MIRA
INFORM REPORT
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Report Date : |
04.04.2007 |
IDENTIFICATION
DETAILS
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Name : |
MITSUI BUSSAN STEEL TRADE CO LTD |
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Registered Office : |
Kowa Hitotsubashi Bldg 10F, 3-7-1 Kanda-Nishikicho Chiyodaku Tokyo
101-0054 |
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Country : |
Japan |
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Date of Incorporation : |
Jul 1987 |
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Legal Form : |
Limited Company (Kabushiki Kaisha) |
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Line of Business : |
Import, export, wholesale of steel
& steel alloy pipes & tubes |
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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Maximum Credit Limit : |
Yen 111.75 millions |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
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name
MITSUI BUSSAN STEEL TRADE CO LTD
REGD NAME
Mitsui Bussan Steel Trade KK
MAIN OFFICE
Kowa Hitotsubashi Bldg 10F, 3-7-1 Kanda-Nishikicho Chiyodaku Tokyo
101-0054 JAPAN
Tel : 03-5217-1600
Fax : 03-3294-8464
URL: http://www.m-s-t.biz
E-Mail address: info@m-s-t.biz
ACTIVITIES
Import, export, wholesale of steel & steel alloy pipes
& tubes
BRANCHES
Kitakyushu
OFFICERS
TETSUO MAMADA, PRES Mikio
Sakamoto, mgn dir
Hiroshi Otobe, dir Masanobu
Itoh, dir
Yen Amount: In
million Yen, unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 6,109 M
PAYMENTS REGULAR CAPITAL Yen 100 M
TREND STEADY WORTH Yen 551 M
STARTED 1987 EMPLOYES 68
COMMENT
TRADING HOUSE SPECIALIZING STEEL PIPES & TUBES, WHOLLY OWNED BY MITSUI & CO.
FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS
ENGAGEMENTS.
MAX CREDIT LIMIT: YEN 111.75 MILLION, 30 DAYS NORMAL
TERMS. .
HIGHLIGHTS
The subject company was established on the basis of overseas
steel pipe trading division separated from Mitsui & Co, leading general
trading house, Tokyo (See REGISTRATION).
A trading house originally for exporting steel & steel alloy pipes
& tubes and gradually changed the
business nature to engage in imports as well.
In 2005, changed the business line to direct sales/dealings from the
previous agency business on behalf of the parent, Mitsui & Co. This resulted in expanding sales
amount. Mitsui’s wide global networks are
efficiently utilized: 153 overseas offices in 72 countries: branches 60;
trading subsidiaries 93 as of Jun/2006.
Clients are in such industries as oil & petrochemicals, steel, power
generation, water supply, auto mfg, other.
FINANCIAL INFORMATION
The sales volume for Mar/2006 fiscal term amounted to Yen 6,109 million, a 54% sharp rise from Yen 3,970 million in the previous term. This is attributed to the change of business nature to direct sales from the previous agency dealings on behalf of the parent, Mitsui & Co. Sales expanded utilizing the wide global networks of Mitsui & Co. Price hikes in steel materials also helped to increase sales amount. Imports and exports increased. The net profit increased nearly fourfold to Yen 241 million from Yen 63 million a year ago.
For the current term ending Mar 2007 the net profit is
projected at Yen 250 million, on a 10% rise in turnover, to Yen 6,700
million. Business is seen rising
steadily.
The financial situation is considered FAIR and good for ORDINARY
business engagements. Max credit limit
is estimated at Yen 111.75 million, on 30 days normal terms.
REGISTRATION
Date Registered: Jul
1987
Legal Status: Limited
Company (Kabushiki Kaisha)
Authorized: 8,000
shares
Issued: 2,000
shares
Sum: Yen
100 million
Major shareholders (%): Mitsui
& Co*(100)
*.. Top-ranked general trading
house vying with Mitsubishi Corp, founded 1947, listed Tokyo, Osaka, Nagoya,
NASDAQ S/E’s, capital Yen 295,766 million, sales Yen 14,885,728 million,
recurring profit Yen 253,182 million, net profit Yen 202,109 million, total assets Yen 8,573,578 million,
net worth Yen 1,677,907 million, employees 40,993, pres Shoei Utsuda
Nothing detrimental is known as to the commercial morality
of executives.
OPERATION
Activities: Imports, exports and wholesales carbon steel, alloy
steel, stainless steel, NI alloy and other metal pipes, tubes, fittings,
castings, flanges & forging, other, catering to steel industries, auto
mfrs, power generation, water supply, oil & petrochemicals, gas, other
industries (--100%),
Goods are widely imported and exported utilizing wide global
networks of the parent, Mitsui & Co (total 153 overseas offices).
Clients: [Steel mills, wholesalers] Mitsui & Co, Kobe
Steel, Nippon Steel, Sumitomo Metal Ind, JFE Steel, Sanyo Special Steel, Kubota
Corp, other.
No. of accounts: 1,000
Domestic areas of activities: Nationwide
Suppliers: [Mfrs, wholesalers] Nippon Steel, Hitachi Zosen
Mechanical, Kobe Special Tube Co, other.
Goods are imported, too.
Payment record: Regular
Location: Business area in Tokyo. Office premises at the caption address are leased and maintained
satisfactorily.
Bank References
SMBC (Mitsui Bussan Bldg Branch)
MUFG (Jimbocho)
Relations: Satisfactory
FINANCES
(In Million Yen)
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Terms Ending: |
31/03/2007 |
31/03/2006 |
31/03/2005 |
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Annual
Sales |
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6,700 |
6,109 |
3,970 |
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Recur.
Profit |
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Net
Profit |
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250 |
241 |
63 |
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Total
Assets |
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2,891 |
2,211 |
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Current
Assets |
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2,459 |
1,937 |
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Current
Liabs |
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2,313 |
1,810 |
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Net
Worth |
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551 |
382 |
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Capital,
Paid-Up |
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100 |
100 |
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Div.P.Share(¥) |
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<Analytical Data> |
(%) |
(%) |
(%) |
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S.Growth Rate |
9.67 |
53.88 |
126.99 |
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Current Ratio |
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.. |
106.31 |
107.02 |
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N.Worth Ratio |
.. |
19.06 |
17.28 |
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R.Profit/Sales |
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.. |
.. |
.. |
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N.Profit/Sales |
3.73 |
3.94 |
1.59 |
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Return On Equity |
.. |
43.74 |
16.49 |
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Note: Forecast (or estimated) for the 31/03/2007 fiscal
term.
CONSOLIDATED FINANCES
OF THE PARENT,
MITSUI & CO LTD
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FINANCES: (Consolidated
in million yen) |
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Terms Ending: |
31/03/2006 |
31/03/2005 |
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INCOME STATEMENT |
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Annual Sales |
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14,885,728 |
13,583,948 |
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Cost of Sales |
14,069,101 |
12,874,997 |
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GROSS PROFIT |
816,627 |
708,921 |
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Selling & Adm Costs |
550,827 |
510,930 |
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OPERATING PROFIT |
265,800 |
197,991 |
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Non-Operating P/L |
-12,619 |
-22,347 |
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RECURRING PROFIT |
253,181 |
175,644 |
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NET PROFIT |
202,409 |
121,136 |
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BALANCE SHEET |
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Cash |
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697,065 |
791,810 |
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Receivables |
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2,605,989 |
2,511,435 |
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Inventory |
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695,754 |
596,876 |
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Securities, Marketable |
26,860 |
28,077 |
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Other Current Assets |
721,163 |
492,481 |
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TOTAL CURRENT ASSETS |
4,746,831 |
4,420,679 |
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Property & Equipment |
746,169 |
662,688 |
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Intangibles |
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98,811 |
104,257 |
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Investments, Other Fixed Assets |
2,981,767 |
2,405,763 |
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TOTAL ASSETS |
8,573,578 |
7,593,387 |
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Payables |
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1,762,224 |
1,645,842 |
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Short-Term Bank Loans |
353,185 |
2,911,950 |
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Other Current Liabs |
4,662,102 |
1,811,940 |
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TOTAL CURRENT LIABS |
6,777,511 |
6,369,732 |
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Debentures |
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Long-Term Bank Loans |
2,910,890 |
2,904,923 |
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Reserve for Retirement Allw |
36,769 |
39,467 |
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Other Debts |
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(6,214,229) |
(6,032,346) |
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TOTAL LIABILITIES |
3,510,941 |
3,281,776 |
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MINORITY INTERESTS |
118,160 |
100,827 |
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Common
stock |
295,766 |
192,493 |
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Additional
paid-in capital |
390,488 |
288,048 |
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Retained
earnings |
825,306 |
656,032 |
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Evaluation
p/l on investments/securities |
216,099 |
100,179 |
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Others |
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(47,749) |
(112,712) |
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Treasury
stock, at cost |
(2,003) |
(1,212) |
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TOTAL S/HOLDERS` EQUITY |
1,677,907 |
1,122,828 |
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TOTAL EQUITIES |
8,573,578 |
7,593,387 |
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CONSOLIDATED CASH FLOWS |
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Terms ending: |
31/03/2006 |
31/03/2005 |
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Cash
Flows from Operating Activities |
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146,396 |
200,069 |
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Cash
Flows from Investment Activities |
-347,332 |
-224,010 |
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Cash
Flows from Financing Activities |
92,269 |
171,321 |
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Cash,
Bank Deposits at the Term End |
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697,065 |
791,810 |
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ANALYTICAL RATIOS Terms
ending: |
31/03/2006 |
31/03/2005 |
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Net
Worth (S/Holders' Equity) |
1,677,907 |
1,122,828 |
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Current
Ratio (%) |
70.04 |
69.40 |
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Net Worth
Ratio (%) |
19.57 |
14.79 |
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Recurring
Profit Ratio (%) |
1.70 |
1.29 |
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Net
Profit Ratio (%) |
1.36 |
0.89 |
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Return
On Equity (%) |
12.06 |
10.79 |
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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 |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average/normal. |
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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NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
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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%)