MIRA INFORM REPORT

 

 

Report Date :

22.05.2014

 

IDENTIFICATION DETAILS

 

Name :

TOHO INTERNATIONAL INC

 

 

Registered Office :

Orix Honmachi Bldg 2F, 1-4-1 Nishi-Honmachi Nishiku Osaka 550-0005

 

 

Country :

Japan

 

 

Financials (as on) :

30.09.2013

 

 

Date of Incorporation :

January 1988

 

 

Legal Form :

Limited Company

 

 

Line of Business :

·         Exporter of precision various types of wire & spring, spring wire, strips for spring.

importer wire/spring making tools/equipment, such as wire drawing dies, cold pressure welders, precision die tools, optical instruments for die & wire measurement

 

 

No of Employees :

33

 

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

 

 


Company name

 

TOHO INTERNATIONAL INC

 

 

REGD NAME

 

Toho International KK

 

 

MAIN OFFICE

 

Orix Honmachi Bldg 2F, 1-4-1 Nishi-Honmachi Nishiku Osaka 550-0005 JAPAN

 

Tel: 06-6243-4561     Fax: 06-6243-4565

 

URL:                 www.toho-intl.co.jp 

E-mail:             export@toho-intl.co.jp; import@toho-intl.co.jp        

 

 

ACTIVITIES  

 

·         Exporter of precision various types of wire & spring, spring wire, strips for spring.

importer wire/spring making tools/equipment, such as wire drawing dies, cold pressure welders, precision die tools, optical instruments for die & wire measurement

 

 

BRANCHES

 

Tokyo, Utsunomiya (Tochigi)

 

 

OVERSEAS   

 

Singapore

 

 

OFFICER(S)

 

HIROFUMI NAKAZAKI, PRES     Taeko Nakamura, dir

Yoshiro Kawamoto, dir               Rieko Nakazaki, dir

                       

Yen Amount:     In million Yen, unless otherwise stated

 

SUMMARY

 

FINANCES        FAIR                             A/SALES          Yen 1,805 M

PAYMENTS      No Complaints          CAPITAL           Yen 30 M

TREND             SLOW                          WORTH            Yen 324 M

STARTED         1988                             EMPLOYES      33

 

 

COMMENT

 

TRADING FIRM SPECIALIZING IN WIRE & SPRING AND TOOLS. 

 

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS

 

 

HIGHLIGHTS

           

The subject company was established by Hirofumi Nakazaki in order to make most of his experience in the subject line of business.  This is a trading firm for import and export of precision wire & spring, wire/spring making tools & equipment (See OPERATION).  Exports to Singapore, Hong Kong, China, other S/E Asian countries, and imports from USA, Europe, other.  Has an office in Singapore.  Domestic clients include major electric Ind, other

 

 

FINANCIAL INFORMATION

 

The sales volume for Sept/2013 fiscal term amounted to Yen 1,805 million, a 3% down from Yen 1,857 million in the previous term.  Exports were hurt by the high Yen in the first half, reducing revenues in Yen terms.  The recurring profit was posted at Yen 61 million and the net profit at Yen 41 million, respectively, compared with Yen 93 million recurring profit and Yen 56 million net profit, respectively, a year ago.  .

 

For the current term ending Sept 2014 the recurring profit is projected at Yen 65 million and the net profit at Yen 45 million, respectively, on an 8% rise in turnover, to Yen 1,950 million.  Weaker Yen will raise export revenues in Yen terms.

 

Financial situation is considered FAIR and good for ORDINARY business engagements. 

 

 

REGISTRATION

 

Date Registered:  Jan 1988

Legal Status:     Limited Company (Kabushiki Kaisha)

Authorized:        2,400 shares

Issued:               600 shares

Sum:                  Yen 30 million

 

Major shareholders (%): Hirofumi Nakazaki (67), Employees’ S/Holding Assn (10), Taeko Nakamura (5), other

 

No. of shareholders: 5

 

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

 

 

OPERATION

 

Activities: Exports precision various types of wire & spring, spring wire, strips for spring, other (--60%); imports wire/spring making tools/equipment, such as wire drawing dies, cold pressure welders, precision die tools, optical instruments for die & wire measurement, other (--40%).

 

Exports oil tempered alloy & stainless steel wire for important parts of a car, such as valve spring of an engine, suspensit9n springs in automobile.

 

 

Clients: [Mfrs, wholesalers] Sumitomo (SEI) Steel Wire Corp, Sumiden Fine Conductors, Electric Ind, Bridgestone Corp, Furukawa Electric Ind, Hitachi Cable Ltd, Tokusen Corp, Sumitomo Electric Ind Tochigi, Yazaki Corp (Electric Ind), Japan Fine Steel Corp, Kurabe Ind, other.

Exports to Hong Kong, China, Singapore, India, other S/E Asian countries

 

No. of accounts: 500

Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Sugita Wire Inc, Sumitomo Electric Ind, NGK Insulators, Nippon Seisen Co, Koyo Senzai Co, NAS Stainless Steel Strip Mfg, JFE Techno Wire, Y Spring Corp, Tokusen Corp, Uji Shindo Co, other.

Imports from USA, Europe, other.

 

Payment record: No Complaints

 

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

 

Bank References:

Mizuho Bank (Semba)

Kinki Osaka Bank (Joto)

Relations: Satisfactory

 


FINANCES

(In Million Yen)

 

       Terms Ending:

30/09/2014

30/09/2013

30/09/2012

30/09/2011

Annual Sales

 

1,950

1,805

1,857

1,976

Recur. Profit

 

65

61

93

93

Net Profit

 

45

41

56

56

Total Assets

 

 

1,303

1,191

1,118

Current Assets

 

 

1,027

955

904

Current Liabs

 

 

866

730

581

Net Worth

 

 

324

297

268

Capital, Paid-Up

 

 

30

30

30

Div.P.Share(¥)

 

 

0.00

0.00

0.00

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

8.03

-2.80

-6.02

-1.20

    Current Ratio

 

..

118.59

130.82

155.59

    N.Worth Ratio

..

24.87

24.94

23.97

    R.Profit/Sales

 

3.33

3.38

5.01

4.71

    N.Profit/Sales

2.31

2.27

3.02

2.83

    Return On Equity

..

12.65

18.86

20.90

 

Notes: Forecast (or estimated) figures for the 30/09/2014 fiscal term. 

 

 


FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.58.57

UK Pound

1

Rs.98.88

Euro

1

Rs.80.05

 

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

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.