|
Report Date : |
12.05.2014 |
IDENTIFICATION DETAILS
|
Name : |
IHI CORP |
|
|
|
|
Registered Office : |
Toyosu IHI Bldg, 3-1-1 Toyosu Kotoku |
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Country : |
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|
|
|
Financials (as on) : |
31.03.2014 |
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Date of Incorporation : |
January 1889 |
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Com. Reg. No.: |
031604 |
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Legal Form : |
Limited Company (Kabushiki Kaisha) |
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Line of Business : |
Subject is engaged in Engineering works of aerospace, ships/marine structure,
industrial machinery, energy-related fields |
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|
No. of Employees : |
27,420 |
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 |
|
Maximum Credit Limit : |
Yen 19,365.1 Million |
|
Status : |
Satisfactory |
|
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 – 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 |
IHI CORP
REGD NAME: KK
I H I
MAIN OFFICE: Toyosu
IHI Bldg, 3-1-1 Toyosu Kotoku
Tel:
03-6204-7800 Fax: 03-6204-8800
E-Mail address: webmaster@IHI.co.jp
Engineering works
of aerospace, ships/marine structure, industrial machinery, energy-related
fields
Tokyo (3),
Yokohama, Chita, Nagasaki, Aioi, Kure, Soma, other (Tot 18)
Europe (3), USA,
Oceania, Asia (9), Middle East, Africa, other (Tot 14)
Aioi, Kure, Soma,
Yokohama, Mizuho, Chita, other (Tot 10)
TAMOTSU SAITO,
PRES & CEO
Yen Amount: In million Yen, unless otherwise stated
FINANCES FAIR A/SALES Yen 1,256,049 M
PAYMENTS NO COMPLAINTS CAPITAL Yen
95,762 M
TREND UP WORTH Yen 299,282 M
STARTED 1889 EMPLOYES 27,420
HEAVY ELECTRIC MACHINERY MFR.
FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS
ENGAGEMENTS.
MAX CREDIT LIMIT:
YEN 19,365.1 MILLION, 30 DAYS NORMAL TERMS.
|
Business |
Terms Ending |
Annual Sales* |
R.Profit* |
N.Profit* |
S.Growth |
Net Worth* |
|
Results: |
31/03/2010 |
1,242,700 |
33,027 |
17,478 |
(%) |
227,065 |
|
(Consolidated) |
31/03/2011 |
1,187,292 |
51,482 |
29,764 |
-4.46 |
253,640 |
|
|
31/03/2012 |
1,221,869 |
41,715 |
33,823 |
2.91 |
258,475 |
|
|
31/03/2013 |
1,256,049 |
36,219 |
33,386 |
2.80 |
299,282 |
|
|
31/03/2014 |
1,310,000 |
47,000 |
27,000 |
4.30 |
.. |
Unit: In Million Yen
Forecast (or estimated) figures for 31/03/2014
fiscal term
This is a major comprehensive heavy electric machinery mfr expanding
operations in aerospace, ships/marine structures, industrial machinery/energy related
fields, other. Bought aerospace business
from the then ailing Nissan Motor in 2000.
Highly competitive in aerospace and defense areas, and other areas,
including aircraft jet engines, power generation boilers, LNG tanks, etc. Tied up with Toshiba Corp in N-power
generation equipment. Integrated
shipbuilding business with JFE Holdings.
The company has suspended production of in-house developed heavy duty
tanks for LNG transportation in recent years.
But it has started to receive a number of inquiries from ocean-based LNG
facilities. In plant engineering
business, it plans to construct natural gas liquefaction facility for the first
time in the US.
The sales volume for Mar/2013 fiscal term amounted to Yen 1,256,049 million,
a 2.8% up from Yen 1,221,869 million in the previous term. The recurring profit was posted at Yen36,219
million and the net profit at Yen 33,386 million, respectively, compared with
Yen 41,715 million recurring profit and Yen 23,823 million net profit,
respectively, a year ago
(Apr/Dec/2013 results): Sales Yen 871,533 million (up 0.4%), operating
profit Yen 34,121 million (up 39.3%), recurring profit Yen 45,271 million (up
86.8%), net profit Yen 31,317 million (up 74.1%). (% compared with the corresponding period a
year ago).
For the current term ending Mar 2014 the recurring profit is projected
at Yen 47,000 million and the net profit at Yen 27,000 million, respectively,
on a 4.3% rise in turnover, to Yen 1,310,000 million. Profit from passenger jet-use engine parts is
increasing sharply, due to the weaker Yen.
Large-scale bridge construction works in overseas are making a
full-scale contribution to earnings of social infrastructure business.
The financial situation is considered maintained FAIR and good for
ORDINARY business engagements. Max
credit limit is estimated at Yen 19,365.1 million, on 30 days normal terms.
Date Registered: Jan 1889
Regd No.:
(Tokyo-Kotoku) 031604
Legal Status: Limited Company (Kabushiki Kaisha)
Authorized:
3,300 million shares
Issued: 1,467,058,482 shares
Sum: Yen 95,762 million
Major
shareholders (%): JTSB (Toshiba Corp) (3.7), Dai-ichi Life Ins (3.6), Japan Trustee Services
T (3.6), Master Trust Bank of Japan T (3.1), TCSB (Mizuho Bank) (2.9),
Company’s Kyoeikai Assn (1.8), Nippon Life Ins (1.6), Mitsui Sumitomo Ins
(1.5), Mizuho Corporate Bank (1.4); foreign owners (31.2)
No. of shareholders: 93,702
Listed on the S/Exchange (s) of: Tokyo, Osaka,
Nagoya, Fukuoka, Sapporo
Managements: Kazuaki Kama,
ch; Tamotsu Saito, pres; Fusayoshi Nakamura, v pres; Kazuo Tsukahara, v pres;
Joji Sakamoto, dir; Ichiro Terai, dir; Tatsumi Kawaratani dir; Imoto Izumi dir;
Toshinori Ishido dir; Hiroshi Iwamoto, dir; Hiromitsu Hamamura, dir
Nothing detrimental is known as to the
commercial morality of executives.
Related companies: IHI Aerospace, IHI Marine United, IHI
Europe Ltd, other
Activities: Heavy machinery
engineering works: Mineral resources & energy (23%) ship building &
offshore structures (9%), diesel engines, agricultural machinery, construction
machinery, others (69%)
Overseas
Sales Ratio (39%)
Clients: [Government
agencies, electric powers, mfrs] Defense Agency, Toshiba Corp, Japanese Aero
Engine Corp, Tokyo Electric Power, Sumitomo Metal Ind, Japan Nuclear Fuel, General Electric Co, other.
No. of accounts:
2,000 -
Domestic areas of
activities: Nationwide
Suppliers: [Mfrs, wholesalers]:
IHI Finance Support, IHI Plant Construction, IHI Jet Service, IHI Machinery
System, IHI Turbo System, other.
Payment record: No complaints
Location: Business area in
Tokyo. Office premises at the caption
address are owned and maintained satisfactorily.
Bank References:
Mizuho Corporate
Bank (H/O)
SMBC (H/O)
Relations:
Satisfactory
|
|
(In Million Yen)
|
FINANCES: (Consolidated
in million yen) |
|
|||
|
|
|
Terms Ending: |
31/03/2013 |
31/03/2012 |
|
INCOME STATEMENT |
|
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||
|
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Annual Sales |
|
1,256,049 |
1,221,869 |
|
|
Cost of Sales |
1,059,279 |
1,025,884 |
|
|
|
GROSS PROFIT |
196,770 |
195,985 |
|
|
|
Selling & Adm Costs |
154,629 |
152,652 |
|
|
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OPERATING PROFIT |
42,141 |
43,333 |
|
|
|
Non-Operating P/L |
-5,922 |
-1,618 |
|
|
|
RECURRING PROFIT |
36,219 |
41,715 |
|
|
|
NET PROFIT |
33,386 |
33,823 |
|
|
BALANCE SHEET |
|
|
|
|
|
|
Cash |
|
73,032 |
63,914 |
|
|
Receivables |
|
348,350 |
348,671 |
|
|
Inventory |
|
325,293 |
351,044 |
|
|
Securities, Marketable |
395 |
2,736 |
|
|
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Other Current Assets |
67,716 |
77,999 |
|
|
|
TOTAL CURRENT ASSETS |
814,786 |
844,364 |
|
|
|
Property & Equipment |
321,057 |
334,745 |
|
|
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Intangibles |
|
39,143 |
23,612 |
|
|
Investments, Other Fixed Assets |
189,253 |
135,410 |
|
|
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TOTAL ASSETS |
1,364,239 |
1,338,131 |
|
|
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Payables |
|
266,299 |
293,493 |
|
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Short-Term Bank Loans |
114,927 |
124,191 |
|
|
|
|
|
|
|
|
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Other Current Liabs |
284,226 |
272,009 |
|
|
|
TOTAL CURRENT LIABS |
665,452 |
689,693 |
|
|
|
Debentures |
|
63,335 |
53,450 |
|
|
Long-Term Bank Loans |
151,449 |
141,967 |
|
|
|
Reserve for Retirement Allw |
115,408 |
129,037 |
|
|
|
Other Debts |
|
69,313 |
65,509 |
|
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TOTAL LIABILITIES |
1,064,957 |
1,079,656 |
|
|
|
MINORITY INTERESTS |
|
|
|
|
|
Common
stock |
95,762 |
95,762 |
|
|
|
Additional
paid-in capital |
43,047 |
43,044 |
|
|
|
Retained
earnings |
144,675 |
116,083 |
|
|
|
Evaluation
p/l on investments/securities |
6,158 |
(361) |
|
|
|
Others |
|
10,376 |
4,494 |
|
|
Treasury
stock, at cost |
(736) |
(547) |
|
|
|
TOTAL S/HOLDERS` EQUITY |
299,282 |
258,475 |
|
|
|
TOTAL EQUITIES |
1,364,239 |
1,338,131 |
|
|
CONSOLIDATED CASH FLOWS |
|
|
||
|
|
|
Terms ending: |
31/03/2013 |
31/03/2012 |
|
|
Cash
Flows from Operating Activities |
|
74,347 |
24,743 |
|
|
Cash
Flows from Investment Activities |
-61,033 |
-37,022 |
|
|
|
Cash Flows
from Financing Activities |
-3,150 |
-38,542 |
|
|
|
Cash,
Bank Deposits at the Term End |
|
72,070 |
63,498 |
|
ANALYTICAL RATIOS Terms ending: |
31/03/2013 |
31/03/2012 |
||
|
|
|
Net
Worth (S/Holders' Equity) |
299,282 |
258,475 |
|
|
|
Current
Ratio (%) |
122.44 |
122.43 |
|
|
|
Net
Worth Ratio (%) |
21.94 |
19.32 |
|
|
|
Recurring
Profit Ratio (%) |
2.88 |
3.41 |
|
|
|
Net
Profit Ratio (%) |
2.66 |
2.77 |
|
|
|
Return
On Equity (%) |
11.16 |
13.09 |
:
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.05 |
|
|
1 |
Rs.101.65 |
|
Euro |
1 |
Rs.83.07 |
INFORMATION DETAILS
|
Analysis Done by
: |
RAS |
|
|
|
|
Report Prepared
by : |
NIS |
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 |
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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.