MIRA INFORM REPORT

 

 

Report No. :

307503

Report Date :

10.02.2015

 

IDENTIFICATION DETAILS

 

Name :

NISHIYAMA CORPORATION

 

 

Registered Office :

4-11-11 Omori-Kita Otaku Tokyo 143-0016

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

July 1947

 

 

Com. Reg. No.:

0108-01-013514 (Tokyo-Otaku)

 

 

Legal Form :

Limited Company (Kabushiki Kaisha)

 

 

Line of Business :

Import, export, wholesale of industrial rubber & plastic products, industrial machinery & equipment

 

 

No of Employees :

298

 

 

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

 

Maximum Credit Limit :

Yen 853.2 Million

 

 

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 – December 31, 2014

 

Country Name

Previous Rating

(30.09.2014)

Current Rating

(31.12.2014)

Japan

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low Risk

 

A2

Moderate Low Risk

 

B1

Moderate Risk

B2

Moderate High Risk

 

C1

High Risk

C2

Very High Risk

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

 

NISHIYAMA CORPORATION

 

 

REGD NAME 

 

KK Nishiyama

 

 

MAIN OFFICE

 

4-11-11 Omori-Kita Otaku Tokyo 143-0016JAPAN

Tel: 03-5767-5351      Fax: 03-5767-4156

 

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

E-Mail address: info@nishiyama.co.jp

 

 

ACTIVITIES  

 

Import, export, wholesale of industrial rubber & plastic products, industrial machinery & equipment

 

 

BRANCHES   

 

Osaka, Nagoya, Hitachi, Akashi, Hiroshima, Fukuoka

 

 

OVERSEAS

 

New York, Nebraska (--USA), Dusseldorf, Shanghai, Thailand, Indonesia

 

 

OFFICERS

 

MASAYUKI SATO, PRES          Hiromu Nishiyama, ch

Minoru Kojima, mgn dir              Takeshi Kageyama, mgn dir

Masaaki Nishiyama, dir              Akira Otokawa, dir                    

 

Yen Amount:     In million Yen, unless otherwise stated

 

SUMMARY    

 

FINANCES        FAIR                                         A/SALES          Yen 27,798 M

PAYMENTSNO COMPLAINTS                CAPITAL           Yen 484 M

TREND UP                                            WORTH            Yen 8,856 M

STARTED         1947                                         EMPLOYES      298

 

 

COMMENT    

 

TRADING FIRM SPECIALIZING IN INDUSTRIAL RUBBER PRODUCTS.

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

                       

MAX CREDIT LIMIT: YEN 853.2 MILLION, 30 DAYS NORMAL TERMS

 

 

HIGHLIGHTS

           

The subject company was established originally in 1916 by a certain Nishiyama for handling industrial rubber products, on his account, as Nishiyama Rubber Shoten.  Incorporated in 1947 the firm has been succeeded by his descendants.  This is a trading firm for import, export and wholesale of industrial equipment, transportation machinery & equipment, information & communications, electronics, semiconductors, other (See OPERATION).  Business into energy & utilities fields account for over 40% of total sales.  Established a subsidiary in Thailand in May 2012.  Clients include gas companies, railways, and machinery makers, other, nationwide.

 

 

FINANCIAL INFORMATION

           

The sales volume for Mar/2014 fiscal term amounted to Yen 27,798 million, a 10% up from Yen 25,233 million in the previous term.  Exports were robust to China & other S/E Asian countries.  Price hikes of the products contributed.  The recurring profit was posted at Yen 1,036 million and the net profit at Yen 553 million, respectively, compared with Yen 564 million recurring profit and Yen 206 million net profit, respectively, a year ago.

 

For the current term ending Mar 2015 the recurring profit is projected at Yen 1,100 million and the net profit at Yen 570 million, respectively, on a 5% rise in turnover, to Yen 29,300 million.  

 

The financial situation is considered FAIR and good for ORDINARY business engagements.  Max credit limit is estimated at Yen 853.2 million, on 30 days normal terms.

 

 

REGISTRATION

 

Date Registered:                                   July 1947

Regd No.:                                             0108-01-013514 (Tokyo-Otaku)

Legal Status:                            Limited Company (Kabushiki Kaisha)

Authorized:                              17 million shares

Issued:                                     4.38 million shares

Sum:                                        Yen 484 million

Major shareholders (%):                       Hiromu Nishiyama (15.1), Employees’ S/Holding Assn (11.2), Tomoo Yajima (10.7)

No. of shareholders:                 92

 

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

 

 

OPERATION

           

Activities: Trading firm for import, export and wholesale of industrial rubber & plastic products, industrial equipment, measuring instruments, other (--100%)

 

(Handling Items):

 

Energy Systems Division: NEXT lining method, measuring diaphragms for gas meters, gas bags, insertion-type waterproof devices, infrared radiation temperature measuring instruments, corrosion protection materials, DSL transmission equipment, ISDN central office simulators, test system for type approval, facsimile tester;

 

Industrial Equipment Division: FDR high precision rubber vulcanization (curving) tester, omniseals by US Saint Gobain Performance Plastic Inc, metallic seal rings, manipulators by Schilling robotics LLC, hoses;

 

Electro Controllers Division: meter to measure dissolved ozone in liquid, ultrasonic dosimeter, use point temperature control system.

 

Clients: [Mfrs, wholesalers] Tokyo Gas Co, Kawasaki Heavy Ind, Japan Railways, Hitachi Ltd, Tokyo Electron, Advantest, Nippon Sharyo Co, Japan Transport Engineering Co, other 

No. of accounts: 500

Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Toyo Rubber Ind, Yokohama Rubber, Togawa Rubber, Sumitomo 3M Ltd, Nitto Kohki Co, Nishikawa Rubber Co, Rion Co, other

 

Payment record: No Complaints

 

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

 

Bank References:

                        SMBC (Omori)

                        Mizuho Bank (Omori)

                        Relations: Satisfactory

 

FINANCES (In Million Yen)

 

       Terms Ending:

31/03/2015

31/03/2014

31/03/2013

31/03/2012

Annual Sales

 

29,300

27,798

25,233

28,152

Recur. Profit

 

1,100

1,036

564

1,412

Net Profit

 

570

553

206

682

Total Assets

 

 

19,907

18,838

18,816

Current Assets

 

 

12,619

11,738

12,187

Current Liabs

 

 

9,585

8,902

9,044

Net Worth

 

 

8,856

8,278

7,967

Capital, Paid-Up

 

 

484

484

484

Div.P.Share(¥)

 

 

20.00

15.00

15.00

<Analytical Data>

 

(%)

(%)

(%)

(%)

    S.Growth Rate

 

5.40

10.17

-10.37

14.00

    Current Ratio

 

..

131.65

131.86

134.75

    N.Worth Ratio

 

..

44.49

43.94

42.34

    R.Profit/Sales

 

3.75

3.73

2.24

5.02

    N.Profit/Sales

 

1.95

1.99

0.82

2.42

    Return On Equity

 

..

6.24

2.49

8.56

 

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

 

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs. 62.14

UK Pound

1

Rs. 94.78

Euro

1

Rs. 70.38

 

INFORMATION DETAILS

 

Analysis Done by :

KRN

 

 

Report Prepared by :

DPT

 

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.