MIRA INFORM REPORT

 

 

Report Date :

19.03.2014

 

 

 

Tel. No.:

81-6-65836156

 

IDENTIFICATION DETAILS

 

Name :

KYOSEI CORPORATION

 

 

Registered Office :

2-3-11 Itachibori Nishiku Osaka

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

January 1949

 

 

Com. Reg. No.:

1200-01-048988 (Osaka-Nishiku)

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Manufacturer of Gas Pipes, Valves & Joints Products

 

 

No. of Employees

158

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but Correct  

 

 

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 – december 01, 2013

 

Country Name

Previous Rating

(30.09.2013)

Current Rating

(01.12.2013)

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. 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

 

 


Company name

 

KYOSEI CORPORATION

 

 

REGD NAME

 

KK Kyosei

 

 

MAIN OFFICE

 

3-1-3 Chiyozaki Nishiku Osaka 550-0023 JAPAN

Tel: 06-6583-6100      Fax: 06-6583-6105

 

*.. Registered at: 2-3-11 Itachibori Nishiku Osaka

 

URL:                             http://www.kyosei.com

E-Mail address:            (thru the URL)

 

 

ACTIVITIES  

 

Manufacturer of Gas Pipes, Valves & Joints Products

 

 

BRANCHES

 

Tokyo, Osaka, Nagoya, Fukuoka, Sapporo, Sendai, Shizuoka, other (Tot 21)

 

 

FACTORIES  

 

Narita, Utsunomiya, Hashimoto, Nagano, Harima

 

 

OFFICERS

 

YOSHIMI HASHIMOTO, PRES   Kiyoshi Minagawa, v pres

Toshiyuki Nakanishi, dir              Kiichiro Sokooshi, dir

Tomohito Kaneda, dir                Hideki Yamamoto, dir   

           

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY

 

FINANCES        FAIR                                         A/SALES          Yen 3,784 M*

PAYMENTS      Slow but Correct  CAPITAL           Yen 100 M

TREND             SLOW                                       WORTH            Yen 3,281 M

STARTED         1949                                         EMPLOYES      158

                                                *.. For three months due to the change in accounting term

 

COMMENT

 

MFR OF GAS PIPES, VALVES, JOINTS, OTHER.

 

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

                       

 

HIGHLIGHTS

           

The subject company was established originally in 1947 by Shusaku Nishimura, on his account.  Incorporated in 1949 the firm has been succeeded by the present executives.  This is a specialized mfr of gas pipes, valves & joints products.  In 2003, Marubeni Itochu Steel Inc (See REGISTRATION) became its major shareholder, and became its subsidiary.  Clients include gas makers, other.

 

 

FINANCIAL INFORMATION

           

The sales volume for Mar/2013 fiscal term for three months due to the change in accounting term from Jan/Dec amounted to Yen 3,784 million, a 4% down, as adjusted on a 12-month basis, from Yen 15,744 million in the previous term.  The recurring profit was posted at Yen 62 million and the net loss at Yen 5 million, respectively, compared with Yen 233 million recurring profit and Yen 46 million net profit, respectively, a year ago.

 

For the current term ending Mar 2014 the recurring profit is projected at Yen 250 million and the net profit at Yen 100 million, respectively, on a 5% rise in turnover, to Yen 15,900 million. 

 

The financial situation is considered FAIR and good for ORDINARY business engagements. 

 

REGISTRATION

 

Date Registered:  Jan 1949

Regd No.:         1200-01-048988 (Osaka-Nishiku)

Legal Status:       Limited Company (Kabushiki Kaisha)

Authorized:         800,000 shares

Issued:                200,000 shares

Sum:                   Yen 100 million

Major shareholders (%): Marubeni Itochu Steel Inc* (78), Employees’ S/Holding Assn (16), others (6)

No. of shareholders: 5

 

*.. Marubeni Itochu Steel Inc, trading steel products, Tokyo, founded 2001, capital Yen  30,000 million, sales Yen 985,054 million, recurring profit Yen 17,156 million, net profit Yen 13,198 million, total assets Yen 365,212 million, net worth Yen 98,753 million, employees 846, pres Yasuo Matsuura

 

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

 

 

OPERATION

           

Activities: Manufactures gas pipes, valves, joints, related products (--100%)

 

Clients: [Mfrs, wholesalers] Osaka Gas, Tokyo Gas, Toho Gas, Seibu Gas, other 

            No. of accounts: 300

            Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Marubeni Itochu Steel Inc, Sekisui Chemical Ind, Rinnai Corp, Metal One, LIXIL, Sumitomo Forestry, other

 

Payment record: Slow but Correct  

 

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

 

Bank References:

Mizuho Bank (Semba)

MUFG (Osaka-Nishi)

Relations: Satisfactory

 

 

 

 

 

 

 

 

 

 

 


FINANCES

(In Million Yen)

 

       Terms Ending:

31/03/2014

31/03/2013

31/12/2012

31/12/2011

Annual Sales

 

15,900

3,784

15,744

15,871

Recur. Profit

 

250

62

233

 

Net Profit

 

100

-5

96

20

Total Assets

 

 

11,865

12,061

12,426

Current Assets

 

 

7,353

7,526

 

Current Liabs

 

 

5,845

5,900

 

Net Worth

 

 

3,281

3,208

3,085

Capital, Paid-Up

 

 

100

100

100

Div.P.Share(¥)

 

 

0.00

0.00

0.00

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

5.05

-3.86

-0.80

8.88

    Current Ratio

..

125.80

127.56

..

    N.Worth Ratio

..

27.65

26.60

24.83

    R.Profit/Sales

1.57

1.64

1.48

..

    N.Profit/Sales

0.63

-0.13

0.61

0.13

    Return On Equity

..

-0.15

2.99

0.65

 

Notes: The 31/03/2013 fiscal term is for 3 months due to the change in the accounting term to Apr/Mar from the previous Jan/Dec.  Growth rates are adjusted on a 12-month basis.

Forecast (or estimated) figures for the 31/03/2014 fiscal term.

 


FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

        Rs.60.95

UK Pound

1

Rs.101.37

Euro

1

Rs.84.89

 

 

INFORMATION DETAILS

 

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%)

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.