MIRA INFORM REPORT

 

 

Report Date :

23.10.2013

 

IDENTIFICATION DETAILS

 

Name :

FUJITSU TELECOM NETWORKS LIMITED

 

 

Registered Office :

1-17-3 Sakato Takatsuku Kawasaki Kanagawa-Pref 213-0012

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

March, 1935

 

 

Com. Reg. No.:

0200-01-066940 (Kawasaki-Takatsuku)

 

 

Legal Form :

Limited Company (Kabushiki Kaisha)

 

 

Line of Business :

Manufacturer of Telecommunication Equipment.

 

 

No. of Employees :

1,647

 

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, 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

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

 

FUJITSU TELECOM NETWORKS LIMITED

 

REGD NAME:   Fujitsu Telecom Networks KK

MAIN OFFICE:  1-17-3 Sakato Takatsuku Kawasaki Kanagawa-Pref 213-0012 JAPAN

Tel: 044-822-2121      Fax: 044-844-9532

 

URL:                 http://www.fujitsu.com

E-Mail address:(thru the URL)

 

 

ACTIVITIES

 

Mfg of telecommunication equipment

 

 

BRANCHES

 

Nagoya, Osaka

 

 

FACTORIES

 

Oyama, Ibaraki (2), Fukushima

 

 

OFFICERS

 

TAMOTSU INOUE, PRES           Hirofumi Niimura, dir

Tomiyuki Kume, dir                    Yasuhiro Kunimoto, dir

Katsumi Yokomatsu, dir             Masaaki Hamaba, dir    

           

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY

 

FINANCES        FAIR                             A/SALES          Yen 102,143 M

PAYMENTSNO COMPLAINTS    CAPITAL           Yen 6,691 M

TREND UP                                WORTH            Yen 24,291 M

STARTED         1935                             EMPLOYES      1,647

 

 

COMMENT

 

MFR OF TELECOMMUNICATION EQUIPMENT, OWNED BY FUJITSU LTD.

 

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

 

 

HIGHLIGHTS

           

The subject company was established by Fujitsu Ltd as its mfg division in Kanagawa-Pref.  This is a specialized mfr of telecommunication equipment and supplies.  Materials are supplied from the parent and group firms.  Clients include automakers, municipal offices, electronic makers, other, nationwide

 

 

FINANCIAL INFORMATION

           

The sales volume for Mar/2013 fiscal term amounted to Yen 102,143 million, a 17% up from Yen 87,505 million in the previous term.  Communication security systems fared well.  The sales hit the Yen 100,000 million mark, but due to material/marketing costs the profits were down.  The recurring profit was posted at Yen 350 million and the net profit at Yen 276 million, respectively, compared with Yen 1,096 million recurring profit and Yen 1,431 million net profit, respectively, a year ago.

 

For the current term ending Mar 2014 the recurring profit is projected at Yen 370 million and the net profit at Yen 300 million, respectively, on a 3% rise in turnover, to Yen 105,200 million.  . 

 

The financial situation is considered FAIR and good for ORDINARY business engagements. 

 

 

REGISTRATION

 

Date Registered:                       Mar 1935

Regd No.:                                 0200-01-066940 (Kawasaki-Takatsuku)

Legal Status:                 Limited Company (Kabushiki Kaisha)

Authorized:                  26,776,968 shares

Issued:                         26,770,968 shares

Sum:                            Yen 6,691.72 million

      Major shareholders (%): Fujitsu Ltd* (100)

           

            *..Largest computer mfr in Japan, Tokyo, founded 1935, listed Tokyo S/E, capital Yen 324,625 million, sales Yen 4,381,728 million, operating profit Yen 95,278 million, recurring profit Yen 105,439 million, net loss Yen 72,913 million, total assets Yen 1,906,117 million, net worth Yen 619,378 million, employees 168,733, pres Masami Yamamoto

 

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

 

 

OPERATION

           

Activities: Manufactures telecommunication equipment: photonics network products, power electronics equipment, security equipment (dynamic human network systems, help-call systems, home fire alert systems, other), others (--100%)

 

Clients: [Mfrs, wholesalers] Fujitsu Ltd, municipal offices, automakers, electronics makers, other 

            No. of accounts: 700

            Domestic areas of activities: Nationwide

Suppliers: [Mfrs, wholesalers] Fujitsu Ltd, Fujitsu Telecom Ibaraki, other

 

Payment record: No Complaints

 

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

 

Bank References:

                        Mizuho Bank (Musashi-Kosugi)

                        Bank of Yokohama (Musashi-Kosugi)

                        Relations: Satisfactory

 

 

FINANCES

(In Million Yen)

 

       Terms Ending:

31/03/2014

31/03/2013

31/03/2012

31/03/2011

Annual Sales

　

105,200

102,143

87,505

83,460

Recur. Profit

　

370

350

1,096

　

Net Profit

　

300

276

1,431

881

Total Assets

　

　

41,114

45,757

42,573

Current Assets

　

　

31,481

36,990

　

Current Liabs

　

　

15,504

18,820

　

Net Worth

　

　

24,291

25,295

24,637

Capital, Paid-Up

　

　

6,691

6,691

6,691

Div.P.Share(¥)

　

　

0.00

0.00

0.00

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

2.99

16.73

4.85

-1.94

    Current Ratio

 

..

203.05

196.55

..

    N.Worth Ratio

..

59.08

55.28

57.87

    R.Profit/Sales

 

0.35

0.34

1.25

..

    N.Profit/Sales

0.29

0.27

1.64

1.06

    Return On Equity

..

1.14

5.66

3.58

 

Notes: Forecast (or estimated) figures for the 31/03/2014 fiscal term.

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.61.78

UK Pound

1

Rs.99.66

Euro

1

Rs.84.49

 

 

INFORMATION DETAILS

 

Report Prepared by :

NIT

 

 

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.