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Report Date : |
04.09.2012 |
IDENTIFICATION DETAILS
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Name : |
HITACHI LIVING SYSTEMS LTD |
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Registered Office : |
Acropolis Tokyo 9F, 6-29 Shin-Ogawamachi Shinjukuku Tokyo 162-0814 |
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Country : |
Japan |
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Financials (as on) : |
31.03.2012 |
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Year of Establishment : |
April 1993 |
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Com. Reg. No.: |
0104-01-025169 (Tokyo-Minatoku) |
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Legal Form : |
Limited Company |
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Line of Business : |
Import, export, wholesale of electric home appliances |
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No. of Employees : |
80 |
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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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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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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 – March 31st, 2012
|
Country Name |
Previous Rating (31.12.2011) |
Current Rating (31.03.2012) |
|
Japan |
A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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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
HITACHI LIVING SYSTEMS LTD
REGD NAME: KK
Hitachi Living Supply
MAIN OFFICE: Acropolis
Tokyo 9F, 6-29 Shin-Ogawamachi Shinjukuku Tokyo 162-0814 JAPAN
Tel:
03-3260-9611 Fax: 03-3260-9611
*.. Registered at:
2-15-12 Nishishimbashi Minatoku Tokyo
URL: http://www.hitachi-ls.co.jp
E-Mail address: (thru the URL)
Import, export,
wholesale of electric home appliances
Tokyo
(subcontracted)
TETSUO NODA, PRES
Hisashi Nemoto,
dir
Yoshihiro
Kobayashi, dir
Yen Amount: In million Yen, unless otherwise stated
FINANCES FAIR A/SALES Yen 19,690 M
PAYMENTS NO
COMPLAINTS CAPITAL Yen 250 M
TREND SLOW WORTH Yen
1,976 M
STARTED 1993 EMPLOYES 80
TRADING FIRM SPECIALIZING IN CONSUMER ELECTRIC APPLIANCES.
FINANCIAL SITUATION CONSIDERED FAIR AND GOOD
FOR CREDIT ENGAGEMENTS: US$900,000 / O/A 90 DAYS.
The subject company was established
on the basis of a consumer electric appliances division separated from Hitachi
Ltd (See REGISTRATION). This is a trading firm for import, export and
wholesale of electric consumer appliances, digital cameras, cookers, other (See
OPERATION). In 1999, merged Hitachi media Force Inc. Goods are supplied from Hitachi group
firms.
The sales volume for Mar/2012 fiscal
term amounted to Yen 19,690 million, a 29% down from Yen 27,735 million in the
previous term. The firm withdrew from
the unprofitable operations during the term.
Sales declined substantially.
Exports were hurt by the high Yen in earnings & profits Yen
terms. The net profit was posted at Yen
467 million, compared with Yen 491 million a year ago.
For the current term ending Mar 2013
the net profit is projected at Yen 490 million, on a 4% rise in turnover, to
Yen 20,500 million.
The financial situation is considered FAIR
and good for ORDINARY business engagements. The proposed amount for 90 days
terms is considered well within the firm’s financial capacities.
Date Registered: Apr
1993
Regd No.: 0104-01-025169 (Tokyo-Minatoku)
Legal Status: Limited Company (Kabushiki Kaisha)
Authorized: 20,000 shares
Issued: 5,000 shares
Sum: Yen 250 million
Major
shareholders (%): Hitachi Consumer Marketing Inc* (100)
*.. Wholesaler of home
electric appliances, Tokyo, founded 1963, owned by Hitachi
Ltd**, capital Yen 3,000 million, sales Yen 386,000 million, net profit
Yen 1,126 million,
employees 3,050, pres Koichiro Nakamura
**.. Largest
comprehensive mfr of electrical machinery, Tokyo, founded 1920, listed
Tokyo S/E, capital Yen 427,775 million,
sales Yen 9,665,883 million, operating profit Yen 412,280 million, recurring profit Yen 557,730
million, net profit Yen 347,179 million, total assets Yen 9,418,526 million, net
worth Yen 1,771,782 million, employees 323,540, pres Hiroaki Nakanishi
Nothing
detrimental is known as to the commercial morality of executives.
Activities: Imports, exports
and wholesales digital appliances, health & beauty goods, amenity
life-related goods, others (--100%)
(Handling
Items):
Digital-Related:
LCD
TV, digital cameras, digital audio player, cell & media;
Health
& Beauty-Related: electric shaver, water alkaline ionizer, foot
massager, cosmetic devices;
Amenity
Life-Related: IH cooker, bathroom ventilation heater/dryer, cordless iron, fire
alarm, other.
Clients: [Mfrs,
wholesalers] Hitachi Consumer Marketing, Taiyo Bussan Kaisha, other
No. of accounts:
500
Domestic areas of
activities: Nationwide
Suppliers: [Mfrs, wholesalers]
Hitachi Maxell Ltd Kyushu, Hitachi Maxell Ltd, Taiwan Hitachi Asia Pacific,
Panasonic Corp, Uniden Corp, other
Payment record: No Complaints
Location: Business area in
Tokyo. Office premises at the caption
address are leased and maintained satisfactorily.
Bank References:
MUFG
(Toranomon-Chuo)
Mizuho Bank
(Shimbashi)
Relations:
Satisfactory
(In Million Yen)
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Terms Ending: |
31/03/2013 |
31/03/2012 |
31/03/2011 |
31/03/2010 |
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Annual
Sales |
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20,500 |
19,690 |
27,735 |
23,501 |
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Recur.
Profit |
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Net
Profit |
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490 |
467 |
491 |
312 |
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Total
Assets |
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5,439 |
5,770 |
5,444 |
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Current
Assets |
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5,350 |
5,674 |
5,373 |
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Current
Liabs |
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3,398 |
4,204 |
4,411 |
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Net
Worth |
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1,976 |
1,507 |
1,007 |
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Capital,
Paid-Up |
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250 |
250 |
250 |
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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 |
4.11 |
-29.01 |
18.02 |
18.11 |
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Current Ratio |
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.. |
157.45 |
134.97 |
121.81 |
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N.Worth Ratio |
.. |
36.33 |
26.12 |
18.50 |
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R.Profit/Sales |
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.. |
.. |
.. |
.. |
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N.Profit/Sales |
2.39 |
2.37 |
1.77 |
1.33 |
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Return On Equity |
.. |
23.63 |
32.58 |
30.98 |
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Notes: Forecast
(or estimated) figures for the 31/03/2013 fiscal term.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.55.45 |
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|
1 |
Rs.87.98 |
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Euro |
1 |
Rs.69.69 |
INFORMATION DETAILS
|
Report
Prepared by : |
PRL |
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 |
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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-- |
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%)
This report is issued at your request without any risk
and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its
officials.