MIRA
INFORM REPORT
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Report Date : |
27.06.2007 |
IDENTIFICATION DETAILS
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Name : |
ITOCHU TEXMAC CORPORATION |
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Registered Office : |
Ito Bldg 9F, 3-6-14 Minamihonmachi Chuoku |
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Country : |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
Apr 1969 |
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Legal Form : |
Limited Company (Kabushiki
Kaisha) |
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Line of Business : |
Export, import, wholesale of
textile machinery, other industrial machinery |
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 88.3 millions |
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Status : |
Moderate |
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Payment Behaviour : |
Regular |
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Litigation : |
-- |
name
ITOCHU TEXMAC CORPORATION
REGD NAME
Itochu Texmac KK
MAIN OFFICE
Ito Bldg 9F,
3-6-14 Minamihonmachi Chuoku
Tel:
066282-1114
Fax: 06-6282-1109
URL: http://www.itochu-tmc.com
E-Mail
address: (thru the URL)
ACTIVITIES
Export,
import, wholesale of textile machinery, other industrial machinery
BRANCHES
OVERSEAS
Shanghai,
OFFICERS
KAZUO
ITOKI, PRES
Yen
Amount: In million Yen, unless otherwise
stated
SUMMARY
FINANCES WEAK A/SALES Yen 24,920 M
PAYMENTS REGULAR CAPITAL Yen 1,250 M
TREND SLOW WORTH Yen
286 M
STARTED 1969 EMPLOYES 62
COMMENT
A TRADING HOUSE SPECIALIZING IN TEXTILE MACHINERY, OWNED BY ITOCHU GROUP COMPANIES.
FINANCIAL SITUATION CONSIDERED WEAK BUT SHOULD BE GOOD FOR MODERATE BUSINESS ENGAGEMENTS.
MAX
CREDIT LIMIT: YEN 88.3 MILLION, 30 DAYS
HIGHLIGHTS
The subject company was established on the basis of a machinery
export division separated from Itochu Corp, a leading general trading house,
FINANCIAL INFORMATION
The sales volume for Mar/2006 fiscal term amounted to Yen 24,920 million, a 13% down from Yen 28,551 million in the previous term. Exports were slow. Machinery prices continued under pressure due to competition. The operations plunged into the red to register Yen 23 million recurring loss and Yen 372 million net loss, respectively, compared with Yen 118 million recurring profit and Yen 3 million net profit, respectively, a year ago. Some extraordinary losses are reported.
For the term ended Mar 2007 the operations were projected to come back to profitability but still limited to a minimum amount post-taxes, despite a 10% rise in turnover, to Yen 27,500 million. Exports were seen recovered. Weaker Yen should have contributed to uplift sales amount in Yen terms.
The financial situation is considered WEAK but should be good for MODERATE business engagements. Max credit limit is estimated at Yen 88.3 million, on 30 days normal terms.
REGISTRATION
Date
Registered: Apr 1969
Legal
Status: Limited Company
(Kabushiki Kaisha)
Authorized: 2.6 million shares
Issued: 2.5 million shares
Sum: Yen
1,250 million
Major shareholders (%): Itochu
Corp*(98), Itochu Plamac (2)
No. of shareholders: 2
*.. Major general trading house of Japan, Tokyo, founded 1949, listed Tokyo, Osaka, Nagoya S/E’s, capital Yen 202,241 million, sales Yen 11,579,059 million, recurring profit Yen 300,230 million, net profit Yen 177,059 million, total assets Yen 5,271,512 million, net worth Yen 896,195 million, employees 45,690, pres Eizo Kobayashi
Full financials are as attached.
Nothing
detrimental is known as to the commercial morality of executives.
OPERATION
Activities: Exports, imports and wholesales spinning machinery,
dyeing & finishing machinery, synthetic fiber machines, environmental
equipment, logistic plant & systems, other industrial machinery, including
their parts & attachments (--100%). (Export 80%).
Clients: [Textile mfrs, wholesalers] Exports to Texmac Inc (USA), Texmac Europe Spa (Italy), Weiqiao Tex, Colony Tex, Sheikh Spinning, Crescent Steel, other to China, India, Indonesia, Turkey, Bangladesh, Pakistan, Thailand, other.
Domestic clients: Kawashima Textile Mfg, Sato Pharmaceutical, Tokyo Neo Print, Unitika, Daifuku Co, other.
No. of
accounts: 100
Domestic
areas of activities: Nationwide
Suppliers: [Mfrs] For exports, supplied from Murata Machinery, Toyoda Automatic Loom Works, Tsudakoma Corp, Happy Ind, TMT Machinery, other.
Partially imports from: Van de Wiele, Bonas Textile Machinery,
TMT Machinery, CF Scheer & Cie GmbH, other from Europe,
Payment
record: Regular
Location: Business area in
Bank References
Mizuho
Bank (Semba)
SMBC
(Semba)
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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27,500 |
24,920 |
28,551 |
26,085 |
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Recur.
Profit |
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-23 |
118 |
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Net
Profit |
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0 |
-372 |
3 |
-81 |
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Total
Assets |
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7,040 |
6,809 |
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Current
Assets |
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6,451 |
5,772 |
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Current
Liabs |
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6,418 |
5,897 |
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Net
Worth |
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286 |
652 |
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Capital,
Paid-Up |
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1,250 |
1,250 |
1,250 |
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Div.P.Share(¥) |
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<Analytical Data> |
(%) |
(%) |
(%) |
(%) |
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S.Growth Rate |
10.35 |
-12.72 |
9.45 |
19.25 |
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Current Ratio |
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100.51 |
97.88 |
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N.Worth Ratio |
.. |
4.06 |
9.58 |
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R.Profit/Sales |
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-0.09 |
0.41 |
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N.Profit/Sales |
0.00 |
-1.49 |
0.01 |
-0.31 |
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Return On Equity |
.. |
.. |
0.46 |
.. |
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Note:
Forecast (or estimated) for the 31/03/2007 fiscal term.
ATTACHMENTS
CONSOLIDATED
FINANCIALS OF ITOCHU CORPORATION.
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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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11,579,059 |
10,473,885 |
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Cost of Sales |
1,067,038 |
9,759,511 |
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GROSS PROFIT |
908,676 |
714,374 |
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Selling & Adm Costs |
644,055 |
520,985 |
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OPERATING PROFIT |
264,621 |
193,389 |
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Non-Operating P/L |
35,609 |
23,480 |
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RECURRING PROFIT |
300,230 |
216,869 |
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NET PROFIT |
177,059 |
145,146 |
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BALANCE SHEET |
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Cash |
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532,856 |
477,707 |
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Receivables |
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1,421,555 |
1,211,035 |
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Inventory |
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530,335 |
458,876 |
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Securities, Marketable |
31,161 |
48,282 |
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Other Current Assets |
550,998 |
483,723 |
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TOTAL CURRENT ASSETS |
3,066,905 |
2,679,623 |
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Property & Equipment |
530,045 |
487,788 |
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Intangibles |
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1,317,826 |
1,240,256 |
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Investments, Other Fixed Assets |
356,736 |
389,346 |
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TOTAL ASSETS |
5,271,512 |
4,797,013 |
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Payables |
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1,324,619 |
1,078,192 |
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Short-Term Bank Loans |
373,723 |
382,434 |
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Other Current Liabs |
690,954 |
669,200 |
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TOTAL CURRENT LIABS |
2,389,296 |
2,129,826 |
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Debentures |
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Long-Term Bank Loans |
1,795,333 |
1,762,103 |
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Reserve for Retirement Allw |
21,748 |
19,081 |
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Other Debts |
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25,885 |
29,470 |
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TOTAL LIABILITIES |
4,232,262 |
3,940,480 |
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MINORITY INTERESTS |
143,055 |
129,717 |
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Common
stock |
202,241 |
202,241 |
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Additional
paid-in capital |
136,842 |
137,035 |
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Retained
earnings |
477,159 |
315,928 |
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Evaluation
p/l on investments/securities |
122,736 |
97,689 |
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Others |
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(40,873) |
(24,800) |
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Treasury
stock, at cost |
(1,910) |
(1,277) |
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TOTAL S/HOLDERS` EQUITY |
896,195 |
726,816 |
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TOTAL EQUITIES |
5,271,512 |
4,797,013 |
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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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235,917 |
185,147 |
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Cash Flows
from Investment Activities |
-83,394 |
-79,871 |
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Cash
Flows from Financing Activities |
-100,920 |
-85,193 |
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Cash,
Bank Deposits at the Term End |
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532,856 |
477,707 |
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ANALYTICAL RATIOS Terms ending: |
31/03/2007 |
31/03/2006 |
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Net
Worth (S/Holders' Equity) |
896,195 |
726,816 |
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Current
Ratio (%) |
128.36 |
125.81 |
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Net
Worth Ratio (%) |
17.00 |
15.15 |
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Recurring
Profit Ratio (%) |
2.59 |
2.07 |
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Net
Profit Ratio (%) |
1.53 |
1.39 |
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Return
On Equity (%) |
19.76 |
19.97 |
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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%)