MIRA INFORM REPORT

 

 

Report Date :           

28.01.2012

 

IDENTIFICATION DETAILS

 

Correct Name :

HITACHI PROCUREMENT SERVICE CO LTD

 

 

Registered Office :

Shin-Ohtemachi Bldg, 2-2-1 Ohtemachi Chiyodaku Tokyo 100-0004

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

June 2002

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Import, export, wholesale (procurement) of electronics parts & equipment; staffing services

 

 

No. of Employees :

170

 

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 21.6 Million

Status :

Satisfactory

Payment Behaviour :

No Complaints

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 – September 30th, 2011

 

Country Name

Previous Rating

                   (30.06.2011)                  

Current Rating

(30.09.2011)

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

 

HITACHI PROCUREMENT SERVICE CO LTD

 

 

REGD NAME

 

Hitachi Procurement Service KK

 

 

MAIN OFFICE

 

Shin-Ohtemachi Bldg, 2-2-1 Ohtemachi Chiyodaku Tokyo 100-0004 JAPAN

Tel: 03-3231-4570     Fax: 03-3275-2509

 

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

E-Mail address:            (thru the URL)

 

 

ACTIVITIES  

 

Import, export, wholesale (procurement) of electronics parts & equipment; staffing services

 

 

BRANCHES

 

Tokyo, Ibaragi, Yokohama, Kyoto, Fukuoka, other (Tot 24)

 

 

OFFICER(S)

 

SUNAO KAIEDA, PRES             Masatsugu Nakayama, dir

Hidetsugu Akazawa, dir              Kazumasa Takahashi, dir          

Shinichiro Omori, dir                  

 

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY    

 

FINANCES                    FAIR                             A/SALES          Yen 8,242 M

PAYMENTS      No Complaints          CAPITAL           Yen 500 M

TREND             STEADY                       WORTH            Yen 1,051 M

STARTED                     2002                             EMPLOYES      170

 

 

COMMENT    

 

MATERIALS PROCUREMENT COMPANY WHOLLY OWNED BY HITACHI LTD. 

 

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

 

MAX CREDIT LIMIT: YEN 21.6 MILLION, 30 DAYS NORMAL TERMS

 

 

HIGHLIGHTS

           

The subject company was established by Hitachi Ltd as its procurement division (See RE-GISTRATION for Hitachi ltd).  This is a procurement division of Hitachi Ltd for import, export and wholesale of electronic parts, others for the Hitachi group firms.  It achieves cost reduction through pool purchasing of maintenance, repair & operation products for the Group.  Also engaged in staffing services for group firms.  Products are exported to Hitachi Ltd subsidiary factories, too.  Clients are Hitachi Ltd and its group firms.

           

 

FINANCIAL INFORMATION

 

The sales volume for Mar/2011 fiscal term amounted to Yen 8,242 million, a 15% up from Yen 7,177 million in the previous term.  The rising prices of materials costs contributed.  The recurring profit was posted at Yen 411 million and the net profit at Yen 230 million, respectively, compared with Yen 278 million recurring profit and Yen 147 million net profit, respectively, a year ago.

 

For the current term ending Mar 2012 the recurring profit is projected at Yen 420 million and the net profit at Yen 240 million, respectively, on a 3% rise in turnover, to Yen 8,500 million.

 

The financial situation is considered FAIR and good for ORDINARY business engagements.            Max credit limit is estimated at Yen 21.6 million, on 30 days normal terms.

 

 

REGISTRATION

 

Date Registered:　Jun 2002

Legal Status:      Limited Company (Kabushiki Kaisha)

Authorized:         40,000 shares

Issued:              10,000 shares

Sum:                   Yen 500 million

Major shareholders (%): Hitachi Ltd*(100)

 

* Hitachi Ltd, largest mfr of comprehensive electrical machinery, Tokyo, founded 1920, listed Tokyo, Osaka, Nagoya, Fukuoka, Sapporo S/E’s, capital Yen 409,131 million, turnover Yen 9,315,807 million, operating profit Yen 444,508 million, recurring profit Yen 412,201 million, net profit Yen 238,869 million, total assets Yen 9,199,139 million, net worth Yen 1,450,558 million, employees 372,360, pres Hiroaki Nakanishi

 

Consolidated Financials are as attached (See SUPPLEMENTS)

           

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

 

 

OPERATION

 

Activities: Procurement services, including import, export and wholesale, of electronic        parts, component, equipment for mfg electronic machinery of Hitachi Ltd, staffing services of engineers (--100%).

           

Clients: [Mfrs] supplied wholly to Hitachi Ltd and its group firms

            No. of accounts: 300

            Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Murata Mfg, Kyocera Corp, Koa Corp, Taiyo Yuden Co,

Biznet Co, other

 

Payment record: No Complaints

 

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

 

Bank References:

·         MUFG (Tokyo)

·         Mizuho Corporate Bank (H/O)

Relations: Satisfactory

 

FINANCES

(In Million Yen)

 

       Terms Ending:

31/03/2012

31/03/2011

31/03/2010

31/03/2009

Annual Sales

　

8,500

8,242

7,177

7,470

Recur. Profit

　

420

411

278

　

Net Profit

　

240

230

147

82

Total Assets

　

　

29,202

27,217

23,450

Current Assets

　

　

28,938

28,980

　

Current Liabs

　

　

28,078

26,225

　

Net Worth

　

　

1,051

938

806

Capital, Paid-Up

　

　

500

500

500

Div.P.Share(¥)

　

　

　

　

　

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

3.13

14.84

-3.92

-0.61

    Current Ratio

 

..

103.06

110.51

..

    N.Worth Ratio

..

3.60

3.45

3.44

    R.Profit/Sales

 

4.94

4.99

3.87

..

    N.Profit/Sales

2.82

2.79

2.05

1.10

    Return On Equity

..

21.88

15.67

10.17

 

Notes: Forecast figures for the 31/03/2012 Fiscal Term.

 

SUPPLEMENTS

 

CONSOLIDATED FINANCIALS OF THE PARENT, HITACHI LTD

FINANCES: (Consolidated in million yen)

 

　

　

Terms Ending:

31/03/2011

31/03/2010

INCOME STATEMENT

 

 

 

  Annual Sales

　

9,315,807

8,968,546

 

  Cost of Sales

6,967,433

6,849,255

 

      GROSS PROFIT

2,348,374

2,119,291

 

  Selling & Adm Costs

1,903,866

1,917,132

 

      OPERATING PROFIT

444,508

202,159

 

  Non-Operating P/L

-12,307

-138,579

 

      RECURRING PROFIT

432,201

63,580

　

      NET PROFIT

238,869

-106,961

BALANCE SHEET

 

 

 

 

  Cash

　

554,810

577,584

 

  Receivables

 

1,990,225

2,138,219

 

  Inventory

 

1,341,768

1,222,077

 

  Securities, Marketable

　

　

 

  Other Current Assets

1,013,226

837,317

 

      TOTAL CURRENT ASSETS

4,900,029

4,775,197

 

  Property & Equipment

2,111,270

2,219,804

 

  Intangibles

 

528,018

518,050

 

  Investments, Other Fixed Assets

1,646,312

1,451,413

 

      TOTAL ASSETS

9,185,629

8,964,464

 

  Payables

 

1,236,758

1,229,546

 

  Short-Term Bank Loans

810,806

755,181

 

　

 

　

　

 

  Other Current Liabs

2,041,260

1,946,476

 

      TOTAL CURRENT LIABS

4,088,824

3,931,203

 

  Debentures

 

　

　

 

  Long-Term Bank Loans

1,300,311

1,611,962

 

  Reserve for Retirement Allw

891,815

905,183

 

  Other Debts

　

463,290

248,271

 

      TOTAL LIABILITIES

6,744,240

6,696,619

 

      MINORITY INTERESTS

 

 

 

Common stock

409,129

408,810

 

Additional paid-in capital

603,129

620,577

 

Retained earnings

92,036

713,479

 

Evaluation p/l on investments/securities

　

　

 

Others

 

1,338,466

551,130

 

Treasury stock, at cost

(1,371)

(26,151)

 

      TOTAL S/HOLDERS` EQUITY

2,441,389

2,267,845

　

      TOTAL EQUITIES

9,185,629

8,964,464

CONSOLIDATED CASH FLOWS

 

 

 

 

Terms ending:

31/03/2011

31/03/2010

 

Cash Flows from Operating Activities

　

841,554

798,299

 

Cash Flows from Investment Activities

-260,346

-530,595

 

Cash Flows from Financing Activities

-584,176

-502,344

　

Cash, Bank Deposits at the Term End

　

554,810

577,584

ANALYTICAL RATIOS            Terms ending:

31/03/2011

31/03/2010

 

 

Net Worth (S/Holders' Equity)

2,441,389

2,267,845

 

 

Current Ratio (%)

119.84

121.47

 

 

Net Worth Ratio (%)

26.58

25.30

 

 

Recurring Profit Ratio (%)

4.64

0.71

 

 

Net Profit Ratio (%)

2.56

-1.19

 

 

Return On Equity (%)

9.78

-4.72

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.49.65

UK Pound

1

Rs.77.80

Euro

1

Rs.65.05

 

 

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

----

NB

New Business

----

 

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.