MIRA INFORM REPORT

 

 

Report No. :

322582

Report Date :

16.05.2015

 

IDENTIFICATION DETAILS

 

Name :

MITSUBISHI FUSO TRUCK & BUS CORPORATION

 

 

Registered Office :

Shinkawasaki Mitsui Bldg West Tower 17F, 1-1-2 Kashimada Saiwaiku Kawasaki Kanagawa-Pref 212-0058

 

 

Country :

Japan

 

 

Financials (as on) :

31.12.2014

 

 

Date of Incorporation :

January 2003

 

 

Com. Reg. No.:

0200-01-078696 (Kawasaki-Saiwaiku)

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Manufactures vehicles: busses, trucks, vans, industrial engines

 

 

No. of Employees :

11,000

 

 

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 17,594.6 Million

Status :

Good

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

 

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

 

Company name

 

MITSUBISHI FUSO TRUCK & BUS CORPORATION

 

 

REGD NAME

 

Mitsubishi Fuso Truck & Bus KK

 

 

MAIN OFFICE

 

Shinkawasaki Mitsui Bldg West Tower 17F, 1-1-2 Kashimada Saiwaiku Kawasaki Kanagawa-Pref 212-0058 JAPAN

Tel: 044-330-7700     

Fax: 044-330-5830

 

*.. The is its Kawasaki Plant

 

URL:                 http://www.mitsubishi-fuso.com

E-Mail address: (thru the URL)

 

 

ACTIVITIES

 

Mfg of bus, truck, van, industrial engine, other

 

 

BRANCHES

 

14 locations at main cities

 

 

OVERSEAS

 

Germany

 

 

FACTORIES

 

Kawasaki (Nakaharaku), Aikogun (Kanagawa-Pref)

 

OFFICERS

 

MARK LLISTOSELLA, PRES                  Albert Kirchmann, ch

Frank Markus Weber, rep v pres Akio Suehiro, v pres

Aydogan Cakmaz, v pres                       Yoshiro Motoyama, v pres

                       

Yen Amount:    In million Yen, unless otherwise stated

 

 

SUMMARY

 

FINANCES        FAIR                             A/SALES          Yen 716,407 M

PAYMENTS      NO COMPLAINTS          CAPITAL           Yen 35,000 M

TREND UP                                WORTH            Yen 158,776 M

STARTED         2003                             EMPLOYES      11,000

 

 

COMMENT

 

MFR OF VEHICLES, OWNED BY DAIMER AG (GERMANY).

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR

ORDINARY BUSINESS ENGAGEMENTS.

                       

MAX CREDIT LIMIT: ESTIMATED AT YEN 17,594.6 MILLION, ON 30 DAYS NORMAL TERMS.

 

 

HIGHLIGHTS

           

The subject company is a specialized mfr of vehicles: buses, trucks, vans, industrial engines, other.  This is a JV with Daimler AG (Germany) and Mitsubishi Group firms (Japan), in which Daimler owns majority shares.  Clients include vehicle mfrs, wholesalers, other.

 

 

FINANCIAL INFORMATION

           

The sales volume for Dec/2014 fiscal term amounted to Yen 716,407 million, an 8% up from Yen 660,632 million in the previous term.  The recurring profit was posted at Yen 49,093 million and the net profit at Yen 68,555 million, respectively, compared with Yen 33,218 million recurring profit and Yen 30,530 million net profit, respectively, a year ago.

 

For the current term ending Dec 2015 the recurring profit is projected at Yen 52,000 million and the net profit at Yen 72,000 million, respectively, on a 5% rise in turnover, to Yen 752,200 million. 

 

The financial situation is considered FAIR and good for ORDINARY business engagements.  Max credit limit is estimated at Yen 17,594.6 million, on 30 days normal terms.

REGISTRATION

    

Date Registered:           Jan 2003

Regd No.:                                 0200-01-078696 (Kawasaki-Saiwaiku)

Legal Status:                 Limited Company (Kabushiki Kaisha)

Authorized:                   2.8 million shares

Issued:                         700,000 shares

Sum:                            Yen 3,500 million

Major shareholders (%): Daimler AG (89.3), MUFG, Mitsubishi Heavy Ind, Mitsubishi        Corp, Mitsubishi Group firms

No. of shareholders:      15 (about)

 

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

 

 

OPERATION

           

Activities: Manufactures vehicles: busses, trucks, vans, industrial engines, other (--100%)

 

Clients: [Mfrs, wholesalers] Mitsubishi Fuso Group Sales nationwide 

            No. of accounts: 100

            Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Mitsubishi Fuso Truck & Bus Corp, Techno Metal Co, PABCO Co, other

 

Payment record: No complaints

 

Location: Business area in Kawasaki.  Office premises at the caption address are leased and maintained satisfactory.

 

Bank References:

                        MUFG (H/O)

                        MUFG Trust Bank (H/O)

                        Relations: Satisfactory

 

 

FINANCES

(In Million Yen)

 

       Terms Ending:

31/12/2015

31/12/2014

31/12/2013

31/12/2012

Annual Sales

 

752,200

716,407

660,632

655,843

Recur. Profit

 

52,000

49,093

33,218

31,666

Net Profit

 

72,000

68,555

30,530

33,961

Total Assets

 

 

447,040

388,309

352,999

Current Assets

 

 

287,602

230,887

194,376

Current Liabs

 

 

182,854

192,020

179,538

Net Worth

 

 

158,776

89,165

57,657

Capital, Paid-Up

 

 

35,000

35,000

35,000

Div.P.Share(¥)

 

 

0.00

0.00

0.00

<Analytical Data>

 

(%)

(%)

(%)

(%)

    S.Growth Rate

 

5.00

8.44

0.73

87.93

    Current Ratio

 

..

157.29

120.24

108.26

    N.Worth Ratio

 

..

35.52

22.96

16.33

    R.Profit/Sales

 

6.91

6.85

5.03

4.83

    N.Profit/Sales

 

9.57

9.57

4.62

5.18

    Return On Equity

 

..

43.18

34.24

58.90

 

Notes: Forecast (or estimated) figures for the 31/12/2015 fiscal term.

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.57

UK Pound

1

Rs.100.30

Euro

1

Rs.72.37

 

 

INFORMATION DETAILS

 

Analysis Done by :

SUB

 

 

Report Prepared by :

SHG

 

               

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%)

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.