MIRA
INFORM REPORT
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Report Date : |
30th
January, 2007 |
IDENTIFICATION
DETAILS
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Name : |
JFE SHOJI TRADE CORPORTION |
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Registered Office : |
2-7-1 Ohtemachi Chiyodaku Tokyo 100-8070
Japan |
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Country : |
Japan |
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Financials (as on) : |
31/03/2006 |
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Date of Incorporation : |
Aug 2004 |
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Legal Form : |
Limited Company |
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Line of Business : |
Engaged in the
business of import, export and wholesale of steel, iron ore, chemicals,
machinery, other |
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 22,862 MILLION |
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Status : |
Good |
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Payment Behaviour : |
Regular
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Litigation : |
Clear |
Name
JFE SHOJI TRADE CORPORTION
REGD NAME
JFE Shoji KK
MAIN OFFICE
2-7-1 Ohtemachi Chiyodaku Tokyo 100-8070 JAPAN
Tel: 03-5203-5510
Fax: 03-5203-5289
*.. The given address is where JFE Steel factory is located.
URL: http://www.jfe-shoji-hd.co.jp/
E-Mail address: (through
the URL)
ACTIVITIES
Import, export, wholesale of steel, iron ore, chemicals,
machinery, other
BRANCHES
(Domestic) 18 locations; overseas 30 locations in 14
countries
CHIEF EXEC
OSAMU SATO, PRES & CEO
Yen Amount
In million Yen, unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 2,041,097 M*
PAYMENTS REGULAR CAPITAL Yen 20,000 M
REND STEADY WORTH Yen 83,691 M
STARTED 2004 EMPLOYES 1,297
*.. Financials are consolidated by the parent, JFE Shoji
Holdings Inc, and all the figures are based on the parent’s financials, except
employees.
COMMENT
TRADING HOUSE OWNED BY JFE SHOJI HOLDINGS INC. FINANCIAL SITUATION CONSIDERED FAIR AND GOOD
FOR ORDINARY BUSINESS ENGAGEMENTS.
MAX CREDIT LIMIT: YEN 22,862 MILLION, NORMAL 30 DAYS TERMS
Forecast (or estimated) figures for 31/03/2007 fiscal term
HIGHLIGHTS
This is a trading
company belonging to JFE Shoji Holdings Inc, which was creased 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). 96% of sales generated
by the subject firm and is the core of the group firms. Osamu Sato is concurrently presides the
parent and the subject firm. Financials
refer to those of the consolidating parent.
The sales volume for
Mar/2006 fiscal term amounted to Yen 2,041,097 million, a 34% sharp rise from
Yen 1,523,158 million in the previous term.
Higher prices of steel, iron ore, chemicals & fuels boosted the
sales coupled with robust demand for the products, particularly from
China. The recurring profit was posted
at Yen 33,352 million and the net profit at Yen 18,285 million, respectively,
compared with Yen 26,278 million recurring profit and Yen 15,400 million net
profit, respectively, a year ago.
For the current term
ending Mar 2007 the recurring profit is projected at Yen 30,000 million and the
net profit at Yen 17,500 million, respectively, on a slight rise in turnover,
to Yen 2,050,000 million. Robust demand
for steel will likely continue.
Profitability will deteriorate, meanwhile, due to rising costs of materials
and operations.
The financial situation
is considered FAIR and good for ORDINARY business engagements. Max credit limit is estimated at Yen 22,862
million, on normal 30 days terms.
REGISTRATION
Date Registered: Aug
2004
Legal Status: Limited Company (Kabushiki Kaisha)
Authorized: 11,600 million shares
Issued: 2,900 shares
Sum: Yen 14,500 million
Major shareholders
JFE Shoji Holdings
Inc*(100)
*..Holding company
created by Kawasho Corp & NKK Trading on 01/Aug/2004 following Apr/04
merger between their parent firms, Kawasaki Steel & NKK Corp (now JFE
Holdings Inc); Listed Tokyo, Osaka S/E’s, capital Yen 20,000 million (38% owned
by JFE Steel under JFE Holdings Inc), financials as attached, employees 4,958,
pres Osamu Sato, concurrently.
Listed on the S/Exchange (s) of
Tokyo, Osaka (JFE
Holdings Inc, top parent)
Managements
Hiroo Naruki, ch; Osamu
Sato, pres & CEO; Yoshihiko Nakamura, s/mg dir; Akio Takahashi, s/mgn dir;
Hisao Oosato, s/mgn dir; Jun’ichi Nakamura, mgn dir; Katsusuke Yabuta, mgn dir;
Shigeki Yamamoto, mgn dir; Nobuo Yoshida, mgn dir; Todomu Kobayashi, mgn dir
(as of Jun/2006)
Nothing detrimental is
known as to the commercial morality of executives.
Related companies
Four companies under
JFE Shoji Holdings Inc: JFE Shoji Trade Corp (the subject firm), Kawasho Foods
Corporation, Kawasho Semiconductor Corporation, Kawasho Real estate
Corporation.
OPERATION
Activities: The subject is a trading house owned by JFE
Shoji Holdings Inc and we here give here breakdown of operations/sales of the 4
group firms:
JFE Shoji Trade Corp (96%): steel, coal, iron ore, chemicals &
fuels, steelworks machinery, engineering works:
Kawasho Foods Corp (2%): foodstuffs;
Kawasho Semiconductor Corp (1%): semiconductor equipment & supplies;
Kawasho Real Estate (1%): real estate/office building
leasing/management, other.
(Overseas sales ratio 30.4%: Asia (China, Korea, Thailand)
24.3%, USA, Liberia, Panama, other 6.1%)
Clients
[Mfrs, wholesalers] JFE Steel (50%), Nissan Motor,
Mitsubishi Motors, other.
No. of accounts
2,000
Domestic areas of activities
Nationwide
Suppliers
[Mfrs, wholesalers] JFE Steel, JFE Chemical, JFE Steel
Plate, other.
Payment record
Regular
Location
Business area in Tokyo.
Office premises at the caption address are owned and maintained
satisfactorily.
Bank References
Mizuho Corporate Bank (H/O)
SMBC (H/O)
Relations: Satisfactory
FINANCES
JFE Shoji Holdings Inc, the parent: (In Million Yen)
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(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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2,041,097
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1,523,158
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Cost of Sales |
1,960,281
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1,450,041
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GROSS PROFIT |
80,816
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73,117
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Selling & Adm Costs |
49,652
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46,557
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OPERATING PROFIT |
31,163
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26,559
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Non-Operating P/L |
2,189
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-281 |
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RECURRING PROFIT |
33,352
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26,278
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NET PROFIT |
18,285
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15,400
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BALANCE
SHEET |
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Cash |
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27,588
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31,750
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Receivables |
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344,229
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318,997
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Inventory |
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88,522
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76,678
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Securities, Marketable |
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Other Current Assets |
32,296
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29,953
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TOTAL CURRENT ASSETS |
492,635
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457,378
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Property & Equipment |
37,537
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41,336
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Intangibles |
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5,940
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3,925
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Investments, Other Fixed Assets |
61,871
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60,794
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TOTAL ASSETS |
597,983
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563,433
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Payables |
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353,979
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319,881
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Short-Term Bank Loans |
103,740
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134,521
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Other Current Liabs |
20,044
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17,778
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TOTAL CURRENT LIABS |
477,763
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472,180
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Debentures |
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Long-Term Bank Loans |
23,763
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20,541
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Reserve for Retirement Allw |
3,329
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5,495
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Other Debts |
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4,807
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2,225
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TOTAL LIABILITIES |
509,662
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500,441
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MINORITY INTERESTS |
4,629
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5,195
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Common
stock |
20,000
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20,000
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Additional
paid-in capital |
17,454
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17,454
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Retained
earnings |
42,097
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23,816
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Evaluation
p/l on investments/securities |
9,156
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3,965
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Others |
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(4,963) |
(7,407) |
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Treasury
stock, at cost |
(53) |
(32) |
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TOTAL S/HOLDERS` EQUITY |
83,691
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57,796
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TOTAL EQUITIES |
597,983
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563,433
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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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24,370
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21,870
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Cash
Flows from Investment Activities |
-685 |
-711 |
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Cash
Flows from Financing Activities |
-18,032
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-27,426
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Cash,
Bank Deposits at the Term End |
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27,322
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31,028
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ANALYTICAL RATIOS Terms ending: |
31/03/2006 |
31/03/2005 |
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Net
Worth (S/Holders' Equity) |
83,691
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57,796
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Current
Ratio (%) |
103.11
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96.87
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Net
Worth Ratio (%) |
14.00
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10.26
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Recurring
Profit Ratio (%) |
1.63 |
1.73 |
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Net
Profit Ratio (%) |
0.90 |
1.01 |
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Return
On Equity (%) |
21.85
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26.65
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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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