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Report Date : |
14.01.2013 |
IDENTIFICATION DETAILS
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Name : |
NIPPON CORROSION ENGINEERING CO LTD |
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Registered Office : |
Showa Bldg 7F, 1-21-12 Minami-Kamata Ohtaku Tokyo 144-0035 |
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Country : |
Japan |
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Financials (as on) : |
30.09.2012 |
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Date of Incorporation : |
September, 1949 |
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Legal Form : |
Limited Company |
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Line of Business : |
Engineering firm of cathodic protection system, chlorination systems
for power plant |
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No. of Employees : |
197 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit: |
Yen 242.6 million |
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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 – 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 |
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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 |
NIPPON CORROSION
ENGINEERING CO LTD
Nihon Boshoku Kogyo KK
Showa Bldg 7F, 1-21-12 Minami-Kamata Ohtaku Tokyo 144-0035 JAPAN
Tel: 03-3737-8400 Fax:
03-3737-8479
E-Mail address: eiso@nitobo.co.jp
Engineering firm of cathodic protection system, chlorination systems for
power plant
Sendai, Kanagawa, other (Tot 14)
Odawara, Nagasaki
TAIZO NAKAMURA, PRES Yuji
Sakuragi, mgn dir
Yoshio Morishima, mgn dir Masashi
Suzuki, dir
Junzo Iwasaki, dir Mutsuo
Shirahama, dir
Yen Amount: In million Yen,
unless otherwise stated
FINANCES FAIR A/SALES Yen
7,014 M
PAYMENTS NO COMPLAINTS CAPITAL Yen 144 M
TREND UP WORTH Yen
2,179 M
STARTED 1949 EMPLOYES 197
ENGINEERING FIRM OF CATHODIC PROTECTION SYSTEM.
FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS
ENGAGEMENTS.
MAX CREDIT LIMIT: YEN 242.6 MILLION, 30 DAYS NORMAL TERMS
The subject company was established on the basis of a division separated
from Mitsubishi Corp and later became independent. This is an engineering firm specializing in
cathodic protection system and related for plants, power stations, vessels,
other. It founded a holding company, NCE
Holdings Inc, and became its subsidiary.
30% of the works are for public and government works. Clients include power stations, plant
engineering firms, other.
Thee sales volume for Sept/2012 fiscal term amounted to Yen 7,014
million, a 4% up from Yen 6,728 million in the previous term. Demand rose for deteriorated power stations,
particularly after the Great North Japan Earthquake that occurred in Mar
2011. The recurring profit was posted at
Yen 481 million and the net profit at Yen 231 million, respectively, compared
with Yen 428 million recurring profit and Yen 247 million net profit,
respectively, a year ago.
For the current term ending Sept 2013 the recurring profit is projected
at Yen 490 million and the net profit at Yen 240 million, respectively, on a 4%
rise in turnover, to Yen 7,300 million.
The financial situation is considered FAIR and good for ORDINARY
business engagements. Max credit limit
is estimated at Yen 242.6 million, on 30 days normal terms.
Date Registered: Sept
1949
Legal Status: Limited Company (Kabushiki
Kaisha)
Authorized: 11.5 million shares
Issued:
2.88 million
shares
Sum: Yen
144 million
Major shareholders
(%): NCE Holdings Inc* (25),
Employees’ S/Holding inc (22)
*.. Holding company owned by the firm
No. of
shareholders: 49
Nothing detrimental is known as to the commercial morality of
executives.
Activities: Engineering
firm: design, engineering, survey, analysis and material supply, construction,
supervising for cathodic protection systems, chlorination system for plants,
power stations, vessels, other (-100)
Clients: [Mfrs,
wholesalers] Public agencies (30%), Mitsubishi Corp (25%), Tokyo Gas, Tokyo
Electric Power, IHI Corp, Chiyoda Corp, Penta Ocean Construction Co, other
No. of accounts: 500
Domestic areas of
activities: Nationwide
Suppliers: [Mfrs,
wholesalers] Mitsubishi Corporation Unimetals Co (20%), Furukawa Battery Co,
Mitsubishi Materials, Ube Ind, Hitec Inc, Lissajou Co, Unity Inc, other
Payment record: No Complaints
Location: Business
area in Tokyo. Office premises at the
caption address are leased and maintained satisfactorily.
Bank References:
MUFG (Shin-Marunouchi)
Mizuho Corporate Bank (H/O)
Relations: Satisfactory
(In Million Yen)
|
Terms Ending: |
30/09/2013 |
30/09/2012 |
30/09/2011 |
30/09/2010 |
|
|
Annual Sales |
|
7,300 |
7,014 |
6,728 |
7,026 |
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Recur. Profit |
|
490 |
481 |
428 |
499 |
|
Net Profit |
|
240 |
231 |
247 |
280 |
|
Total Assets |
|
|
4,055 |
3,660 |
3,499 |
|
Current Assets |
|
|
3,488 |
3,129 |
2,980 |
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Current Liabs |
|
|
1,491 |
1,256 |
1,348 |
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Net Worth |
|
|
2,179 |
1,970 |
1,746 |
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Capital, Paid-Up |
|
|
144 |
144 |
144 |
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Div.P.Share(¥) |
|
|
45.00 |
45.00 |
45.00 |
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<Analytical Data> |
(%) |
(%) |
(%) |
(%) |
|
|
S.Growth Rate |
4.08 |
4.25 |
-4.24 |
-9.85 |
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|
Current Ratio |
|
.. |
233.94 |
249.12 |
221.07 |
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N.Worth
Ratio |
.. |
53.74 |
53.83 |
49.90 |
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R.Profit/Sales |
|
6.71 |
6.86 |
6.36 |
7.10 |
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N.Profit/Sales |
3.29 |
3.29 |
3.67 |
3.99 |
|
|
Return
On Equity |
.. |
10.60 |
12.54 |
16.04 |
|
Notes: Forecast (or estimated) figures for the 30/09/2013 fiscal term.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.54 |
|
UK Pound |
1 |
Rs.88.05 |
|
Euro |
1 |
Rs.72.29 |
INFORMATION DETAILS
|
Report Prepared
by : |
SDA |
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 |
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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 |
|
---- |
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.