|
Report Date : |
06.09.2012 |
IDENTIFICATION DETAILS
|
Name : |
DOWA ECO-SYSTEM CO LTD |
|
|
|
|
Registered Office : |
Akihabara UDX Bldg 22F, 4-14-1 Sotokanda Chiyodaku Tokyo 101-0021 |
|
|
|
|
Country : |
Japan |
|
|
|
|
Financials (as on) : |
31.03.2012 |
|
|
|
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Date of Incorporation : |
May 2006 |
|
|
|
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Com. Reg. No.: |
0100-01-099183 (Tokyo-Chiyodaku) |
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Legal Form : |
Limited Company (Kabushiki Kaisha) |
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|
|
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Line of Business : |
Waste recycling, waste
management, soil remediation works |
|
|
|
|
No. of Employees : |
77 |
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 – March 31st, 2012
|
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 |
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
DOWA ECO-SYSTEM CO LTD
REGD NAME: Dowa
Eco System KK
MAIN OFFICE: Akihabara
UDX Bldg 22F, 4-14-1 Sotokanda Chiyodaku Tokyo 101-0021 JAPAN
Tel:
03-6847-1230 Fax: 03-6847-1240
URL: http://www.dowa-echo.co.jp
E-Mail
address: (thru the URL)
Waste
recycling, waste management, soil remediation works
Nagoya,
Osaka, Fukuoka, Akita, Kanazawa
China
(4), Taiwan, Thailand, Singapore, USA (2), Indonesia
Saitama,
Nagasaki, Fukuoka, Okayama, Fukushima (--processing yards)
KEN’ICHI
SASAKI, PRES Osamu Toyama, dir
Masayuki
Naka, dir Mutsuya Kano,
dir
Katsuhiro
Naohara, dir Koji Kuroki,
dir
Yen
Amount: In million Yen, unless
otherwise stated
FINANCES FAIR A/SALES Yen 43,114 M
PAYMENTS No
complaints CAPITAL Yen 1,000 M
TREND UP WORTH Yen 8,134 M
STARTED 2006 EMPLOYES 77
ENVIRONMENT MANAGEMENT & RECYCLING WORKS, WHOLLY OWNED
BY DOWA HOLDINGS CO LTD.
FINANCIAL SITUATION CONSIDERED
FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.
The subject
company was established originally in 1884 as Dowa Mining Ind. In Oct 2006, established Dowa Holdings Co
Ltd, a holding company of 5 group firms, and became its subsidiary. This firm specializes in environment
management, waste recycling and management.
Has three core business divisions: waste treatment, soil remediation,
and resource recycling & management.
Operates 10 overseas offices: China (4), USA (2), Taiwan, Thailand,
Singapore, and Indonesia. Clients
include group firms and agent dealerships, nationwide
The sales
volume for Mar/2012 fiscal term amounted to Yen 43,114 million, an 11% up from
Yen 38,691 million in the previous term.
This is largely attributed to the rising waste disposal/recycling works
after the Great East Japan Earthquake that hit in March 2011. The recurring profit was posted at Yen 1,014
million and the net profit at Yen 719 million, respectively, compared with Yen
1,205 million recurring profit and Yen 661 million net losses, respectively, a
year ago.
For the
current term ending Mar 2013 the recurring profit is projected at Yen 1,100
million and the net profit at Yen 750 million, respectively, on a 9% rise in
turnover, to Yen 47,000 million. The
environmental & recycling businesses will grow, boosted by recovery of
waste-treatment services. PCB trace
& disposal works are rising.
The
financial situation is considered FAIR and good for ORDINARY business
engagements. Max credit limit is
estimated at Yen 909.6 million, on 30 days normal terms.
Date Registered: May 2006
Regd No.: 0100-01-099183 (Tokyo-Chiyodaku)
Legal Status:
Limited Company (Kabushiki Kaisha)
Authorized:
80,000 shares
Issued:
20,000 shares
Sum: Yen 1,000 million
Major shareholders (%): Dowa Holdings Co Ltd* (100)
*..
Holding company of 5 group firms, at the caption address, founded 1937 &
reorganized in 2006, listed Tokyo S/E,
capital Yen 36,437 million, sales Yen 392,468 million, operating profit Yen
22,009 million, recurring profit Yen 20,918 million, net profit Yen 10,610
million, total assets Yen 319,665 million, net worth Yen 121,807 million,
employees 4,703, pres Masao Yamada
Consolidated
Financials are attached (See SUPPLEMENTS)
Nothing detrimental is known as
to the commercial morality of executives.
Activities: Environmental management works: waste
treatment, soil remediation, resource recycling, other works (--100%)
Clients: [Mfrs, wholesalers] Dowa Metal Mine,
Eco-System Akita, Eco-System Sanyo, Eco-System Chiba, Greenfil Kosaka,
other
No. of
accounts: 500
Domestic
areas of activities: Nationwide
Suppliers: [Mfrs, wholesalers] Eco-System Japan,
Eco-System Hanaoka, Dowa Holdings Co, Geo Technos Co, Dowa Tsuuun, other
Payment record: Regular
Location:
Business area in Tokyo. Office premises
at the caption address are leased and maintained satisfactorily.
Bank References:
Mizuho
Corporate Bank (H/O)
Relations:
Satisfactory
(In Million Yen)
|
Terms Ending: |
31/03/2013 |
31/03/2012 |
31/03/2011 |
31/03/2010 |
|
|
Annual
Sales |
|
47,000 |
43,114 |
38,691 |
29,911 |
|
Recur.
Profit |
|
1,100 |
1,014 |
1,205 |
1,170 |
|
Net
Profit |
|
750 |
719 |
-661 |
680 |
|
Total
Assets |
|
|
31,601 |
29,070 |
30,814 |
|
Current
Assets |
|
|
8,404 |
6,247 |
7,866 |
|
Current
Liabs |
|
|
9,017 |
6,917 |
8,470 |
|
Net
Worth |
|
|
8,134 |
7,602 |
8,501 |
|
Capital,
Paid-Up |
|
|
1,000 |
1,000 |
1,000 |
|
Div.Ttl
in Million (¥) |
|
|
0.00 |
238 |
825 |
|
<Analytical Data> |
(%) |
(%) |
(%) |
(%) |
|
|
S.Growth Rate |
9.01 |
11.43 |
29.35 |
-16.19 |
|
|
Current Ratio |
|
.. |
93.20 |
90.31 |
92.87 |
|
N.Worth Ratio |
.. |
25.74 |
26.15 |
27.59 |
|
|
R.Profit/Sales |
|
2.34 |
2.35 |
3.11 |
3.91 |
|
N.Profit/Sales |
1.60 |
1.67 |
-1.71 |
2.27 |
|
|
Return On Equity |
.. |
8.84 |
-8.70 |
8.00 |
|
Notes:
Forecast (or estimated) figures for the 31/03/2013 fiscal term.
CONSOLIDATED FINANCIALS OF THE PARENT, DOWA HOLDINGS CO LTD
|
FINANCES: (Consolidated
in million yen) |
|
|||||
|
|
|
Terms Ending: |
31/03/2012 |
31/03/2011 |
||
|
INCOME STATEMENT |
|
|
||||
|
|
Annual Sales |
|
392,468 |
379,816 |
||
|
|
Cost of Sales |
343,015 |
330,380 |
|||
|
|
GROSS PROFIT |
49,453 |
49,436 |
|||
|
|
Selling & Adm Costs |
27,443 |
26,511 |
|||
|
|
OPERATING PROFIT |
22,009 |
22,924 |
|||
|
|
Non-Operating P/L |
-1,091 |
447 |
|||
|
|
RECURRING PROFIT |
20,918 |
23,371 |
|||
|
|
NET PROFIT |
10,610 |
8,521 |
|||
|
BALANCE SHEET |
|
|
|
|||
|
|
Cash |
|
4,824 |
17,231 |
||
|
|
Receivables |
|
59,394 |
55,484 |
||
|
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Inventory |
|
72,779 |
82,416 |
||
|
|
Securities, Marketable |
|
|
|||
|
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Other Current Assets |
13,819 |
12,322 |
|||
|
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TOTAL CURRENT ASSETS |
150,816 |
167,453 |
|||
|
|
Property & Equipment |
100,775 |
104,101 |
|||
|
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Intangibles |
|
8,557 |
8,099 |
||
|
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Investments, Other Fixed Assets |
59,517 |
60,508 |
|||
|
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TOTAL ASSETS |
319,665 |
340,161 |
|||
|
|
Payables |
|
34,886 |
33,367 |
||
|
|
Short-Term Bank Loans |
46,741 |
54,290 |
|||
|
|
|
|
|
|
||
|
|
Other Current Liabs |
27,644 |
36,575 |
|||
|
|
TOTAL CURRENT LIABS |
109,271 |
124,232 |
|||
|
|
Debentures |
|
10,000 |
10,000 |
||
|
|
Long-Term Bank Loans |
60,928 |
73,829 |
|||
|
|
Reserve for Retirement Allw |
10,519 |
10,637 |
|||
|
|
Other Debts |
|
7,140 |
7,678 |
||
|
|
TOTAL LIABILITIES |
197,858 |
226,376 |
|||
|
|
MINORITY INTERESTS |
|
|
|||
|
|
Common
stock |
36,437 |
35,437 |
|||
|
|
Additional
paid-in capital |
26,362 |
26,362 |
|||
|
|
Retained
earnings |
55,737 |
48,152 |
|||
|
|
Evaluation
p/l on investments/securities |
4,390 |
5,024 |
|||
|
|
Others |
|
4,567 |
4,573 |
||
|
|
Treasury
stock, at cost |
(5,686) |
(5,763) |
|||
|
|
TOTAL S/HOLDERS` EQUITY |
121,807 |
113,785 |
|||
|
|
TOTAL EQUITIES |
319,665 |
340,161 |
|||
|
CONSOLIDATED CASH FLOWS |
|
|
||||
|
|
|
Terms ending: |
31/03/2012 |
31/03/2011 |
||
|
|
Cash
Flows from Operating Activities |
|
31,499 |
23,955 |
||
|
|
Cash
Flows from Investment Activities |
-19,491 |
-19,257 |
|||
|
|
Cash
Flows from Financing Activities |
-24,134 |
-15,070 |
|||
|
|
Cash,
Bank Deposits at the Term End |
|
4,788 |
18,741 |
||
|
ANALYTICAL RATIOS Terms ending: |
31/03/2012 |
31/03/2011 |
||||
|
|
|
Net Worth
(S/Holders' Equity) |
121,807 |
113,785 |
||
|
|
|
Current
Ratio (%) |
138.02 |
134.79 |
||
|
|
|
Net
Worth Ratio (%) |
38.10 |
33.45 |
||
|
|
|
Recurring
Profit Ratio (%) |
5.33 |
6.15 |
||
|
|
|
Net
Profit Ratio (%) |
2.70 |
2.24 |
||
|
|
|
Return
On Equity (%) |
8.71 |
7.49 |
||
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.55.89 |
|
|
1 |
Rs.88.62 |
|
Euro |
1 |
Rs.70.02 |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.