MIRA INFORM REPORT

 

 

Report Date :

04.05.2012

 

IDENTIFICATION DETAILS

 

Name :

MARUZEN CO LTD

 

 

Registered Office :

Kokusai Hamamatsucho Bldg, 1-9-18 Kaigan Minatoku Tokyo 105-0122

 

 

Country :

Japan

 

 

Financials (as on) :

31.01.2012

 

 

Date of Incorporation :

March, 1880

 

 

Com. Reg. No.:

0107-01-026217

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Wholesale, retail of books, magazines, educational books, other

 

 

No. of Employees :

550

 

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

 

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 – September 30, 2011

 

Country Name

Previous Rating

(31.12.2011)

Current Rating

(31.03.2012)

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

 

MARUZEN CO LTD

 

 

REGD NAME

 

Maruzen KK

 

 

MAIN OFFICE

 

Kokusai Hamamatsucho Bldg, 1-9-18 Kaigan Minatoku Tokyo 105-0122 JAPAN

Tel: 03-6367-6101      Fax: 03-6367-6207

 

*.. Registered at: 2-3-10 Nihombashi Chuoku Tokyo

                                               

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

E-Mail address: (thru the URL)

 

 

ACTIVITIES

 

Wholesale, retail of books, magazines, educational books, other

 

 

BRANCHES

 

22 Branches & Shops nationwide

 

 

FACTORIES

 

(publishing is done by subsidiaries)

 

 

OFFICERS

 

EISUKE MATSUO, PRES                      Akira Ishii, ch

Mitsui Nitta, v ch                                                Hiroyuki Hijikata, mgn dir

Mitsuhiko Ebihara, dir                             Tatsuo Komaki, dir                                

 

Yen Amount:     In million Yen, unless otherwise stated

SUMMARY

           

FINANCES        FAIR                             A/SALES          Yen 48,220 M

PAYMENTS      NO COMPLAINTS          CAPITAL           Yen 4,821 M

TREND             SLOW                          WORTH            Yen 3,498 M

STARTED         1880                             EMPLOYES      550

 

 

COMMENT

 

BOOK STORE OPERATOR.

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

 

 

HIGHLIGHTS

           

The subject company was established by Yuteki Hayashi, disciple of educator Yukichi Fukuzawa, in order to publish educational books & magazines.  In Feb 2011, separated the publishing business to a subsidiary company, Maruzen Publishing Co Ltd.  The firm now manages book stores, operated by a subsidiary, and supervises overall business operations.  Clients include government agencies, universities, schools, business firms, other nationwide.

 

 

FINANCIAL INFORMATION

           

The sales volume for Jan/2012 fiscal term amounted to Yen 48,220 million, a 22% down from Yen 61,625 million in the previous term.  This is referred to the said transfer of publishing operations to a subsidiary.  The operations continued in the deficit to post Yen 2,245 million recurring loss and Yen 3,403 million net losses, respectively, compared with Yen 2,880 million recurring loss and Yen 1,613 million net losses, respectively, a year ago.

 

For the term that ended Jan 2013 the operations are projected to come back to profitability but still limited to a minimum amount post-taxes, on a 2% rise in turnover, to Yen 49,000 million. 

 

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

 

 

REGISTRATION

 

Date Registered:  Mar 1880

Regd No.:            0107-01-026217 (Tokyo-Chuoku)

Legal Status:      Limited Company (Kabushiki Kaisha)

Authorized:         370 million shares

Issued:                92.55 million shares

Sum:                   Yen 4,821 million

Major shareholders (%): Maruzen CHI Holdings Co Ltd* (100)

           

*.. Holding company, founded 2010, listed Tokyo S/E’s, capital Yen 3,000 million, sales

Yen 176,013 million, operating profit Yen 5 million, recurring loss Yen 118 million, net loss Yen 3,096 million, total assets Yen 125,555 million, net worth Yen 30,825 million, employees 1,327, pres Takehiko Ogi

 

Consolidated Financials are attached (See SUPPLEMENTS)

 

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

 

 

OPERATION

           

Activities: Import of books, journals, electronic content, online products, etc, and sales of imported and Japanese products for university and educational markets and libraries in Japan; international sales of Japanese books and journals; in-store sales of books, journals, stationery and apparel; publishing; education-related business consulting services; library operations outsourcing services; consulting on installation of university facilities and libraries, other (--100%)

 

Clients: Consumers, universities, government agencies, libraries, other

No. of accounts: 1,000

Domestic areas of activities: Nationwide

Suppliers: [Mfrs, wholesales] TOHAN Co, Sumitomo 3M, Okamura Corp, Nippan Co, other

 

Payment record: No Complaints

 

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

 

Bank References:

SMBC (Kyobashi)

Mizuho Bank (Yaesuguchi)

Relations: Satisfactory

 

 

FINANCES

 

(In Million Yen)

       Terms Ending:

31/01/2013

31/01/2012

31/01/2011

31/01/2010

Annual Sales

 

49,000

48,220

61,525

88,975

Recur. Profit

 

0

-2,245

-2,880

-538

Net Profit

 

0

-3,403

-1,613

-723

Total Assets

 

 

30,146

51,898

67,660

Current Assets

 

 

20,584

37,506

35,591

Current Liabs

 

 

24,220

36,975

33,119

Net Worth

 

 

3,498

10,038

11,936

Capital, Paid-Up

 

 

4,821

4,821

4,821

Div.P.Share(¥)

 

 

0.00

0.00

0.00

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

1.62

-21.63

-30.85

-7.18

    Current Ratio

 

..

84.99

101.44

107.46

    N.Worth Ratio

..

11.60

19.34

17.64

    R.Profit/Sales

 

0.00

-4.66

-4.68

-0.60

    N.Profit/Sales

0.00

-7.06

-2.62

-0.81

    Return On Equity

..

..

-16.07

-6.06

 

Notes: Forecast (or estimated) figures for the 31/01/2013 fiscal term.

 

 

SUPPLEMENTS

 

CONSOLIDATED FINANCIALS OF THE PARENT, MARUZEN CHI HOLDINGS CO LTD

FINANCES: (Consolidated in million yen)

 

 

 

Terms Ending:

31/01/2012

31/01/2011

INCOME STATEMENT

 

 

 

  Annual Sales

 

176,013

115,270

 

  Cost of Sales

133,784

88,414

 

      GROSS PROFIT

42,228

26,856

 

  Selling & Adm Costs

42,223

28,112

 

      OPERATING PROFIT

5

-1,255

 

  Non-Operating P/L

-113

155

 

      RECURRING PROFIT

-118

-1,100

 

      NET PROFIT

-3,096

-1,273

BALANCE SHEET

 

 

 

 

  Cash

 

14,874

16,060

 

  Receivables

 

20,240

13,841

 

  Inventory

 

43,865

16,944

 

  Securities, Marketable

 

 

 

  Other Current Assets

8,522

8,086

 

      TOTAL CURRENT ASSETS

87,501

54,931

 

  Property & Equipment

20,036

10,856

 

  Intangibles

 

4,821

5,086

 

  Investments, Other Fixed Assets

13,197

6,268

 

      TOTAL ASSETS

125,555

77,141

 

  Payables

 

22,300

14,890

 

  Short-Term Bank Loans

29,344

20,400

 

 

 

 

 

 

  Other Current Liabs

15,336

9,940

 

      TOTAL CURRENT LIABS

66,980

45,230

 

  Debentures

 

1,040

 

 

  Long-Term Bank Loans

6,702

816

 

  Reserve for Retirement Allw

3,944

3,970

 

  Other Debts

 

16,063

1,436

 

      TOTAL LIABILITIES

94,729

51,452

 

      MINORITY INTERESTS

 

 

 

Common stock

3,000

3,000

 

Additional paid-in capital

14,217

8,482

 

Retained earnings

14,052

14,419

 

Evaluation p/l on investments/securities

(1,230)

(933)

 

Others

 

786

720

 

Treasury stock, at cost

0

0

 

      TOTAL S/HOLDERS` EQUITY

30,825

25,688

 

      TOTAL EQUITIES

125,555

77,141

CONSOLIDATED CASH FLOWS

 

 

 

 

Terms ending:

31/01/2012

31/01/2011

 

Cash Flows from Operating Activities

 

-545

1,548

 

Cash Flows from Investment Activities

-6,171

-470

 

Cash Flows from Financing Activities

3,113

1,327

 

Cash, Bank Deposits at the Term End

 

14,152

15,750

ANALYTICAL RATIOS            Terms ending:

31/01/2012

31/01/2011

 

 

Net Worth (S/Holders' Equity)

30,825

25,688

 

 

Current Ratio (%)

130.64

121.45

 

 

Net Worth Ratio (%)

24.55

33.30

 

 

Recurring Profit Ratio (%)

-0.07

-0.95

 

 

Net Profit Ratio (%)

-1.76

-1.10

 

 

Return On Equity (%)

-10.04

-4.96

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.53.23

UK Pound

1

Rs.86.14

Euro

1

Rs.69.98

 

INFORMATION DETAILS

 

Report Prepared by :

SDA

 

 

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.