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Report Date : |
06.02.2014 |
IDENTIFICATION DETAILS
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Name : |
FREUND CORPORATION |
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Registered Office : |
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Country : |
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Financials (as on) : |
28.02.2013 |
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Date of Incorporation : |
April 1964 |
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Legal Form : |
Limited Company (Kabushiki
Kaisha) |
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Line of Business : |
Manufacturing of coating
machinery, chemical/pharmaceutical products |
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No. of Employees : |
172 |
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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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 – September 30, 2013
|
Country Name |
Previous Rating (30.06.2013) |
Current Rating (30.09.2013) |
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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
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Source
: CIA |
FREUND CORPORATION
REGD NAME: Freund
Sangyo KK
MAIN OFFICE: Shinjuku
TX Bldg 4F. 1-3-21 Okubo Shinjukuku Tokyo169-0072 JAPAN
Tel: 03-5292-0240 Fax: 03-5292-0290 -
URL: http://www.freund.co.jp
E-Mail
address: (thru the UEL)
Mfg of
coating machinery, chemical/pharmaceutical products
Osaka,
Nagoya, Hamamatsu
Hamamatsu
(subcontracted)
IWAO
FUSEJIMA, PRES
Yen
Amount: In million Yen, unless
otherwise stated
FINANCES FAIR A/SALES Yen 16,396 M
PAYMENTS NO COMPLAINTS CAPITAL Yen
1,035 M
TREND UP WORTH Yen 9,315 M
STARTED 1964 EMPLOYES 172
MFR OF DIVERSE LINE OF MACHINERY
FINANCIAL SITUATION COSIDERED
FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.
|
Business |
Terms Ending |
Annual Sales* |
R.Profit* |
N.Profit* |
S.Growth |
Net Worth* |
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Results: |
28/02/2010 |
12,943 |
951 |
563 |
(%) |
7,939 |
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(Consolidated) |
28/02/2011 |
13,257 |
998 |
516 |
2.43 |
8,071 |
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|
29/02/2012 |
16,236 |
1,123 |
608 |
22.47 |
8,489 |
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|
28/02/2013 |
16,396 |
1,618 |
765 |
0.99 |
9,315 |
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|
28/02/2014 |
18,500 |
1,760 |
950 |
12.83 |
.. |
Unit: In Million Yen
Forecast figures for the 28/02/2014
fiscal term.
This is diverse line of machinery maker, with coating
machinery and chemical products as 2 main lines. Customers are mainly food industry &
pharmaceutical businesses. Relies over
half of production upon outside firms..
The sales volume for Feb/2013 fiscal term amounted to Yen
16,396 million, a 1%up from Yen 16,236 million in the previous term. The recurring profit was posted at Yen 1,618
million and the net profit at Yen 765 million, respectively, compared with Yen
1,123 million recurring profit and Yen 608 million net profit, respectively, a
year ago.
For the current term ending Feb 2014 the recurring profit is
projected at Yen 1,760 million and the net profit at Yen 950 million, on a 13%
rise in turnover, to Yen 18,500 million.
The financial situation is considered FAIR and good for
ORDINARY business engagements.
Date
Registered: Apr
1964
Legal Status: Limited Company (Kabushiki Kaisha
Authorized:
80 million shares
Issued: 9200,000
Sum: Yen 1,035 million
Major shareholders (%): Yasutoyo Fusejima (10.3), FIL
Co (8.9), Company’s Treasury Stock (6.2), MUFG (4.6), Master Trust of Japan T
(4.1), SMBC (4.0), Okawara Mfg (3.6), Japan Trustee Services T (3.3),
Employees’ S/Holding Assn (2.7), Nomura Trust Inv T (2.0); foreign owners (5.5)
No. of shareholders: 2,786
Listed on the S/Exchange (s) of:
JASDAQ
Managements: Yasutoyo Fusejima, ch; Iwao Fusejima,
pres; Osamoto Nishimura mgn dir; Takashi Gushiken, dir; Ryujiro Fusejima, dir; Norio
Shiratori, dir
Nothing
detrimental is known as to the commercial morality of executives.
Activities: Manufactures coating/other machinery
(60%), chemials40%)
Overseas Sales Ratio (22%)
Clients: [Mfrs, wholesalers] Lion Corp, JGC Corp,
other
No. of
accounts: 300
Domestic
areas of activities: Nationwide
Suppliers:
[Mfrs, wholesalers] NRL Pharma, Freund Chemical, Freund Turbo, other
Payment record: No
complaints
Location:
Business area in Tokyo. Office premises at
the caption address are leased and maintained satisfactorily.
Bank References:
MUFG
(Takadanobaba)
MUFG
(Takadanobaba)
Relations:
Satisfactory
(In Million Yen)
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FINANCES: (Consolidated
in million yen) |
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Terms Ending: |
28/02/2013 |
29/02/2012 |
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INCOME STATEMENT |
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Annual Sales |
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16,396 |
16,236 |
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Cost of Sales |
11,313 |
10,624 |
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GROSS PROFIT |
5,083 |
4,612 |
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Selling & Adm Costs |
3,612 |
3,546 |
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OPERATING PROFIT |
1,470 |
1,065 |
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Non-Operating P/L |
148 |
58 |
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RECURRING PROFIT |
1,618 |
1,123 |
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NET PROFIT |
765 |
608 |
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BALANCE SHEET |
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Cash |
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3,617 |
3,035 |
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Receivables |
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4,764 |
4,954 |
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Inventory |
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2,101 |
1,873 |
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Securities, Marketable |
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Other Current Assets |
606 |
692 |
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TOTAL CURRENT ASSETS |
11,088 |
10,554 |
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Property & Equipment |
2,910 |
2,861 |
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Intangibles |
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29 |
26 |
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Investments, Other Fixed Assets |
944 |
901 |
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TOTAL ASSETS |
14,971 |
14,342 |
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Payables |
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2,478 |
2,810 |
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Short-Term Bank Loans |
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Other Current Liabs |
2,537 |
2,394 |
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TOTAL CURRENT LIABS |
5,015 |
5,204 |
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Debentures |
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Long-Term Bank Loans |
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Reserve for Retirement Allw |
165 |
168 |
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Other Debts |
|
475 |
480 |
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TOTAL LIABILITIES |
5,655 |
5,852 |
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MINORITY INTERESTS |
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Common
stock |
1,035 |
1,035 |
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Additional
paid-in capital |
1,282 |
1,282 |
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Retained
earnings |
7,720 |
7,084 |
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Evaluation
p/l on investments/securities |
14 |
3 |
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Others |
|
(535) |
(714) |
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Treasury
stock, at cost |
(201) |
(201) |
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TOTAL S/HOLDERS` EQUITY |
9,315 |
8,489 |
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TOTAL EQUITIES |
14,971 |
14,342 |
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CONSOLIDATED CASH FLOWS |
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Terms ending: |
28/02/2013 |
29/02/2012 |
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Cash
Flows from Operating Activities |
|
740 |
1,219 |
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Cash
Flows from Investment Activities |
-332 |
-154 |
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Cash
Flows from Financing Activities |
-164 |
-134 |
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Cash,
Bank Deposits at the Term End |
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3,387 |
3,035 |
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ANALYTICAL RATIOS Terms ending: |
28/02/2013 |
29/02/2012 |
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Net
Worth (S/Holders' Equity) |
9,315 |
8,489 |
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Current
Ratio (%) |
221.10 |
202.81 |
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Net
Worth Ratio (%) |
62.22 |
59.19 |
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Recurring
Profit Ratio (%) |
9.87 |
6.92 |
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Net
Profit Ratio (%) |
4.67 |
3.74 |
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Return
On Equity (%) |
8.21 |
7.16 |
FOREIGN EXCHANGE RATES
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Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.45 |
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|
1 |
Rs.102.01 |
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Euro |
1 |
Rs.84.35 |
INFORMATION DETAILS
|
Report Prepared
by : |
NIS |
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.