MIRA INFORM REPORT

 

 

Report Date :

19.12.2014

 

IDENTIFICATION DETAILS

 

Name :

KISCO LTD.

 

 

Registered Office :

3-3-7, Fushimimachi, Chuo-ku, Osaka-shi, Osaka 541-0044

 

 

Country :

Japan

 

 

Date of Incorporation :

31.03.1930

 

 

Com. Reg. No.:

1200-01-077392

 

 

Legal Form :

Private Company

 

 

Line of Business :

Trader of Chemicals.

 

 

No of Employees :

276

 

 

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 – September 30, 2014

 

Country Name

Previous Rating

(30.06.2014)

Current Rating

(30.09.2014)

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. Prime Minister Shinzo ABE has declared the economy his government's top priority; he has overturned his predecessor's plan to permanently close nuclear power plants and is pursuing an economic revitalization agenda of fiscal stimulus, monetary easing, and structural reform. Japan joined the Trans Pacific Partnership negotiations in 2013, a pact that would open Japan's economy to increased foreign competition and create new export opportunities for Japanese businesses. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, Japan in 2013 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 is exceeding 230% of GDP. To help raise government revenue and reduce public debt, Japan decided in 2013 to gradually increase the consumption tax to a total of 10% by the year 2015. Japan is making progress on ending deflation due to a weaker yen and higher energy costs, but reliance on exports to drive growth and an aging, shrinking population pose other major long-term challenges for the economy.

 

Source : CIA

 

COMPANY NAME

 

KISCO LTD.

 

 

OUTLINE

 

========

Country:                                                Japan

Company name:                                    KISCO LTD.

Name in local language:                         KISCO K.K.  (ＫＩＳＣＯ株式会社)

Office address:                                     3-3-7, Fushimimachi, Chuo-ku, Osaka-shi, Osaka 541-0044

Office tel:                                                         06-6203-5651

Website:                                                           www.kisco-net.co.jp/

Business type:                                      Trader

Industry:                                                           Chemicals

Established:                                          March 31, 1930

Capital:                                                             Jp. 600,000,000 yen

Employees:                                          276

Corporate formation:                             Private

Corporation No.:                                   1200-01-077392 (Osaka Legal Affairs Bureau)

 

 

MAJOR SHAREHOLDERS

 

=====================

Paid up capital:                         Jp. 600,000,000 yen

Number of authorized shares:                48,000,000 shares

Number of outstanding shares:              12,000,000 shares

Number of shareholders  :         288

 

Shareholder Name                                           No of Thousand Shares (%)

------------------------------------------------------------------------------------------------------

Kishimoto Co., Ltd.                                           4,757 (39.6)

Ms. Kazuko Kishimoto                                       1,299 (10.8)

Mr. Shoichi Kishimoto                                      635 ( 5.3)

Mr. Shinji Yagi                                                   479 ( 4.0)

Ms. Hiroko Kishimoto                                        376 ( 3.1)

 

 

DETAILED PRODUCT CLASSFICATION & ACTIVITY

 

===========================================

Activity                         Product/Service Description

-------------------------------------------------------------------------------

Trading                                     Chemicals

Trading                                     Electronic materials

Trading             Machinery

Trading             Food and beverages

Trading             Medical products

Trading             Construction materials and housing items

 

 

COMPANY MANAGEMENT

 

======================

President                      Mr. Takekazu Kishimoto

Nationality:                    Japan

 

Director                                    Mr. Shuichi Kawabata

Nationality:                    Japan

 

Director                                    Mr. Koichi Takeda

Nationality:                    Japan

 

Director                                    Mr. Satohiro Ishikawa

Nationality:                    Japan

 

 

 

Director                                    Mr. Yuji Ogawa

Nationality:                    Japan

 

Director                                    Mr. Shoji Sugimoto

Nationality:                    Japan

 

Auditor                                     Mr. Takamochi Okudaira

Nationality:                    Japan

 

Auditor                                     Mr. Masahide Watanabe

Nationality:                    Japan

 

Auditor                                     Mr. Hiroshi Nemoto

Nationality:                    Japan

 

Auditor                                     Mr. Yasushi Hieda

Nationality:                    Japan

 

Note: The names of director(s) and auditor(s) are phonetically spelt.

 

*Key Personnel*

 

==============

Mr. Takekazu Kishimoto, representative director and president

Born in March 1980 in Tokyo

Business career:

Jan. 2008: Employed by the subject.

Jun. 2009: Director.

Nov. 2010: Representative director & president.

Home address: 2-8, Ichiban-cho, Chiyoda-ku, Tokyo 102-0082

 

 

FINANCIALS

 

===========

Currency: (local currency - Jp. yen)

-------------------------------------------------------------------------------------

 Year |         Sales            |       Net Income    

-------------------------------------------------------------------------------------

2009

86,598,387,000

331,602,000

2010

81,290,667,000

44,216,000

2011

88,166,460,000

524,878,000

2012

76,257,539,000

863,825,000

2013

71,347,080,000

970,227,000

2014

80,260,652,000

551,838,000

 

 

FINANCIAL DESCRIPTION

 

=====================

*Book Closing*

March 31st

 

*Financials*

==========

Consolidated Balance Sheet

 

 

 

Unit: millions of JP yen

 

 

 

                          

3/31/2012

3/31/2013

3/31/2014

Current assets  

37,463

38,067

37,607

 Cash & deposits      

9,636

9,724

8,755

 Account receivables   

23,703

23,027

24,208

 Inventories          

3,214

3,713

3,655

 Others

910

1,603

989

Fixed assets           

19,603

21,778

25,521

 Tangible assets      

7,632

7,489

8,177

 Intangible assets    

263

282

230

 Investments & others  

11,707

14,006

17,113

Total Assets       

57,066

59,846

63,128

　

　

　

　

Current liabilities     

28,940

26,913

25,428

 Account payables  

19,527

18,737

17,189

 Short term loans    

5,796

5,039

5,415

 Bonds payable due   

1,514

1,064

914

 Outstanding taxes    

660

713

486

 Others

1,443

1,360

1,424

 

 

Fixed liabilities      

14,047

15,754

18,490

 Bonds payable

3,381

3,417

2,503

 Long term loans      

7,520

8,347

11,428

 Retirement benefits    

1,096

1,161

1,430

 Others

2,050

2,829

3,129

Shareholders' equity    

10,592

11,520

12,012

 Paid up capital      

600

600

600

 Capital reserves      

21

21

21

 Retained earnings    

9,972

10,900

11,392

 Treasury stock        

-1

-1

-1

Valuation & adjustment 

1,959

4,013

5,367

Minority Interest    

1,526

1,644

1,829

Total Net Assets       

14,078

17,178

19,209

Total Liabilities & Net Assets     

57,066

59,846

63,128

 

 

 

 

 

 

 

 

Consolidated Income Statement

 

 

 

Unit : millions of JP yen

 

 

 

                          

3/31/2012

3/31/2013

3/31/2014

Sales           

76,257

71,347

80,260

Cost of goods sold      

65,881

61,614

69,710

Gross profit(loss)    

10,376

9,732

10,550

Sales/administrative expenses  

8,373

8,134

9,033

Operating profit(loss)    

2,002

1,598

1,516

Non operating income        

428

503

586

Non operating expenses       

496

384

411

Ordinary profit(loss)      

1,934

1,717

1,692

Special profits                

78

844

209

Special losses             

133

376

292

Pretax profit                

1,879

2,184

1,609

Taxes & adjustment           

877

1,083

969

Minority interest   

138

130

87

Net profit      

863

970

551

 

 

*Bank Details*

 

============

Bank Name:      Bank of Tokyo-Mitsubishi UFJ, Ltd.

Branches:         Nihonbashi, Osaka-chuo and Ohdenmacho

 

Bank Name:      Sumitomo Mitsui Banking Corp.

Branches:         Nihonbashi and Osaka-chuo

 

 

 

Bank Name:      Mizuho Bank, Ltd.

Branches:         Nihonbahsi and Osaka-chuo

 

 

*Credit Opinion*

 

==============

The subject is an Osaka-based long-standing firm specializing in plastic and chemical products since 1921.

A steady performance has been maintained despite declining sales for recent years.

The financial condition is sound enough.

Negative factors are not observed financially at present.

 

 

LOCAL BRANCHES & MANAGEMENT

 

===========================

Branch name:                TOKYO BUSINESS HEADQUARTERS                                                   

Branch address:            4-11-2, Nihonbai-Honcho, Chuo-ku, Tokyo                                                        

----------------------------------------------------------------------------------------------------

Branch name:                KOBE SALES OFFICE                                                              

Branch address:            3-2-3, Sakaemachi-Dori, Chuo-ku,  Kobe city, Hyogo pref.                                               

----------------------------------------------------------------------------------------------------

Branch name:                NAGOYA SALES OFFICE                                                           

Branch address:            3F, Nagoya Nishiki Front Tower, 2-3-4, Naka-ku,

Nagoya-shi, Aichi pref.                                             

----------------------------------------------------------------------------------------------------

Branch name:                FUKUOKA SALES OFFICE                                                          

Branch address:            4F, Fukuoka Tenjin Fukokuseimei Building, 1-9-17, Tenjin,

Chuo-ku, Fukuoka-shi, Fukuoka pref.                                          

----------------------------------------------------------------------------------------------------

Branch name:                SENDAI SALES OFFICE                                                            

Branch address:            9F, Sumitomoseimei Sendai-Chuo Building, 4-6-1, Chuo,

Aoba-ku, Sendai-shi, Miyagi pref.                                            

----------------------------------------------------------------------------------------------------

Branch name:                SAPPORO SALES OFFICE                                                          

Branch address:            3-Minami 2-16, Hon-Dori, Shiroishi-ku, Sapporo-shi, Hokkaido                                           

----------------------------------------------------------------------------------------------------

Branch name:                TOKYO CREATIVE STATION                                                        

Branch address:            4-12-20, Nihonbai-Honcho, Chuo-ku, Tokyo                                                                

 

 

PRODUCT, TECHNOLOGY, SERVICE DESCRIPTION

 

========================================

*Main Products & Services*

=======================

Conducting the following business activities:

- Wholesale of raw materials of plastics

- Wholesale of industrial chemicals

- Wholesale of plastic products

- Wholesale of electronic materials

- Wholesale of general machines and equipment

- Wholesale of other chemical products

 

The above products include not only purchased items but also some items manufactured and processed by the subject.

 

 

ORGANIZATION STRUCTURE

 

======================

*Address*

=========

Registered address is the same as that of the operational head office.

 

 

*History*

 

========

Date                             Development

----------------------------------------------

1921:                            Started business as a sole proprietorship under the name of Kishihashi Shoten,

aiming at the wholesale business of industrial chemicals in Kobe City.

1930:                            Incorporated.

1943:                            Changed the company name to Kishimoto Industries Ltd.

1964:                            Relocated the head office to Osaka City.

1968:                            Increased the capital to 300 million yen.

1979:                            Increased the capital to 500 million yen.

1990:                            Increased the capital to the current 600 million yen.

2003:                            DiMer Beschichtungen GmbH, Germany became a subsidiary.

                                    ISO14001 certified.

2007:                            Changed the company name to the present KISCO Ltd.

2008:                            ISO9001 certified.

2010:                            Acquired "Kata System Co., Ltd."

2013:                            Acquired "Taiyo Materials Co., Ltd."

 

 

TRADE REFERENCES

 

================

*Suppliers*

=========

Denki Kagaku Kogyo Co.,Ltd.

Shin-etsu Chemical Co., Ltd.

Toagosei Co.,Ltd.

Gunze Ltd.

NUC Corp.

Riken Technos Corp.

Pora Techno Inc.

Chisso Corp.

Japan Polypropylene Corp.

Nissei Kako Co.,ltd.

Prime Polymer Co., Ltd.

Ishihara Sangyo Co.,Ltd.

 

*Customers*

==========

Tohkai Rubber Industries Co., Ltd.

Bando Chemical Industries, Ltd.

Sanyo Electric Co.,Ltd.

Panasonic Corp.

Nitto Denko Co., Ltd.

Daika Kyogyo Co., Ltd.

Nikko Bics Co.,Ltd.

Nihon IAC Co.,Ltd.

Mitsuboshi Belt Co., Ltd.

Tatsuta Electric Wire & Cable Co.,Ltd.

 

 

SUBSIDIARIES, JOINT-VENTURES & AFFILIATES

 

=========================================

Company name:                        KISHIMOTO KOSAN CO.,LTD.

Country:                                    Japan

Status:                                      Subsidiary

----------------------------------------------------------------------------------------------------

Company name:            FINE POLYMERS CO.,LTD.

Country:                        Japan

Status:                                      Subsidiary 

----------------------------------------------------------------------------------------------------

Company name:                        ADCOMAT JAPAN CO.,LTD.

Country:                                    Japan

Status:                                      Subsidiary

----------------------------------------------------------------------------------------------------

Company name:            SEIKI CO., LTD.

Country:                        Japan

Status:                                      Subsidiary  

----------------------------------------------------------------------------------------------------

Company name:            FINE POLYMERS TAIWAN.LTD.

Country:                        Taiwan

Status:                                      Subsidiary  

----------------------------------------------------------------------------------------------------

Company name:            KISCO (ASIA) PTE., LTD.

Country:                        Singapore

Status:                                      Subsidiary 

----------------------------------------------------------------------------------------------------

Company name:            KISCO (H.K.) CO., LTD.

Country:                        Hong Kong

Status:                                      Subsidiary

----------------------------------------------------------------------------------------------------

Company name:            KISCO (M) SDN.BHD.

Country:                        Malaysia

Status:                                      Subsidiary  

----------------------------------------------------------------------------------------------------

Company name:            dix COATING-TECH (SHENZHEN) CO.,LTD.

Country:                        China

Status:                                      Subsidiary  

----------------------------------------------------------------------------------------------------

Company name:            OTALITE CO.,LTD.

Country:                        Japan

Status:                                      Subsidiary  

----------------------------------------------------------------------------------------------------

Company name:            KISCO TRADING (SHANGHAI) CO.,LTD.

Country:                        China

Status:                                      Subsidiary  

----------------------------------------------------------------------------------------------------

Company name:            KISCO INDUSTRY & TRADE (DLFTZ) CO.,LTD

Country:                        China

Status:                                      Subsidiary  

----------------------------------------------------------------------------------------------------

Company name:            KISCO (T) CO., LTD.

Country:                        Thailand

Status:                                      Subsidiary  

----------------------------------------------------------------------------------------------------

Company name:            KISCO (Deutschland) GmdH

Country:                        Germany

Status:                                      Subsidiary  

----------------------------------------------------------------------------------------------------

Company name:            ADCOMAT (SIAM) LTD.

Country:                        Thailand

Status:                                      Subsidiary  

----------------------------------------------------------------------------------------------------

Company name:            DAISAN KASEI CO.,LTD

Country:                        Japan

Status:                                      Subsidiary  

----------------------------------------------------------------------------------------------------

Company name:            Dimer Beschichtungen GmbH

Country:                        Germany

Status:                                      Subsidiary  

----------------------------------------------------------------------------------------------------

Company name:            ADCOMAT (THAILAND) LTD.

Country:                        Thailand

Status:                                      Subsidiary  

----------------------------------------------------------------------------------------------------

Company name:            KISCO DO BRASIL COMERCIO DE PRODUTOS

QUIMICOS LTDA.

Country:                        Brazil

Status:                                      Subsidiary  

----------------------------------------------------------------------------------------------------

Company name:            KISCO KOREA LTD.

Country:                        South Korea

Status:                                      Subsidiary  

----------------------------------------------------------------------------------------------------

Company name:            KISCO Comformal Coating, LLC

Country:                        USA

Status:                          Subsidiary  

----------------------------------------------------------------------------------------------------

Company name:            PT.KISCO INDONESIA

Country:                        Indonesia

Status:                                      Subsidiary  

----------------------------------------------------------------------------------------------------

Company name:            KATA SYSTEMS CO.,LTD

Country:                        Japan

Status:                                      Subsidiary  

----------------------------------------------------------------------------------------------------

Company name:            KISCO CLOBAL SUPPORT CO., LTD.

Country:                        Japan

Status:                                      Subsidiary  

----------------------------------------------------------------------------------------------------

Company name:            TAIYO MATERIALS CO., LTD.

Country:                        Japan

Status:                                      Subsidiary  

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.63.32

UK Pound

1

Rs.98.68

Euro

1

Rs.78.11

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

ANK

 

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%)

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.