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Report Date : |
20.10.2014 |
IDENTIFICATION DETAILS
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Name : |
PRECISION FUKUHARA WORKS LTD |
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|
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Registered Office : |
7-3-5 Ibukidai-Higashimachi Nishiku Kobe 651-2242 |
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Country : |
Japan |
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Financials (as on) : |
31.05.2014 |
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Date of Incorporation : |
October 1956 |
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Com. Reg. No.: |
1400-01-002393 |
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Legal Form : |
Limited Company |
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Line of Business : |
Manufacture of circular
knitting machines |
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No. of Employees : |
154 |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
Yen 188.2 million |
|
Status : |
Moderate |
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Payment Behaviour : |
Slow but correct |
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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 – 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 |
PRECISION FUKUHARA WORKS LTD
REGD NAME: KK
Fukuhara Seiki Seisakusho
MAIN OFFICE: 7-3-5
Ibukidai-Higashimachi Nishiku Kobe 651-2242 JAPAN
Tel:
078-997-9800 Fax: 078-997-6806
URL: http://www.pfw.co.jp
E-Mail
address: info@pfw.co.jp
Mfg of
circular knitting machines
Osaka
TOSHIKATSU
HANYU, PRES Koji Fujioka, dir
Kosaku
Iida, dir Toshihiro
Okayama, dir
Yoshihiro
Arai, dir Satoshi
Uemura, dir
Yen
Amount: In million Yen, unless
otherwise stated
FINANCES FAIR A/SALES Yen 5,589 M
PAYMENTSSlow
But Correct CAPITAL Yen 96 M
TREND UP WORTH Yen 2,984 M
STARTED 1956 PLOYES 154
MFR OF CIRCULAR KNITTING MACHINES.
FINANCIAL SITUATION CONSIDERED
FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.
MAX
CREDIT LIMIT: YEN 188.2 MILLION, 30 DAYS NORMAL TERMS
The subject
company was established on the basis of mfg division separated from Fukuhara
Industrial & Trading Co Ltd, Osaka (See REGISTRATION). This is a
specialized mfr of circular knitting machines & attachments. Goods are wholly shipped to the parent for
export to Asia, USA and Europe. Overseas
sales account for 95%.
The sales
volume for May/2014 fiscal term amounted to Yen 5,589 million, a 67% up from
Yen 3,350 million in the previous term.
Revenue increased thanks to the weaker Yen but material cost-ups ate
into the profits, the firm says. The
operations continued in the red to register Yen 690 million net losses for the
term, compared with Yen 1,084 million recurring loss and Yen 669 million net
losses, respectively, a year ago.
For the
current term ending May 2015 the operations are projected to come back to profitability
but still limited to a minimum amount on a 3% rise in turnover, to Yen 5,750
million.
The
financial situation is considered FAIR and good for ORDINARY business
engagements. Max credit limit is
estimated at Yen 188.2 million, on 30 days normal terms.
Date Registered: Oct 1956
Regd No.: 1400-01-002393 (Kobe-Nishiku)
Legal Status:
Limited Company (Kabushiki Kaisha)
Authorized:
760,000 shares
Issued:
192,000 shares
Sum: Yen 96 million
Major shareholders (%): Fukuhara Industrial &
Trading Co Ltd* (100)
*.. Importer, exporter & wholesaler of knitting machines,
Osaka, founded 1938, capital Yen 72 million, sales Yen 5,604 million, net
profit Yen 29 million, employees 49, pres Satoshi Uemura
Nothing
detrimental is known as to the commercial morality of executives.
Activities: Manufactures circular knitting
machines & attachments (--100%).
Clients: [Wholesaler] Supplied wholly to the
parent, Fukuhara Industrial & Trading Co Ltd.
No. of
accounts: 1
Domestic
areas of activities: Nationwide
Suppliers: [Mfrs, wholesalers] Mitsui Seiki Co,
Fukuhara Industrial & Trading Co, Glory AZ System, Panasonic Industry
Sales, Yutaka Trading Co, Fukuhara Needle, Tominaga Co, Terauchi Seisakusho,
Yagi Mfg Co, other
Payment record: slow
but correct
Location:
Business area in Kobe. Office premises
at the caption address are owned and maintained satisfactorily.
Bank References:
SMBC
(Nishishin-Chuo)
MUFG
(Kobe)
Relations:
Satisfactory
(In Million Yen)
|
Terms Ending: |
31/05/2015 |
31/05/2014 |
31/05/2013 |
31/05/2012 |
|
|
Annual
Sales |
|
5,750 |
5,589 |
3,350 |
3,400 |
|
Recur.
Profit |
|
|
|
-1,084 |
-890 |
|
Net
Profit |
|
0 |
-690 |
-669 |
-943 |
|
Total
Assets |
|
|
5,318 |
5,413 |
5,555 |
|
Current
Assets |
|
|
2,510 |
2,553 |
2,462 |
|
Current
Liabs |
|
|
2,183 |
1,597 |
1,211 |
|
Net
Worth |
|
|
2,984 |
3,674 |
4,344 |
|
Capital,
Paid-Up |
|
|
96 |
96 |
96 |
|
Div.P.Share(¥) |
|
|
0.00 |
0.00 |
0.00 |
|
<Analytical Data> |
|
(%) |
(%) |
(%) |
(%) |
|
S.Growth Rate |
|
2.88 |
66.84 |
-1.47 |
0.74 |
|
Current Ratio |
|
.. |
114.98 |
159.86 |
203.30 |
|
N.Worth Ratio |
|
.. |
56.11 |
67.87 |
78.20 |
|
R.Profit/Sales |
|
.. |
.. |
-32.36 |
-26.18 |
|
N.Profit/Sales |
|
0.00 |
-12.35 |
-19.97 |
-27.74 |
|
Return On Equity |
|
.. |
-23.12 |
-18.21 |
-21.71 |
Notes:
Forecast (or estimated) figures for the 31/05/2015 fiscal term.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.61 |
|
|
1 |
Rs.99.11 |
|
Euro |
1 |
Rs.78.89 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
PDT |
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 |
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|
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.