MIRA
INFORM REPORT
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Report Date : |
26.07.2007 |
IDENTIFICATION DETAILS
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Name : |
SHINAGAWA REFRACTORIES CO LTD |
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Registered Office : |
4-1-7 Kudan-Kita Chiyodaku Tokyo 102-0073 |
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Country : |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
June 1903 |
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Legal Form : |
Limited Company (Kabushiki Kaisha) |
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Line of Business : |
Mfg of refractories |
RATING & COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
YEN 1,860.8 MILLION |
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Status : |
Good |
COMPANY NAME
SHINAGAWA REFRACTORIES CO LTD
REGD NAME: Shinagawa Shiro-Renga
KK
MAIN OFFICE
4-1-7 Kudan-Kita Chiyodaku
Tel : 03-5215-9700
Fax : 03-5215-9720
URL : http://www.shinagawa.co.jp/
E-Mail :
mailto.info@shinagawa.co.jp
ACTIVITIES
Mfg of refractories
BRANCH(ES)
OVERSEAS
FACTORY(IES)
CHIEF EXEC
HIDEAKI NISHIO, PRES
Yen Amount
In million Yen, unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 79,648 M
PAYMENTS REGULAR CAPITAL Yen 3,300 M
TREND STEADY WORTH Yen 39,093 M
STARTED 1903 EMPLOYES 2,474
COMMENT
REFRACTORIES MAKER.
FINANCIAL SITUATION COSIDERED FAIR AND GOOD FOR ORDINARY
BUSINESS ENGAGEMENTS.
MAX CREDIT LIMIT: YEN 1,860.8 MILLION, 30 DAYS NORMAL TERMS.
Forecast (or estimated) figures for 31/03/2008 fiscal term
HIGHLIGHTS
This is the top-class comprehensive mfr of
refractories. Pioneer in fire-brick
industry with first production dating
back to 1875. Close ties with JFE group,
Sumitomo Metal Ind & Kobe Steel. Manufactures shaped refractory bricks,
unshaped refractory, fine ceramics, ceramic fiber, other. Also
executes engineering works. Strong
earnings from real estate leasing by utilizing idle land.
FINANCIAL INFORMATION
The sales volume for Mar/2007 fiscal term amounted to Yen
79,648 million, a 7.9% rise from Yen 73,849 million in the previous term.
For the current term ending Mar 2008 the recurring profit is
projected at Yen 4,800 million and the net profit at Yen 2,100 million, on a
similar turnover, at Yen 79,700 million.
Work-use refractories will continue grow. Steelmakers’ production is stable at high
level. Industrial refracto- ries, including
isolite products, also expanding.
The financial situation is considered maintained FAIR and
good for ORDINARY business engagements. Max
credit limit is estimated at Yen 1,860.8 million, on 30 days normal terms.
REGISTRATION
Date Registered: Jun
1903
Legal Status: Limited
Company (Kabushiki Kaisha)
Authorized: 168
million shares
Issued: 66
million shares
Sum: Yen
3,300 million
Major shareholders (%): JFE Steel (5.6), Sumitomo Trust Bank
(4.9), Fukoku Life Ins (3.0), Nippon Life Ins (2.6), Mizuho Corporate Bank
(2.5), Kobe Steel (2.3), SMBC (2.2), Mitsui Sumitomo Ins (2.2), State Street
Bank & Trust (2.1), Mitsubishi Estate (2.0); foreign owners (16.7)
No. of shareholders: 5,351
Listed on the S/Exchange (s) of:
Managements: Hideaki Nishio, pres; Yoshihiko Shimizu, s/mgn
dir; Yoshimi Takehata, mgn dir; Takao Yamanishi, mgn dir; Hiroyuki Sugimoto,
dir; Noboru Tsukamoto, dir; Toyoji Katoh, dir; Yukinobu Kurashina, dir;
Ikutoshi Kubota, dir; Ryoichi Yoshino, dir
Nothing detrimental is known as to the commercial morality
of executives.
Related companies: Isolite Insulating Products Co,
Ceratechno Co, Shinagawa Refractories Australasia Pty, other
OPERATION
Activities: Manufactures refractories (78%); engineering works
(16%); real estate, sports facility
management, others (6%).
Overseas trading ratio (18.7%): Asia/Oceania 16.7%, other
regions 2.1%
(Mfg items):
Shaped/unshaped Refractories Div: refractories for
steelmaking facilities (blast furnaces, hot-blast
stoves, coke ovens); for cast house floors, for BOF & EAF; for torpedo
cars, ladles, and secondary refining furnaces; for continuous casting; for
reheating furnaces;
Refractories for nonferrous & metal industries; for
copper, zinc, lead and aluminum refining furnaces; For ceramic/other
industries: for gas, petroleum, and chemical plants; for cement & lime
kilns, for incinerators, for glass furnaces & ceramic firing kilns; other;
Mold Powder Div: starting powder, powder for high-speed
casting, for medium carbon steel, for low carbon steel, other;
Ceramic Fiber Div: Alumina silica fibers, alumina fibers,
zirconia fibers, vacuum formed products, fiber patching materials, other;
Fine Ceramic Div: sialon ceramics, silicon nitride ceramics,
alumina ceramics, zirconia ceramics, other;
Special Purpose Products Div: inorganic coating materials,
zirconia ultrahigh-temperature furnaces, ceramic filters, zirconia heating
elements, various kinds of absorbent, other.
Engineering Works Div: design, installation & maintenance
of various kind of industrial furnaces & kilns.
Clients: [Steelmakers, other mfrs] JFE Steel, Kobe Steel,
JFE Plant & Service, JFE Bars & Shapes Corp, Sumitomo Metal Ind, other.
No. of accounts: 2,000
Domestic areas of activities: Nationwide
Suppliers: [Mfrs, wholesalers] Ube Materials, Morimura &
Bros, Itochu Ceratech Corp, Ohara & Co, other.
Payment record
Regular
Location
Business area in
Bank References
SMBC (
Mizuho Corporate Bank (Ohtemachi)
Relations: Satisfactory
FINANCES: (In Million
Yen)
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FINANCES: (Consolidated in million yen) |
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Terms Ending: |
31/03/2007 |
31/03/2006 |
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INCOME
STATEMENT |
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Annual Sales |
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79,648
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73,849
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Cost of Sales |
63,957
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59,177
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GROSS PROFIT |
15,691
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14,671
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Selling & Adm Costs |
10,783
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10,433
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OPERATING PROFIT |
4,908
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4,238
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Non-Operating P/L |
-249 |
-252 |
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RECURRING PROFIT |
4,659
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3,986
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NET PROFIT |
1,814
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1,602
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BALANCE
SHEET |
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Cash |
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7,261
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6,281
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Receivables |
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29,388
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25,551
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Inventory |
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11,406
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12,340
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Securities, Marketable |
211 |
5,011
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Other Current Assets |
1,497
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1,266
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TOTAL CURRENT ASSETS |
49,763
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50,449
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Property & Equipment |
34,212
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35,642
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Intangibles |
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2,518
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2,063
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Investments, Other Fixed Assets |
25,477
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22,265
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TOTAL ASSETS |
111,970
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110,419
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Payables |
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12,387
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11,586
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Short-Term Bank Loans |
31,184
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31,284
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Other Current Liabs |
7,066
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7,499
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TOTAL CURRENT LIABS |
50,637
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50,369
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Debentures |
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1,000
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200 |
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Long-Term Bank Loans |
4,611
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6,030
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Reserve for Retirement Allw |
3,065
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2,626
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Other Debts |
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13,563
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14,480
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TOTAL LIABILITIES |
72,876
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73,705
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MINORITY INTERESTS |
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5,419
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Common stock |
3,300
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3,300
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Additional paid-in capital |
635 |
635 |
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Retained earnings |
20,887
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19,404
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Evaluation p/l on
investments/securities |
7,961
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7,607
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Others |
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6,319
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356 |
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Treasury stock, at cost |
(9) |
(8) |
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TOTAL S/HOLDERS` EQUITY |
39,093
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31,294
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TOTAL EQUITIES |
111,970
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110,419
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CONSOLIDATED
CASH FLOWS |
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Terms ending: |
31/03/2007 |
31/03/2006 |
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Cash Flows from Operating Activities |
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2,718
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3,755
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Cash Flows from Investment
Activities |
-163 |
-6,638
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Cash Flows from Financing Activities |
-1,765
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2,963
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Cash, Bank Deposits at the Term End |
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6,842
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5,981
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ANALYTICAL
RATIOS Terms ending: |
31/03/2007 |
31/03/2006 |
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Net Worth (S/Holders' Equity) |
39,093
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31,294
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Current Ratio (%) |
98.27
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100.16
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Net Worth Ratio (%) |
34.91
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28.34
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Recurring Profit Ratio (%) |
5.85 |
5.40 |
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Net Profit Ratio (%) |
2.28 |
2.17 |
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Return On Equity (%) |
4.64 |
5.12 |
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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%)