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MIRA INFORM REPORT
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Report No. : |
507152 |
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Report Date : |
02.05.2018 |
IDENTIFICATION DETAILS
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Name : |
HORIBA LTD |
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Registered Office : |
2 Miyanohigashi
Kisshoin Minamiku Kyoto 601-8510 |
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Country : |
Japan |
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Financials (as on) : |
31.12.2017 |
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Date of Incorporation : |
Jan
1953 |
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Com. Reg. No.: |
1300-01-011676 |
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Legal Form : |
Limited
Company |
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Line of Business : |
Subject
is engaged in Manufactures measuring instruments & analyzers |
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No. of Employees : |
1,574 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
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MIRA’s Rating : |
A+ |
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Credit Rating |
Explanation |
Rating Comments |
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A+ |
Low Risk |
Business dealings permissible with low
risk of default |
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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
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Country Name |
Previous Rating (30.09.2017) |
Current Rating (31.12.2017) |
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Japan |
A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low Risk |
A2 |
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Moderately Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderately High Risk |
C1 |
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High Risk |
C2 |
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Very High Risk |
D |
JAPAN - ECONOMIC OVERVIEW
Over the past 70 years, government-industry cooperation, a strong work ethic, mastery of high technology, and a comparatively small defense allocation (slightly less than 1% of GDP) have helped Japan develop an advanced economy. Two notable characteristics of the post-World War II 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 have significantly eroded under the dual pressures of global competition and domestic demographic change.
Measured on a purchasing power parity basis that adjusts for price differences, Japan in 2017 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. For three postwar decades, overall real economic growth was impressive - a 10% average in the 1960s, 5% in the 1970s, and 4% in the 1980s. Growth slowed markedly in the 1990s, averaging just 1.7%, largely because of the aftereffects of inefficient investment and the collapse of an asset price bubble in the late 1980s, which entailed considerable 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.
Japan enjoyed an 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. Led by the Bank of Japan’s aggressive monetary easing, Japan is making modest progress in ending deflation, but demographic decline – a low birthrate and an aging, shrinking population – poses a major long-term challenge for the economy. The government currently faces the quandary of balancing its efforts to stimulate growth and institute economic reforms with the necessity of addressing its sizable public debt, which stands at 235% of GDP. To help raise government revenue, Japan adopted legislation in 2012 to gradually raise the consumption tax rate. However, the first such increase, in April 2014, led to another recession, so Prime Minister ABE has twice postponed the next increase, now scheduled for October 2019. Structural reforms to unlock productivity are seen as central to strengthening the economy in the long-run.
Scarce in critical natural resources, Japan has long been dependent on imported energy and raw materials. After the complete shutdown of Japan’s nuclear reactors following the earthquake and tsunami disaster in 2011, Japan's industrial sector has become even more dependent than before on imported fossil fuels. However, ABE’s government is seeking to restart nuclear power plants that meet strict new safety standards and is emphasizing nuclear energy’s importance as a base-load electricity source. In August 2015, Japan successfully restarted one nuclear reactor at the Sendai Nuclear Power Plant in Kagoshima prefecture, and several other reactors around the country have since resumed operations; however, opposition from local governments has delayed several more restarts that remain pending. Reforms of the electricity and gas sectors, including full liberalization of Japan’s energy market in April 2016 and gas market in April 2017, constitute an important part of Prime Minister Abe’s economic program.
In October 2015, Japan and 11 trading partners reached agreement on the Trans-Pacific Partnership (TPP), a pact that had promised to open Japan's economy to increased foreign competition and create new export opportunities for Japanese businesses. Japan was the first country to ratify the TPP in December 2016; the United States signaled its withdrawal from the TPP in January 2017, and in November 2017 the remaining 11 countries agreed on the core elements of a modified agreement, which they renamed the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).
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Source
: CIA |
Company
name and address
HORIBA Ltd
REGD NAME: KK Horiba Seisakusho
MAIN OFFICE: 2 Miyanohigashi Kisshoin Minamiku Kyoto
601-8510 JAPAN
Tel: 075-313-8121 Fax: 075-321-8312-
URL: http://www.horiba.com
E-Mail
address: (thru the URL)
ACTIVITIES: Mfg
of measuring instruments, analyzers
BRANCHES: Tokyo,
Sendai, Tsukuba, Yokohama, Nagoya, Osaka, other (Tot 15)
OVERSEAS: USA,
UK (4), Italy (2), India, Austria, Netherlands, Canada, Korea (3), Singapore, Sweden, Spain, Thailand, China (3), Czech,
Germany (3), Turkey, Brazil, France
(3), Vietnam, Belgium (2), Poland,
Portugal, Russia (--subsidiaries)
FACTORIES: At
the caption address, Ohtsu; France
CHIEF EXEC: MASAYUKI
ADACHI, PRES
Yen Amount: In million Yen, unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 195,899 M
PAYMENTS REGULAR CAPITAL Yen 12,011 M
TREND STEADY WORTH Yen 150,284 M
STARTED 1953 EMPLOYES 1,574
COMMENT
MFR OF
MEASURING INSTRUMENTS, ANALYZERS, OTHER
FINANCIAL
SITUATION COSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.
HIGHLIGHTS
This is a
leading mfr of analytical & measuring instruments founded in 1945 by Masao
Horiba, with the motto of “JOY and FUN”.
Eager for overseas M&A.
Although the founding family retains a strong influence, Atsushi Horiba
shifted to chairman and CEO after 26 years, and Masayuki Adachi assumed as
president in January 2018. Has the
overwhelming world market share in exhaust gas measuring equipment for
automobile engines. Also dealing the
sales of analytical instruments including X-ray analyzers, medical equipment
including blood cell counters, as well as related reagents. As for products in medical use, expanding
plants mfg reagents in & out of Japan, with a plant in France as the
core. Among semiconductor equipment,
boasts a high share in mass flow controllers.
FINANCIAL
INFORMATION
The sales volume for Dec/2017 fiscal
term amounted to Yen 195,899 million, a 14.88% up from Yen 170,093 million in
the previous term. The recurring profit
was posted at Yen 26,608 million and the net profit at Yen 16,281 million,
respectively, compared with Yen 18,297 million recurring profit and Yen 12,962
million net profit, respectively, a year ago.
For the current term ending Dec 2018
the recurring profit is projected at Yen 28,400 million and the net profit at
Yen 19,000 million, on a 7.47% rise in turnover, to Yen 210,000 million.
The financial
situation is considered FAIR and good for ORDINARY business engagements.
REGISTRATION
Date Registered: Jan 1953
Regd No.: 1300-01-011676 (Kyoto-Minamiku)
Legal Status: Limited Company (Kabushiki Kaisha
Authorized:
100 million shares
Issued: 42,532,752 shares
Sum: Yen 12,011 million
Major shareholders (%): Japan Trustee Services T (6.3), Master
Trust Bank of Japan T (5.3), 828035 Picatet Cie (Europe) Lux (3.8), Zenkyoren
(3.0), Atsushi Horiba (2.0), , Kyoto Chuo Shinkin Bank (1.9), Bank of Kyoto
(1.9), Japan Trustee Services T9 (1.9), Horiba Rakurakukai Invest (1.8), Japan
Trustee Services T5 (1.7); foreign owners (35.9)
No. of shareholders: 6,477
Listed on the S/Exchange (s) of: Tokyo
Managements: Atsushi Horiba, ch; Masayuki Adachi,
pres; Juichi Saito, v pres; Takafumi
Nagano, dir; Masahiro Sugita, dir; Shigeaki Higashifushimi, dir; Sawako
Takeuchi, dir
Nothing
detrimental is known as to the commercial morality of executives.
Related companies: Horiba Stec, Horiba ABX, Horiba Techno
Services, other.
OPERATION
Activities: Manufactures measuring instruments &
analyzers:
(Sales Breakdown by Divisions):
Automotive Test Systems (38%): analytical emissions systems, on-board
emissions systems, portable emissions systems, dilution/sampling systems,
engine test systems, driveline test systems, vehicle test systems, brake test
systems, wind tunnel balances, automation systems;
Process & environmental Instruments
Systems (9%):
environmental radiation monitor, water quality measurement, water treatment
& environment, gloss checker, thermometry, other;
Medical-Diagnostic Instruments Systems
(13%): produces near
7,500 analyzers per year and over 8,000 tons of reagents;
Semiconductor Instruments Systems (27%): high performance mass flow controllers,
reticule/mask particle detection systems, in-line chemical solution
concentration monitors, direct injection vaporizers, automatic spectroscopic
ellipsometers, other;
Scientific Instruments Systems (13%): scientific’s fluorometer, other;
Overseas Sales Ratio (67%)
Clients: [Mfrs, wholesalers] Horiba Techno Services, Hitachi Hitec
Solutions, Horiba Europe, Horiba Advances Techno, Horiba Instruments, Hitachi
High Technologies, Yanmar Co, Fukuda Denshi, Honda Motor Co, Denso Corp, Suzuki
Motor, other
No. of
accounts: 1,000
Domestic areas
of activities: Nationwide
Suppliers: [Mfrs, wholesalers] Horiba Techno
Service, Horiba Advanced Techno, Horiba Korea, Hitachi Metals Admet Inc, Horiba
Stec, Oxford Instruments, Mikasa Shoji co, other
Payment record: Regular
Location: Business area in Kyoto. Office premises at the caption address are
owned and maintained satisfactorily.
Bank References:
MUFG (Kyoto)
Mizuho Bank
(Kyoto)
Relations:
Satisfactory
FINANCES
(In Million Yen)
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Terms Ending: |
31/12/2018 |
31/12/2017 |
31/12/2016 |
31/12/2015 |
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Annual Sales |
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210,000 |
195,399 |
170,093 |
170,898 |
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Recur. Profit |
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28,400 |
26,608 |
18,279 |
18,848 |
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Net Profit |
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19,000 |
16,281 |
12,962 |
12,882 |
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Total Assets |
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265,920 |
239,657 |
231,032 |
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Current Assets |
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177,487 |
156,812 |
151,051 |
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Current Liabs |
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74,378 |
66,076 |
62,429 |
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Net Worth |
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150,284 |
132,654 |
129,581 |
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Capital, Paid-Up |
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12,011 |
12,011 |
12,011 |
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Div.P.Share(¥) |
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116.00 |
85.00 |
70.00 |
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<Analytical Data> |
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(%) |
(%) |
(%) |
(%) |
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S.Growth Rate |
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7.47 |
14.88 |
-0.47 |
11.65 |
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Current Ratio |
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.. |
238.63 |
237.32 |
241.96 |
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N.Worth Ratio |
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56.51 |
55.35 |
56.09 |
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R.Profit/Sales |
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13.52 |
13.62 |
10.75 |
11.03 |
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N.Profit/Sales |
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9.05 |
8.33 |
7.62 |
7.54 |
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Return On Equity |
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.. |
10.83 |
9.77 |
9.94 |
Notes: Forecast
(or estimated) figures for the 31/12/2018 fiscal term.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
INR 65.45 |
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1 |
INR 93.28 |
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Euro |
1 |
INR 80.74 |
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YEN |
1 |
INR 0.61 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
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Analysis Done by
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DIV |
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Report Prepared
by : |
DNS |
RATING EXPLANATIONS
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Credit Rating |
Explanation |
Rating Comments |
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A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
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A+ |
Low Risk |
Business dealings permissible with low
risk of default |
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A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
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B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
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C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
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D |
High Risk |
Business dealing not recommended or on
secured terms only |
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NB |
New Business |
No recommendation can be done due to
business in infancy stage |
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NT |
No Trace |
No recommendation can be done as the
business is not traceable |
NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.
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 are as follows:
·
Financial
condition covering various ratios
·
Company
background and operations size
·
Promoters
/ Management background
·
Payment
record
·
Litigation
against the subject
·
Industry
scenario / competitor analysis
·
Supplier
/ Customer / Banker review (wherever available)
This report is issued at
your request without any risk and responsibility on the part of MIRA INFORM
PRIVATE LIMITED (MIPL) or its officials.