MIRA
INFORM REPORT
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Report Date : |
26.04.2008 |
IDENTIFICATION
DETAILS
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Name : |
TOYOBO CO LTD |
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Registered Office : |
2-2-8 Dojimahama Kitaku Osaka 530-8230 |
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Country : |
Japan |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
June 1914 |
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Legal Form : |
Limited Company (Kabushiki Kaisha) |
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Line of Business : |
Spinning of Textiles, Natural Fibers, Cotton, Wool,
Synthetic Resins |
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 7,171.8 Million |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
name & address
TOYOBO CO LTD
REGD NAME: Toyo Boseki KK
MAIN OFFICE: 2-2-8 Dojimahama
Kitaku Osaka 530-8230 JAPAN
Tel:
06-6348-3111 Fax: 06-6348-3206
E-Mail address:info@toyobo.co.jp
ACTIVITIES
Spinning of textiles, natural fibers, cotton, wool,
synthetic resins
BRANCHES
Tokyo, Nagoya, Ohtsu, Tsuruga
OVERSEAS
Toyobo America Inc; Toyobo Co Ltd China Office (Shanghai);
Toyobo Co Ltd Europe Office (Düsseldorf), other
FACTORY(IES)
Inuyama, Tsuruga, Iwakuni, Ohtsu, Nyuzen, Shogawa
CHIEF EXEC
RYUZO SAKAMOTO, PRES
Yen Amount
In million Yen, unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 426,666 M
PAYMENTS REGULAR CAPITAL Yen 43,341 M
TREND STEADY WORTH Yen 152,224 M
STARTED 1914 EMPLOYES 11,743
COMMENT
TEXTILE
SPINNER.
FINANCIAL
SITUATION COSIDERED FAIR AND GOOD FOR ORDINARY
BUSINESS
ENGAGEMENTS.
MAX CREDIT LIMIT
YEN 7,171.8 MILLION, 30 DAYS NORMAL TERMS.
Forecast
(or estimated) figures for 31/03/2008 fiscal term
HIGHLIGHTS
The subject company is a time-honored spinning company dating back to 1914 and pioneer in Japan’s spinning industry. Now a leading comprehensive maker of textile products, ranging from natural fibers, including cotton & wool, to synthetic fibers, such as polyester. Non-textile area, including plastics films, biochemicals & electronics topping 50% of entire sales. Non-textiles targeting Yen 305,000 million sales in Mar 2011 (Yen 253,000 million for Mar/2007 term) with focus on LCD/optical-use films, etc. In textiles, first priority given to improvement of efficiency than sales growth.
FINANCIAL INFORMATION
The sales volume for Mar/2007 fiscal term amounted to Yen 426,666 million, a 6.2% up from Yen 401,948 million in the previous term. The targeted markets, including automotive, consumer electronics & medical fields fared well on the strength of robust demand both in Japan and overseas. Stressed on specialty businesses such as functional films, functional polymers, industrial materials and life science. By divisions, Films & Functional Polymers rose 7.1% to Yen 8,300 million, thanks to robust demand for general-purpose food packaging film and industrial films; Industrial Materials up 7.9% to Yen 5,500 million; Textiles up 5.0% to Yen 7,100 million. The recurring profit was posted at Yen 25,342 million and the net profit at Yen 13,472 million, respectively, compared with Yen 24,580 million recurring profit and Yen 12,596 million net profit, respectively, a year ago.
(Aor.Dec/2007 results): Sales Yen 32,583 million (up 1.7%), operating profit Yen 20,085 million(up7.5%), recurring profit Yen 16,023 million (up 11.2%), net profit Yen 9,230 million (up 13.0%). (% compared with corresponding period a year ago). Revenue from packaging films rose due to a partial shift of rising prices for raw materials and fuel oils to product prices, coupled with strong demand. Industrial materials were slow.
For the term just ended Mar 2008 the recurring profit was projected at Yen 24,000 million and the net profit at Yen 13,500 million, on a 0.8% rise in turnover, to Yen 430,000 million. Films, functional resins & other non-textiles advanced, offsetting higher material costs with sales increase. Textile profitability improved on effect of streamlining, including concentration on functional clothing and other products.
The financial situation is considered FAIR and good for ORDINARY business engagements. Max credit limit is estimated at Yen 7,171.8 million, on 30 days normal terms.
REGISTRATION
Date Registered: Jun 1914
Legal Status: Limited Company (Kabushiki Kaisha)
Authorized: 2,000 million shares
Issued: 699,027,598 shares
Sum: Yen 43,341 million
Major shareholders (%)
Japan Trustee Services T (4.9), Master Trust Bank of Japan T (3.3), Nippon Life Ins (2.9), Mizuho Corporate Bank (1.9), MUFG (1.8), Meiji Yasuda Life Ins (1.8), SMBC (1.8), Japan Trustee Services T4 (1.7), Toyukai (1.6), State Street Bank & Trust (1.3); foreign owners (12.8)
No. of shareholders: 77,760
Listed on the S/Exchange (s) of
Tokyo, Osaka
Managements
Junji Tsumura, ch; Ryuzo Sakamoto, pres; Masahiko Hachimaru, dir; Fumishige Imamura, dir; Kenji Hayashi, dir; Kazuyuki Yabuki, dir; Fumiaki Miyoshi; Hiroyuki Kagawa; Shigeyuki Kogamo; Kunihiro Ashida, dir
Nothing detrimental is known as to the commercial morality of executives.
Related companies
Kureha Tech, Japan Exlan Co Ltd, Shinko Trading, other.
OPERATION
Activities: Spinning company:
(Sales breakdown by
Divisions):
Films & Functional Resins Div (29%): industrial films for LCD & optical use, other industrial uses, synthetic paper, PET films for food packaging, engineering plastics, industrial adhesives, coatings, photo sensitive printing papers, acrylate polymers, electronic materials, rubber processing, coat processing;
Industrial Materials Div (17%): airbag fabrics, polyester for tire cords, ultrahigh-molecular-weight polyethylene fiber, extreme heat-resistant, high tenacity fibers,
Life Science Div (8%): bioproducts (enzymes for diagnostics, diagnostic systems, reagents for research, contract mfg of pharmaceuticals, injection, intermediates, raw pharmaceuticals, medical membrances, equipment & devices (artificial kidney hollow fiber, anti-clothing materials), water treatment membrances (seawater desalination modules);
Apparel & Textiles Div (35%): functional textiles (for sports clothing, underwear,uniforms), apparel mfg (Munshingwear), synthetic filaments, acrylic fibers, others;
Other Div (11%);
Overseas Trading Ratios (17.8%): S/E Asia 8.7%, Other region 9.1%;
Clients
[Wholesalers, mfrs] Itochu Corp, Marubeni Corp, Mitsui & Co, other.
No. of accounts
2,000
Domestic areas of activities
Nationwide
Suppliers
[Mfrs, wholesalers] Sumitomo Chemical Ind, Nippon Shokubai, Marubeni Corp, other.
Payment record
Regular
Location
Business area in Osaka. Office premises at the caption address are owned and maintained satisfactorily.
Bank References
Mizuho Corporate Bank (H/O)
MUFG (Osaka)
Relations: Satisfactory
Financials
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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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426,666
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401,948
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Cost of Sales |
335,369
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310,746
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GROSS PROFIT |
91,297 |
91,202 |
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Selling & Adm Costs |
60,862 |
61,315 |
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OPERATING PROFIT |
30,435 |
29,887 |
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Non-Operating P/L |
-5,093 |
-5,307 |
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RECURRING PROFIT |
25,342 |
24,580 |
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NET PROFIT |
13,472 |
12,596 |
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BALANCE
SHEET |
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Cash |
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14,470 |
12,470 |
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Receivables |
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90,730 |
90,485 |
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Inventory |
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92,092 |
89,132 |
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Securities, Marketable |
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Other Current Assets |
15,593 |
12,298 |
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TOTAL CURRENT ASSETS |
212,885
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204,385
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Property & Equipment |
230,885
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230,231
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Intangibles |
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2,870 |
1,526 |
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Investments, Other Fixed Assets |
66,551 |
78,649 |
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TOTAL ASSETS |
513,191 |
514,791 |
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Payables |
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62,793 |
61,513 |
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Short-Term Bank Loans |
77,436 |
93,659 |
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Other Current Liabs |
63,228 |
82,094 |
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TOTAL CURRENT LIABS |
203,457 |
237,266 |
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Debentures |
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10,000 |
10,300 |
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Long-Term Bank Loans |
64,983 |
55,954 |
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Reserve for Retirement Allw |
18,357 |
21,448 |
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Other Debts |
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64,171 |
47,387 |
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TOTAL LIABILITIES |
360,968 |
372,355 |
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MINORITY INTERESTS |
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17,294 |
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Common
stock |
43,341 |
43,341 |
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Additional
paid-in capital |
16,033 |
16,086 |
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Retained
earnings |
28,131 |
18,556 |
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Evaluation
p/l on investments/securities |
8,909 |
12,640 |
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Others |
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56,045 |
34,936 |
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Treasury
stock, at cost |
(235) |
(416) |
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TOTAL S/HOLDERS` EQUITY |
152,224 |
125,143 |
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TOTAL EQUITIES |
593,191 |
514,791 |
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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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27,064 |
27,299 |
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Cash
Flows from Investment Activities |
-2,925 |
-4,011 |
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Cash Flows
from Financing Activities |
-22,439 |
-23,071 |
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Cash,
Bank Deposits at the Term End |
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14,140 |
11,894 |
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ANALYTICAL RATIOS Terms
ending: |
31/03/2007 |
31/03/2006 |
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Net
Worth (S/Holders' Equity) |
152,224 |
125,143 |
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Current
Ratio (%) |
104.63 |
86.14 |
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Net
Worth Ratio (%) |
25.66 |
24.31 |
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Recurring
Profit Ratio (%) |
5.94 |
6.12 |
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Net
Profit Ratio (%) |
3.16 |
3.13 |
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Return
On Equity (%) |
8.85 |
10.07 |
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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. |
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%)