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Report No. : |
350181 |
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Report Date : |
16.11.2015 |
IDENTIFICATION DETAILS
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Name : |
MITSUBISHI HITACHI POWER SYSTEMS LTD |
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Registered Office : |
Mitsubishi Juko Yokohama Bldg 3-3-1 Minatomirai Nishiku Yokohama 220-8401 |
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Country : |
Japan |
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Financials (as on) : |
31.03.2015 |
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Date of Incorporation : |
June, 2013 |
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Legal Form : |
Limited Company (Kabushiki Kaisha) |
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Line of Business : |
Manufacturer of Boiler & Turbine Generation Plants, Geothermal
Power Plant, Other. |
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No. of Employees : |
9,856 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
Yen 6,578.9 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) |
|
Japan |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
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 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 |
MITSUBISHI HITACHI POWER SYSTEMS LTD
REGD NAME: Mitsubishi
Hitachi Power Systems KK
MAIN OFFICE: Mitsubishi
Juko Yokohama Bldg 3-3-1 Minatomirai Nishiku Yokohama 220-8401
JAPAN
Tel:
045-200-6100 Fax: 045-200-7989
URL: http://www.mhps.com
E-Mail address: (thru the URL)
Mfg of boiler
& turbine generation plants, geothermal power plant, other
Hokkaido, Tokyo,
Nagoya, other (Tot 10)
Hitachi, Yokohama,
Takasago, Kure, Nagasaki
TAKATO NISHIZAWA,
PRES Koji Tanaka, ch
Yasuo Fujitani,
dir Kenji Ando, dir
Koji Hasegawa, dir Satoshi Uchida, dir
Yen Amount: In million Yen, unless otherwise stated
FINANCES FAIR A/SALES Yen 158,542 M
PAYMENTSREGULAR CAPITAL Yen 100,000 M
TREND UP WORTH Yen
493,468 M
STARTED 2013 EMPLOYES 9,856
MFG OF BOILER PLANTS, OTHER.
FINANCIAL SITUATION CONSIDERED FAIR AND GOOD
FOR ORDINARY BUSINESS ENGAGEMENTS.
MAX CREDIT LIMIT:
ESTIMATED AT YEN 6,578.9 MILLION, ON 30 DAYS NORMAL TERMS.
The subject
company was established as a JV between Mitsubishi Heavy Ind 65%) and Hitachi Ltd (35) in 2013. It builds boiler
& turbine generation plants, other (See
OPERATION). Clients include
power generation firms, both domestic & abroad.
The sales volume
for the initial accounting term ending Mar/2014 fiscal term amounted to Yen
158,542 million, with recurring profit posted at Yen 16,251 million and the net
profit posted at Yen 8,574 million.
For the term that
ended Mar 2015 the net profit was projected at Yen 17,500 million and the net
profit at Yen 8,600 million, on a 5% rise in turnover, to Yen 200,000
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 6,578.9
million, on 30 days normal terms.
Date Registered: Jun 2013
Legal Status: Limited Company (Kabushiki Kaisha)
Authorized: 800,000 shares
Issued: 200,000 shares
Sum: Yen 100,000 million
Major
shareholders (%): Mitsubishi Heavy Ind (65), Hitachi Ltd (35)
No.
of shareholders: 2
Nothing
detrimental is known as to the commercial morality of executives.
Activities: Manufactures:
GTCC (gas turbine combined cycle power plants), IGCC (integrated gasification
combined cycle power plants), boiler & turbines generation plants,
geothermal power plants, gas turbines, boilers, steam turbines, generators,
power generating plants, peripheral equipment, fuel cells (SOFC), other
(--100%)
Clients: [Mfrs,
wholesalers] Electric utility industry, power generators, other
No. of accounts:
100
Domestic areas of
activities: Nationwide
Payment record: Regular
Location: Business area in
Yokohama. Office premises
at the caption address are owned by Mitsubishi Heavy Ind and maintained
satisfactory.
Bank References:
MUFG (H/O)
Relations:
Satisfactory
(In Million Yen)
|
Terms Ending: |
31/03/2015 |
31/03/2014 |
|
|
Annual
Sales |
|
200,000 |
190,250 |
|
Recur.
Profit |
|
17,500 |
16,251 |
|
Net
Profit |
|
8,600 |
8,574 |
|
Total
Assets |
|
|
1,016,975 |
|
Current
Assets |
|
|
592,981 |
|
Current
Liabs |
|
|
459,132 |
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Net
Worth |
|
|
493,468 |
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Capital,
Paid-Up |
|
|
100,000 |
|
Div.P.Share(¥) |
|
|
0.00 |
|
<Analytical Data> |
|
(%) |
(%) |
|
S.Growth Rate |
|
5.12 |
- - - |
|
Current Ratio |
|
.. |
129.15 |
|
N.Worth Ratio |
|
.. |
48.52 |
|
R.Profit/Sales |
|
8.75 |
8.54 |
|
N.Profit/Sales |
|
4.30 |
4.51 |
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Return On Equity |
|
.. |
1.74 |
Notes: the Mar/2014 is the initial fiscal term
since the inception.
Forecast (or
estimated) figures for the 31/03/2015 fiscal term.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.66.14 |
|
|
1 |
Rs.100.55 |
|
Euro |
1 |
Rs.71.26 |
INFORMATION DETAILS
|
Analysis Done by
: |
HEE |
|
|
|
|
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 |
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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 |
|
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
|
-- |
NB |
New Business |
-- |
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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.