MIRA INFORM REPORT

 

 

Report No. :

323856

Report Date :

23.05.2015

 

IDENTIFICATION DETAILS

 

Name :

KURABO  INDUSTRIES  LTD.

 

 

Principal Place of Business:

Workshop A5, 31/F., TML Tower, 3 Hoi Shing Road, Tsuen Wan, New Territories

 

 

Country :

Hong Kong

 

 

Date of Incorporation :

05.09.1988

 

 

Legal Form :

Public Listed Company

 

 

Line of Business :

·         Engaged in trading in all kinds of piecegoods (either manufactured in vegetable fibre or blended). 

·         Engaged in manufacturing all kinds of textile fabrics, garments & chemicals

·         Subject was engaged in promotion of sales as well as offering customers with after services. 

 

 

No of Employees :

16  (Hong Kong Branch)

 

 

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

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)

Hong Kong

a1

a1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

Hong Kong ECONOMIC OVERVIEW

 

Hong Kong has a free market economy, highly dependent on international trade and finance - the value of goods and services trade, including the sizable share of re-exports, is about four times GDP. Hong Kong has no tariffs on imported goods, and it levies excise duties on only four commodities, whether imported or produced locally: hard alcohol, tobacco, hydrocarbon oil, and methyl alcohol. There are no quotas or dumping laws. Hong Kong's open economy left it exposed to the global economic slowdown that began in 2008. Although increasing integration with China, through trade, tourism, and financial links, helped it to make an initial recovery more quickly than many observers anticipated, its continued reliance on foreign trade and investment leaves it vulnerable to renewed global financial market volatility or a slowdown in the global economy. The Hong Kong government is promoting the Special Administrative Region (SAR) as the site for Chinese renminbi (RMB) internationalization. Hong Kong residents are allowed to establish RMB-denominated savings accounts; RMB-denominated corporate and Chinese government bonds have been issued in Hong Kong; and RMB trade settlement is allowed. The territory far exceeded the RMB conversion quota set by Beijing for trade settlements in 2010 due to the growth of earnings from exports to the mainland. RMB deposits grew to roughly 12% of total system deposits in Hong Kong by the end of 2013. The government is pursuing efforts to introduce additional use of RMB in Hong Kong financial markets and is seeking to expand the RMB quota. The mainland has long been Hong Kong's largest trading partner, accounting for about half of Hong Kong's total trade by value. Hong Kong's natural resources are limited, and food and raw materials must be imported. As a result of China's easing of travel restrictions, the number of mainland tourists to the territory has surged from 4.5 million in 2001 to 34.9 million in 2012, outnumbering visitors from all other countries combined. Hong Kong has also established itself as the premier stock market for Chinese firms seeking to list abroad. In 2012 mainland Chinese companies constituted about 46.6% of the firms listed on the Hong Kong Stock Exchange and accounted for about 57.4% of the Exchange's market capitalization. During the past decade, as Hong Kong's manufacturing industry moved to the mainland, its service industry has grown rapidly. Credit expansion and tight housing supply conditions have caused Hong Kong property prices to rise rapidly; consumer prices increased by more than 4% in 2013. Lower and middle income segments of the population are increasingly unable to afford adequate housing. Hong Kong continues to link its currency closely to the US dollar, maintaining an arrangement established in 1983. In 2013, Hong Kong and China signed new agreements under the Closer Economic Partnership Agreement, adopted in 2003 to forge closer ties between Hong Kong and the mainland. The new measures, effective from January 2014, cover services and trade facilitation, and will improve access to the mainland's service sector for Hong Kong-based companies.

 

Source : CIA


Company name

 

KURABO  INDUSTRIES  LTD.

 

(Also known as KURASHIKI BOSEKI KABUSHIKI KAISHA)

(Incorporated in Japan)

 

 

Company ADDRESS

 

Workshop A5, 31/F., TML Tower, 3 Hoi Shing Road, Tsuen Wan, New Territories, Hong Kong.

 

PHONE:            852-2730 2672

FAX:                 852-2730 9314

E-MAIL:            keihi_moriyama@kurabo.com.hk

 

 

MANAGEMENT

 

Chairman:  Mr. Akihiro Inoue

 

 

SUMMARY

 

Incorporated in Japan on:          9th March, 1888.

 

Registered in Hong Kong on:     5th September, 1988.

 

Organization:                             Public Listed Company.

(Registered locally as a Non-Hong Kong Company)

 

Capital Stock:                           ¥22,040 million

 

Business Category:                   Marketing Office.

 

Group Net Sales:                       ¥165,228 million  (Year ended 31-03-2014)

 

Employees:                              16.  (Hong Kong Branch)

 

Main Dealing Banker:                 Mizuho Corporate Bank Ltd., Hong Kong Branch.

 

Banking Relation:                      Good.


Company ADDRESS

 

Registered Head Office:-

4-31, 2-Chome, Kyutaro-Machi, Chuo-Ku, Osaka 541-8581, Japan.

[Tel: 06-6266-5111;  Fax: 06-6266-5555]

 

Hong Kong Principal Place of Business:-

Workshop A5, 31/F., TML Tower, 3 Hoi Shing Road, Tsuen Wan, New Territories, Hong Kong.

 

Tokyo Branch:-

NOF Nihonbashi-honcho Building, 2F, 7-1, 2-chome, Nihonbashi‑honcho, Chuo-ku, Tokyo 103-0023, Japan.

[Tel: 03-3639-7001;  Fax: 03-3639-7004]

 

Associated/Affiliated Companies:-

Kurabo Group of Companies

Chugoku Kasei Kogyo Co. Ltd., Japan.

Echo Giken Co. Ltd., Japan.

Guangzhou KCF Plastics Co. Ltd., China.

Guangzhou Kurabo Chemicals Co. Ltd., China.

Japan Jiffy Foods Inc., Japan.

Koei Shoji Co. Ltd., Japan.

Kurabo Chiao Fu (HK) Co. Ltd., Hong Kong.

Kurabo Driving School Co. Ltd., Japan.

Kurabo Engineering Work Service Co. Ltd., Japan.

Kurabo International Co. Ltd., Japan.

Kurabo Kansai Kasei Co. Ltd., Japan.

Kurabo Techno System Ltd., Japan.

Kuraki America Corporation, US.

Kuraki Co. Ltd., Japan.

Kuraki Taiwan Co. Ltd., Taiwan.

Kurashiki Chemical Products Do Brasil Ltda., Brazil.

Kurashiki Do Brasil Textile Ltda, Brazil.

Kurashiki Ivy Square Co. Ltd., Japan.

Kurashiki Textile Manufacturing Co. Ltd., Japan.

Masty Kurashiki Co. Ltd., Japan.

P.T. Kurabo Manunggal Textile Industries, Indonesia.

Sheedom Co. Ltd., Japan.

Siam Kurabo Co. Ltd., Thailand.

Taisho Spinning Co. Ltd., Japan.

Thai Kurabo Co. Ltd., Thailand.

Thai Textile Development & Finishing Co. Ltd., Thailand.

Tomei Kasei Co. Ltd., Japan.

etc.

 

 

SECURITIES CODE

 

3106

 

COMPANY FILE NUMBER

 

F0004145

 

 

CAPITAL STOCK

 

 ¥22,040 million

 

 

MANAGEMENT

 

Chairman:  Mr. Akihiro Inoue

President:  Mr. Haruya Fujita

Contact Person:  Ms Lam Cheung

 

 

AUTHORISED REPRESENTATIVES IN HONG KONG

(As per registry dated 05-09-2014)

 

Name

Address

Satoshi TOYAMA

Suite A-2210, 22/F., Harbourfront Horizon All-Suite Hotel, 8 Hung Luen Road, Hunghom Bay, Kowloon, Hong Kong.

 

 

DIRECTORS

(As per registry dated 05-09-2014)

 

Name

(Nationality)

 

Address

Toshio BABA

3-17, Hukatani-cho, Nishinomiya-shi, Hyogo, Japan.

 

Koji SANO

4-1-208, 3-chome, Shiginonishi, Joto-ku, Osaka, Japan.

 

Haruo KITAGAWA

4-31, 2-Chome, Kyutaro-Machi, Chuo-Ku, Osaka, 541‑8581, Japan.

 

Haruya FUJITA

4-31, 2-Chome, Kyutaro-Machi, Chuo-Ku, Osaka, 541‑8581, Japan.

 

Katsuhide HONDA

9-19, Nishinoyama-cho, Kawachinagano-shi, Osaka, Japan.

 

Susumu INAOKA

12-24-421, 3-chome, Iwata-cho, Higashiosaka-shi, Osaka, Japan.

 

Atsushi KITABATAKE

7-13, 8-chome, Saganakadai, Kidugawa-shi, Kyoto, Japan.

 

Akihiro INOUE

4-31, 2-Chome, Kyutaro-Machi, Chuo-Ku, Osaka, 541‑8581, Japan.

 

 

SECRETARY 

(As per registry dated 05-09-2014)

 

Name

Address

Co. No.

Hojin SEC Ltd.

Room 301, 3/F., Sun Hung Kai Centre, 30 Harbour Road, Wanchai, Hong Kong.

0612527

 

 

HISTORY

 

The subject was incorporated in Japan on 9th March, 1888 as a public listed company and has established a principal place of business in Hong Kong on 5th September, 1988.  Now it has registered as a non-Hong Kong company in Hong Kong.

 

Its shares are listed on the 1st Section of Stock Exchanges in Tokyo and Osaka respectively in May 1949.

 

Formerly the subject was located at Room 1609, 16/F., World Finance Centre, South Tower, Harbour City, Canton Road, Tsimshatsui, Kowloon, Hong Kong.  Moved to Room 1614-1615, 16/F. of the same building in March 1997.  The subject moved to the present address in December 2013.

 

The subject moved to the present address in January 2010.

 

Apart from these, neither material change nor amendment has been ever traced and noted.

 

 

OPERATIONS

 

Activities:                      manufacturing

 

Lines:                           All kinds of textile fabrics, garments & chemicals

 

Employees:                  16.  (Hong Kong Branch)

4,788.  (Group – as of 31-03-2014)

 

Commodities Handled:  Mainly imported from Japan, Thailand, etc.

 

Markets:                        Hong Kong, Japan and other Southeast Asian countries.

 

Group Net Sales:           ¥134,262 million  (Year ended 31-03-2010)

¥145,177 million  (Year ended 31-03-2011)

¥159,081 million  (Year ended 31-03-2012)

¥146,990 million  (Year ended 31-03-2013)

¥165,228 million  (Year ended 31-03-2014)

 

Terms/Sales:                 Various terms (mostly through Japanese trading houses).

 

Terms/Buying:               As per contracted (mostly through Japanese trading houses).

 

 

FINANCIAL INFORMATION

 

Capital Stock:               ¥22,040 million

 

Group Net Income:        ¥5,471 million  (Year ended 31-03-2010)

¥4,897 million  (Year ended 31-03-2011)

¥2,716 million  (Year ended 31-03-2012)

¥   852 million  (Year ended 31-03-2013)

¥1,608 million  (Year ended 31-03-2014)

 

Group Net Assets:         ¥82,416 million  (Year ended 31-03-2010)

¥80,965 million  (Year ended 31-03-2011)

¥82,414 million  (Year ended 31-03-2012)

¥88,405 million  (Year ended 31-03-2013)

¥89,562 million  (Year ended 31-03-2014)

 

Profit or Loss:               Group business is profitable in the past five years.

 

Condition:                     Keeping in an active manner.

 

Facilities:                      Making active use of general banking facilities.

 

Payment:                      Met as contracted.

 

Commercial Morality:     Good.

 

Bankers:-

·         The Bank of Tokyo-Mitsubishi Ltd., Hong Kong Branch.

·         Mizuho Corporate Bank Ltd., Hong Kong Branch.

 

Standing:  Very Good.

 

GENERAL

Kurabo Industries Ltd., also known as Kurashiki Boseki Kabushiki Kaisha, is a Hong Kong branch office of Kurabo Industries Ltd. [Kurabo] which is a leading Japanese spinning company in Japan.

The subject is trading in all kinds of piecegoods (either manufactured in vegetable fibre or blended).  Most of the products are imported from Thailand.

Based in Osaka, Japan, Kurabo was founded more than 119 years ago.  Its basic technologies in spinning, dying and processing have served as the cornerstone for its current expansions into various fields, and its Cotton and Synthetic Textile Division continues to play a pivotal role in the company.

Kurabo is primarily engaged in the manufacture of textiles and chemicals.  The Textile segment manufactures and sells threads, fabrics, textile, non-woven fabrics, knitted products, reinforced nets and secondary textile products, as well as the staining, arrangement and processing of synthetic fabrics.  The Chemical segment manufactures and sells polyurethane foam, synthetic lumber, inorganic construction materials, functional film and high functional and engineering plastics, among others.  The Real Estate segment is engaged in the leasing of real estate, and the operation of parking lots, and driving schools.  The Machine tool segment offers machine tools.  The Electronics segment manufactures and sells information system equipment and inspection and measuring systems.  The Others segment is engaged in the design, production, construction and sale of environment and recycling related plants and equipment, vacuum frozen dried food and insurance agency business.

The subject was engaged in promotion of sales as well as offering customers with after services.  Most of the sales is through local Japanese trading houses.  Business commenced in 1992 and now has had local and Japanese staff, the subject’s business is active in Hong Kong.

For the year ended 31st March, 2014, the Group’s turnover was ¥165,228 million, grew by 12.4% as compared with ¥146,990 million in FY 2013.  Net income for the FY was ¥1,608 million, grew by 88.7% as compared with ¥852 million in FY 2013.

The capital of Kurabo was ¥22,040 million.  As at 31st March, 2014, the Group has 4,788 employees.

The subject is fully supported by the Group’s Japan Head Office.

On the whole, consider the subject good for normal business engagements.

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.57

UK Pound

1

Rs.99.67

Euro

1

Rs.70.93

 

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

TPT

 

               

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.