MIRA
INFORM REPORT
|
Report Date : |
06.11.2007 |
IDENTIFICATION
DETAILS
|
Name : |
ORGAN NEEDLE CO LTD |
|
|
|
|
Registered Office : |
1 Maeyama Ueda Nagano-Pref 386-1436 |
|
|
|
|
Country : |
Japan |
|
|
|
|
Financials (as on) : |
31.03.2007 |
|
|
|
|
Date of Incorporation : |
Sept 1950 |
|
|
|
|
Legal Form : |
Limited Company (Kabushiki Kaisha) |
|
|
|
|
Line of Business : |
Manufacturing of sewing machine needles, knitting machine needles, felting needles |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
Yen 215.5 millions |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Regular |
name
ORGAN NEEDLE CO LTD
REGD NAME
Organ Bari KK
MAIN OFFICE
1 Maeyama Ueda Nagano-Pref 386-1436 JAPAN
Tel : 0268-38-3111
Fax : 0268-385-38-5188
URL : http://www.organ-needles.com/
E-Mail address: info@organ-needles.com
ACTIVITIES
Mfg of sewing machine needles, knitting machine needles,
felting needles
BRANCHES
Tokyo, Nagoya, Osaka, Kumamoto
OVERSEAS
China, Hong Kong, Taiwan, Singapore, Vietnam, Spain, Germany
(See REGISTRATION for overseas subsidiaries/affiliates)
FACTORY(IES)
At the caption address, Nishi-Shioda, Chuo (--Nagano);
Vietnam (2)
OFFICER(S)
RYOSUKE MASUJIMA, PRES Omokazu Shigeta, dir
Tomihisa Kodaira, dir Yukimasa
Sakaguchi, dir
Yoshikazu Mitsui, dir
Yen Amount: In
million Yen, unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 8,636 M
PAYMENTS REGULAR CAPITAL Yen 552 M
TREND STEADY WORTH Yen 5,002 M
STARTED 1950 EMPLOYES 487
COMMENT
MFR SPECIALIZING IN SEWING & KNITTING MACHINE NEEDLES. FINANCIAL SITUATION CONSIDERED FAIR AND GOOD
FOR ORDINARY BUSINESS ENGAGEMENTS.
MAX CREDIT LIMIT: YEN 215.5 MILLION, 30 DAYS NORMAL TERMS.
HIGHLIGHTS
The subject company was established originally in 1920 by Ryozo Masujima for mfg gramophone needles, on his account. In 1939 changed the mainline to mfg of sewing machine needles. Incorporated in 1950 as Masujima Seishinjo Co Ltd (Renamed later in 1963 as captioned). In 1974 set up JV in Hong Kong. In 1977 concluded a European region general agency agreement with Rupple Maihoffer GmbH, Germany. In 1995 set up the first overseas factory in Vietnam, followed by second in 1998. Ryosuke Masujima is the third generation master, who assumed the pres office in 2000, after Yoshimi Masujima promoted to ch. Products are both imported and exported. Has about 80% domestic share in the sewing machine needles market. Domestic clients are major sewing machine mfrs (both for industrial & household-use). In 1997, spun off a division dedicated to electronics/office equipment automation parts/precision technology to establish Organ Technics Co Ltd.
FINANCIAL INFORMATION
The sales volume for Mar/2007 fiscal term amounted to Yen 8,636 million, a 13% hike from Yen 7,622 million in the previous term. Exports to China and other S/E Asian countries were robust with the Japanese makers shifting its production overseas. Weaker Yen also contributed to raise sales in Yen terms. The recurring profit was posted at Yen 919 million and the net profit at Yen 513 million, respectively, compared with Yen 836 million recurring profit and Yen 351 million net profit, respectively, a year ago.
For the current term ending Mar 2008 the recurring profit is
projected at Yen 515 million and the net profit at Yen 515 million,
respectively, on a 4% rise in turnover, to Yen 9,000 million. Increasing production in China
(subcontracted), Vietnam (JV factories) will contribute to sales growth.
The financial situation is considered maintained FAIR and good
for ORDINARY business engagements. Max
credit limit is estimated at Yen 215.5 million, on 30 days normal terms.
REGISTRATION
Date Registered: Sept
1950
Legal Status: Limited
Company (Kabushiki Kaisha)
Authorized: 44
million shares
Issued: 11.04
million shares
Sum: Yen
552 million
Major shareholders (%): Masujima Shoji KK*(49.7), Employees’ S/Holding Assn (9.0), Yoshimi Masujima (5.8),
Hachijuni Bank (3.5), SMBC (2.1), Dai-Ichi Life Ins (2.0), Nippon Life Ins (2.0)
*..
Holding company owned by the Masujima family.
No. of shareholders: 138
(as of Jun/2007)
Nothing detrimental is known as to the commercial morality
of executives.
Overseas
related companies:
Organ Needle (Shanghai) Co Ltd; Organ Needle Co Ltd (Hong
Kong); Taiwan Organ Needle Co Ltd; Organ Needle (Singapore) Co Pte Ltd; Organ
Needle (Vietnam) Co Ltd (Factory); Components Textiles SA (Spain); Rupple
Maihoffer GmbH (Germany) (general sales agent in Europe)
OPERATION
Activities: Manufactures sewing machine needles (74%), knitting
machine needles (16%), felting needles, tufting needles, others (--10%).
Products are also imported from subsidiary/subcontracted
factories in China, Taiwan, Vietnam, etc. (Export 75%).
Clients: [Sewing machine mfrs, wholesalers] Brother Ind (sewing machine mfr), Juki, Aisin Seiki, Shima Seiki Mfg, other.
Exports to China, Singapore, Malaysia, Vietnam, Indonesia, Mid East, Africa, Europe, etc.
No. of accounts: 1,000 (domestic)
Domestic areas of activities: Nationwide
Suppliers: [Mfrs, wholesalers] Metal One, Kyushu Organ Needle,
Tokushu Kinzoku Kogyo, other.
Imports from China, Taiwan, Vietnam, etc.
Payment record: Regular
Location: Business area in Ueda City, Nagano-Pref. Office premises at the caption address are
owned and maintained satisfactorily.
Bank References
Hachijuni Bank (Ueda)
SMBC (Ueda)
Relations: Satisfactory
FINANCES
(In Million Yen)
|
Terms Ending: |
31/03/2008 |
31/03/2007 |
31/03/2006 |
31/03/2005 |
|
|
Annual
Sales |
|
9,000 |
8,636 |
7,622 |
7,258 |
|
Recur.
Profit |
|
920 |
919 |
836 |
556 |
|
Net
Profit |
|
515 |
513 |
351 |
296 |
|
Total
Assets |
|
|
13,485 |
13,473 |
13,315 |
|
Current
Assets |
|
|
7,920 |
8,117 |
7,502 |
|
Current
Liabs |
|
|
4,661 |
4,773 |
5,879 |
|
Net
Worth |
|
|
5,002 |
4,568 |
4,193 |
|
Capital,
Paid-Up |
|
|
552 |
552 |
552 |
|
Div.P.Share(¥) |
|
|
5.00 |
4.00 |
4.00 |
|
<Analytical Data> |
(%) |
(%) |
(%) |
(%) |
|
|
S.Growth Rate |
4.21 |
13.30 |
5.02 |
4.55 |
|
|
Current Ratio |
|
.. |
169.92 |
170.06 |
127.61 |
|
N.Worth Ratio |
.. |
37.09 |
33.90 |
31.49 |
|
|
R.Profit/Sales |
|
10.22 |
10.64 |
10.97 |
7.66 |
|
N.Profit/Sales |
5.72 |
5.94 |
4.61 |
4.08 |
|
|
Return On Equity |
.. |
10.26 |
7.68 |
7.06 |
|
Notes: Forecast figures for the 31/03/2008 fiscal term.
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
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 |
|
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 |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average. |
Small |
|
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 |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
|
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%)