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Report Date : |
24.09.2013 |
IDENTIFICATION DETAILS
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Name : |
HONDA TRADING CORPORATION HONDA TREADING CORPORATION IS A SUBSIDIARY OF HONDA TRADING
CORPORATION |
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Registered Office : |
Aoyama Bldg 9F, 1-2-3 Kitaaoyama Minatoku Tokyo107-0071 |
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Country : |
Japan |
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Financials (as on) : |
31/03/2013 |
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Date of Incorporation : |
Mar 1972 |
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Com. Reg. No.: |
(Tokyo-Chiyodaku) 071634 |
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Legal Form : |
Limited Company (Kabushiki Kaisha) |
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Line of Business : |
Import, export, wholesale of steels, machinery, nonferrous metals, seafood, other |
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No. of Employees : |
307 |
RATING & COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Status : |
Good |
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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
HONDA TRADING CORPORATION (The given name is its
subsidiary in India)
REGD NAME: KK
Honda Trading
MAIN OFFICE: Aoyama
Bldg 9F, 1-2-3 Kitaaoyama Minatoku Tokyo107-0071 JAPAN
Tel:
03-3402-1100 Fax: 03-3402-1101
URL: http://www.hondatrading-jp.com/
E-Mail
address: (thru the URL)
Import,
export, wholesale of steels, machinery, nonferrous metals, seafood, other
Nagoya,
Osaka, Tochigi, Saitama, Gunma, Suzuka (Shizuoka), Kumamoto
USA (5), Brazil (3), Europe (4), Thailand (3), China (4), Taiwan (2), Canada, Mexico, India, Indonesia, Korea, other (Tot 54 over 21 countries) (--subsidiaries & affiliates)
SHIGERU
TAKAGI, PRES Miki Yamamoto, s/mgn
dir
Hiroshi
Sekiguchi, s/mgn dir Shoichi Osawa,
mgn dir
Kazushi
Mitsui, dir Koji
Masuda, dir
Yen
Amount: In million Yen, unless
otherwise stated
FINANCES FAIR A/SALES Yen 269,297 M
PAYMENTSREGULAR CAPITAL Yen
1,600 M
TREND SLOW WORTH Yen 14,698 M
STARTED 1951 EMPLOYES 307
GENERAL TRADING HOUSE, WHOLLY OWNED BY HONDA MOTOR CO LTD. FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.
The
subject company was established on the basis of an overseas trading division
separated from Honda Motor Co Ltd, nation’s leading carmaker, Tokyo (see
REGISTRATION). This is a general trading
house for import, export and wholesale of steels, auto parts & components,
machinery, nonferrous metals, synthetic resins, marine & farm products,
lumber, other. Supplies to the parent:
steels, imported aluminum products, parts & components; and exports Honda’s
car knockdown parts & components.
Actively expanding into non-Honda clients/networks. Covers about 20 countries in Europe, Asia,
China, other.
The
sales volume for Mar/2013 fiscal term amounted to Yen 269,287 million, a 6%
down from Yen 286,157 million in the previous term. The recurring profit was posted at Yen 5,585
million and the net profit at Yen 3,734 million, respectively, compared with
Yen 4,968 million recurring profit and Yen 39 million net losses, respectively,
a year ago. .
For
the current term ending Mar 2014 the recurring profit is projected at Yen 5,600
million and the net profit at Yen 3,900 million, respectively, on a 5% rise in
turnover, to Yen 282,000 million.
The
financial situation is considered FAIR and good for ORDINARY business
engagements.
Date Registered: Mar 1972
Regd No.: (Tokyo-Chiyodaku)
071634
Legal Status: Limited Company (Kabushiki Kaisha)
Authorized: 6.4 million shares
Issued:
1.6 million shares
Sum: Yen
1,600 million
Major shareholders (%):
Honda Motor Co Ltd*(100)
*.. Major carmaker ranking in 2nd
in domestic market, Tokyo, founded 1948, listed Tokyo S/E, capital Yen 86,067
million, sales Yen 9,877,947 million, operating profit Yen 544,810 million,
recurring profit Yen 488,891 million, net profit Yen 367,149 million, total
assets Yen 13,635,357 million, net worth Yen 5,037,477 million, employees
187,094, pres Takanobu Ito
Nothing
detrimental is known as to the commercial morality of executives.
Activities: Trading
house for import, export and wholesale of: steels, steel products (23.0%),
automobile parts & components, including knockdown parts (44.0%),
nonferrous metals (26.0%), synthetic
resins, marine & farm products, pulp & paper, lumber (7.0%).
Exports
(62%)
Clients:
[Mfrs, wholesalers] Honda Motor, Honda Trading America, Honda Trading Europe,
Honda Trading Thailand, Honda Trading China, Miyuki Industries Thailand, Steel
Center, Asahi Seiren, Miyuki Industries, other.
No. of accounts: 1,000
Domestic areas of activities:
Nationwide
Suppliers:
[Mfrs, wholesalers] Nippon Steel, Honda Trading America, Honda Trading Europe,
Honda Motor, Honda Engineering, JFE Steel, Matsushita Electric Ind, Allis
Sanyo, Tanaka Seimitsu Kogyo, other.
Payment record: Regular
Location:
Business area in Tokyo. Office premises
at the caption address are leased and maintained satisfactorily.
Bank References:
MUFG (H/O)
Mizuho Corporate Bank
(H/O)
Relations: Satisfactory
(In Million Yen)
|
Terms Ending: |
31/03/2014 |
31/03/2013 |
31/03/2012 |
31/03/2011 |
|
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Annual
Sales |
|
282,000 |
269,297 |
286,157 |
306,156 |
|
Recur.
Profit |
|
5,600 |
5,585 |
4,968 |
3,653 |
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Net
Profit |
|
3,900 |
3,734 |
-39 |
-11,832 |
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Total
Assets |
|
|
82,873 |
92,484 |
88,680 |
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Current
Assets |
|
|
69,714 |
78,637 |
74,922 |
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Current
Liabs |
|
|
68,794 |
80,757 |
77,062 |
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Net
Worth |
|
|
14,698 |
10,938 |
11,350 |
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Capital,
Paid-Up |
|
|
1,600 |
1,600 |
1,600 |
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Div.P.Share(¥) |
|
|
0.00 |
75.00 |
75.00 |
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<Analytical Data> |
(%) |
(%) |
(%) |
(%) |
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S.Growth Rate |
4.72 |
-5.89 |
-6.53 |
21.81 |
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Current Ratio |
|
.. |
101.34 |
97.37 |
97.22 |
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N.Worth Ratio |
.. |
17.74 |
11.83 |
12.80 |
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R.Profit/Sales |
|
1.99 |
2.07 |
1.74 |
1.19 |
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N.Profit/Sales |
1.38 |
1.39 |
-0.01 |
-3.86 |
|
|
Return On Equity |
.. |
25.40 |
-0.36 |
-104.25 |
|
Notes:
Forecast (or estimated figures) for the 31/03/2014 fiscal term
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.52 |
|
|
1 |
Rs.100.26 |
|
Euro |
1 |
Rs.84.67 |
INFORMATION DETAILS
|
Report
Prepared by : |
NIT |
RATING EXPLANATIONS
|
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.