MIRA INFORM REPORT

 

 

Report Date :

07.10.2014

 

IDENTIFICATION DETAILS

 

Name :

NOMURA SECURITIES CO LTD

 

 

Registered Office :

-9-1 Nihombashi Chuoku Tokyo 103-0027

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

May 2001

 

 

Com. Reg. No.:

0100-01-074037

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Subject is a Securities Firm: Commissions (59%), Gain/Loss on Trading (33%), Financial Income (8%)

 

 

No of Employees :

12,926

 

 

RATING & COMMENTS

 

MIRA’s Rating :

A

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Maximum Credit Limit :

Yen 4,312.5 Million

Status :

Good

Payment Behaviour :

Regular

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 & address

 

NOMURA SECURITIES CO LTD

 

 

REGD NAME

 

Nomura Shoken KK

 

 

MAIN OFFICE

 

-9-1 Nihombashi Chuoku Tokyo 103-0027 Japan

Tel: 03-3211-1811      Fax: 03-3278-0687

 

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

E-Mail address: (thru the URL)

 

ACTIVITIES:     Securities firm

BRANCHES:     159 nationwide

OVERSEAS:     USA, Europe, Asia, China, other

 

OFFICERS:       KOJI NAGAI, PRES                   Nobuyuki Koga, ch

                        Atsushi Yoshikawa, rep dir         Masahiro Sakane, dir

                        Mutsuo Kusakari, dir                  Aki Fujinuma, dir                       

                       

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY

 

FINANCES        FAIR                 A/SALES          Yen 816,205 M

PAYMENTS      REGULAR         CAPITAL           Yen 10,000 M

TREND             UP                    WORTH             Yen 1,037,168 M         

STARTED         2001                 EMPLOYES      12,926

 

COMMENT:       SECURITIES FIRM. FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY

BUSINESS ENGAGEMENTS. MAX CREDIT LIMIT: ESTIMATED AT YEN 4,312.5 MILLION, ON 30 DAYS  NORMAL TERMS.

 

 

 

 

HIGHLIGHTS

           

The subject company was established originally in 1925 thru separation of securities division of old Osaka Nomura Bank.  In Oct 2001, founded a holding company, Nomura Holdings Inc and went under the Holding Company.  This is a securities firm, boasting largest number of net dealing accounts. 

 

 

FINANCIAL INFORMATION

           

The sales volume for Mar/2014 fiscal term amounted to Yen 816,205 million, a 23% up from Yen 662,450 million in the previous term.  Stock brokerage commissions grew steadily.  Trust fee income rose.  IPOs went stably.  The recurring profit was posted at Yen 251,923 million and the net profit at Yen 158,766 million, respectively, compared with Yen 138,497 million recurring profit and Yen 88,171 million net profit, respectively, a year ago.

 

For the current term ending Mar 2015 the recurring profit is projected at Yen 260,000 million and the net profit at Yen 170,000 million, respectively, on a 10% rise in turnover, to Yen 895,000 million.  IPOs and capital increase projects will fare well.  In overseas markets, US operations will grow. 

 

The financial situation is considered FAIR and good for ORDINARY business engagements.  Max credit limit is estimated at Yen 4,312.5 million, on 30 days normal terms.

 

 

REGISTRATION

 

Date Registered:                      May 2001

Regd No.:                                             0100-01-074037 (Tokyo-Chuoku)

Legal Status:                           Limited Company (Kabushiki Kaisha)

Authorized:                              400,000 shares

Issued:                                     201,000 shares

Sum:                                        Yen 1,000 million

Major shareholders (%):           Nomura Holdings Inc* (100)

 

 *.. Holding company of Nomura Group firms, Tokyo, founded 2001, listed Tokyo, Nagoya, Singapore, New York S/E’s, capital Yen 594,493 million, revenues Yen 1,831,844 million, recurring profit Yen 361,614 million, net profit Yen 213,591 million, total assets Yen 43,520,314 million, net worth Yen 2,513,520 million, employees 27,670, pres Koji Nagai Yen

 

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

 

 

OPERATION

           

Activities: Securities firm: Commissions (59%), gain/loss on trading (33%), financial income (8%)

 

Clients: Banks, financial institutions, life insurance companies, individual investors, other 

No. of accounts: Unavailable

Domestic areas of activities: Nationwide

Suppliers: [Mfrs, wholesalers] Nomura Research Institute, Nomura Business Service, other

 

Payment record: Regular

 

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

 

Bank References:

SMBC (H/O)

MUFG (H/O)

Relations: Satisfactory

 

 

FINANCES

 

(In Million Yen)

Terms Ending:

31/03/2015

31/03/2014

31/03/2013

31/03/2012

Annual Sales

 

895,000

816,205

662,450

580,271

Recur. Profit

 

260,000

251,923

138,497

57,163

Net Profit

 

170,000

158,766

88,171

27,316

Total Assets

 

 

12,556,123

10,258,521

10,439,204

Current Assets

 

 

12,488,887

10,161,427

10,348,321

Current Liabs

 

 

10,362,347

8,478,265

8,538,324

Net Worth

 

 

1,037,168

966,052

901,990

Capital, Paid-Up

 

 

10,000

10,000

10,000

Div.P.Share(¥)

 

 

993,000

422,000

130,000

<Analytical Data>

 

(%)

(%)

(%)

(%)

    S.Growth Rate

 

9.65

23.21

14.16

-5.40

    Current Ratio

 

..

120.52

119.85

121.20

    N.Worth Ratio

 

..

8.26

9.42

8.64

    R.Profit/Sales

 

29.05

30.87

20.91

9.85

    N.Profit/Sales

 

18.99

19.45

13.31

4.71

    Return On Equity

 

..

15.31

9.13

3.03

 

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

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.61.75

UK Pound

1

Rs.100.07

Euro

1

Rs.77.95

 

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

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.