MIRA INFORM REPORT

 

 

Report Date :

30.07.2014

 

IDENTIFICATION DETAILS

 

Name :

CBC CO LTD

 

 

Registered Office :

CBC Bldg, 2-15-13 Tsukishima Chuoku Tokyo 104-0052

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

November 1935

 

 

Com. Reg. No.:

0100-01-050333

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Subject is a Trading Firm for Import, Export, Wholesale of Chemical Products, IT-Related Products, Security-Related Products

 

 

No. of Employees :

435

 

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 – June 1, 2014

 

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

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

 

CBC CO LTD

 

 

REGD NAME

 

CBC KK           

 

 

MAIN OFFICE

 

CBC Bldg, 2-15-13 Tsukishima Chuoku Tokyo 104-0052 Japan

Tel: 03-3536-4500   

Fax: 03-3536-4774

 

URL:                             http://www.cbc.co.jp/

E-Mail address: info@cbc.co.jp

 

ACTIVITIES:     Trading firm for import, export, wholesale of chemical products, IT-related products, security-related products

 

BRANCHES:     Osaka, Nagoya, Fukuoka, Mishima

 

OVERSEAS:     New York, Los Angeles, London, Milan, Paris, Düsseldorf, Warsaw, Taipei,

                        Bangkok, Singapore, Jakarta, Chittagong, Mumbai, China (4), other (Tot 31)

 

FACTORIES

 

Osaka, Mishima; Novata (Italy), Chittagong (Bangladesh), Bangkok

(Thailand), Beijing, Chungshu, Dongguan (--China), Vietnam (--subcontracted)

 

 

OFFICER(S)

 

UTARO DOI, PRES                                Takayasu Owada, COO                                                             

Shoichi Takabatake, s/mgn dir                Hiroaki Ichii, mgn dir                                                                  

Masataro Doi, mgn dir                            Toshikazu Matsuda, dir 

 

Yen Amount:    In million Yen, unless otherwise stated

 

SUMMARY

 

FINANCES        FAIR                             A/SALES          Yen 135,692 M

PAYMENTS      NO COMPLAINTS          CAPITAL           Yen 5,100 M

TREND UP                                WORTH            Yen 31,727 M

STARTED         1935                             EMPLOYES      435

 

COMMENT:       TRADING HOUSE SPECIALIZING IN INDUSTRIAL CHEMICALS &

                        IT-RELATED PRODUCTS. 

FINANCIAL SITUATION CONSIDERED FAIR TO GOOD AND RESPONSIBLE FOR ORDINARY BUSINESS ENGAGEMENTS.

 

 

HIGHLIGHTS

           

The subject company was established originally in 1925 by Utaro Doi, and has been succeeded by the present executives.  This is a trading firm specializing in industrial chemicals, synthetic resins, medical products, agricultural chemicals, etc.  Of recent development include security apparatus, such as monitoring camera lenses, devices, etc, both rising in demand at home and abroad.  Goods are originally designed and manufactured on consignment by overseas factories.  Also handles liquid crystal display panels and peripherals.  In Jun 2006, acquired all stocks of PROCOS, pharmaceutical fine chemicals mfr, Italy, to make it a wholly owned subsidiary.  In Oct 2010, invested in Millinet Solar Co Ltd, a solar cell maker in Korea.  Operates a global network of 31 bases in 15 countries including USA and countries in Western & Eastern Europe and Asia including Middle East.  Clients are major chemical mfrs, paint makers, pharmaceuticals, other in the related fields.

 

 

FINANCIAL INFORMATION

 

The sales volume for Mar/2014 fiscal term amounted to Yen 135,692 million, a 4% up from Yen 129,999 million in the previous term.  Overseas production increased.  Exports were robust.  The recurring profit was posted at Yen 2,925 million and the net profit at Yen 1,771 million, respectively, compared with Yen 2,804 million recurring profit and Yen 1,648 million net profit, respectively, a year ago. 

 

For the current ending Mar 2015 the recurring profit is projected at Yen 3,000 million and the net profit at Yen 1,900 million, respectively, on a 5% rise in turnover, to Yen 142,000 million.  Business is seen expanding steadily.

 

The financial situation is considered FAIR and good for ordinary BUSINESS engagements. 

 

 

REGISTRATION

 

Date Registered:                      Nov 1935

Regd No.:                                 0100-01-050333 (Tokyo-Chuoku)

Legal Status:                           Limited Company (Kabushiki Kaisha)

Authorized:                              68 million shared

Issued:                                     17 million shares

Sum:                                        Yen 5,100 million

Major shareholders (%):           Utaro Doi (24.6), Employees’ S/Holding Assn (23.4), U-D KK (16.6), Shotaro Doi (14.7)

No. of shareholders:                24

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

 

OPERATION

 

Activities: A trading house specializing in security-related products (monitoring camera lenses, apparatus, etc), liquid crystal display panels & peripherals, solar batteries, electronic components & devices (--59%), other industrial chemicals, synthetic resins, medical products, agricultural chemicals, foodstuffs, textiles & clothing, others (--41%). 

(Export 20%)

           

Clients: [Mfrs, wholesalers] Circle K Sunkus, Toppan Printing, Sony Corp, Yakult Honsha, Nitto Denko Corp, Nippon Paint, Takeda Chemical, Okura Ind, Toray Ind, Meiwa Pax Co, other

No. of accounts: 1,000

Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Asahi Denka Kogyo, Shin-Etsu Chemical, Okura Ind, Mitsubishi Rayon, Sumitomo Chemical, DIC, ADEKA, Kyowa Hakko Chemical, Samsung, LG (--Korea), PS Japan, Du Pont-Mitsui Fluorochemicals Co, other

 

Payment record: No Complaints

 

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

 

 

Bank References:

MUFG (Tokyo)

Mizuho Bank (Kyobashi)

Relations: Satisfactory

 

 

FINANCES

 

(In Million Yen)

 

       Terms Ending:

31/03/2015

31/03/2014

31/03/2013

31/03/2012

Annual Sales

　

142,000

135,692

129,999

131,294

Recur. Profit

　

3,000

2,925

2,804

2,665

Net Profit

　

1,900

1,771

1,648

695

Total Assets

　

　

106,437

103,819

98,450

Current Assets

　

　

58,412

60,328

60,388

Current Liabs

　

　

48,291

52,018

56,696

Net Worth

　

　

31,727

29,598

25,760

Capital, Paid-Up

　

　

5,100

5,100

5,100

Div.P.Share(¥)

　

　

11.00

11.00

11.00

<Analytical Data>

(%)

(%)

(%)

(%)

       S.Growth Rate

4.65

4.38

-0.99

-6.24

       Current Ratio

 

..

120.96

115.98

106.51

       N.Worth Ratio

..

29.81

28.51

26.17

       R.Profit/Sales

 

2.11

2.16

2.16

2.03

       N.Profit/Sales

1.34

1.31

1.27

0.53

       Return On Equity

..

5.58

5.57

2.70

 

Notes: Forecast (or estimated) figures for the 31/03/2015 fiscal term.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.60.10

UK Pound

1

Rs.102.04

Euro

1

Rs.80.74

 

INFORMATION DETAILS

 

Analysis Done by :

SUM

 

 

Report Prepared by :

TPT

 

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.