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Report No. : |
326431 |
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Report Date : |
15.06.2015 |
IDENTIFICATION DETAILS
|
Name : |
CORNES & CO LTD |
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|
|
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Registered Office : |
Cornes House, 3-5-1 Shiba Minatoku Tokyo 105-0014 |
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|
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Country : |
Japan |
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Financials (as on) : |
31.03.2015 |
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Date of Incorporation : |
May, 1947 |
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Com. Reg. No.: |
0104-03-004073 (Tokyo-Minatoku) |
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Legal Form : |
Branch Office |
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Line of Business : |
Trading Firm. |
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No. of Employees : |
136 |
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 138.5 Million |
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|
|
|
Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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|
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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 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
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.
Since the complete shutdown of Japan’s nuclear reactors after the earthquake
and tsunami disaster in 2011, Japan's industrial sector has become 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 four 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. A sales tax increase caused
the economy to contract during the 2nd and 3rd quarters of 2014. The economy
has largely recovered in the three years since the disaster, but reconstruction
in the Tohoku region has been uneven due to labor shortages. 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 2014 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 government will continue a
longstanding debate on restructuring the economy and reining in Japan's huge
government debt, which amounts to more than 240% 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 2015, although the government
in 2014 decided to postpone the final phase of the increase until 2017 to give
the economy time to recover from the 2014 increase. 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 |
CORNES & CO LTD
REGD NAME: Cornes
& Co Ltd
MAIN OFFICE: Cornes
House, 3-5-1 Shiba Minatoku Tokyo 105-0014 JAPAN
Tel: 03-5730-1660 Fax: 03-5730-1128
*.. The given address is its Hokkaido Branch
E-Mail address: sales@cornes.co.jp
Trading firm
Yokohama, Kobe,
Hokkaido
Hong Kong (Parent
Office)
KENSAKU WATARI,
PRES Shin’ichiro Watari, ch
Takao Watanabe,
s/mgn dir Hideto Nambutani, dir
Tatsunobu Narita,
dir
Yen Amount: In million Yen, unless otherwise stated
FINANCES FAIR A/SALES Yen 3,780 M
PAYMENTSREGULAR CAPITAL HK$ 2,500 M
TREND UP WORTH Yen 10,837 M
STARTED 1947 EMPLOYES 136
TRADING FIRM, OWNED BY CORNES & CO, HONG KONG.
FINANCIAL SITUATION CONSIDERED FAIR AND GOOD
FOR ORDINARY BUSINESS ENGAGEMENTS.
MAX CREDIT LIMIT:
YEN 138.5 MILLION, 30 DAYS NORMAL TERMS
The subject
company was established originally in 1861 by Frederick Cornes & his
partner. as a Japan branch. This is a trading
firm, owned by Cornes & Co, Hong Kong, for import, export and wholesale of
motorcars, electronics & industrial equipment, maritime charts, others. In Apr 2014, the firm’s profits increased
due to the extra dividend payment received from group companies. Clients include public agencies, business
firms, other
The sales volume
for Mar/2014 fiscal term amounted to Yen 3,780 million, an 8% up from Yen 3,500
million in the previous term. The
recurring profit was posted at Yen 1,227 million and the net profit at Yen
1,963 million, respectively, compared with Yen 1,000 million recurring profit
and Yen 970 million net losses, respectively, a year ago. The Apr/2014 profits increased extra dividend
payment from group firms.
For the term that ended Mar 2015 the recurring profit was projected at
Yen 1,300 million and the net profit at Yen 980 million, respectively, on a 5%
rise in turnover, to Yen 3,970 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 138.5
million, on 30 days normal terms.
Date Registered: May
1947
Regd No.:
0104-03-004073
(Tokyo-Minatoku)
Legal Status: Branch
Office
Capital: HK$
2,500 million
Major
shareholders (%): Cornes Holdings
Overseas, Hong Kong (100)
Nothing
detrimental is known as to the commercial morality of executives.
Activities: Trading firm for
import, export and wholesale of: electronics & industrial equipment,
agricultural machinery, maritime survey & charts, biogas plants, insurance
brokerage, ship agency, other (--100%)
Clients: Public agencies,
business firms, consumers, ship owners, food makers, insurance companies,
other
No. of accounts: 500
Domestic areas of activities: Nationwide
Suppliers: [Mfrs,
wholesalers] Supplied by the Hong Kong parents and group firms
Payment
record: Regular
Location: Business area in Tokyo. Office premises at the caption address are
owned and maintained satisfactorily.
Bank
References:
Mizuho Bank (H/O)
Hong Kong &
Shanghai Banking (Tokyo)
Relations:
Satisfactory
(In Million Yen)
|
Terms Ending: |
31/03/2015 |
31/03/2014 |
31/03/2013 |
31/03/2012 |
|
|
Annual
Sales |
|
3,970 |
3,780 |
3,500 |
19,824 |
|
Recur.
Profit |
|
1,300 |
1,227 |
1,000 |
171 |
|
Net
Profit |
|
980 |
1,963 |
970 |
-277 |
|
Total
Assets |
|
|
19,194 |
16,300 |
17,112 |
|
Current
Assets |
|
|
5,584 |
4,300 |
4,919 |
|
Current
Liabs |
|
|
3,007 |
2,800 |
4,906 |
|
Net
Worth |
|
|
10,837 |
10,300 |
9,333 |
|
Capital,
Paid-Up |
|
|
|
|
|
|
Div.P.Share(¥) |
|
|
0.00 |
0.00 |
0.00 |
|
<Analytical Data> |
|
(%) |
(%) |
(%) |
(%) |
|
S.Growth Rate |
|
5.03 |
8.00 |
-82.34 |
-19.74 |
|
Current Ratio |
|
.. |
185.70 |
153.57 |
100.26 |
|
N.Worth Ratio |
|
.. |
56.46 |
63.19 |
54.54 |
|
R.Profit/Sales |
|
32.75 |
32.46 |
28.57 |
0.86 |
|
N.Profit/Sales |
|
24.69 |
51.93 |
27.71 |
-1.40 |
|
Return On Equity |
|
.. |
18.11 |
9.42 |
-2.97 |
Notes: Forecast (or estimated) figures for the
31/03/2015 fiscal term.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.64.03 |
|
|
1 |
Rs.99.27 |
|
Euro |
1 |
Rs.71.90 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
|
|
|
|
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.