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Report No. : |
341861 |
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Report Date : |
21.09.2015 |
IDENTIFICATION DETAILS
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Name : |
JFE SHOJI TRADE CORPORTION |
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Registered Office : |
Ohtemachi Financial City North Tower 26F, 1-9-5 Ohtemachi Chiyodaku Tokyo 100-8070 |
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Country : |
Japan |
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Financials (as on) : |
31.03.2015 |
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Date of Incorporation : |
August 2004 |
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Com. Reg. No.: |
0100-01-01-013552 (Osaka-Kitaku) |
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Legal Form : |
Limited Company (Kabushiki Kaisha) |
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Line of Business : |
Imports, exports and wholesales steel, steel products (60%),
materials, chemicals, oil & fuels (20%), machinery & equipment,
others (10%) |
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No. of Employee : |
1,297 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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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 |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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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.
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Source
: CIA |
JFE SHOJI TRADE CORPORTION
REGD NAME: JFE Shoji KK
MAIN OFFICE: Ohtemachi Financial
City North Tower 26F, 1-9-5 Ohtemachi Chiyodaku Tokyo 100-8070 JAPAN
Tel: 03-5203-5510 Fax: 03-5203-5289
*.. Registered at: 1-6-20 Dojima Kitaku Osaka
.
URL: http://www.jfe-shoji.co.jp
E-Mail address: (through the URL)
Import, export,
wholesale of steel, iron ore, chemicals, machinery, other
(Domestic) 22
locations
Korea (2), China (3),
Taiwan (2), Vietnam (2), India (4), Australia (2), USA (3), India, other.
(Total 34 in 18 countries)
TSUTOMU YAJIMA,
PRES Kohei Yoshioka, v
pres
Katsuyoshi Takaya,
s/mgn dir Hidehiko Ogawa,
s/mgn dir
Masaru Saruwatari,
s/mgn dir Toshihiro
Kabasawa, s/mgn dir
Yen Amount: In
million Yen, unless otherwise stated
FINANCES FAIR A/SALES Yen 1,362,894 M
PAYMENTSREGULAR CAPITAL Yen 14,539 M
TREND STEADY WORTH Yen 100,430 M
STARTED 1948 EMPLOYES 1,297
TRADING HOUSE, OWNED BY JFE SHOJI HOLDINGS INC.
FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.
This is a trading company belonging to JFE Shoji Holdings Inc, which was
created on 01/Aug/2004 by Kawasho Corp, Kawasaki Steel group trading
house. On 01/Oct/2004, Kawasho Corp and
NKK Trading Inc, NKK group trading house, merged when the two parents, Kawasaki
Steel and NKK merged to become JFE Holdings Inc. At the same time, the group reorganized into
four individual companies under the control of JFE Shoji Holdings Inc: JFE
Shoji Trade Corporation (consolidated steel business), Kawasho Foods
Corporation (foods business), Kawasho Semiconductor Corporation (semiconductor
business) and Kawasho Real Estate Corporation (real estate business). 98% of sales are generated by the subject
firm and this is the core of the group firms.
In Oct 2010 acquired of all issued shares in Republic Coal Pty Ltd,
Australia. In Jun 2010 established JV
with Summit Corp Thailand, as Steel Alliance Service Center Co Ltd, a steel
processing center mainly serving the automobile industry. The firm was listed on the Tokyo S/E Apr
2012. The firm became a wholly-owned
subsidiary of JFE Holdings in Oct 2012 through a stock swap, and the company
was delisted on September 26, 2012.
Clients include Group firms, steel mfg, wholesalers, other, nationwide.
Financials are consolidated by the parent, JFE Shoji Holdings Inc, and
only non-consolidated financials are disclosed.
The sales volume for Mar/2015 fiscal term amounted to Yen 1,362,894
million, a 3% up from 1,321,586 million in the previous term. Brisk demand for steel/irons from the
automobile and shipbuilding industries contributed. Also the weaker Yen helped to rise the
earnings in Yen terms. Mfg &
construction industries rose. The
recurring profit was posted at Yen 17,176 million and the net profit at Yen
4,271 million, respectively, compared with Yen 15,313 million recurring profit
and Yen 5,535 million net profit, respectively, a year ago.
For the current term ending Mar 2016 the
recurring profit is projected at Yen 18,000 million and the net profit at Yen
4,300 million, respectively, on a 3% rise in turnover, to Yen 1,404,000
million. The weaker Yen continues to
contribute to raise earnings in Yen terms.
Business is seen expanding steadily.
The financial situation is considered FAIR and good for ORDINARY business engagements.
Date Registered: Aug 2004
Regd No.:
0100-01-01-013552 (Osaka-Kitaku)
Legal Status: Limited Company (Kabushiki Kaisha)
Authorized: 115 million shares
Issued: 29 million shares
Sum: Yen 14,539 million
Major
shareholders: JFE Holdings Inc* (100)
*.. Holding company formed thru business
combination between Kawasaki Steel and NKK, Tokyo, founded 2002, listed Tokyo
S/E, capital Yen 147,143 million, sales Yen 3,850,355 million, operating profit
Yen 222,559 million, recurring profit Yen 231,001 million, net profit Yen
139,357 million, total assets Yen 4,639,412 million, net worth Yen 1,938,937
million, employees 58,885, pres Eiji Hayashida
Nothing
detrimental is known as to the commercial morality of executives.
Activities: Imports, exports and wholesales steel, steel
products (60%), materials, chemicals, oil & fuels (20%), machinery &
equipment, others (10%)
Overseas
Trading Ratio (45%)
Clients: [Mfrs, wholesalers]
JFE Steel (11.8%), KK Tohsen, Okakin Corp, Mizushima Kohan Kogyo (Steel maker),
Hanwa Kozai Co, San-Ei Metal, Kowa Kinzoku Corp, Daiei Kogyo, other.
No. of accounts:
800
Domestic areas of
activities: Nationwide
Suppliers: [Mfrs,
wholesalers] JFE Steel (28.4%), JFE Chemical, JFE Steel Plate, Tokyo Steel,
Mizushima Kohan Kogyo, Hitachi Ltd, Asahi Seiren Co, Toyo Dengyo Co, Toyo
Kotetsu Co, other.
Payment record: Regular
Location: Business area in
Tokyo. Office premises at the caption
address are leased and maintained satisfactorily.
Bank References:
Mizuho Bank
(Osaka)
MUFG (H/O)
Relations:
Satisfactory
(In Million Yen)
|
Terms Ending: |
31/03/2016 |
31/03/2015 |
31/03/2014 |
31/03/2013 |
|
|
Annual
Sales |
|
1,404,000 |
1,362,894 |
1,321,586 |
1,334,787 |
|
Recur.
Profit |
|
18,000 |
17,176 |
15,373 |
11,322 |
|
Net
Profit |
|
4,300 |
4,271 |
5,535 |
7,185 |
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Total
Assets |
|
|
420,725 |
382,970 |
346,446 |
|
Current
Assets |
|
|
264,705 |
267,340 |
246,359 |
|
Current
Liabs |
|
|
234,020 |
245,738 |
226,815 |
|
Net
Worth |
|
|
100,430 |
95,637 |
89,160 |
|
Capital,
Paid-Up |
|
|
14,559 |
14,539 |
14,539 |
|
Div.Ttl
in Million (¥) |
|
|
5,423 |
743 |
2,365 |
|
<Analytical Data> |
|
(%) |
(%) |
(%) |
(%) |
|
S.Growth Rate |
|
3.02 |
3.13 |
-0.99 |
-20.75 |
|
Current Ratio |
|
.. |
113.11 |
108.79 |
108.62 |
|
N.Worth Ratio |
|
.. |
23.87 |
24.97 |
25.74 |
|
R.Profit/Sales |
|
1.28 |
1.26 |
1.16 |
0.85 |
|
N.Profit/Sales |
|
0.31 |
0.31 |
0.42 |
0.54 |
|
Return On Equity |
|
.. |
4.25 |
5.79 |
8.06 |
Notes: Forecast
(or estimated) figures for the 31/03/2016 fiscal term.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.65.92 |
|
|
1 |
Rs.102.75 |
|
Euro |
1 |
Rs.75.13 |
INFORMATION DETAILS
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Analysis Done by
: |
DIV |
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Report Prepared
by : |
ANK |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
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>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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
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-- |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.