MIRA INFORM REPORT

 

 

Report Date :

03.08.2013

 

IDENTIFICATION DETAILS

 

Name :

MOTOHIRO & CO LTD

 

 

Registered Office :

162 Shimotoba-Hiroosacho Fushimiku Kyoto 612-8473

 

 

Country :

Japan

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

March, 1951

 

 

Com. Reg. No.:

1300-01-019098

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Import, export, wholesale of textile yarns, wool; operate restaurant

 

 

No. of Employees :

103

 

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

 

 

 

COMPANY NAME

 

MOTOHIRO & CO LTD

 

 

REGD NAME

 

KK Motohiro

 

 

MAIN OFFICE

 

162 Shimotoba-Hiroosacho Fushimiku Kyoto 612-8473 JAPAN

Tel: 075-611-2195     Fax: 075-612-0976

 

*.. Registered at: 602 Higashi-Shiokojicho Shimogyoku Kyoto

 

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

E-mail:             (thru the URL)   

 

 

ACTIVITIES

 

Import, export, wholesale of textile yarns, wool; operate restaurant

 

 

BRANCHES

 

Tokyo, Osaka, Shiga, Nara, Monma, Otsu, other (Tot 21)

 

 

OVERSEAS     

 

China (7, of which 6 are mfrs), Sydney, Thailand

 

 

RESTAURANTS

 

Kyoto, Osaka, Shiga    

 

 

OFFICER(S)     

 

TETSUYA MOTOHIRO, PRES

Masa Motohiro, ch

Takemi Motohiro, s/mgn dir

 

Yen Amount:     In million Yen, unless otherwise stated

 

 

 

 

SUMMARY

 

FINANCES        FAIR                 A/SALES          Yen 12,536 M

PAYMENTS      REGULAR         CAPITAL           Yen 24 M

TREND             STEADY           WORTH            Yen 3,245 M

STARTED         1951                 EMPLOYES      103

 

 

COMMENT

 

TRADING FIRM SPECIALIZING IN TEXTILE YARNS. 

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS

 

MAX CREDIT LIMIT: YEN 450.3 MILLION, 30 DAYS NORMAL TERMS

                

 

HIGHLIGHTS

           

The subject company was established originally in 1921 by S Motohiro as a silk material merchant, on his account.  Incorporated in 1951, the firm has been succeeded by his descendants.  Masa is his son and Tetsuya is grandson, who took the pres office in Dec 2000.  This is a trading firm, wholly owned & operated by the Motohiro family, specializing in import, export and wholesale of textile yarns, wools, cashmere, other.  Also operates franchise hamburger steak restaurants.  Operates 9 overseas subsidiaries: China (6 mfg companies, 1 trading firm), Sydney and Thailand.  The firm buys wool in Australia and ships them to Hong Kong and China for processing into products.  About half of the goods are exported.

 

 

FINANCIAL INFORMATION

 

The sales volume for Dec/2012 fiscal term amounted to Yen 12,536 million, a 5% up from Yen 11,915 million in the previous term.  Wool shipment from Australia to Hong Kong and China increased abruptly.  Production at Chinese factories also rose.  Prices of the silk went up.  The recurring profit was posted at Yen 351 million and the net profit at Yen 181 million, respectively, compared with Yen 309 million recurring profit and Yen 159 million net profit, respectively, a year ago.  .

 

For the current term ending Dec 2013 the recurring profit is projected at Yen 360 million and the net profit at Yen 190 million, respectively, on a 5% rise in turnover, to Yen 13,100 million.  Business is seen expanding steadily.

           

The financial situation is considered FAIR and good for ORDINARY business engagements.  Max credit limit is estimated at Yen 450.3 million, on 30 days normal terms. 

 

 

REGISTRATION

 

Date Registered:                       Mar 1951

Regd No.:                                 1300-01-019098 (Kyoto-Shimogyoku)

Legal Status:                          Limited Company (Kabushiki Kaisha)

Authorized:                            192,000 shares

Issued:                                   48,000 shares

Sum:                                      Yen 24 million

Major shareholders (%):           Motohiro Holdings* (21), Masa Motohiro (18), Tetsuya Motohiro (16), Takemi Motohiro (14)

*.. Holding company owned by the Motohiro family

No. of shareholders:                 9

           

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

 

 

OPERATION

 

Activities: Imports, exports and wholesales textile yarns, wools, silk, other; operates restaurant chains (--100%).

Exports (50%)

 

(Sales by divisions)

Textile Division: handling materials, especially wool, for spinning & industrial uses; exports woo tops worldwide; the firm purchases wool at local auctions in Sydney, Australia, and process it into wool tops with super wash treatment, and exports to China as materials for knit sweaters;

Restaurant Division: operates franchise hamburger steak restaurants & Chinese noodle restaurants.

 

 

Clients: [Mfrs, wholesalers] Exports (50%), domestically: consumers (35%), Japan Wool Textile, Kurabo Ind Ltd, Aeon Corp, Ito-Yokado, AMBIC Co, Nippon Fine Chemical, other

            No. of accounts: 500

            Domestic areas of activities: Nationwide

Suppliers: [Mfrs, wholesalers] Shuneider Co, Kurabo Ind, Alef Co, Chuwa Wool, other.

 

Payment record: Regular

 

 

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

 

Bank References:

MUFG (Kyoto-Chuo)

Mizuho Bank (Fushimi)

Relations: Satisfactory

 

 

FINANCES

 

 (In Million Yen)

       Terms Ending:

31/12/2013

31/12/2012

31/12/2011

31/12/2010

Annual Sales

 

13,100

12,536

11,915

9,926

Recur. Profit

 

360

351

309

452

Net Profit

 

190

181

159

225

Total Assets

 

 

5,705

6,133

4,710

Current Assets

 

 

3,734

4,120

3,935

Current Liabs

 

 

2,062

2,761

1,484

Net Worth

 

 

3,245

3,066

2,909

Capital, Paid-Up

 

 

24

24

24

Div.Ttl Million (¥)

 

 

3.2

1.7

1.7

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

4.50

5.21

20.04

21.84

    Current Ratio

 

..

181.09

149.22

265.16

    N.Worth Ratio

..

56.88

49.99

61.76

    R.Profit/Sales

 

2.75

2.80

2.59

4.55

    N.Profit/Sales

1.45

1.44

1.33

2.27

    Return On Equity

..

5.58

5.19

7.73

   

Notes: Forecast (or estimated) figures for the 31/12/2013 fiscal term. 

 


 

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.