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GROSS PROFIT |
453,436 |
416,703 |
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Selling & Adm Costs |
363,423 |
393,785 |
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OPERATING PROFIT |
90,013 |
22,917 |
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Non-Operating P/L |
-20,196 |
-2,341 |
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RECURRING PROFIT |
69,817 |
20,576 |
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NET PROFIT |
16,921 |
-16,267 |
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BALANCE SHEET |
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Cash |
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354,977 |
198,933 |
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Receivables |
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241,349 |
262,564 |
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Inventory |
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90,985 |
82,881 |
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Securities, Marketable |
8,795 |
13,234 |
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Other Current Assets |
114,209 |
149,699 |
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TOTAL CURRENT ASSETS |
810,315 |
707,311 |
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Property & Equipment |
1,037,117 |
1,116,391 |
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Intangibles |
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82,838 |
77,007 |
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Investments, Other Fixed Assets |
192,514 |
190,524 |
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TOTAL ASSETS |
2,122,784 |
2,091,233 |
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Payables |
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264,914 |
263,885 |
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Short-Term Bank Loans |
3,084 |
4,810 |
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Other Current Liabs |
393,231 |
391,101 |
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TOTAL CURRENT LIABS |
661,229 |
659,796 |
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Debentures |
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102,229 |
130,229 |
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Long-Term Bank Loans |
651,416 |
705,957 |
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Reserve for Retirement Allw |
95,485 |
129,061 |
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Other Debts |
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141,354 |
134,317 |
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TOTAL LIABILITIES |
1,651,713 |
1,759,360 |
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MINORITY INTERESTS |
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Common
stock |
251,000 |
174,250 |
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Additional
paid-in capital |
155,836 |
79,096 |
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Retained
earnings |
41,320 |
24,776 |
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Evaluation
p/l on investments/securities |
2,578 |
3,557 |
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Others |
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21,226 |
51,081 |
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Treasury
stock, at cost |
(890) |
(887) |
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TOTAL S/HOLDERS` EQUITY |
471,070 |
331,873 |
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TOTAL EQUITIES |
2,122,784 |
2,091,233 |
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CONSOLIDATED CASH FLOWS |
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Terms ending: |
31/03/2008 |
31/03/2007 |
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Cash
Flows from Operating Activities |
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157,331 |
127,748 |
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Cash
Flows from Investment Activities |
-26,229 |
-56,216 |
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Cash
Flows from Financing Activities |
36,896 |
-53,007 |
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Cash,
Bank Deposits at the Term End |
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354,037 |
191,381 |
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ANALYTICAL RATIOS Terms ending: |
31/03/2008 |
31/03/2007 |
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Net
Worth (S/Holders' Equity) |
471,070 |
331,873 |
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Current
Ratio(%) |
122.55 |
107.20 |
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Net
Worth Ratio (%) |
22.19 |
15.87 |
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Recurring
Profit Ratio (%) |
3.13 |
0.89 |
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Net
Profit Ratio (%) |
0.76 |
-0.71 |
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Return
On Equity (%) |
3.59 |
-4.90 |
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FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.48.50 |
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1 |
Rs.70.02 |
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Euro |
1 |
Rs.67.95 |
RATING EXPLANATIONS
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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 |
Unfavourable & favourable factors carry similar weight in credit
consideration. 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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NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
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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%)