MIRA INFORM REPORT

 

 

Report No. :

346999

Report Date :

27.10.2015

 

IDENTIFICATION DETAILS

 

Name :

BENEC CORPORATION

 

 

Registered Office :

342-6 Matsugo Tokorozawa Saitama-Pref359-0027

 

 

Country :

Japan

 

 

Financials (as on) :

30.09.2014

 

 

Date of Incorporation :

October 1990

 

 

Com. Reg. No.:

0300-01-025762

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Imports, Exports and Retails New & Used Cars (--100%)

 

 

No. of Employees :

35

 

 

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 :

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

 

BENEC CORPORATION

 

REGD NAME:   KK Benec

MAIN OFFICE:  342-6 Matsugo Tokorozawa Saitama-Pref359-0027 JAPAN

                                    Tel: 04-2991-7770      Fax: 04-2991-7760

 

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

E-Mail address: (thru the URL)

 

ACTIVITIES:     Import, export, retail of new & used cars

BRANCHES:     Saitama (2) (--Shops)

FACTORY:        Maintenance shop (garage)

 

OFFICERS:       SHIGERU UENO, PRES

                                    Hiroshi Yoshida, dir

                       

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY

 

FINANCES        FAIR                             A/SALES          Yen 2,297 M

PAYMENTSNO COMPLAINTS    CAPITAL           Yen 50 M

TREND SLOW                           WORTH            Yen 369 M      

STARTED         1990                             EMPLOYES      35

 

COMMENT:      TRADING FIRM SPECIALIZING IN NEW & OLD CARS.  FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS, AND GOOD FOR CREDIT ENGAGEMENTS: US$100,000 / O/A 60 DAYS TERMS.

 

 

HIGHLIGHTS

           

The subject company was established by Shigeru Ueno in order to make most of his experience in the subject line of business.  This is a trading firm for import, export and retail of old & used cars, other, centering on deluxe cars.  Retailing to individual consumers accounts for 30% of total sales.

 

 

FINANCIAL INFORMATION

           

The sales volume for Sept/2014 fiscal term amounted to Yen 2,297 million, a 7% up from Yen 2,466 million in the previous term.  The recurring profit was posted at Yen 84 million and the net profit at Yen 29 million, respectively, compared with Yen 108 million recurring profit and Yen 29 million net profit, respectively, a year ago.

 

For the term that ended Sept 2015 the recurring profit was projected at Yen 90 million and the net profit at Yen 35 million, respectively, on a 5% rise in turnover, to Yen 2,410 million.  Final results are yet to be released.

 

The financial situation is considered FAIR and good for ORDINARY business engagements. 

 

 

REGISTRATION

 

Date Registered:                                   Oct 1990

Regd No.:                                             0300-01-025762 (Saitama-Tokorozawa)

Legal Status:                            Limited Company (Kabushiki Kaisha)

Authorized:                              4,000 shares

Issued:                                     1,000 shares

Sum:                                        Yen 50 million

Major shareholders (%):                       Hiroshi Yoshida (10.2), Shigeru Hino (4.9), Kuniko Hino (2), Shiyuro Hino (2), other

No. of shareholders:                            25

 

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

 

 

OPERATION

           

Activities: Imports, exports and retails new & used cars (--100%)

 

Clients: [Mfrs, wholesalers, consumers] Individual consumers (30%), USS, JAA, other 

No. of accounts: Unavailable

Domestic areas of activities: Centered in the greater-Tokyo

 

Suppliers: [Mfrs, wholesalers] USS, JAA, Aioi Nissey Dowa Ins, Tokio Marine & Nichido Fire Ins, individual sellers, other

 

Payment record: No Complaints

 

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

 

Bank References:

Saitama Resona Bank (Tokorozawa)

MUFG (Tokorozawa)

Relations: Satisfactory

 

FINANCES

 

(In Million Yen)

 Terms Ending:

30/09/2015

30/09/2014

30/09/2013

30/09/2012

Annual Sales

 

2,410

2,297

2,466

2,500

Recur. Profit

 

90

84

108

27

Net Profit

 

35

29

29

10

Total Assets

 

 

1,784

1,942

1,591

Current Assets

 

 

1,203

1,372

984

Current Liabs

 

 

900

848

676

Net Worth

 

 

369

339

310

Capital, Paid-Up

 

 

50

50

50

Div.P.Share(¥)

 

 

0.00

0.00

0.00

<Analytical Data>

 

(%)

(%)

(%)

(%)

    S.Growth Rate

 

4.92

-6.85

-1.36

19.96

    Current Ratio

 

..

133.67

161.79

145.56

    N.Worth Ratio

 

..

20.68

17.46

19.48

    R.Profit/Sales

 

3.73

3.66

4.38

1.08

    N.Profit/Sales

 

1.45

1.26

1.18

0.40

    Return On Equity

 

..

7.86

8.55

3.23

 

Notes: Forecast (or estimated) figures for the 30/09/2015 fiscal term.

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.64.96

UK Pound

1

Rs.99.55

Euro

1

Rs.71.64

 

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

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.