MIRA INFORM REPORT

 

 

Report Date :

23.09.2014

 

IDENTIFICATION DETAILS

 

Name :

MC ENERGY INC

 

 

Registered Office :

Hibiya Dai Bldg 14F, 1-2-1 Uchisaiwaicho Chiyodaku Tokyo 100-0011

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

January, 2000

 

 

Com. Reg. No.:

0100-01-067102 (Tokyo-Chiyodaku)

 

 

Legal Form :

Limited Company (Kabushiki Kaisha)

 

 

Line of Business :

Sale of asphalt, road materials, bunker oils, marine lubricants

 

 

No. of Employees :

73

 

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 – 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 and address

 

MC ENERGY INC (RENAMED IN 2010 FROM PETRO DIAMOND CO THRU MERGER)

REGD NAME:    MC Energy KK

MAIN OFFICE:  Hibiya Dai Bldg 14F, 1-2-1 Uchisaiwaicho Chiyodaku Tokyo 100-0011 JAPAN

Tel: 03-5251-2080     Fax: 03-5251-2086

 

URL:                 http://www.mcene.com

E-Mail address: (thru the URL)

 

ACTIVITIES  

 

Sale of asphalt, road materials, bunker oils, marine lubricants

 

 

BRANCHES   

 

Sendai, Sapporo, Nagoya, Osaka, Hiroshima, Fukuoka

 

 

OFFICER(S)  

 

SHUN’ICHIRO KUWAHARA, PRES

Keisuke Miyata v pres                Takeshi Hayami, dir

Fuminori Hasegawa, dir              Hideki Hayashi, dir

Toshiaki Matsui, dir

 

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY    

 

FINANCES        FAIR                             A/SALES          Yen 121,800 M*

PAYMENTS      NO COMPLAINTS          CAPITAL           Yen 490 M

TREND             STEADY                       WORTH            Yen 3,455 M

STARTED         2000                             EMPLOYES      73

*.. Not precisely disclosed and only estimated

 

 

COMMENT    

 

TRADING FIRM SPECIALIZING IN BUNKER OILS AND MARINE LUBRICANTS, ASPHALT, WHOLLY OWNED BY MITSUBISHI CORP.

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

 

 

HIGHLIGHTS

 

The subject company was established on the basis of bunker sales division separated from Mitsubishi Corp (see REGISTRATION) as MC Marine & Bunkering Inc, for supplying bunker fuels to ships.  In Mar 2002 renamed as captioned to handle additionally marine lubricants and related products.  In Apr 2003, started to handle specialty lubricants and operation of crude & crude oil products consigned from the parent, Mitsubishi Corp.  In Oct 2010 merged a sister company and renamed MC Energy Inc.  In the marine lubricants, controls about 10% of total bunker sales to Japanese-owned/controlled ships.  Bunkering services cover all major Japan ports (31 ports) and worldwide ports in Europe, Mid East, Africa, N & S America, Taiwan, Singapore, other Asia & Oceania areas.

 

 

FINANCIAL INFORMATION

 

The sales volume for Mar/2014 fiscal term is reportedly amounted to Yen 121,800 million, a 5% up from Yen 116,007 million in the previous term (the sales figures for this term is not precisely disclosed and only reported).  The recurring profit was posted at Yen 870 million and the net profit at Yen 530 million, respectively, compared with Yen 861 million recurring profit and Yen 514 million net profit, respectively, a year ago.

 

For the current term ending Mar 2015 the recurring profit is projected at Yen 900 million and the net profit at Yen 550 million, respectively, on a 3% rise in turnover, to Yen 125,500 million.  Business is seen expanding steadily.

 

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

 

 

REGISTRATION

 

Date Registered:          Jan 2000

Regd No.:                     0100-01-067102 (Tokyo-Chiyodaku)

Legal Status:               Limited Company (Kabushiki Kaisha)

Authorized:                  39,200 shares

Issued:                         9,800 shares

Sum:                            Yen 490 million

Major shareholders (%): Mitsubishi Corporation*(100)

 

*.. Largest general trading house and one of core firms of Mitsubishi Group, Tokyo, founded             1950, listed Tokyo S/E, capital Yen 204,447 million, turnover Yen 21,950,137 million, operating profit Yen 198,467 million, recurring profit Yen 432,233 million, net profit Yen 444,793 million, total assets Yen 15,291,699 million, net worth Yen 4,774,244 million, employees 68,383, pres Ken Kobayashi

 

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

 

 

OPERATION

 

Activities: Wholesales asphalt for road construction and other industrial purposes, bunker oils, marine lubricants, specialty lubricants, oil cokes; operation of crude and crude products consigned from the parent, Mitsubishi Corp (--100%).

 

Clients: [Ship owners, operators] NYK, Mitsui OSK Lines, Kawasaki Kisen, Shinwa Kogyo, Seiki Tokyu Kogyo, Nippon Road Co, Nippo, Maeda Road Construction, Obayashi Road Corp, Taisei Rotec Corp, other.

No. of accounts: 800

Domestic areas of activities: Nationwide & worldwide

Suppliers: [Oil refineries, oil traders] JX Nippon Energy & Corp, Showa Shell Sekiyu, Cosmo Oil, Mitsubishi Corp, Mitsubishi Shoji Sekiyu Co, other.

 

Payment record: No Complaints

 

Location: Business area in Tokyo.  Office premises at the caption address are owned by the parent, Mitsubishi Corp, and maintained satisfactorily.

 

Bank References:

City Bank (H/O)

MUFG (Tokyo)

Relations: Satisfactory

 

 

FINANCES

 

(In Million Yen)

       Terms Ending:

31/03/2015

31/03/2014

31/03/2013

31/03/2012

Annual Sales

　

125,500

121,800

116,007

92,029

Recur. Profit

　

900

870

861

663

Net Profit

　

550

530

514

365

Total Assets

　

　

23,032

21,039

20,575

Current Assets

　

　

21,658

20,636

20,231

Current Liabs

　

　

17,945

16,652

16,393

Net Worth

　

　

3,455

3,460

3,276

Capital, Paid-Up

　

　

490

490

490

Div.P.Share(¥)

　

　

　

365.00

307.00

<Analytical Data>

　

(%)

(%)

(%)

(%)

    S.Growth Rate

　

3.04

4.99

26.05

30.08

    Current Ratio

　

..

120.69

123.93

123.41

    N.Worth Ratio

　

..

15.00

16.45

15.92

    R.Profit/Sales

　

0.72

0.71

0.74

0.72

    N.Profit/Sales

　

0.44

0.44

0.44

0.40

    Return On Equity

　

..

15.34

14.86

11.14

Notes: The 31/03/2014 fiscal term figures are only estimated as not precisely disclosed.

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

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.60.79

UK Pound

1

Rs.99.30

Euro

1

Rs.78.16

 

INFORMATION DETAILS

 

Analysis Done by :

 SUM

 

 

Report Prepared by :

SDA

 

               

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.