MIRA INFORM REPORT
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Report No. : |
332765 |
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Report Date : |
21.07.2015 |
IDENTIFICATION DETAILS
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Name : |
PANASONIC CORPORATION |
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Registered Office : |
1006 Kadoma Kadoma City Osaka-Pref 571-0050 |
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Country : |
Japan |
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Financials (as on) : |
31.03.2014 |
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Date of Incorporation : |
December 1935 |
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Com. Reg. No.: |
1200-01-158218 |
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Legal Form : |
Limited Company |
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Line of Business : |
Manufactures of AVC (20%), AP (14%), Eco solutions (21%), AIS (32%),
others (13%). |
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No. of Employee : |
289,756 |
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 143,003.5 Million |
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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 – March 31, 2015
|
Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
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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.
|
Source
: CIA |
Company
summary
PANASONIC CORPORATION
REGD
NAME
Panasonic KK
MAIN
OFFICE
1006 Kadoma Kadoma
City Osaka-Pref 571-0050 JAPAN
Tel:
06-6908-1121
Fax:
06-6901-7130 -
URL: http://www.panasonic.co.jp
E-Mail address: (thru the URL)
ACTIVITIES
Mfg of AV, other
home electric appliances
BRANCHES
Sapporo, Sendai,
Tokyo, Osaka, Fukuoka, other (Tot 100)
OVERSEAS
Worldwide
FACTORIES
At the caption
address, Kobe, Kusatsu, Hikone, Takatsuki, Niigata, other
CHIEF
EXEC
KAZUHIRO TSUGA,
PRES
Yen Amount: In million Yen, unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 7,736,541 M
PAYMENTSREGULAR CAPITAL Yen
258,740 M
TREND UP WORTH Yen 1,586,438 M
STARTED 1935 EMPLOYES 289,756
COMMENT
MFR OF HOME ELECTRIC APPLIANCES
FINANCIAL SITUATION COSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS
ENGAGEMENTS.
MAX CREDIT LIMIT:
YEN 143,003.5 MILLION, 30 DAYS NORMAL TERMS
|
Business |
Terms Ending |
Annual Sales* |
R.Profit* |
N.Profit* |
S.Growth |
Net Worth* |
|
Results: |
31/03/2011 |
8,692,672 |
178,807 |
74,017 |
(%) |
2,946,335 |
|
(Consolidated) |
31/03/2012 |
7,846,216 |
-812,844 |
-772,172 |
-9.74 |
1,977,566 |
|
31/03/2013 |
7,303,045 |
-398,336 |
-754,250 |
-6.92 |
1,304,273 |
|
|
31/03/2014 |
7,736,541 |
206,225 |
120,442 |
5.94 |
1,586,438 |
|
|
31/03/2015 |
7,750,000 |
120,000 |
140,000 |
0.17 |
.. |
Unit: In Million Yen
Forecast figures for the 31/03/205 fiscal term.
HIGHLIGHTS
This is the largest
comprehensive mfr of AV and other home electric appliances. Under its auspices, controls 2 core operating
subsidiaries: Panasonic Electric Works, major housing materials & equipment
maker, and Sanyo Electric excelling in field of energy. Around 50% of consolidated sales generated by
overseas business. The company is
targeting operating profit at Yen 350 billion and operating profit ratio at 50%
in the March 2016 term under the new medium-term business plan. Achievement of those targets depends on shift
away from in-house products and profit emergence in the TV and semiconductor
businesses. It aims to expand sales of
products for enterprise. The company
will buy a leading wiring device maker in Turkey, and will vigorously spend
capital in growing fields.
FINANCIAL
INFORMATION
The sales volume
for Mar/2014 fiscal term amounted to Yen 7,736,541 million, a 5.9% up from Yen
7,303,045 million in the previous term.
Sales of air-conditioners slumped in China. But orders for housing-related products went
better than projected. Demand for
car-mounted products was steady. The
operations came back to profitability to post Yen 206,225 million recurring
profit and Yen 120,142 million net profit, respectively, compared with Yen
398,386 million recurring loss and Yen 754,250 million net losses,
respectively, a year ago.
For the current
term ending Mar 2015 the recurring profit is projected at Yen 120,000 million
and the net profit at Yen 140,000 million, on a 0.7% rise in turnover, to Yen
7,750,000 million.
The financial
situation is considered FAIR and good for ORDINARY business engagements. Max credit limit is estimated at Yen
143,003.5 million, on 30 days normal terms.
REGISTRATION
Date
Registered: Dec 1935
Regd
No: 1200-01-158218 (Osaka-Kadoma)
Legal Status: Limited
Company (Kabushiki Kaisha
Authorized: 4,950 million shares
Issued:
2,453,053,497 shares
Sum: Yen
258,740 million
Major shareholders
(%):
Company’s Treasury Stock (5.7), Japan Trustee Services T (4.7), Master Trust
Bank of Japan T (4.4), State Street Bank & Trust (3.6), Nippon Life Ins
(2.9), Bank of New York Treaty Jasdec (2.3), Moxely & Co (2.3), Employees’
S/Holding Assn (2.2), Sumitomo Life Ins (1.5), Matsushita Real Estate (1.1);
foreign owners (30.1)
No. of
shareholders: 471,337
Listed
on the S/Exchange (s) of: Tokyo
Managements: Shusaku Nagase,
ch; Masayuki Matsushita, v ch; Kazuhiro Tsuga, pres; Yoshihiko Yamada, v pres;
Ikusaburo Kashima, s/mgn dir; Yoshiiku Miyata, s/mgn dir; Kazunori Takami,
s/mgn dir; Hideaki Kawai, s/mgn dir; Yoshiyuki Miyabe, s/mgn dir; Takashi
Toyama, mgn dir
Nothing detrimental is known as to the
commercial morality of executives.
Related
companies: Sanyo Electric, Panasonic Electric Works, other.
OPERATION
Activities: Manufactures AVC
(20%), AP (14%), Eco solutions (21%), AIS (32%), others (13%).
Overseas Sales
Ratio (48%)
(Mfg Items):
Digital AV: projector, digital
cameras, cameras, dual camera, ventilator, air purifier, portable power supply,
telephones, network cameras
Car AV &
Navigation System
Home Appliances
& Batteries
Beauty &
Healthcare: hair dryer, hair iron, facial ionic steamer, eyelash curler, epilator,
compact toothbrush, oxygen concentrator, massage chairs, hygiene toilet seat, blood
pressure meter, other
Clients: [Mfrs,
wholesalers] Sekisui House, Kansai Kikai Hambai, Hitachi Hi-Technologies,
Panasonic Consumer Marketing, Toyota Motor, Panasonic North America, Panasonic
Europe, other
No. of accounts: 1,000
Domestic areas of activities: Nationwide
Suppliers: [Mfrs,
wholesalers] Hitachi Hi-Technologies, Sanyo Electric, other
Payment
record: Regular
Location: Business area in Kadoma, Osaka-Pref. Office premises at the caption address are
owned and maintained satisfactorily.
Bank References:
SMBC
(Osaka H/O)
Resona Bank
(Osaka)
Relations:
Satisfactory
FINANCES
(In Million Yen)
|
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 |
|
7,736,541 |
7,303,045 |
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Cost of Sales |
5,638,869 |
5,419,888 |
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GROSS PROFIT |
2,097,672 |
1,883,157 |
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Selling & Adm Costs |
1,792,558 |
1,722,221 |
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OPERATING PROFIT |
305,114 |
160,936 |
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Non-Operating P/L |
-98,889 |
-237,400 |
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RECURRING PROFIT |
206,225 |
-398,336 |
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NET PROFIT |
120,442 |
-754,250 |
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BALANCE SHEET |
||||
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Cash |
|
592,467 |
496,283 |
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Receivables |
958,451 |
905,973 |
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Inventory |
750,681 |
786,845 |
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Securities, Marketable |
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Other Current Assets |
352,393 |
304,982 |
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TOTAL CURRENT ASSETS |
2,653,992 |
2,494,083 |
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Property & Equipment |
1,425,449 |
1,675,428 |
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Intangibles |
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Investments, Other Fixed Assets |
1,133,553 |
1,228,301 |
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TOTAL ASSETS |
5,212,994 |
5,397,812 |
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Payables |
736,652 |
739,581 |
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Short-Term Bank Loans |
84,738 |
480,304 |
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Other Current Liabs |
1,616,469 |
1,379,274 |
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TOTAL CURRENT LIABS |
2,437,859 |
2,599,159 |
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Debentures |
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Long-Term Bank Loans |
557,374 |
663,091 |
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Reserve for Retirement Allw |
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Other Debts |
|
631,323 |
831,289 |
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TOTAL LIABILITIES |
3,626,556 |
4,093,539 |
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MINORITY INTERESTS |
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Common
stock |
258,740 |
258,740 |
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Additional
paid-in capital |
1,109,501 |
1,110,686 |
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Retained
earnings |
878,742 |
769,863 |
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Evaluation
p/l on investments/securities |
|
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Others |
(413,413) |
(587,988) |
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Treasury
stock, at cost |
(247,132) |
(247,028) |
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TOTAL S/HOLDERS` EQUITY |
1,586,438 |
1,304,273 |
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|
|
TOTAL EQUITIES |
5,212,994 |
5,397,812 |
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CONSOLIDATED CASH FLOWS |
||||
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Terms ending: |
31/03/2014 |
31/03/2013 |
||
|
Cash
Flows from Operating Activities |
|
581,950 |
338,750 |
|
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Cash
Flows from Investment Activities |
12,128 |
16,406 |
||
|
Cash Flows
from Financing Activities |
-532,315 |
-491,058 |
||
|
|
Cash,
Bank Deposits at the Term End |
|
592,467 |
496,283 |
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ANALYTICAL RATIOS Terms ending: |
31/03/2014 |
31/03/2013 |
||
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Net
Worth (S/Holders' Equity) |
1,586,438 |
1,304,273 |
||
|
Current
Ratio (%) |
108.87 |
95.96 |
||
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Net
Worth Ratio (%) |
30.43 |
24.16 |
||
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Recurring
Profit Ratio (%) |
2.67 |
-5.45 |
||
|
Net
Profit Ratio (%) |
1.56 |
-10.33 |
||
|
Return
On Equity (%) |
7.59 |
-57.83 |
||
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.63.55 |
|
|
1 |
Rs.99.10 |
|
Euro |
1 |
Rs.68.83 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
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Report Prepared
by : |
NIT |
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 |
|
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 |
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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 |
-- |
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.