MIRA INFORM REPORT

 

 

Report Date :

23.09.2014

 

IDENTIFICATION DETAILS

 

Name :

TAKASHIMA & CO LTD

 

 

Registered Office :

Ochanomizu Kyoun Bldg 13F, 2-2 Kanda-Surugadai Chiyodaku Tokyo 101-8118

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

December, 1931

 

 

Com. Reg. No.:

0100-01-034860 (Tokyo-Chiyodaku)

 

 

Legal Form :

Limited Company (Kabushiki Kaisha)

 

 

Line of Business :

Import, export, wholesale of building & industrial materials

 

 

No. of Employees :

411

 

 

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

 

TAKASHIMA & CO LTD

 

REGD NAME:    Takashima KK

 

MAIN OFFICE:  1-15-11 Ginza Chuoku Tokyo 104-8118 JAPAN

Tel: 03-5217-7600     Fax: 03-5217-7601

 

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

E-Mail address: tyokoma@tak.co.jp

 

 

ACTIVITIES

 

Import, export, wholesale of building & industrial materials

 

 

BRANCHES

 

Osaka, Nagoya, Sapporo, Sendai, Hiroshima, Fukuoka, other (Tot 10)

 

 

OVERSEAS   

 

USA, Hong Kong, Thailand, Shanghai, Singapore

 

 

CHIEF EXEC

 

KOICHI TAKASHIMA, PRES

 

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY

 

FINANCES        FAIR                             　A/SALES       Yen 94,854 M

PAYMENTS      NO COMPLAINTS          　CAPITAL        Yen 3,801 M

TREND UP                                　WORTH         Yen 10,978 M

STARTED         1931                 　         EMPLOYES      411

 

 

COMMENT

 

TRADING FIRM SPECIALIZING IN BUILDING & INDUSTRIAL MATERIALS. 

 

FINANCIAL SITUATION COSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

 

         Unit: In Million Yen

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

 

HIGHLIGHTS

 

The subject company was established by Katakichi Takashima in order to make most of his experience and has been succeeded by his descendants.  Originally a textile trader and has transformed itself to that of building & industrial materials, including autoclaved lightweight concrete (ALC) and insulating materials.  Handles textile materials for industrial use, too. Placing more emphasis on photovoltaic power generation systems for housing.   

           

 

FINANCIAL INFORMATION

 

The sales volume for Mar/2014 fiscal term amounted to Yen 94,854 million, a 14.0% up from Yen 83,175 million in the previous term.  Sales of photovoltaic power generation equipment for houses continued to expand.  Sales of commercial-use photovoltaic power generation equipment for condominiums also contributed, and operating profits rose.  The recurring profit was posted at 2,056 million and the net profit at Yen 1,177 million, respectively, compared with Yen 1,466 million recurring profit and Yen 917 million net profit, respectively, a year ago

 

(Apr/Jun/2014 results): Sales Yen 21,445 million (up 1.3%), operating profit Yen 422 million (up 24.9%), recurring profit Yen 487 million (down 2.6%), net profit Yen 321 million (up 7.4%).  (% as compared with the corresponding period a year ago).

 

For the current term ending Mar 2015 the recurring profit is projected at Yen 2,000 million and the net profit at Yen 1,300 million, respectively, on a 0.2% rise in turnover, to Yen 95,000 million.  Sales of commercial equipment will recover, led by photovoltaic power generation equipment. 

 

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

 

 

REGISTRATION

           

     Date Registered:　           Dec 1931

      Regd No.:                           0100-01-034860 (Tokyo-Chiyodaku)

Legal Status:               Limited Company (Kabushiki Kaisha)

Authorized:                  140 million shares

Issued:                         45,645,733 shares

Sum:                            Yen 3,801 million

 

Major shareholders (%): Customers’ S/Holding Assn (8.0), TCSB (Mizuho Bank) (4.6),

Tokio Marine & Nichido Fire Ins (4.5), SMBC (3.9), JTSB (CMTB Equity Investment (3.8), Kuraray Co (2.2), Asahi Kasei Construction Materials Co (1.7), Japan Securities Finance (1.6), Employees’ S/Holding Assn (1.3), Master Trust Bank of Japan T (1.3); foreign owners (4.7)

No. of shareholders: 4,509

 

Listed on the S/Exchange (s) of: Tokyo

 

Managements: Koichi Takashima, pres; Yasutaka Takaaki, mgn dir; Yasuhiro Ohata, mgn dir; Kunitada Tanaka, mgn dir; Toshio Gotoh, dir; Michio Yuge, dir

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

 

Related companies: Hi-Land Techno Corp, iTak Co, other

 

 

OPERATION

 

Activities: Trading firm specializing in import, export and wholesale of: construction materials (71%), industrial materials (29%).           

 

Clients: [Mfrs, wholesalers] Niwako Co, Token Engineering, Amano Corp, Japan Kenzai Co, Sanwa Co, Yamazaki Hifuku Kogyo, Highland Techno, TAK Green Service, other

No. of Clients: 500

Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Asahi Kasei, Dow Chemical, Kuraray, Sharp Amenity

Systems, other.

 

Payment record: No Complaints

 

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

 

Bank References:

            Mizuho Bank (Kyobashi)

            SMBC (Ginza)

            Relations: Satisfactory

 

 

FINANCES

(In Million Yen)

 

FINANCES: (Consolidated in million yen)

　

　

　

Terms Ending:

31/03/2014

31/03/2013

INCOME STATEMENT

 

　

　

  Annual Sales

　

94,854

83,175

　

  Cost of Sales

86,442

75,338

　

      GROSS PROFIT

8,411

7,837

　

  Selling & Adm Costs

6,571

6,589

　

      OPERATING PROFIT

1,839

1,248

　

  Non-Operating P/L

217

218

　

      RECURRING PROFIT

2,056

1,466

　

      NET PROFIT

1,177

917

BALANCE SHEET

 

 

　

　

  Cash

　

3,775

3,631

　

  Receivables

 

27,848

20,312

　

  Inventory

 

3,029

2,796

　

  Securities, Marketable

　

　

　

  Other Current Assets

653

1,619

　

      TOTAL CURRENT ASSETS

35,305

28,358

　

  Property & Equipment

3,275

3,202

　

  Intangibles

 

122

149

　

  Investments, Other Fixed Assets

5,222

4,744

　

      TOTAL ASSETS

43,924

36,453

　

  Payables

 

23,563

19,469

　

  Short-Term Bank Loans

3,553

732

　

　

 

　

　

　

  Other Current Liabs

2,579

3,106

　

      TOTAL CURRENT LIABS

29,695

23,307

　

  Debentures

 

50

150

　

  Long-Term Bank Loans

855

805

　

  Reserve for Retirement Allw

169

123

　

  Other Debts

　

2,176

2,275

　

      TOTAL LIABILITIES

32,945

26,660

　

      MINORITY INTERESTS

 

　

　

Common stock

3,801

3,801

　

Additional paid-in capital

1,825

1,825

　

Retained earnings

3,956

2,959

　

Evaluation p/l on investments/securities

627

588

　

Others

 

853

699

　

Treasury stock, at cost

(84)

(79)

　

      TOTAL S/HOLDERS` EQUITY

10,978

9,793

　

      TOTAL EQUITIES

43,924

36,453

CONSOLIDATED CASH FLOWS

 

　

　

 

Terms ending:

31/03/2014

31/03/2013

　

Cash Flows from Operating Activities

　

-1,420

1,426

　

Cash Flows from Investment Activities

-251

120

　

Cash Flows from Financing Activities

1,759

-1,062

　

Cash, Bank Deposits at the Term End

　

3,775

3,631

ANALYTICAL RATIOS            Terms ending:

31/03/2014

31/03/2013

　

 

Net Worth (S/Holders' Equity)

10,978

9,793

　

 

Current Ratio (%)

118.89

121.67

　

 

Net Worth Ratio (%)

24.99

26.86

　

 

Recurring Profit Ratio (%)

2.17

1.76

　

 

Net Profit Ratio (%)

1.24

1.10

　

　

Return On Equity (%)

10.72

9.36

 

           

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 :

RAS

 

 

Report Prepared by :

NIT

 

               

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.