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Report No. : |
313740 |
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Report Date : |
02.04.2015 |
IDENTIFICATION DETAILS
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Name : |
DMW CORPORATION |
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Registered Office : |
1-5-1 Omori-Kita Otaku Tokyo 143-0016 |
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Country : |
Japan |
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Financials (as on) : |
31.03.2014 |
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Date of Incorporation : |
March 1955 |
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Com. Reg. No.: |
Not Available |
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Legal Form : |
Limited Company |
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Line of Business : |
Manufactures industrial pumps (63%), blowers (28%), valves (2%), water treatment systems, underwater dredging robots, remote control systems, others (--7%) |
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No. of Employees : |
602 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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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 – December 31, 2014
|
Country Name |
Previous Rating (30.09.2014) |
Current Rating (31.12.2014) |
|
Japan |
A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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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 |
DMW CORPORATION
KK Dengyosha Kikai
Seisakusho
1-5-1 Omori-Kita
Otaku Tokyo 143-0016 JAPAN
Tel:
03-3298-5115 Fax: 03-3298-5149-
URL: http://www.dmw.co.jp
E-Mail address: (thru the URL)
ACTIVITIES: Mfg
of pumps, valves, blowers
BRANCHES: Saitama, Shizuoka, Osaka, Nagoya, Mishima,
Sendai, Hiroshima, Fukuoka, other (Tot 13)
OVERSEAS: Houston,
Mumbai, Amsterdam, Dalian, Singapore
FACTORIES: Mishima
CHIEF EXEC: TADAHIRO
TSUCHIYA, PRES
Yen Amount: In million Yen, unless otherwise stated
FINANCES FAIR A/SALES Yen 18,617 M
PAYMENTSNO
COMPLAINTS CAPITAL Yen 810 M
TREND SLOW WORTH Yen 15,452 M
STARTED 1955 EMPLOYES 602
COMMENT: MFG OF PUMPS FINANCIAL SITUATION COSIDERED FAIR AND GOOD
FOR ORDINARY BUSINESS ENGAGEMENTS.
|
Business |
Terms Ending |
Annual
Sales* |
R.Profit* |
N.Profit* |
S.Growth |
Net Worth* |
|
Results: |
31/03/2011 |
18,834 |
883 |
441 |
(%) |
14,344 |
|
(Consolidated) |
31/03/2012 |
16,276 |
426 |
172 |
-13.58 |
14,109 |
|
31/03/2013 |
19,371 |
856 |
501 |
19.02 |
14,537 |
|
|
31/03/2014 |
18,617 |
1,354 |
791 |
-3.89 |
15,452 |
|
|
31/03/2015 |
18,600 |
1,110 |
710 |
-0.09 |
16,162 |
Unit: In Million Yen
Forecast
figures for the 2015 fiscal term.
This is one of 5 largest pump manufacturers. Strong in public sector including local
governments. Also makes blowers for
steel, chemicals and cement makers.
Other products include valves, water-treatment systems, underwater
dredging robots, remote control systems, other.
The company aims to boost sales circulating water pumps to one billion
Yen in five years through a tie-up with a firm in India. It will enhance price competitiveness in the
overseas markets by improvement of products and cost reduction. In 2014, its
subsidiary company, DWN India was founded.
The sales volume for March /2014 fiscal term amounted to Yen 18,617
million, a 4% down from Yen 19,371 million in the previous term. The recurring profit was posted at Yen 1,354
million and the net profit at Yen 791 million, respectively, compared with Yen
856 million recurring profit and Yen 501 million net profit, respectively, a
year ago.
For the current term ending March 2015 the recurring profit is projected
at Yen 1,110 million and the net profit at Yen 710 million, respectively, on a
0.1% fall in turnover, to Yen 18,600 million.
Final results are yet to be released.
The financial situation is considered FAIR and good for ORDINARY
business engagements. Max credit limit
is estimated at Yen 777.8 million, on 30 days normal terms.
Date
Registered: March 1955
Legal Status: Limited
Company (Kabushiki Kaisha)
Authorized: 19,107,600 shares
Issued: 4,776,900
Sum: Yen
810 million
Major
shareholders (%): GM Investment Co (11.47), Mitsui Sumitomo Ins (4.58), Meiji Yasuda Lif
Ins(3.6), Custmers’ S/Holding Assn(4.31), Tsurumi Mfg(2.95), Meidaisha
Corp(2.88), Seisan Gijutsu Kenkyu Shori(2.71), Employees’ S/Holding Assn(2.66),
MUFG(2.36), Nippon Life Ins(1.88)
No.
of shareholders: 2,540
Listed on the S/Exchange (s) of: Tokyo (Second
section)
Managements: TADAHIRO TSUCHIYA, PRS; Noboru
Yamamoto, mgn/dir; Yukio Asami, mgn/dir; Norio Hikosaka, mgn/dir; Hiroshi
Sugiyama, dir; Hideaki Murabayashi, dir
Nothing
detrimental is known as to the commercial morality of executives.
Related companies: Dengyosya Koji, Eco Advance, other
OPERATION:
Activities: Manufactures industrial pumps (63%), blowers (28%), valves (2%), water treatment systems, underwater dredging robots, remote control systems, others (--7%)
Overseas
Sales Ratio (26%)
Clients: [Electric
powers, steel makers, governments, local governments] Toshiba Corp, Chiyoda
Corp, Moriya Corp, Tokyo Metropolitan Government, Kobe City, Mizota Corp, Sanwa
Machinery Trading Corp, Ministry of Land, Marubeni Corp, other.
Exports to: USA, UK, Italy, Korea, Malaysia,
Thailand, Spain, Egypt, India, Kuwait, Qatar, Saudi Arabia, other
No. of accounts:
Unavailable
Domestic areas of
activities: Nationwide
Suppliers: [mfrs, wholesalers]
Moriya Corp, Iwaki Moritani Electric Ind, Nisshin Engineering Corp, Yanmar
Energy System, Kaisaka Industry Corp, Chiyoda Kohan Corp , other
Payment record: No Complaints
Location: Business area in
Tokyo. Office premises at the caption
address are leased and maintained satisfactorily.
Bank References:
MUFG (Yotsuya)
SMBC (Omori)
Relations:
Satisfactory
(In Million Yen)
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FINANCES: (Consolidated
in million yen) |
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Terms Ending: |
31/03/2014 |
31/03/2013 |
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INCOME STATEMENT |
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Annual Sales |
18,617 |
19,371 |
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Cost of Sales |
14,301 |
15,566 |
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GROSS PROFIT |
4,316 |
3,805 |
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Selling & Adm Costs |
3,055 |
3,031 |
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OPERATING PROFIT |
1,261 |
774 |
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Non-Operating P/L |
93 |
82 |
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RECURRING PROFIT |
1,354 |
856 |
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NET PROFIT |
791 |
501 |
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BALANCE SHEET |
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Cash |
|
2,564 |
2,172 |
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Receivables |
11,205 |
13,528 |
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Inventory |
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Securities, Marketable |
3,020 |
112 |
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Other Current Assets |
1,940 |
2,126 |
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TOTAL CURRENT ASSETS |
18,730 |
17,939 |
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Property & Equipment |
2,685 |
2,737 |
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Intangibles |
165 |
203 |
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Investments, Other Fixed Assets |
2,097 |
2,472 |
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TOTAL ASSETS |
23,677 |
23,350 |
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Payables |
4,805 |
5,462 |
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Short-Term Bank Loans |
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Other Current Liabs |
2,889 |
2,784 |
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TOTAL CURRENT LIABS |
7,694 |
8,246 |
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Debentures |
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Long-Term Bank Loans |
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Reserve for Retirement Allw |
16,146 |
13,709 |
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Other Debts |
(15,615) |
(13,143) |
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TOTAL LIABILITIES |
8,225 |
8,813 |
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MINORITY INTERESTS |
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Common
stock |
810 |
810 |
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Additional
paid-in capital |
111 |
111 |
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Retained
earnings |
14,461 |
13,847 |
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Evaluation
p/l on investments/securities |
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Others |
627 |
327 |
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Treasury
stock, at cost |
(557) |
(557) |
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TOTAL S/HOLDERS` EQUITY |
15,452 |
14,537 |
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TOTAL EQUITIES |
23,677 |
23,350 |
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CONSOLIDATED CASH FLOWS |
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Terms ending: |
31/03/2014 |
31/03/2013 |
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Cash Flows
from Operating Activities |
|
3,250 |
553 |
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Cash
Flows from Investment Activities |
-666 |
628 |
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Cash
Flows from Financing Activities |
-191 |
-191 |
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Cash,
Bank Deposits at the Term End |
|
4,565 |
2,172 |
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ANALYTICAL RATIOS Terms ending: |
31/03/2014 |
31/03/2013 |
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Net
Worth (S/Holders' Equity) |
15,452 |
14,537 |
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Current
Ratio (%) |
243.44 |
217.54 |
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Net
Worth Ratio (%) |
65.26 |
62.26 |
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Recurring
Profit Ratio (%) |
7.27 |
4.42 |
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Net
Profit Ratio (%) |
4.25 |
2.59 |
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Return
On Equity (%) |
5.12 |
3.45 |
FOREIGN EXCHANGE RATES
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Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.59 |
|
|
1 |
Rs.92.45 |
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Euro |
1 |
Rs.67.51 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
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Report Prepared
by : |
TPT |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>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 |
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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 |
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41-55 |
Ba |
Overall
operation is considered normal. Capable to meet normal commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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-- |
NB |
New Business |
-- |
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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.