MIRA
INFORM REPORT
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Report Date : |
09.07.2007 |
IDENTIFICATION DETAILS
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Name : |
SHINWA CO LTD |
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Registered Office : |
2-6-26 Himesato Nishiyodogawaku |
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Country : |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
Feb 1947 |
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Legal Form : |
Limited Company (Kabushiki Kaisha) |
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Line of Business : |
Wholesale of industrial paints, coatings,
chemicals; painting works |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
Yen 195.7 millions |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
-- |
name
SHINWA CO LTD
REGD NAME
Shinwa Kogyo KK
MAIN OFFICE
2-6-26 Himesato Nishiyodogawaku
Tel : 06-6473-1255
Fax : 06-6473-2598
*.. Kobe Branch
Office at: 5-2-10 Kaigandori Chuoku Kobe, as given
URL : http://www.sinwa-inc.co.jp
E-Mail address: info@sinwa-inc.co.jp
ACTIVITIES
Wholesale of industrial
paints, coatings, chemicals; painting works
BRANCHES
OFFICERS
TOSHIO SATOH, PRES Kazutoyo Okuda, dir
Koichi Murakami, dir Kenji Hirotani, dir
Tsutomu Morikawa,
dir
Yen Amount: In million Yen, unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 5,971 M
PAYMENTS REGULAR CAPITAL Yen 50 M
TREND SLOW WORTH Yen
2,281 M
STARTED 1947 EMPLOYES 89
COMMENT
WHOLESALER OF PAINTS & COATINGS; PAINTING WORKS. FINANCIAL SITUATION CONSIDERED FAIR AND GOOD
FOR ORDINARY BUSINESS
ENGAGEMENTS.
MAX CREDIT LIMIT:
YEN 195.7 MILLION, 30 DAYS NORMAL TERMS.
HIGHLIGHTS
The subject company was established by father of Toshio Satoh in order to make most of his experience in the subject line of business. This is a wholesaler specializing in paints & coatings, painting tools & supplies. Also executes painting works, water-proofing works, other. Decorative films for use in exterior signboards, billboards, etc for stores and other facilities are selling well. Clients include oil refineries, factories, convenience stores, governments, contractors, other, nationwide. Has strong business ties with Shinto Paint Co Ltd (See REGISTRATION).
FINANCIAL INFORMATION
The sales volume for Mar/2006 fiscal term amounted to Yen 5,971 million, a 3% down from Yen 6,143 million in the previous term. Demand from public works decreased due to limited allotment to private sectors, particularly of bridge structures. Profits improved thanks to cost reduction efforts. Recurring profit was posted at Yen 370 million and the net profit at Yen 212 million, respectively, compared with Yen 336 million recurring profit and Yen 197 million net profit, respectively, a year ago.
For the term ended Mar 2007 the recurring profit was projected at Yen 370 million and the net profit at Yen 210 million, respectively, on an almost similar turnover, at Yen 6,000 million. Final results are yet to be released.
The financial situation is considered maintained FAIR and good for ORDINARY business engagements. Max credit limit is estimated at Yen 195.7 million, on 30 days normal terms.
REGISTRATION
Date Registered: Feb 1947
Legal Status: Limited Company (Kabushiki
Kaisha)
Authorized: 4 million shares
Issued: 1 million shares
Sum: Yen 50 million
Major shareholders (%): Shinto Paint Co*(20), Toshio Satoh (11), Susumu Aoki (10), Yoshiko Tanuma (9),
Tomoko Ohta (8)
No. of shareholders: 30
*.. Fourth largest paint producer belonging to Sumitomo Chemical group, Amagasaki, founded 1933, listed Osaka S/E, capital Yen 2,255 million, turnover Yen 19,622 million, recurring profit Yen 902 million, net profit Yen 461 million, total assets Yen 32,807 million, net worth Yen 11,404 million, employees 382, pres Ichiro Miyazaki
Nothing
detrimental is known as to the commercial morality of executives.
OPERATION
Activities: Wholesales paints & coatings, solvents, synthetic resins, other chemicals, decorative films (for billboards, signboard), others; executes painting works, water-proofing works, floor paint works, others (--100%).
(Items handled): Paints
& coatings for construction, ships, automobiles, bridges, electric
appliances, machinery & equipment, steel structures, aircrafts, lacquers,
household, other; Products include: anti-corrosives, heat-resistant, heavy duty coatings,
pigments, sound-proof & vibration-proof coats, lacquer paints, electrically
conductive paints, galvanized steel paints, thinners, solvents, plasticizers,
other.
Clients: [Mfrs, wholesalers] Sumitomo Heavy Ind, Sumitomo Rubber Ind, Kawasaki Heavy Ind, Nissin Electric Co, Kobe Steel, other.
No. of accounts:
1,000
Domestic areas of activities:
Nationwide
Suppliers: [Mfrs, wholesalers] Dai Nippon Toryo, Shinto Paint, Sumitomo 3M, Chugoku Marine Paints, Kuboko Paint, Starlite Co, Japan Carboline, other.
Payment record:
Regular
Location: Business area in
Bank References
SMBC (Umeda)
MUFG (Umeda-Chuo)
Relations:
Satisfactory
FINANCES
(In Million Yen)
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Terms Ending: |
31/03/2007 |
31/03/2006 |
31/03/2005 |
31/03/2004 |
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Annual
Sales |
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6,000 |
5,971 |
6,143 |
6,276 |
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Recur.
Profit |
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370 |
370 |
336 |
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Net
Profit |
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210 |
212 |
197 |
169 |
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Total
Assets |
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4,639 |
4,404 |
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Current
Assets |
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4,164 |
3,930 |
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Current
Liabs |
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1,842 |
1,788 |
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Net
Worth |
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2,281 |
2,092 |
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Capital,
Paid-Up |
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50 |
50 |
50 |
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Div.P.Share(¥) |
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<Analytical Data> |
(%) |
(%) |
(%) |
(%) |
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S.Growth Rate |
0.49 |
-2.80 |
-2.12 |
9.80 |
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Current Ratio |
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226.06 |
219.80 |
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N.Worth Ratio |
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49.17 |
47.50 |
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R.Profit/Sales |
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6.17 |
6.20 |
5.47 |
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N.Profit/Sales |
3.50 |
3.55 |
3.21 |
2.69 |
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Return On Equity |
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9.29 |
9.42 |
.. |
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Note: Forecast (or
estimated) for the 31/03/2007 fiscal term.
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%)