MIRA INFORM REPORT

 

 

Report No. :

349539

Report Date :

07.11.2015

 

IDENTIFICATION DETAILS

 

Name :

HORIZON INTERNATIONAL INC

 

 

Registered Office :

1601 Asahi Shin-Asahicho Takashima City Shiga-Pref

 

 

Country :

Japan

 

 

Financials (as on) :

31.07.2014

 

 

Date of Incorporation :

August 1981

 

 

Com. Reg. No.:

1600-01-012050 (Shiga-Takashima)

 

 

Legal Form :

Limited Company (Kabushiki Kaisha)

 

 

Line of Business :

Exports, imports and wholesales bookbinding equipment: folding, collating, binding, stitching & cutting machines (--100%).

 

 

No. of Employee :

34

 

 

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 194.4 Million

 

 

Status :

Satisfactory

 

 

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 – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

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 an 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. Scarce in many natural resources, Japan has long been dependent on imported raw materials. Since the complete shutdown of Japan’s nuclear reactors after the earthquake and tsunami disaster in 2011, Japan's industrial sector has become even more dependent than it was previously on imported fossil 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 impressive - 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 aftereffects 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. 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 of that year disrupted manufacturing. The economy has largely recovered in the four years since the disaster, although reconstruction in the affected Tohoku region has lagged, in part due to a shortage of labor in the construction sector. Japan enjoyed a sharp uptick in growth in 2013 on the basis of Prime Minister Shinzo Abe’s “Three Arrows” economic revitalization agenda - dubbed “Abenomics” - of monetary easing, “flexible” fiscal policy, and structural reform. Abe’s government has replaced the preceding administration’s plan to phase out nuclear power with a new policy of seeking to restart nuclear power plants that meet strict new safety standards, and emphasizing nuclear energy’s importance as a base-load electricity source. Japan joined the Trans-Pacific Partnership (TPP) 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 first-place China, which surpassed Japan in 2001, and third-place India, which edged out Japan in 2012. While seeking to stimulate and reform the economy, the government must also devise a strategy for reining in Japan's huge government debt, which amounts to more than 230% of GDP. To help raise government revenue, Japan adopted legislation in 2012 to gradually raise the consumption tax rate to 10% by 2015, beginning with a hike from 5% to 8% implemented in April 2014. That increase had a contractionary effect on GDP, however, so PM Abe in late 2014 decided to postpone the final phase of the increase until April 2017 to give the economy more time to recover. Led by the Bank of Japan’s aggressive monetary easing, Japan is making progress in ending deflation, but demographics - low birthrate and an aging, shrinking population - pose major long-term challenges for the economy.

 

Source : CIA

 

Company name and address

 

HORIZON INTERNATIONAL INC

 

REGD NAME:               Horizon International KK

MAIN OFFICE:              510 Kuze-Ohyabucho Minamiku Kyoto 601-8206 JAPAN

                                                Tel: 075-934-6700     Fax: 075-934-6708

 

                                                * Registered at: 1601 Asahi Shin-Asahicho Takashima City Shiga-Pref

 

URL:                             http://www.horizon.co.jp

E-Mail address:                         info@horizon.co.jp

 

 

ACTIVITIES

 

Import, export of bookbinding equipment

 

 

BRANCHES

 

 Nil

 

 

OVERSEAS

 

 Germany

 

 

FACTORIES

 

 (subcontracted)

 

 

OFFICER(S)

 

EIJIRO HORI, PRES

Kosaku Shimamura, dir

 

Yen Amount:     In million Yen, unless otherwise stated

 

SUMMARY

 

FINANCES        FAIR                             A/SALES          Yen 10,580 M

PAYMENTS      NO COMPLAINTS          CAPITAL           Yen 10 M

TREND STEADY                      WORTH            Yen 5,360 M

STARTED      1981                                EMPLOYES     34

 

 

COMMENT

 

TRADING HOUSE FOCUSING ON EXPORTS OF BOOKBINDING MACHINES.

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

 

MAX CREDIT LIMIT: YEN 194.4 MILLION, 30 DAYS NORMAL TERMS

 

 

HIGHLIGHTS

           

The subject company was established on the basis of an international trading division

separated from Taiyo Seiki KK, an industrial machinery maker, Kyoto.  This is one of the Hori-family owned group firms, consisting of Taiyo Seiki KK, Horizon KK, Horizon International Inc and two subsidiary agent dealers.  The subject specializes in exporting bookbinding equipment their parts & peripherals, produced by Taiyo Seiki to about 40 countries worldwide, centering to USA, Germany, UK, Asia, Australia, other. Exports to Germany started in 1982 after DRUPA 82 Trade Show (Germany) and to USA in 1985 after PRINT85 Trade Show (USA), thereafter expanded into other countries.  Has a sales agent in Germany.

 

 

FINANCIAL INFORMATION

 

Financials are only partially disclosed.

 

The sales volume for Jul/2014 fiscal term amounted to Yen 10,588 million, a 16% up from Yen 9,100 million in the previous term.  Large lot of orders received from overseas.  Exports were robust.  The net profit was posted at Yen 177 million, compared with Yen 230 million a year ago. 

 

For the term that ended Jul 2015 the net profit was projected at Yen 200 million, on a 5% rise in turnover, to Yen 11,110 million.  The weaker Yen may have contributed to raise export earnings in Yen terms.  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 194.4 million, on 30 days normal terms.

 

 

REGISTRATION

 

Date Registered:                                   Aug 1981

Regd No.:                                             1600-01-012050 (Shiga-Takashima)

Legal Status:                            Limited Company (Kabushiki Kaisha)

Authorized:                              80,000 shares

Issued:                                     20,000 shares

Sum:                                        Yen 10 million

Major shareholders (%):                       Eijiro Hori, others (--100%)

No. of shareholders:                 3

           

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

 

 

OPERATION

 

Activities: Exports, imports and wholesales bookbinding equipment: folding, collating, binding, stitching & cutting machines (--100%).

Goods are produced by a subsidiary mfr, Taiyo Seiki Co Ltd, Kyoto

(Export 60%)

 

Clients: [Mfrs, wholesalers] Horizon Nishi Consul, Horizon Higashi Techno (--subsidiary dealers), other.

Exports to USA, UK, Germany, Netherlands, France, Sweden, Australia, China, Asia,      and other worldwide destinations.

No. of accounts: 300 (Domestic)

Domestic areas of activities: Nationwide

Suppliers: [Mfr] Taiyo Seiki Co (owned by the Hori family)

 

Payment record: No Complaints

 

Location: Business area in Kyoto.  Office premises at the caption address are owned by Taiyo Seiki Co and maintained satisfactorily.

 

Bank References:

Kyoto Shinkin Bank (Kisshoin)

Bank of Kyoto (Sai-In)

Relations: Satisfactory

 

 

FINANCES

 

(In Million Yen)

Terms Ending:

 

31/07/2015

31/07/2014

31/07/2013

31/07/2012

Annual Sales

 

11,110

10,580

9,100

8,500

Recur. Profit

 

..

..

..

..

Net Profit

 

200

177

230

62

Total Assets

 

 

N/A

N/A

N/A

Net Worth

 

 

5,360

5,236

5,006

Capital, Paid-Up

 

 

10

10

10

Div.P.Share(¥)

 

 

0.00

0.00

0.00

<Analytical Data>

 

(%)

(%)

(%)

(%)

    S.Growth Rate

 

5.01

16.26

7.06

0.00

    Current Ratio

 

 

..

..

..

    N.Worth Ratio

 

 

..

..

..

    N.Profit/Sales

 

1.80

1.67

2.53

0.73

 

Notes: Financials are only partially disclosed.

 

Forecast (or estimated) figures for the 31/07/2015 fiscal term.

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.65.79

UK Pound

1

Rs.99.95

Euro

1

Rs.71.55

 

 

INFORMATION DETAILS

 

Analysis Done by :

RAS

 

 

Report Prepared by :

ANK

 


 

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%)

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

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