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Report No. : |
308710 |
|
Report Date : |
20.02.2015 |
IDENTIFICATION DETAILS
|
Name : |
MITSUBISHI CORPORATION |
|
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|
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Registered Office : |
2-3-1 Marunouchi Chiyodaku |
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Country : |
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Financials (as on) : |
31.03.2014 |
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Date of Incorporation : |
April 1950 |
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Com. Reg. No.: |
0100-01-008771 |
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Legal Form : |
Limited Company |
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Line of Business : |
Imports, exports and wholesales wide varieties of commodities from raw
materials to consumer goods |
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No. of Employees : |
65,975 |
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 : |
Good |
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Payment Behaviour : |
Regular |
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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 – September 30, 2014
|
Country Name |
Previous Rating (30.06.2014) |
Current Rating (30.09.2014) |
|
Japan |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
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 |
MITSUBISHI CORPORATION
REGD NAME: Mitsubishi
Shoji KK
MAIN OFFICE: 2-3-1
Marunouchi Chiyodaku Tokyo 100-8086 JAPAN
Tel: 03-3210-2121 Fax: 03-3210-8051
URL: http://www.mitsubishicorp.com/
E-Mail address: (thru the URL)
Import, export,
wholesale of energy, metals, machinery, chemicals, other
Domestic (141)
nationwide
Branches &
subsidiaries (195)
KEN KOBAYASHI,
PRES & CEO
Yen Amount: In million Yen, unless otherwise stated
FINANCES FAIR A/SALES Yen 21,950,137 M
PAYMENTS REGULAR CAPITAL Yen 204,447 M
TREND STEADYWORTH Yen 5,204,026 M
STARTED 1950 EMPLOYES 65,975
LARGEST GENERAL TRADING HOUSE OF JAPAN.
FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR
ORDINARY BUSINESS ENGAGEMENTS.
|
Business |
Terms Ending |
Annual Sales* |
R.Profit* |
N.Profit* |
S.Growth |
Net Worth* |
|
Results: |
31/03/2011 |
19,233,443 |
534,297 |
463,188 |
(%) |
3,600,990 |
|
(Consolidated) |
31/03/2012 |
20,126,321 |
458,970 |
453,849 |
4.64 |
3,826,777 |
|
|
31/03/2013 |
20,207,183 |
337,206 |
360,028 |
0.40 |
4,556,050 |
|
|
31/03/2014 |
21,950,137 |
432,233 |
444,793 |
8.63 |
5,204,026 |
|
|
31/03/2015 |
22,500,000 |
405,000 |
420,000 |
2.51 |
.. |
Notes: Unit: in Million Yen.
Forecast
(or estimated) figures for 31/03/2015 fiscal term
This is the
largest general trading house of Japan and one of the core Mitsubishi group
firms. Strong in field of energies
including LNG. Has many excellent subsidiaries
in food-related area. Boasts strong
resources development capability. Moving
into satellite communications thru JV.
Handles about 25,000 products from raw materials to finished items. Strong in energies field, particularly
topping in LNG business. Has many
subsidiaries in food-related area.
Listed on London Stock Exchange.
The company sold Yen 140 billion in assets from April to June 2013,
around the same as the preceding term, and will accelerate replacment of
low-return assets. It acquired a thermal
energy plant in the US at a cost of Yen 200 billion, jointly with banks and
pension funds. The company will step up
activities in the chartered vessel business, and aims to increase ownership of
bulk carriers two-fold by 2020. It plans
voluntary application of IFRS from the Mar 2015 term.
The sales volume
for Mar/2014 fiscal term amounted to Yen 21,950,137 million, an 8.6% up from
Yen 20,207,183 million in the previous tem.
The increase was mainly due to higher transaction volumes and foreign
currency factors (weaker Yen). The
Japanese economy remained on a moderate recovery path. Price levels held firm and internal demand
was also robust, supported partly by last-minute demand ahead of the increase
in the consumption tax rate (from 5% to 8%).
The recurring profit was posted at Yen 432,233 million and the net
profit at Yen 444,793 million, respectively, compared with Yen 337,206 million
recurring profit and Yen 360,028 million net profit, respectively, a year ago.
For the current
term ending Mar/2015 the recurring profit is projected at Yen 405,000 million
and the net profit at Yen 420,000 million, respectively, on a 2.5% rise in
turnover, to Yen 22,500,000 million.
Sales of petroleum and natural gas will benefit from expanded
production. The automobile and aircraft
business in Asia will soar.
The financial situation is considered FAIR and good for ORDINARY
business engagements.
Date Registered: Apr 1950
Regd No.:
0100-01-008771
(Tokyo-Chiyodaku)
Legal Status: Limited Company (Kabushiki Kaisha)
Authorized: 2,500
million shares
Issued:
1,653,667,326 shares
Sum: Yen
204,447 million
Major shareholders
(%):
Japan Trustee Services Bank T (5.9), Tokio Marine & Nichido Fire Ins (4.5),
Master Trust Bank of Japan T (4.2), Meiji Yasuda Life Ins (3.9), MTBJ
(Mitsubishi Heavy Ind) (2.9), Japan Trustee Services T9 (1.7), MUFG (1.5), Bank
of New York Treaty Jasdec (1.3), Nomura T (MUTB) (1.3), JP Morgan Securities
Japan (1.0); foreign owners (27.9)
No. of shareholders: 295,018
Listed
on the S/Exchange (s) of: Tokyo, Nagoya, London
Managements: Yorihiko Kojima,
ch; Ken Kobayashi, pres; Hideto Nakahara, v pres; Jun Yanai, v pres; Jun Kinukawa,
v pres; Takahisa Miyauchi, v pres; Seiji Shiraki, v pres; Toru Moriyama, s/mgn
dir; Ichiro Ando, s/mgn dir; Eiichi Tanabe, s/mgn dir
Nothing detrimental is known as to the
commercial morality of executives.
Related companies: Ryoshoku Ltd,
Mitsubishi Corp USA, Mitsubishi Corporation Financial Management Services,
Mitsubishi Development, etc (414 subsidiaries & 215 affiliates).
Activities: Imports, exports
and wholesales wide varieties of commodities from raw materials to consumer goods:
(Sales
breakdown by divisions):
Energy
Div (25%): crude oil, petroleum products, LNG, LPG, carbon, other;
Metals
Div (20%): ferrous & nonferrous raw materials, MDP units, steel products,
other;
Machinery
Div (12%): power & electrical systems, plant projects, aerospace, industrial
machinery, motor vehicles, other;
Chemical
Div (12%): raw materials for synthetic resins & fibers, chemical fertilizers,
inorganic raw materials, industrial salts, plastics, electronics materials, life
science products, other;
Life
Style Div (27%): foods, textiles, housing general merchandise, other;
Others
(4%)
Overseas
sales ratio (20%)
Clients: [Power companies,
mfrs, wholesalers] Nippon Oil Corp, Ryoshoku Ltd, Tokyo Gas, Tokyo Electric
Power, Kansai Electric Power, Chubu Electric Power, Kyushu Electric Power,
other.
No. of accounts:
3,000
Domestic areas of
activities: Nationwide
Suppliers: [Mfrs, oil
refiners, wholesalers] Mitsubishi Heavy Ind, Saudi Arabian Oil Co, Brunei LNG
SB, Malaysia LNG, JGC Corp, BG LNG Trading, LLC, Mitsubishi Motors, other.
Payment record: Regular
Location: Business area in
Tokyo. Office premises at the caption
address are owned and maintained satisfactorily.
Bank References:
MUFG (H/O)
Mizuho Bank (H/O)
Relations: Satisfactory
(In Million
Yen)
|
FINANCES: (Consolidated
in million yen) |
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|||
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Terms Ending: |
31/03/2014 |
31/03/2013 |
|
INCOME STATEMENT |
|
|
||
|
|
Annual Sales |
|
21,950,137 |
20,207,183 |
|
|
Cost of Sales |
20,789,996 |
19,177,526 |
|
|
|
GROSS PROFIT |
1,160,141 |
1,029,657 |
|
|
|
Selling & Adm Costs |
961,674 |
895,782 |
|
|
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OPERATING PROFIT |
198,467 |
133,875 |
|
|
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Non-Operating P/L |
233,766 |
203,331 |
|
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RECURRING PROFIT |
432,233 |
337,206 |
|
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NET PROFIT |
444,793 |
360,028 |
|
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BALANCE SHEET |
|
|
|
|
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Cash |
|
1,322,964 |
1,345,755 |
|
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Receivables |
|
2,627,752 |
1,505,518 |
|
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Inventory |
|
1,269,679 |
1,202,295 |
|
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Securities, Marketable |
|
|
|
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Other Current Assets |
1,902,810 |
2,772,692 |
|
|
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TOTAL CURRENT ASSETS |
7,123,205 |
6,826,260 |
|
|
|
Property & Equipment |
2,715,941 |
2,487,464 |
|
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Intangibles |
|
|
|
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Investments, Other Fixed Assets |
5,452,553 |
5,096,941 |
|
|
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TOTAL ASSETS |
15,291,699 |
14,410,665 |
|
|
|
Payables |
|
2,222,955 |
2,230,074 |
|
|
Short-Term Bank Loans |
824,467 |
799,983 |
|
|
|
|
|
|
|
|
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Other Current Liabs |
1,654,495 |
1,698,056 |
|
|
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TOTAL CURRENT LIABS |
4,701,917 |
4,728,113 |
|
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Debentures |
|
|
|
|
|
Long-Term Bank Loans |
4,692,531 |
4,498,683 |
|
|
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Reserve for Retirement Allw |
57,198 |
57,702 |
|
|
|
Other Debts |
|
636,027 |
570,117 |
|
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TOTAL LIABILITIES |
10,087,673 |
9,854,615 |
|
|
|
MINORITY INTERESTS |
|
|
|
|
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Common
stock |
204,447 |
204,447 |
|
|
|
Additional
paid-in capital |
265,972 |
262,705 |
|
|
|
Retained
earnings |
3,952,233 |
3,607,989 |
|
|
|
Evaluation
p/l on investments/securities |
244,156 |
305,447 |
|
|
|
Others |
|
551,299 |
193,432 |
|
|
Treasury
stock, at cost |
(14,081) |
(17,970) |
|
|
|
TOTAL S/HOLDERS` EQUITY |
5,204,026 |
4,556,050 |
|
|
|
TOTAL EQUITIES |
15,291,699 |
14,410,665 |
|
|
CONSOLIDATED CASH FLOWS |
|
|
||
|
|
|
Terms ending: |
31/03/2014 |
31/03/2013 |
|
|
Cash
Flows from Operating Activities |
|
258,142 |
403,313 |
|
|
Cash
Flows from Investment Activities |
-182,689 |
-752,477 |
|
|
|
Cash Flows
from Financing Activities |
-122,131 |
401,687 |
|
|
|
Cash,
Bank Deposits at the Term End |
|
1,322,964 |
1,345,755 |
|
ANALYTICAL RATIOS Terms ending: |
31/03/2014 |
31/03/2013 |
||
|
|
|
Net
Worth (S/Holders' Equity) |
5,204,026 |
4,556,050 |
|
|
|
Current
Ratio (%) |
151.50 |
144.38 |
|
|
|
Net
Worth Ratio (%) |
34.03 |
31.62 |
|
|
|
Recurring
Profit Ratio (%) |
1.97 |
1.67 |
|
|
|
Net
Profit Ratio (%) |
2.03 |
1.78 |
|
|
|
Return
On Equity (%) |
8.55 |
7.90 |
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.25 |
|
|
1 |
Rs.95.57 |
|
Euro |
1 |
Rs.71.01 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
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|
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.