MIRA
INFORM REPORT
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Report Date : |
17.03.2007 |
IDENTIFICATION
DETAILS
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Name : |
MARUZEN PETROCHEMICAL CO LTD |
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Registered Office : |
2-25-10 Hatchobori Chuoku Tokyo 104-8502 |
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Country : |
Japan |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
Oct 1969 |
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Legal Form : |
Limited Company (Kabushiki Kaisha) |
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Line of Business : |
Manufacturing of petrochemicals |
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 10389.4 millions |
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Status : |
Satisfactory |
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Payment Behaviour : |
Usually correct |
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Litigation : |
Clear |
name
MARUZEN PETROCHEMICAL CO LTD
REGD NAME
Maruzen Sekiyu Kagaku KK
MAIN OFFICE
2-25-10 Hatchobori Chuoku Tokyo 104-8502 JAPAN
Tel: 03-3552-9361
Fax: 03-5566-8391
*.. The given address is its Petrochemical Refinery at: 3 Goi-Minamikaigan
Ichihara City Chiba-Pref
URL : http://www.chemiway.co.jp/
E-Mail address: mpckoho@chemiway.co.jp
ACTIVITIES
Mfg of petrochemicals
BRANCHES
Osaka
FACTORY(IES)
Chiba (address as given), Yokkaichi
LABORATORY
Chiba
OFFICER(S)
YOICHI NONAKA, RPES Toshio
Yoshida, v pres
Seigo Kuroki, s/mgn dir Shun
Fujii, mgn dir
Takashi Miura, mgn dir Masatoshi
Tsuchiya, dir
Yen Amount: In
million Yen, unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 363,952 M
PAYMENTS REGULAR CAPITAL Yen 10,000 M
TREND STEADY WORTH Yen 62,941 M
STARTED 1959 EMPLOYES 659
COMMENT
MFR OF PETROCHEMICALS, AFFILIATED TO COSMO OIL CO LTD. FINANCIAL SITUATION CONSIDERED FAIR AND GOOD
FOR ORDINARY BUSINESS ENGAGEMENTS.
MAX CREDIT LIMIT: YEN 10,389.4 MILLION, 30 DAYS NORMAL TERMS
Forecast
(or estimated) for the 31/03/2007 fiscal term.
HIGHLIGHTS
The subject company was established on the basis of a petrochemical
sector separated from the then Maruzen Oil Co (now merged into Cosmo Oil Co) in
order to focus on mfg of petrochemicals.
In Feb 1964 completed the first ethylene plant, followed by the second
plant in Jan 1966 as aromatic extraction equipment. The third plant was completed in Aug 1969, the first in Japan
with annual production of 300,000 tons.
The fourth plant was completed in Dec 1995 of the highest production capacity
in Japan of 600,000 tons jointly with Mitsui Chemicals Inc and Sumitomo
Chemical Co Ltd. In Dec 1999, acquired
Nisso Petrochemical Industries Co Ltd (currently Maruzen Chemical Co Ltd) stock
from Nippon Soda Co Ltd and Teijin Ltd.
In Oct 2003, established Ube Maruzen Polyethylene Co Ltd, jointly with
Ube Ind. In Apr 2005, merged Maruzen
Chemical Co Ltd and Maruzen Polymer Co Ltd.
FINANCIAL INFORMATION
The sales volume for Mar/2006 fiscal term amounted to Yen 363,952 million, a 34.6% up from Yen 270,438 million in the previous term. The growth owes much to the skyrocketing oil prices. Domestic demand was firm. Exports boosted on the back of robust demand in China and S/E Asian countries. The sales growth is also attributed to the said merger of Maruzen Chemical Co and Maruzen Polymer Co. The recurring profit was posted at Yen 22,255 million and the net profit at Yen 16,842 million respectively, compared with Yen 18,857 million recurring profit and Yen 13,399 million net profit, respectively, a year ago. The firm posted extraordinary profit of Yen 357 million coming from the assets disposal.
For the current term ending Mar 2007 the recurring profit is
projected at Yen 24,000 million and the net profit at Yen 17,200 million,
respectively, on a 10% rise in turnover, to Yen 400,000 million. Demand in Japan and Asian countries will
continue. Exports will boost.
(First Half results ending Sept/2006): sales Yen 188,517
million (up 10.9%), operational profits Yen 6,865 million (down 41.4%),
recurring profit Yen 7,887 million (down 35.5%), net profit Yen 4,763 million
(down 38.3%). (% compared with the same
period last year). Due to periodical
shutdown of one plant, sales of petrochemical products were down by 13.5% from
the corresponding period a year ago.
Profits were deteriorated due to the rise in materials costs.
The financial situation is considered FAIR and good for
ORDINARY business engagements. Max
credit limit is estimated at Yen 10,389.4 million, on 30 days normal terms.
REGISTRATION
Date Registered: Oct
1969
Legal Status: Limited
Company (Kabushiki Kaisha)
Authorized: 80
million shares
Issued: 20
million shares
Sum: Yen
10,000 million
Major
shareholders (%): Cosmo Oil Co Ltd*(33.0), Ube Ind (13.2), Denki Kagaku Kogyo (13.2), Chisso Corp
(13.2), Cosmo Matsuyama Oil (11.0), Tosoh
Corp (5.5)
No. of shareholders: 10
*.. Leading domestic capital oil refinery/distributor, Tokyo,
founded 1939, listed Tokyo, Osaka, Nagoya S/E’s, capital Yen 62,366 million,
turnover Yen 2,670,628 million, recurring profit Yen 119,557 million, net
profit Yen 61,795 million, total assets Yen 1,463,578 million, net worth Yen
312,504 million, employees 5,881, pres Yaichi Kimura
Nothing detrimental is known as to the commercial morality
of executives.
OPERATION
Activities: Manufactures ethylene, propylene, benzene, toluene,
xylene, other basis chemicals (--87%), functional chemicals, methyl ethyl
ketone and other solvents, polyparavinyl, phenol and other new materials
(--13%).
Clients: [Mfrs, oil refiners, wholesalers] Cosmo Oil, Ube Ind, Denki Kagaku Kogyo, Keiyo Polyethylene, Chiba
Butadiene Ind, Kyowa Hakko Chemicals, other.
No. of accounts: 2,000
Domestic areas of activities: Nationwide
Suppliers: [Oil refinery] Supplied exclusively from Cosmo
Oil
Payment record: Regular
Location: Business area in Tokyo. Office premises at the caption address are leased and maintained
satisfactorily.
Bank References
Mizuho Corporate Bank (H/O)
Bank of Tokyo-Mitsubishi UFJ (H/O)
Relations: Satisfactory
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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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363,952 |
270,438 |
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Cost of Sales |
332,773 |
239,413 |
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GROSS PROFIT |
31,179 |
31,025 |
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Selling & Adm Costs |
10,012 |
8,477 |
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OPERATING PROFIT |
21,166 |
22,546 |
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Non-Operating P/L |
1,089 |
-3,689 |
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RECURRING PROFIT |
22,255 |
18,857 |
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NET PROFIT |
16,842 |
13,399 |
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BALANCE SHEET |
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Cash |
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4,422 |
4,920 |
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Receivables |
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92,665 |
64,014 |
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Inventory |
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12,206 |
9,515 |
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Securities, Marketable |
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19 |
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Other Current Assets |
6,060 |
11,770 |
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TOTAL CURRENT ASSETS |
115,353 |
90,238 |
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Property & Equipment |
52,647 |
49,593 |
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Intangibles |
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638 |
436 |
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Investments, Other Fixed Assets |
(637) |
(435) |
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TOTAL ASSETS |
168,001 |
139,832 |
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Payables |
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52,919 |
34,867 |
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Short-Term Bank Loans |
14,590 |
16,900 |
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Other Current Liabs |
22,464 |
19,058 |
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TOTAL CURRENT LIABS |
89,973 |
70,825 |
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Debentures |
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2,250 |
3,500 |
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Long-Term Bank Loans |
8,979 |
14,529 |
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Reserve for Retirement Allw |
2,162 |
1,589 |
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Other Debts |
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1,695 |
716 |
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TOTAL LIABILITIES |
105,059 |
91,159 |
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MINORITY INTERESTS |
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Common
stock |
10,000 |
10,000 |
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Additional
paid-in capital |
2,131 |
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Retained
earnings |
50,031 |
38,357 |
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Evaluation
p/l on investments/securities |
3,577 |
2,216 |
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Others |
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2 |
1 |
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Treasury
stock, at cost |
(2,800) |
(1,901) |
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TOTAL S/HOLDERS` EQUITY |
62,941 |
48,673 |
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TOTAL EQUITIES |
168,001 |
139,832 |
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ANALYTICAL RATIOS Terms
ending: |
31/03/2006 |
31/03/2005 |
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Net
Worth (S/Holders' Equity) |
62,941 |
48,673 |
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Current
Ratio (%) |
128.21 |
127.41 |
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Net
Worth Ratio (%) |
37.46 |
34.81 |
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Recurring
Profit Ratio (%) |
6.11 |
6.97 |
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Net
Profit Ratio (%) |
4.63 |
4.95 |
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Return
On Equity (%) |
26.76 |
27.53 |
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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%)