MIRA INFORM REPORT

 

 

Report Date :

20.01.2011

 

IDENTIFICATION DETAILS

 

Name :

NOMURA TRADING CO LTD

 

 

Registered Office :

1-7-3 Azuchimachi Chuoku Osaka 541-0052

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2010

 

 

Date of Incorporation :

June 1976

 

 

Com. Reg. No.:

(Osaka-Chuoku) 074101

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Import, Export, Wholesale of livestock products, farm & marine products, textiles

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

Yen 725.5 Million

Status :

Satisfactory

Payment Behaviour :

Regular

Litigation :

----

 

 

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 – June 30, 2010

 

Country Name

Previous Rating

                   (01.04.2010)                  

Current Rating

(30.06.2010)

Japan

a1

a1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

Company name

 

NOMURA TRADING CO LTD

 

 

REGD NAME 

 

Nomura Boeki KK

 

 

MAIN OFFICE

 

1-7-3 Azuchimachi Chuoku Osaka 541-0052 JAPAN

Tel: 06-6268-8111     Fax: 06-6268-2682

URL:                             http://www.nomuratrading.co.jp/

E-Mail address:                        info@nomuratrading.co.jp

 

 

ACTIVITIES  

 

Import, export, wholesale of livestock products, farm & marine products, textiles

 

 

BRANCHES   

 

Osaka, Nagoya

 

 

OVERSEAS   

 

(Branch Offices): Singapore, Frankfurt, Seattle, Taipei, Kaohsiung

 

(Rep Offices): Sydney, Ho Chin Minh, Hanoi, Beijing, Dalian

 

(Affiliated): Yangon, Medan, Rio Janeiro

 

(JV’s): China (3), Hong Kong, Indonesia (5), Laos, Thailand (6), Vietnam (4)

 

 

OFFICER(S)

 

KATSUSHIGE MIYASHITA, PRES          Hideo Fujita, dir

Shizuya Shimoji, dir                               Akira Sumida, dir

Ryoji Yuasa, dir

 

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY

 

FINANCES                    FAIR                             A/SALES          Yen 78,477 M

PAYMENTS                  REGULAR                     CAPITAL           Yen 2,500 M

TREND             SLOW                          WORTH            Yen 3,348 M

STARTED         1976                             EMPLOYES      240

 

 

COMMENT

 

TRADING HOUSE SPECIALIZING IN FOODSTUFFS, APPAREL, OTHERS,   OWNED BY NOMURA TRADING HOLDINGS CO LTD. 

 

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR CREDIT ENGAGEMENTS: CD$1,197,450.00.

                       

MAX CREDIT LIMIT: YEN 725.5 MILLION, 30 DAYS NORMAL TERMS

 

                                    Notes: Forecast (or estimated) figures for the 31/03/2011 fiscal term

 

 

HIGHLIGHTS

 

The subject company was established originally in 1917 by Tokushichi Nomura in order to make most of his experience in foreign trading, on his account.  This is a trading house specializing in import, export and wholesale of foods, apparel, industrial materials, other.  In Apr 2002, due to financial difficulties the firm transferred its business rights to Alton Shoji KK (Shoji means trading), and restructured by forming a holding company, Nomura Trading Holdings Co Ltd, at the caption address (See REGISTRATION).  The corporate name survived as captioned.  In Apr 2005, integrated business structure into three major business units: Food Business Units (Farm/Marine/Livestock business); Consumer Products Business Unit (Apparel, Housing, Building Materials business) and Industrial Business Unit (Materials, Chemical, Machinery & Electronics).  Operates 23 overseas JV enterprises/affiliates. 

           

 

FINANCIAL INFORMATION

 

The sales volume for Mar/2010 fiscal term amounted to Yen 78,477 million, a 12% down from Yen 88,772 million in the previous term.  Sales were affected substantially by the global economic downturn that erupted in Nov 2008.  Exports/imports declined substantially.  Exports were hurt by rising Yen, reducing revenues & profits in Yen terms.  The recurring profit was posted at Yen 213 million and the net profit at Yen 79 million, respectively, compared with Yen 254 million recurring profit and Yen 159 million net profit, respectively, a year ago.

 

For the current term ending Mar 2011 the recurring profit is projected at Yen 210 million and the net profit at Yen 80 million, respectively, on a similar turnover, at Yen 79,000 million.  Market is seen reviving.  Consumer spending is sluggish, however.  Apparel market is down.    Machinery will suffer from reduced orders.  Higher Yen will hurt earnings & profits in Yen terms

 

The financial situation is considered maintained FAIR and good for ORDINARY business engagements.  Max credit limit is estimated at Yen 725.5 million, on 30 days normal terms.  The proposed amount is considered well within the firm’s financial capacities.

 

 

REGISTRATION

 

Date Registered: Jun 1976

Regd No.:           (Osaka-Chuoku) 074101

Legal Status:     Limited Company (Kabushiki Kaisha)

Authorized:        8 million shares

Issued:               2 million shares

Sum:                  Yen 2,500 million

Major shareholders (%): Nomura Trading Holdings Co Ltd*(100)

 

*.. Holding company, founded 2002, at the caption address, capital Yen 10,000 million, sales Yen 86,898 million, recurring profit Yen 479 million, net profit Yen 270 million, total assets Yen 29,399 million, net worth Yen 3,801 million, employees 900, pres Katsushige Miyashita, concurrently  (Figures as of Mar/2010) .

           

Nothing detrimental is known as to the commercial morality of executives.

 

 

OPERATION

 

Activities: Imports, exports and wholesales foods, consumer goods, industrial machinery & materials, others:

 

(Sales breakdown by divisions):

 

Food Business Unit (41%): Agricultural products (coffee beans, grains, edible oils, spices,             preparation with cocoa, sugar, milk), Marine products (mackerel, capelin, horse mackerel, herring, salmon, other), Animal products (meat, sausages, hams, other meat products), Wellness goods (medical materials, health foods, food additives, collagen, placenta, pet foods);

 

Consumer Products Unit (19%): Apparel (garments for men & women, kids wear, young casual wear, sports wear, brands goods). Household goods (bedding, furniture, home appliances, kitchen utensils, brand name ceramics, plywood, jointed wood, lumber, home improvement store materials, office furniture), Building materials (construction materials, interior fixtures, wood floor materials);

 

Industrial business Unit (40%): machine tools, plastic injection molding machines, knockdown parts for gasoline dispensing pumps, wind power generators, environmental equipments, inspection machines for mobile phones & LCD displays, elastomers, iron ore, cement clinker, blast furnace slag, zinc powder, mercury, manganese, plastics, dye pigments, other,

 

Overseas Trading Ratio (86%): Asia 60%; other regions 26% 

 

Clients: [Meat packers, food processors, wholesalers] Nippon Meat Packers, Key Coffee, Nippon Crown Corp, Food Agency, Meiji Seika, Takeda Kirin Foods, Osaka Uoichiba, Hasec, Murachiku Co, other

           

No. of accounts: 2,000

 

Domestic areas of activities: Nationwide

 

Suppliers: [Chemical mfrs, wholesalers] Tosoh Corp, Sumitomo Metal Ind, Ube Ind, Mitsubishi Heavy Ind, Clayton Polymer Japan, Aron Kasei Murachiku, Denki Kagaku Kogyo, Brother Sales, other.

 

Payment record: Regular

 

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

 

Bank References:

·         Resona Bank (Ohtemachi)

·         Mizuho Bank (Yaesuguchi)

Relations: Satisfactory

 

 

FINANCES

(In Million Yen)

 

FINANCES: (Consolidated in million yen)

 

　

　

Terms Ending:

31/03/2010

31/03/2009

INCOME STATEMENT

 

 

 

  Annual Sales

　

78,477

88,772

 

  Cost of Sales

74,309

84,171

 

      GROSS PROFIT

4,168

4,601

 

  Selling & Adm Costs

3,834

4,172

 

      OPERATING PROFIT

333

427

 

  Non-Operating P/L

-120

-173

 

      RECURRING PROFIT

213

254

　

      NET PROFIT

79

159

BALANCE SHEET

 

 

 

 

  Cash

　

3,237

1,153

 

  Receivables

 

10,388

10,610

 

  Inventory

 

7,944

10,701

 

  Securities, Marketable

　

　

 

  Other Current Assets

4,382

2,436

 

      TOTAL CURRENT ASSETS

25,951

24,900

 

  Property & Equipment

187

209

 

  Intangibles

 

81

121

 

  Investments, Other Fixed Assets

2,359

2,556

 

      TOTAL ASSETS

28,578

27,786

 

  Payables

 

12,842

11,900

 

  Short-Term Bank Loans

7,094

8,222

 

　

 

　

　

 

  Other Current Liabs

4,178

2,877

 

      TOTAL CURRENT LIABS

24,114

22,999

 

  Debentures

 

　

　

 

  Long-Term Bank Loans

160

330

 

  Reserve for Retirement Allw

685

785

 

  Other Debts

　

270

292

 

      TOTAL LIABILITIES

25,229

24,406

 

      MINORITY INTERESTS

 

 

 

Common stock

2,500

2,500

 

Additional paid-in capital

　

　

 

Retained earnings

663

743

 

Evaluation p/l on investments/securities

185

136

 

Others

 

0

1

 

Treasury stock, at cost

　

　

 

      TOTAL S/HOLDERS` EQUITY

3,348

3,380

　

      TOTAL EQUITIES

28,578

27,786

ANALYTICAL RATIOS            Terms ending:

31/03/2010

31/03/2009

 

 

Net Worth (S/Holders' Equity)

3,348

3,380

 

 

Current Ratio (%)

107.62

108.27

 

 

Net Worth Ratio (%)

11.72

12.16

 

 

Recurring Profit Ratio (%)

0.27

0.29

 

 

Net Profit Ratio (%)

0.10

0.18

 

 

Return On Equity (%)

2.36

4.70


FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.45.38

UK Pound

1

Rs.72.71

Euro

1

Rs.61.15

 

 

RATING EXPLANATIONS

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

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

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

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

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

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

 

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%)

 

 

 

 

 

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.