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Report Date : |
03.06.2013 |
IDENTIFICATION DETAILS
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Name : |
MORIMURA BROS INC |
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Registered Office : |
Morimura Bldg, 1-3-1 Toranomon Minatoku Tokyo 105-8451 |
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Country : |
Japan |
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Financials (as on) : |
31.12.2012 |
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Date of Incorporation : |
October, 1876 |
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Com. Reg. No.: |
029693 |
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Legal Form : |
Limited Company |
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Line of Business : |
Import, export, wholesale of metals, chemicals, electronics, other |
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No. of Employees : |
269 |
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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Maximum Credit Limit: |
Yen 880.2 million |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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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, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
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 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 |
MORIMURA BROS INC
Morimura Shoji KK
Morimura Bldg, 1-3-1 Toranomon Minatoku Tokyo 105-8451 JAPAN
Tel: 03-3502-6431 Fax:
03-3503-2002
URL: http://www.morimura.co.jp/
E-Mail address: sales-hq@morimura.co.jp
Import, export, wholesale of metals, chemicals, electronics, other
Osaka, Nagoya, Okayama, Kitakyushu
USA (2), Netherlands, Hong Kong (3), China (4), Singapore, India
(Chennai)
(Subsidiaries): Chettinad MB-F Hi Silica Pvt Ltd (India); Morimura Bros
(HK) Ltd (Hong Kong); New Leo
Electronics (Shenzhen) Ltd (China).
YUSUKE MORIMURA, PRES Shunsuke
Morimura, ch
Yoshihiro Ueda, S/mgn dir Shunji
Akieda, s/mgn dir
Ichiro Wakui, mgn dir Makoto
Katagiri, mgn dir
Yen Amount: In million Yen,
unless otherwise stated
FINANCES FAIR A/SALES Yen 77,626 M
PAYMENTS REGULAR CAPITAL Yen
180 M
TREND SLOW WORTH Yen 4,335 M
STARTED 1876 EMPLOYES 269
TRADING COMPANY SPECIALIZING IN METALS & INDUSTRIAL CHEMICALS.
FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS
ENGAGEMENTS.
MAX CREDIT LIMIT: YEN 880.2 MILLION, 30 DAYS NORMAL TERMS
This an old-established trading firm dating back to 1876 when Ichitaro Morimura
and his brother Toyo founded a trading firm named “Morimura Gumi”, and has been
succeeded by their descendants. The firm
has played major role in establishing a number of major ceramic-related
companies, such as Toto Ltd, NGK Insulators Ltd, NGK Spark Plug Co Ltd,
Noritake Co Ltd, etc. In1993 Shunsuke
Morimura, now ch, was appointed as pres, and in 2002 the current pres Yusuke
Morimura was appointed to the pres office.
This is a trading company now handling a wide range of materials from
ceramics, industrial chemical materials to foods, household items (see OPERATION). Overseas trading ratio is very high.
.
Sole agent for: Norsk Hydro ASA (Norway); Magnesium Electron Ltd (UK).
Marketing rights from: Alcoa Inc (USA); Titanium Metals Corp (USA),
Valtimet
The sales volume for Dec/2012 fiscal term amounted to Yen 77,626
million, a shade down from Yen 77,837 million in the previous term. High Yen hurt import/export earnings &
profits in Yen terms. The recurring
profit was posted at 2,479 million and the net profit at Yen 1,098 million,
respectively, compared with Yen 2,527 million recurring profit and Yen 4,312
million net losses, respectively, a year ago.
For the current term ending Dec 2013 the recurring profit is projected
at Yen 2,500 million and the net profit at Yen 1,200 million, respectively, on
a 5% rise in turnover, to Yen 81,500 million. .
Weaker Yen may contribute to raise earnings in Yen terms.
The financial situation is considered FAIR to GOOD and responsible for
ORDINARY business engagements. Max
credit limit is estimated at Yen 880.2 million, on 30 days normal terms.
Date
Registered: Oct 1876
Regd No.: (Tokyo-Minatoku)
029693
Legal Status: Limited
Company (Kabushiki Kaisha)
Authorized: 6
million shares
Issued: 1.8
million shares
Sum: Yen
180 million
Major shareholders (%): Morimura Homeikai Foundation (18.4),
Shunsuke Morimura (12.2), Employees’ \s/Holding Assn (12.0), Yusuke Morimura
(9.6), MUFG (5)
No. of
shareholders: 63
Nothing detrimental is known as to the commercial morality of
executives.
Activities: Imports, exports
and wholesales (sales breakdown by items):
Metals, light
metals (25%): magnesium ingots, magnesium rolled products, aluminum/magnesium die-cast products, magnesium alloy
recycling, aluminum primary & secondary products, stainless steel products,
aluminum master alloy & grain refiner, aluminum metal products, special
magnesium alloy ingots, prototyping of magnesium casting, titanium products;
Chemical materials
& products (40%): organic & inorganic chemicals used as engineering plastics, color additives
for printing ink, metal surface treatments, and various treatments for printed
circuit boards, plating materials, catalysts, other;
Electronic
materials & products (12%): quartz, silica powder, fused silica, feldspar
& powder, quartz materials & components, electronic parts, fine
chemical products, Chin-hae (Korea) silica stone, fusing quartz, cristobalite,
electronic parts key materials, optical fiber cable connecting parts, other;
Ceramics &
minerals (for refractories) (15%): alumina, silicon carbide, bauxite, magnesia
clinker, alumina cement, kyanite, andalsite, other;
Others (8%): Industrial
machinery (automotive parts, construction machines, emission gas analyzers, cutting tools, hydraulic fitting
products), aromatics & foodstuffs (oils & fats, spirits, aroma
chemical, frozen foods, functional food materials), household products (rubber
boots & sandals, shoes, model trains, gardening materials, wiper blades,
other).
Imports &
exports (50%).
(Breakdowns are
all about)
Clients: [Mfrs,
wholesalers] Kawasaki Heavy Ind, Fuji Heavy Ind, Krosaki Harima Corp, NGK
Insulators, Toyama Murata Mfg, Denki Kagaku Kogyo, Hitachi Zosen, Toyo Ink Mfg,
Almatis Ltd, Sumitomo Corp, Morimura Bros Co Shanghai, Morimura Bros Co Hong
Kong, Morimura Bros Inc USA, Nippon Electric Glass Co, other.
No. of accounts: 2,000
Domestic areas of
activities: Nationwide
Suppliers: [Mfrs,
wholesalers] Alcoa Japan Ltd, Morimura Chemical Ltd, Showa Denko, Toto Ltd, Tosoh Ltd, Morimura Bros (HK),
Alcoa Inc (USA), Hydro Magnesium X’ian Co Ltd (China), Almatis Ltd, Sumitomo
Bakelite, Sumitomo Chemical, other.
Payment record: Regular
Location: Business area in
Tokyo. Office premises at the caption
address are owned and maintained satisfactorily.
Bank References:
MUFG (Toranomon)
Mizuho Bank (Toranomon)
Relations: Satisfactory
(In Million Yen)
|
Terms Ending: |
31/12/2013 |
31/12/2012 |
31/12/2011 |
31/12/2010 |
|
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Annual Sales |
|
81,500 |
77,626 |
77,837 |
73,873 |
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Recur. Profit |
|
2,500 |
2,479 |
2,527 |
1,283 |
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Net Profit |
|
1,200 |
1,098 |
-4,312 |
57 |
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Total Assets |
|
|
31,140 |
34,437 |
25,333 |
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Current Assets |
|
|
24,575 |
26,851 |
22,034 |
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Current Liabs |
|
|
22,484 |
26,105 |
16,447 |
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Net Worth |
|
|
4,335 |
3,037 |
7,351 |
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Capital, Paid-Up |
|
|
180 |
180 |
180 |
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Div.P.Share(¥) |
|
|
0.00 |
0.00 |
0.00 |
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<Analytical Data> |
(%) |
(%) |
(%) |
(%) |
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S.Growth Rate |
4.99 |
-0.27 |
5.37 |
16.43 |
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Current Ratio |
|
.. |
109.30 |
102.86 |
133.97 |
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N.Worth Ratio |
.. |
13.92 |
8.82 |
29.02 |
|
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R.Profit/Sales |
|
3.07 |
3.19 |
3.25 |
1.74 |
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N.Profit/Sales |
1.47 |
1.41 |
-5.54 |
0.08 |
|
|
Return On Equity |
.. |
25.33 |
-141.98 |
0.78 |
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Notes: Forecast (or estimated) figures for the 31/12/2013 fiscal term.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.56.49 |
|
|
1 |
Rs.86.81 |
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Euro |
1 |
Rs.73.68 |
INFORMATION DETAILS
|
Report Prepared
by : |
SDA |
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.