MIRA INFORM REPORT

 

 

Report Date :

20.11.2012

 

IDENTIFICATION DETAILS

 

Name :

MARUBENI PETROLEUM CO LTD

 

 

Registered Office :

c/o Marubeni Corporation, 1-4-2 Ohtemachi Chiyodaku Tokyo 100-0004

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

1989

 

 

Legal Form :

Intra-house division company

 

 

Line of Business :

Import, export, wholesale of petroleum and products

 

 

No. of Employees :

10

 

 

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 – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2012)

Current Rating

(30.06.2012)

Japan

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

 

japan - ECONOMIC OVERVIEW

 

In the years following World War II, government-industry cooperation, a strong work ethic, mastery of high technology, and a comparatively small defense allocation (1% of GDP) helped Japan develop a technologically advanced economy. Two notable characteristics of the post-war 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 are now eroding under the dual pressures of global competition and domestic demographic change. Japan's industrial sector is heavily dependent on imported raw materials and fuels. A tiny agricultural sector is highly subsidized and protected, with crop yields among the highest in the world. Usually self-sufficient in rice, Japan imports about 60% of its food on a caloric basis. Japan maintains one of the world's largest fishing fleets and accounts for nearly 15% of the global catch. For three decades, overall real economic growth had been spectacular - a 10% average in the 1960s, a 5% average in the 1970s, and a 4% average in the 1980s. Growth slowed markedly in the 1990s, averaging just 1.7%, largely because of the after effects of inefficient investment and an asset price bubble in the late 1980s that required a protracted period of time for firms to reduce excess debt, capital, and labor. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, Japan in 2011 stood as the fourth-largest economy in the world after second-place China, which surpassed Japan in 2001, and third-place India, which edged out Japan in 2011. A sharp downturn in business investment and global demand for Japan's exports in late 2008 pushed Japan further into recession. Government stimulus spending helped the economy recover in late 2009 and 2010, but the economy contracted again in 2011 as the massive 9.0 magnitude earthquake in March disrupted manufacturing. Electricity supplies remain tight because Japan has temporarily shut down almost all of its nuclear power plants after the Fukushima Daiichi nuclear reactors were crippled by the earthquake and resulting tsunami. Estimates of the direct costs of the damage - rebuilding homes, factories, and infrastructure - range from $235 billion to $310 billion, and GDP declined almost 0.5% in 2011. Prime Minister Yoshihiko NODA has proposed opening the agricultural and services sectors to greater foreign competition and boosting exports through membership in the US-led Trans-Pacific Partnership trade talks and by pursuing free-trade agreements with the EU and others, but debate continues on restructuring the economy and reining in Japan's huge government debt, which exceeds 200% of GDP. Persistent deflation, reliance on exports to drive growth, and an aging and shrinking population are other major long-term challenges for the economy.

 

Source : CIA

 

 

 

Company name

 

MARUBENI PETROLEUM CO LTD

REGD NAME:    Marubeni Petroleum (Intra-house company & not registered)

MAIN OFFICE:  c/o Marubeni Corporation, 1-4-2 Ohtemachi Chiyodaku Tokyo 100-0004 JAPAN

Tel: 03-3282-4939     Fax: 03-3282-4244

                       

URL:                 http://www.marubeni.co.jp (Of the parent, Marubeni Corp)

E-Mail address: TOKB554@jp.marubeni.co.jp

 

 

ACTIVITIES  

 

Import, export, wholesale of petroleum and products

 

 

BRANCHES   

 

Nil

 

 

OFFICERS

 

TAKASHI KUMAMOTO, PETROLEUM DIV MANAGER

 

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY    

 

FINANCES                    FAIR                             A/SALES          Yen 10,584,393 M

PAYMENTS                  No complaints               CAPITAL           Yen 262,686 M*

TREND             STEADY                       WORTH            Yen 915,770 M*

STARTED                     1989                             EMPLOYES      10**

*.. Both figures are of the parent, Marubeni Corp.

**.. Staff members are overlapped with the Energy Division of the parent.

 

 

COMMENT    

 

PETROLEUM TRADING DIVISION OWNED BY MARUBENI CORP.

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY

BUSINESS ENGAGEMENTS.

                       

Consolidated Financials of Marubeni Corp

     Notes: Unit: In Million Yen.  Forecast figures for the 31/03/2013 fiscal term

 

 

HIGHLIGHTS

           

            The subject firm is an intra-house division company founded by Marubeni Corp, at the caption          address (See REGISTRATION), in order to operate trading of petroleum, petroleum products, petrochemical products, etc in the Far East area.  Staff members are overlapping with the parent’ division.  Clients are major petrochemical mfrs, oil refineries, general trading houses, nationwide.

 

 

FINANCIAL INFORMATION

           

            Financials are all for Marubeni Corp.

 

The sales volume for Mar/2012 fiscal term amounted to Yen 10,584,393 million, a 17.3% up from Yen 9,020,468 million in the previous term.  This was thanks to the skyrocketing prices of oils and petroleum chemicals.  The Energy Division of the parent turns around 29% of total sales of the group.  The recurring profit was posted at Yen 260,983 million and the net profit at Yen 172,125 million, respectively, compared with Yen 207,217 million recurring profit and Yen 136,541 million net profit, respectively, a year ago.

 

For the current term ending Mar 2013 the recurring profit is projected at Yen 285,000 million and the net profit at Yen 200,000 million, respectively, on a 16.2% rise in turnover, to Yen 10,500,000 million.  Sales volume of crude oil and gas will exceed the expectations.

 

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

 

 

REGISTRATION

 

Date Registered:  Not registered

                                      (Founded Dec 1989)

Legal Status:     Intra-house division company

Major shareholders (%): Marubeni Corp*(100)

 

*.. One of big 5 general trading houses, founded 1949, listed Tokyo, Osaka, Nagoya  S/E’s, capital Yen 362,686 million, sales Yen 10,584,393 million, operating profit Yen 157,315 million, recurring profit Yen 260,983 million, net profit Yen 172,125 million, total assets Yen 5,129,887 million, net worth Yen 915,770 million, employees 32,445, pres Teruo Asada.

Consolidated Financials are attached

 

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

 

 

OPERATION

 

Activities: Imports, exports and wholesales petroleum & products (--70%), petrochemicals, other products (--30%).

Trading area within the Far East region.

 

Clients: Oil refineries, petrochemical mfrs, wholesalers, other. 

No. of accounts: Unavailable

Domestic areas of activities: Nationwide

Suppliers: Oil majors, oil refineries, wholesalers, other.

 

Payment record: No complaints

 

Location: Business area in Tokyo.  Office premises at the caption address are owned by the parent, Marubeni Corp, and maintained satisfactorily.

 

Bank References:

Mizuho Bank (H/O)

Bank of Tokyo-Mitsubishi UFJ (H/O)

Relations: Satisfactory

 

 

SUPPLEMENTS

 

CONSOLIDATED FINANCIALS OF MARUBENI CORP

 

FINANCES: (Consolidated in million yen)

 

　

　

Terms Ending:

31/03/2012

31/03/2011

INCOME STATEMENT

 

 

 

  Annual Sales

　

10,584,393

9,020,468

 

  Cost of Sales

10,042,939

8,498,314

 

      GROSS PROFIT

541,454

522,154

 

  Selling & Adm Costs

384,139

376,380

 

      OPERATING PROFIT

157,315

145,774

 

  Non-Operating P/L

103,668

61,443

 

      RECURRING PROFIT

260,983

207,217

　

      NET PROFIT

172,125

136,541

BALANCE SHEET

 

 

 

 

  Cash

　

677,312

616,303

 

  Receivables

 

1,009,361

884,872

 

  Inventory

 

443,136

372,156

 

  Securities, Marketable

2,438

2,870

 

  Other Current Assets

511,646

521,590

 

      TOTAL CURRENT ASSETS

2,643,893

2,397,791

 

  Property & Equipment

648,533

639,366

 

  Intangibles

 

85,815

85,406

 

  Investments, Other Fixed Assets

1,751,646

1,556,526

 

      TOTAL ASSETS

5,129,887

4,679,089

 

  Payables

 

869,324

732,560

 

  Short-Term Bank Loans

126,459

105,275

 

　

 

　

　

 

  Other Current Liabs

843,168

898,317

 

      TOTAL CURRENT LIABS

1,838,951

1,736,152

 

  Debentures

 

　

　

 

  Long-Term Bank Loans

2,268,552

2,021,241

 

  Reserve for Retirement Allw

60,887

53,411

 

  Other Debts

　

45,727

36,555

 

      TOTAL LIABILITIES

4,214,117

3,847,359

 

      MINORITY INTERESTS

 

 

 

Common stock

262,686

262,686

 

Additional paid-in capital

158,237

157,908

 

Retained earnings

856,286

212,815

 

Evaluation p/l on investments/securities

19,510

21,005

 

Others

 

(380,172)

177,997

 

Treasury stock, at cost

(777)

(681)

 

      TOTAL S/HOLDERS` EQUITY

915,770

831,730

　

      TOTAL EQUITIES

5,129,887

4,679,089

CONSOLIDATED CASH FLOWS

 

 

 

 

Terms ending:

31/03/2012

31/03/2011

 

Cash Flows from Operating Activities

　

172,599

210,044

 

Cash Flows from Investment Activities

-273,689

-128,495

 

Cash Flows from Financing Activities

171,913

-17,010

　

Cash, Bank Deposits at the Term End

　

677,312

616,003

ANALYTICAL RATIOS            Terms ending:

31/03/2012

31/03/2011

 

 

Net Worth (S/Holders' Equity)

915,770

831,730

 

 

Current Ratio (%)

143.77

138.11

 

 

Net Worth Ratio (%)

17.85

17.78

 

 

Recurring Profit Ratio (%)

2.47

2.30

 

 

Net Profit Ratio (%)

1.63

1.51

 

 

Return On Equity (%)

18.80

16.42

 

           


 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.54.96

UK Pound

1

Rs.87.49

Euro

1

Rs.70.15

 

 

INFORMATION DETAILS

 

Report Prepared by :

PDT

 

 

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.