MIRA INFORM REPORT

 

 

Report Date :

25.04.2013

 

IDENTIFICATION DETAILS

 

Name :

NIPPON THERMOSTAT CO LTD

 

 

Registered Office :

6-59-2 Nakazato Kiyose Tokyo-Metrop 204-0003

 

 

Country :

Japan

 

 

Financials (as on) :

31.01.2012

 

 

Date of Incorporation :

May 1954

 

 

Com. Reg. No.:

0127-01-004166 (Tokyo-Kiyose)

 

 

Legal Form :

Limited Company (Kabushiki Kaisha)

 

 

Line of Business :

Manufacturer of thermostat & accessories

 

 

No. of Employees :

436

 

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 185.4 Million

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

(31.03.2011)

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 small agricultural sector is highly subsidized and protected, with crop yields among the highest in the world. While self-sufficient in rice production, Japan imports about 60% of its food on a caloric basis. 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. Modest economic growth continued after 2000, but the economy has fallen into recession three times since 2008. A sharp downturn in business investment and global demand for Japan's exports in late 2008 pushed Japan 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 and the ensuing tsunami in March disrupted manufacturing. The economy has largely recovered in the two years since the disaster, but reconstruction in the Tohoku region has been uneven. Newly-elected Prime Minister Shinzo ABE has declared the economy his government's top priority; he has pledged to reconsider his predecessor's plan to permanently close nuclear power plants and is pursuing an economic revitalization agenda of fiscal stimulus and regulatory reform and has said he will press the Bank of Japan to loosen monetary policy. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, Japan in 2012 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 2012. The new government will continue a longstanding debate 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 and address

 

NIPPON THERMOSTAT CO LTD

REGD NAME:    Nippon Thermostat KK

MAIN OFFICE:  6-59-2 Nakazato Kiyose Tokyo-Metrop 204-0003 JAPAN

Tel: 042-491-2611      Fax: 042-491-7889

 

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

E-Mail address: eigyo@ntcl.co.jp

 

 

ACTIVITIES

 

Mfg of thermostat & accessories

 

BRANCHES

 

Saitama, Tochigi

 

OVERSEAS

 

USA, India

 

FACTORIES

 

At the caption address, Yokohama (2), Tochigi (2), Saitama, Nagano

 

 

OFFICERS

 

YOSHIYUKI ONISHI, PRES        Akira Fukuda, s/mgn dir

Noriaki Ogawa, mgn dir              Tatsuki Kanayama, dir

Kiyoshi Kadoshima, dir               Ken’ichi Sekiguchi, dir   

           

Yen Amount:     In million Yen, unless otherwise stated

 

 


SUMMARY    

 

FINANCES                    FAIR                             A/SALES          Yen 12,379 M

PAYMENTS                  NO COMPLAINTS          CAPITAL           Yen 450 M

TREND             UP                                WORTH            Yen 2,675 M

STARTED                     1954                             EMPLOYES      436

 

 

COMMENT

 

MFR OF THERMOSTATS.

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

                       

MAX CREDIT LIMIT: YEN 185.4 MILLION, 30 DAYS NORMAL TERMS

 

 

HIGHLIGHTS

           

            The subject company was established by Yukio Onishi in order to make most of his experience in the subject line of business.  Yoshiyuki is his son.  This is a specialized mfr of thermostats for automobiles, motorcycles and other industries.  Goods are exported.  Has two overseas subsidiaries in USA and India.  Clients include major car makers, car accessories makers, other, nationwide

 

 

FINANCIAL INFORMATION

           

            The sales volume for Jan/2012 fiscal term amounted to Yen 12,379 million, a 1% up from Yen 12,209 million in the previous term.  The recurring profit was posted at Yen 360 million and the net profit at Yen 203 million, respectively, compared with Yen 507 million recurring profit and Yen 145 million net profit, respectively, a year ago.

 

            For the term that ended Jan 2013 the recurring profit was projected at Yen 370 million and the net profit at Yen 210 million, respectively, on a 3% rise in turnover, to Yen 13,000 million.  Final results are yet to be released. 

 

The financial situation is considered FAIR and good for ORDINARY business engagements.  Max credit limit is estimated at Yen 185.4 million, on 30 days normal terms.

 

 

REGISTRATION

 

Date Registered:  May 1954

Regd No.:             0127-01-004166 (Tokyo-Kiyose)

Legal Status:      Limited Company (Kabushiki Kaisha)

Authorized:         3.6 million shares

Issued:                900,000 shares

Sum:                   Yen 450 million

Major shareholders (%): Yoshiyuki Onishi (35), Nippon Thermostat (25), Resona Bank (5), other

No. of shareholders: 63

 

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

 

 

OPERATION

 

Activities: Manufactures thermostats & accessories, others (--100%)

 

(Mfg Items):

Thermo element for automobiles: thermostat, thermo switches, air valves, hot water cut valve, oil valve, ASD (Automatic Starting Device), carburetor heater, water temperature sensor, thermostat for leisure & sports, other;

For Housing: thermo ventilator, thermo ventilator under floor, hinge-type ventilator, thermo cartridge (Mixing Valve), other.

 

Clients: [Mfrs, wholesalers] Honda Motor, Suzuki Motor, GM, Nissan Motor, Daihatsu Ind, Toyota Motor, KVK, Fuji Heavy Ind, other

No. of accounts: 500

Domestic areas of activities: Nationwide

Suppliers: [Mfrs, wholesalers] NTC Ind, Kowa Spring Ind, Techno Clean, other

 

Payment record: No Complaints

 

Location: Business area in Kiyose, Tokyo-Metrop the caption address are owned and maintained satisfactorily.

 

Bank References:

Resona Bank (Kiyose)

SMBC (Mitaka)

Relations: Satisfactory

 

 

FINANCES

(In Million Yen)

 

       Terms Ending:

31/01/2013

31/01/2012

31/01/2011

31/01/2010

Annual Sales

 

12,750

12,379

12,209

9,922

Recur. Profit

 

370

360

507

 

Net Profit

 

210

203

145

32

Total Assets

 

 

13,296

12,930

12,520

Current Assets

 

 

7,878

7,430

 

Current Liabs

 

 

3,868

3,792

 

Net Worth

 

 

2,675

2,522

2,130

Capital, Paid-Up

 

 

450

450

450

Div.P.Share(¥)

 

 

 

 

 

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

3.00

1.39

23.05

-21.95

    Current Ratio

 

..

203.67

195.94

..

    N.Worth Ratio

..

20.12

19.51

17.01

    R.Profit/Sales

 

2.90

2.91

4.15

..

    N.Profit/Sales

1.65

1.64

1.19

0.32

    Return On Equity

..

7.59

5.75

1.50

 

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

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.30

UK Pound

1

Rs.82.88

Euro

1

Rs.70.80

 

 

INFORMATION DETAILS

 

Report Prepared by :

PRL

 

 

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.