|
Report Date : |
02.06.2014 |
IDENTIFICATION DETAILS
|
Name : |
LIHIT LAB INC |
|
|
|
|
Registered Office : |
1-1-22
Noninbashi Chuoku Osaka 540-0011 |
|
|
|
|
Country : |
Japan |
|
|
|
|
Financials (as on) : |
28.02.2014 (Consolidated) |
|
|
|
|
Date of Incorporation : |
May 1948 |
|
|
|
|
Com. Reg. No.: |
1200-01-077594 (Osaka-Chuoku) |
|
|
|
|
Legal Form : |
Limited Company |
|
|
|
|
Line of Business : |
· Manufacturer of office supplies, strong in files & binders. · Expanding sales of computer-related and medical office supplies. · Subject also engaged in real estate leasing |
|
|
|
|
No of Employees : |
169 |
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 31, 2014
|
Country Name |
Previous Rating (31.12.2013) |
Current Rating (31.03.2014) |
|
Japan |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low Risk |
A2 |
|
Moderate Low Risk |
B1 |
|
Moderate Risk |
B2 |
|
Moderate High Risk |
C1 |
|
High Risk |
C2 |
|
Very High Risk |
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 |
LIHIT LAB INC
KK Lihit Lab
1-1-22 Noninbashi
Chuoku Osaka 540-0011 JAPAN
Tel:
06-6946-2525 Fax: 06-6946-2526
URL: http://www.lihit-lab.com
E-Mail address: (thru the URL)
· Manufacturer of office supplies, strong in files & binders.
· Expanding sales of computer-related and medical office supplies.
· Subject also engaged in real estate leasing
Tokyo, Sapporo, Nagoya, Hiroshima, Fukuoka
Vietnam
Shizuoka;
Vietnam
HIROKAZU TANAKA, PRES
Yen
Amount: In million Yen, unless
otherwise stated
FINANCES FAIR A/SALES Yen 8,992 M
PAYMENTS No
Complaints CAPITAL Yen 1,830 M
TREND UP WORTH Yen 8,524 M
STARTED 1948 EMPLOYES 169
MFR OF OFFICE SUPPLIES
FINANCIAL SITUATION COSIDERED
FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.
|
Business |
Terms Ending |
Annual Sales* |
R.Profit* |
N.Profit* |
S.Growth |
Net Worth* |
|
Results: |
28/02/2011 |
8,762 |
259 |
114 |
(%) |
7,943 |
|
(Consolidated) |
29/02/2012 |
8,812 |
375 |
178 |
0.57 |
8,038 |
|
28/02/2013 |
8,808 |
390 |
211 |
-0.05 |
8,314 |
|
|
28/02/2014 |
8,992 |
381 |
208 |
2.09 |
8,524 |
|
|
28/02/2015 |
9,300 |
250 |
150 |
3.43 |
.. |
Unit: In Million Yen
Forecast figures for the 28/02/2015
fiscal term.
This is a medium-size mfr of office supplies, strong in files &
binders. Expanding sales of
computer-related and medical office supplies.
Also engaged in real estate leasing.
Intensifying distribution function in Tokyo area. Has a plant in Shizuoka to cover the eastern
Japan market and uses it as a distribution base. The firm will integrate distribution
functions at the plant in Vietnam, and incorporate a new warehouse. The company also plans to start partial
individual-use file exports to the US and Australia.
The sales volume for Feb/2014 fiscal term amounted to Yen 8,992 million,
a 2.1% up from Yen 8,808 million in the previous term. Sales of individual-use products, including
easy-carry men’s bags and document organizers, fared well. The recurring profit was posted at Yen 381
million and the net profit at Yen 208 million, respectively, compared with Yen
390 million recurring profit and Yen 211 million net profit, respectively, a
year ago.
For the current term ending Feb 2015 the recurring profit is projected
at Yen 250 million and the net profit at Yen 150 million, on a 3.4% rise in
turnover, to Yen 9,300 million. Sales of
individuals will grow.
The financial situation is considered FAIR and good for ORDINARY
business engagements.
Date Registered: May
1948
Regd No.: 1200-01-077594 (Osaka-Chuoku)
Legal Status:
Limited Company (Kabushiki Kaisha
Authorized: 40 million shares
Issued: 19,078,500 shares
Sum: Yen 1,830
million
Major shareholders
(%):
Company’s Treasury Stock (10.9), Company’s
Kyoeikai Assn (8.0), Tsunehisa Tanaka (4.9), SMBC (3.8), MUFG (3.4), Nippon
Life Ins (3.3), Meiji Yasuda Life Ins (2.7), Kanji Tanaka (2.7), Employees’
S/Holding Assn (1.9), Sheedom Co (1.2)
No. of
shareholders: 1,276
Listed on the S/Exchange (s) of:
Tokyo (Second Section)
Managements: Tsunehisa
Tanaka, ch; Hirokazu Tanaka, pres; Fumihiro Tanaka, mgn dir; Yuji Taniguchi,
mgn dir; Takaaki Ouchi, mgn dir; Yoshinori Doke, dir
Nothing detrimental is known as to the commercial morality of
executives.
Related companies: Lihit Lab
Vietnam, O’e Building Service, other.
Activities: Manufactures
office supplies, etc (95%), real estate leasing (5%)
Clients: [Mfrs,
wholesalers] Crown Group firms, Askul Corp, Ecole Ryutsu Group, Plus
Corp, Kaunet Co, Mitsubishi Stationery Co, Fuji Bungu Co, Biznet Corp,
other
No. of accounts: 500
Domestic areas of activities: Nationwide
Suppliers:
[Mfrs, wholesalers] Lihit Lab Vietnam, Sunny Eternity, Kono Platec, Japan
Polypropylene Corp, other
Payment
record: No Complaints
Location:
Business area in Osaka. Office premises at
the caption address are owned and maintained satisfactorily.
Bank References:
SMBC
(Midosuji)
MUFG
(Semba-Chuo)
Relations:
Satisfactory
(In Million Yen)
|
FINANCES: (Consolidated
in million yen) |
||||
|
|
|
Terms Ending: |
28/02/2014 |
28/02/2013 |
|
INCOME STATEMENT |
||||
|
Annual Sales |
|
8,992 |
8,808 |
|
|
Cost of Sales |
6,007 |
5,788 |
||
|
GROSS PROFIT |
2,984 |
3,019 |
||
|
Selling & Adm Costs |
2,758 |
2,698 |
||
|
OPERATING PROFIT |
225 |
320 |
||
|
Non-Operating P/L |
156 |
70 |
||
|
RECURRING PROFIT |
381 |
390 |
||
|
|
NET PROFIT |
208 |
211 |
|
|
BALANCE SHEET |
||||
|
Cash |
|
1,221 |
1,548 |
|
|
Receivables |
1,801 |
1,698 |
||
|
Inventory |
2,231 |
2,292 |
||
|
Securities, Marketable |
|
|
||
|
Other Current Assets |
3,273 |
219 |
||
|
TOTAL CURRENT ASSETS |
8,526 |
5,757 |
||
|
Property & Equipment |
6,523 |
6,598 |
||
|
Intangibles |
56 |
69 |
||
|
Investments, Other Fixed Assets |
(1,977) |
871 |
||
|
TOTAL ASSETS |
13,128 |
13,295 |
||
|
Payables |
815 |
1,085 |
||
|
Short-Term Bank Loans |
569 |
569 |
||
|
|
|
|
||
|
Other Current Liabs |
631 |
547 |
||
|
TOTAL CURRENT LIABS |
2,015 |
2,201 |
||
|
Debentures |
|
|
||
|
Long-Term Bank Loans |
1,088 |
1,300 |
||
|
Reserve for Retirement Allw |
883 |
900 |
||
|
Other Debts |
|
618 |
579 |
|
|
TOTAL LIABILITIES |
4,604 |
4,980 |
||
|
MINORITY INTERESTS |
||||
|
Common
stock |
1,830 |
1,830 |
||
|
Additional
paid-in capital |
1,411 |
1,411 |
||
|
Retained
earnings |
5,357 |
5,238 |
||
|
Evaluation
p/l on investments/securities |
166 |
91 |
||
|
Others |
157 |
(4) |
||
|
Treasury
stock, at cost |
(397) |
(252) |
||
|
TOTAL S/HOLDERS` EQUITY |
8,524 |
8,314 |
||
|
|
TOTAL EQUITIES |
13,128 |
13,295 |
|
|
CONSOLIDATED CASH FLOWS |
||||
|
Terms ending: |
28/02/2014 |
28/02/2013 |
||
|
Cash
Flows from Operating Activities |
|
344 |
385 |
|
|
Cash Flows
from Investment Activities |
-233 |
-242 |
||
|
Cash
Flows from Financing Activities |
-448 |
-204 |
||
|
|
Cash,
Bank Deposits at the Term End |
|
1,221 |
1,548 |
|
ANALYTICAL RATIOS Terms ending: |
28/02/2014 |
28/02/2013 |
||
|
Net
Worth (S/Holders' Equity) |
8,524 |
8,314 |
||
|
Current
Ratio (%) |
423.13 |
261.56 |
||
|
Net
Worth Ratio (%) |
64.93 |
62.53 |
||
|
Recurring
Profit Ratio (%) |
4.24 |
4.43 |
||
|
Net
Profit Ratio (%) |
2.31 |
2.40 |
||
|
Return
On Equity (%) |
2.44 |
2.54 |
||
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.59.03 |
|
UK Pound |
1 |
Rs.98.91 |
|
Euro |
1 |
Rs.80.33 |
INFORMATION DETAILS
|
Analysis Done by
: |
SUM |
|
|
|
|
Report Prepared
by : |
MNL |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.