MIRA
INFORM REPORT
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Report No. : |
306678 |
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Report Date : |
04.02.2015 |
IDENTIFICATION DETAILS
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Name : |
NOMURA RESEARCH INSTITUTE LTD |
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Registered Office : |
Marunouchi Kitaguchi Bldg, 1-6-5 Marunouchi Chiyodaku |
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Country : |
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Financials (as on) : |
31.03.2014 |
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Date of Incorporation : |
January 1966 |
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Legal Form : |
Limited Company |
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Line of Business : |
Subject is engaged in Think Tank: consulting (7%), financial IT solutions (58%), industrial IT solutions (23%), IT infrastructure (10%), others (3%) |
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No. of Employees : |
9,301 |
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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Maximum Credit Limit : |
Yen 45,208.7 Million |
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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
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Country Name |
Previous Rating (30.09.2014) |
Current Rating (31.12.2014) |
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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.
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Source
: CIA |
Company name & address
NOMURA RESEARCH INSTITUTE LTD
REGD NAME
KK Nomura Sogo
Kenkyusho
MAIN OFFICE
Marunouchi Kitaguchi
Bldg, 1-6-5 Marunouchi Chiyodaku Tokyo 100-0005 Japan
Tel:
03-5533-2111 -
URL: http://www.nri.com
E-Mail address: (thru the URL)
ACTIVITIES: Think
tank, consulting, Financial & industrial IT Solutions
BRANCHES: Nagoya,
Osaka, other (Tot 20)
OVERSEAS: China
(10), Europe (4), USA (5)
CHIEF EXEC: TADASHI
SHIMAMOTO, PRES
Yen Amount: In million Yen, unless
otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 285,932 M
PAYMENTSNO
COMPLAINTS CAPITAL Yen 18,600 M
TREND UP WORTH Yen
331,408 M
STARTED 1966 EMPLOYES 9301
COMMENT: THINK TANK, FINANCIAL & INDUSTRIAL IT
SOLUTIONS, OTHER FINANCIAL SITUATION COSIDERED FAIR AND GOOD FOR ORDINARY
BUSINESS ENGAGEMENTS.
MAX CREDIT LIMIT:
YEN 45,208.7 MILLION, 30 DAYS NORMAL TERMS
Unit: In Million Yen
Forecast figures for the 31/03/2015 fiscal term.
HIGHLIGHTS
This is the major 5th thinktank of old Nomura Securities, with SI business as main earning sources. Has big name clients, including Seven Eleven and highly competitive in distribution, securities and government sectors. Strengthening internet-related business, including electronic money and security.
FINANCIAL INFORMATION
The sales volume for Mar/2014 fiscal term amounted to Yen 385,932 million, a 6.1% up from Yen 363,891 million in the previous term. The recurring profit was posted at Yen 52,360 million and the net profit at Yen 31,527 million, respectively, compared with Yen 45,858 million recurring profit and Yen 28,612 million, respectively, a year ago.
(Apr/Sept/2014 results): Sales Yen 300,782 million (up 7.6%), operating profit Yen 37,176 million (up 3.2%),recurring profit Yen 38,369 million (down 0.5%), net profit Yen 33,646 million (up 39.5%). (% as compared with the corresponding period a year ago)
For the current term ending Mar 2015 the recurring profit is projected at Yen 54,500 million and the net profit at Yen 3900 million, respectively, on a 4.9% rise in turnover, to Yen 405,000 million. New consolidation of Daiko Clearing Services Corp will push up the sales of the company by Yen 14 billion. In It services, operations for financial and distribution industries, the mainline, will be on upward trend.
The financial situation is considered FAIR and good for ORDINARY business engagements. Max credit limit is estimated at Yen 45,208.7 million, on 30 days normal terms.
REGISTRATION
Date
Registered: Jan 1966
Legal Status: Limited
Company (Kabushiki Kaisha
Authorized:
450 million shares
Issued: 225
million shares
Sum: Yen
18,600 million
Major
shareholders (%): Nomura Asset Management (19.2), Company’s Treasury Stock (10.1%),
Nomura Facilities (8.2), JAFCO Co (6.6),
Nomura Holdings (5.7), State Street Bank & Trust 505223
(4.0), State Street Bank & Trust (3.5),
Group Employees’ S/Holding Assn (3.0), Japan Trustee Services
T (2.5), Master Trustee Services T (2.5),
Master Trust Bank of Japan T (2.0); foreign owners (25.3)
No.
of shareholders: 12,312
Listed on the S/Exchange (s) of: Tokyo
Managements: Akihisa
Fujinuma, ch; Akira Maruyama, v ch; Tadashi Shimamoto, pres; Masahiro
Muroi, v pres; Mitsuru Sawada, s/mgn dir;
Yasuyuki Itano, s/mgn dir; Keiichi Ishibashi, dir; Takashi
Sawada, dir; Shoei Utsuda, dir
Nothing
detrimental is known as to the commercial morality of executives.
Related companies: NRI Netcom, NRI Secure Technologies,
other.
OPERATION
Activities: Think Tank: consulting (7%), financial IT solutions (58%), industrial IT solutions (23%), IT infrastructure (10%), others (3%)
Clients: [Mfrs, wholesalers] Nomura Holdings, Kampo System Solutions, Seven-Eleven Japan,
Nomura Securities, Seven Bank, other
No. of accounts: 500
Domestic areas of activities: Nationwide
Suppliers: [Mfrs, wholesalers] NTT Communications, NEC Corp, Cannon IT Solutions, Hitachi
Ltd, Hitachi Solutions, other
Payment record: No Complaints
Location: Business area in Tokyo. Office premises at the caption address are leased and maintained satisfactorily.
Bank References:
MUFG (H/O)
Resona Bank
(Nihombashi)
Relations:
Satisfactory
FINANCES
(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 |
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385,932 |
363,891 |
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Cost of Sales |
276,664 |
262,315 |
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GROSS PROFIT |
109,267 |
101,575 |
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Selling & Adm Costs |
59,450 |
57,608 |
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OPERATING PROFIT |
49,816 |
43,967 |
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Non-Operating P/L |
2,544 |
1,891 |
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RECURRING PROFIT |
52,360 |
45,858 |
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NET PROFIT |
31,527 |
28,612 |
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BALANCE SHEET |
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Cash |
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9,885 |
10,273 |
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Receivables |
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67,125 |
54,039 |
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Inventory |
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1,263 |
223 |
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Securities, Marketable |
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Other Current Assets |
129,848 |
124,671 |
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TOTAL CURRENT ASSETS |
208,121 |
189,206 |
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Property & Equipment |
62,767 |
63,456 |
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Intangibles |
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42,712 |
42,854 |
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Investments, Other Fixed Assets |
155,410 |
136,706 |
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TOTAL ASSETS |
469,010 |
432,222 |
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Payables |
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26,103 |
20,497 |
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Short-Term Bank Loans |
2,280 |
2,453 |
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Other Current Liabs |
51,458 |
95,257 |
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TOTAL CURRENT LIABS |
79,841 |
118,207 |
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Debentures |
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30,000 |
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Long-Term Bank Loans |
22,054 |
4,250 |
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Reserve for Retirement Allw |
15,030 |
13,820 |
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Other Debts |
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(9,324) |
5,127 |
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TOTAL LIABILITIES |
137,601 |
141,404 |
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MINORITY INTERESTS |
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Common
stock |
18,600 |
18,600 |
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Additional
paid-in capital |
15,002 |
14,800 |
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Retained
earnings |
325,476 |
303,299 |
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Evaluation
p/l on investments/securities |
24,036 |
17,937 |
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Others |
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8,164 |
(152) |
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Treasury
stock, at cost |
(59,870) |
(63,666) |
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TOTAL S/HOLDERS` EQUITY |
331,408 |
290,818 |
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TOTAL EQUITIES |
169,010 |
432,222 |
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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 |
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33,839 |
68,600 |
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Cash
Flows from Investment Activities |
-32,234 |
-36,019 |
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Cash
Flows from Financing Activities |
-8,773 |
-10,723 |
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Cash,
Bank Deposits at the Term End |
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92,792 |
99,623 |
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ANALYTICAL RATIOS Terms ending: |
31/03/2014 |
31/03/2013 |
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Net
Worth (S/Holders' Equity) |
331,408 |
290,818 |
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Current
Ratio (%) |
260.67 |
160.06 |
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Net
Worth Ratio (%) |
196.09 |
67.28 |
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Recurring
Profit Ratio (%) |
13.57 |
12.60 |
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Net
Profit Ratio (%) |
8.17 |
7.86 |
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Return
On Equity (%) |
9.51 |
9.84 |
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FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.61.74 |
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1 |
Rs.92.71 |
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Euro |
1 |
Rs.69.94 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
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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.