MIRA
INFORM REPORT
|
Report Date : |
29.07.2008 |
IDENTIFICATION
DETAILS
|
Name : |
JFE REFRACTORIES CORPORATION |
|
|
|
|
Registered Office : |
1576-2 Nakahiro Ako City Hyogo-Pref 678-0232 |
|
|
|
|
Country : |
Japan |
|
|
|
|
Financials (as on) : |
31.03.2008 |
|
|
|
|
Date of Incorporation : |
March 1938 |
|
|
|
|
Legal Form : |
Limited Company (Kabushiki Kaisha) |
|
|
|
|
Line of Business : |
Manufacturer of Refractories, Refractory Materials |
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 702.6 Million |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Regular |
name & address
JFE REFRACTORIES
CORPORATION
REGD NAME: JFE Rozai KK
MAIN OFFICE: 1576-2 Nakahiro Ako City Hyogo-Pref 678-0232
JAPAN
Tel:
0791-43-3133 Fax: 0791-45-1383
URL: http://www.www.jfe-rozai.co.jp/
E-Mail address:info@jfe-rozai.co.jp
ACTIVITIES
Mfg of refractories, refractory
materials
BRANCHES
Chiba, Kawasaki, Kurashiki, Fukuyama, Osaka, other (Tot25)
OVERSEAS
Taiwan, USA
FACTORY(IES)
Ako (3), Kurashiki,
OFFICER(S)
YUICHI NAKATA, PRES
Toshio Ueda, mgn dir
Kazuyoshi Nakai, dir
Shigeru Matsuzaki, dir
Akira Shiroyama, dir
Shintaro Kojima, dir
Yen Amount: In
million Yen, unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 30,867 M
PAYMENTS REGULAR CAPITAL Yen 948 M
TREND STEADY WORTH Yen 6,061 M
STARTED 1938 EMPLOYES 425
COMMENT
MFR OF REFRACTORIES & MATERIALS, OWNED BY JFE
HOLDINGS.
FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY
BUSINESS ENGAGEMENTS.
MAX CREDIT LIMIT
YEN 702.6 MILLION, 30 DAYS NORMAL TERMS
HIGHLIGHTS
The subject company was established on the basis of a division separated from NKK (now JFE Steel). Specialized mfr of refractories & refractory materials: shaped refractories, castable refractories, functional refractories. Also offers furnace construction, maintenance, repairing service to steel mills. Major client is JFE Steel and group firms, where sales account for about 70%. Overseas sales are 13%. Furnace construction and related services account for 34%.
FINANCIAL INFORMATION
The sales volume for Mar/2008 fiscal term amounted to Yen 30,867 million, a 17% hike from Yen 26,321 million in the previous term. This is thanks to the hike of material prices which were passed onto clients. The recurring profit was posted at Yen 942 million and the net profit at Yen 624 million, respectively, compared with Yen 813 million recurring profit and Yen 519 million net profit, respectively, a year ago.
For the current term ending Mar 2009 the recurring profit is projected at Yen 950 million and the net profit at Yen 630 million, respectively, on a 5% rise in turnover, to 32,500 million. The firm is bullish to say that at least 10% hike will be attained.
The financial situation is considered FAIR and good for ORDINARY business engagements. Max credit limit is estimated at Yen 702.6 million, on 30 days normal terms.
REGISTRATION
Date Registered: Mar 1938
Legal Status: Limited Company (Kabushiki Kaisha)
Authorized: 3,776,000 shares
Issued: 944,000 shares
Sum: Yen 948 million
Major shareholders (%)
JFE Holdings Inc*(100)
* Holding Company of JFE Steel Inc, formed thru business combination between Kawasaki Steel & NKK, listed on Tokyo, Osaka, Nagoya S/E’s, capital Yen 147,143 million, turnover Yen 3,539,802 million, operating profit Yen 510158 million, recurring profit Yen502,974 million, net profit Yen 261,845 million, total assets Yen 4,170,080 million, net worth Yen 1,496,513 million, employees 56,688, pres Fumio Sudo
Consolidated Financials are as attached (See SUPPLEMENTS)
Nothing detrimental is known as to the commercial morality of executives.
OPERATION
Activities: Manufactures refractories & refractory materials: shaped refractories (25%), functional refractories (12%), castable refractories (20%), steel materials (9%); furnace construction, maintenance, repairing works (34%).
(Sales ratio by clients): JFE Steel Inc (67%), its group firms (3%), other clients (17%); overseas sales (13%)
Clients
[Mfrs] JFE Steel & group firms, CSC KV, other.
Overseas clients include: China Steel Corp, Tong Ho Steel Enterprise --(Taiwan) Dofesco Inc, QIT-Fer et Titane Inc (--Canada), Companie Siderorgica Nacional, Usinas Siderugicas de Minas Gerils SA (--Brazil), Pohan Iron & Steel (Korea), other.
No. of accounts: 00
Domestic areas of activities: Nationwide
Suppliers
[Mfrs] Tokyo Boeki, Sojitz Chemical, Tanisho & Co, Taiko Refractories, other
Payment record
Regular
Location
Business area in Ako City. Office premises at the caption address are owned and maintained satisfactorily.
Bank References
Mizuho Corporate Bank (Kobe)
SMBC (Kobe)
Relations: Satisfactory
FINANCES: (In Million Yen)
|
Terms Ending: |
31/03/2009 |
31/03/2008 |
31/03/2007 |
31/03/2006 |
|
|
Annual
Sales |
|
32,500 |
30,867 |
26,321 |
21,832 |
|
Recur.
Profit |
|
950 |
942 |
813 |
634 |
|
Net
Profit |
|
630 |
624 |
519 |
323 |
|
Total
Assets |
|
|
20,899 |
19,301 |
|
|
Current
Assets |
|
|
11,103 |
9,423 |
|
|
Current
Liabs |
|
|
9,841 |
8,590 |
|
|
Net
Worth |
|
|
6,061 |
55,545 |
|
|
Capital,
Paid-Up |
|
|
948 |
948 |
948 |
|
Div.P.Share(¥) |
|
|
115.00 |
115.00 |
35.00 |
|
<Analytical Data> |
(%) |
(%) |
(%) |
(%) |
|
|
S.Growth Rate |
5.29 |
17.27 |
20.56 |
13.90 |
|
|
Current Ratio |
|
.. |
112.82 |
109.70 |
.. |
|
N.Worth Ratio |
.. |
29.00 |
287.78 |
.. |
|
|
R.Profit/Sales |
|
2.92 |
3.05 |
3.09 |
2.90 |
|
N.Profit/Sales |
1.94 |
2.02 |
1.97 |
1.48 |
|
|
Return On Equity |
.. |
10.30 |
0.93 |
.. |
|
Notes: Forecast (or estimated) figures for the 31/03/2009
fiscal term.
SUPPLEMENTS:
CONSOLIDATED
FINANCIALS OF THE PARENT, JFE HOLDINGS INC
|
FINANCES: (Consolidated
in million yen) |
|
|||||
|
|
|
Terms Ending: |
31/03/2008 |
31/03/2007 |
||
|
INCOME STATEMENT |
|
|
||||
|
|
Annual Sales |
|
3,539,802 |
3,260,447 |
||
|
|
Cost of Sales |
2,721,330 |
2,449,824 |
|||
|
|
GROSS PROFIT |
818,471 |
810,623 |
|||
|
|
Selling & Adm Costs |
307,952 |
306,685 |
|||
|
|
OPERATING PROFIT |
510,518 |
503,938 |
|||
|
|
Non-Operating P/L |
-7,544 |
9,582 |
|||
|
|
RECURRING PROFIT |
502,974 |
513,520 |
|||
|
|
NET PROFIT |
261,845 |
299,683 |
|||
|
BALANCE SHEET |
|
|
|
|||
|
|
Cash |
|
47,366 |
45,170 |
||
|
|
Receivables |
|
577,278 |
830,164 |
||
|
|
Inventory |
|
721,440 |
882,015 |
||
|
|
Securities, Marketable |
|
|
|||
|
|
Other Current Assets |
156,554 |
(490,430) |
|||
|
|
TOTAL CURRENT ASSETS |
1,502,638 |
1,266,919 |
|||
|
|
Property & Equipment |
1,843,483 |
1,816,514 |
|||
|
|
Intangibles |
|
85,499 |
69,137 |
||
|
|
Investments, Other Fixed Assets |
738,460 |
719,572 |
|||
|
|
TOTAL ASSETS |
4,170,080 |
3,872,142 |
|||
|
|
Payables |
|
472,963 |
435,220 |
||
|
|
Short-Term Bank Loans |
186,133 |
188,081 |
|||
|
|
|
|
|
|
||
|
|
Other Current Liabs |
676,275 |
620,473 |
|||
|
|
TOTAL CURRENT LIABS |
1,335,371 |
1,243,774 |
|||
|
|
Debentures |
|
199,992 |
230,000 |
||
|
|
Long-Term Bank Loans |
476,744 |
551,902 |
|||
|
|
Reserve for Retirement Allw |
152,278 |
182,303 |
|||
|
|
Other Debts |
|
464,015 |
124,541 |
||
|
|
TOTAL LIABILITIES |
2,628,400 |
2,332,520 |
|||
|
|
MINORITY INTERESTS |
|
|
|||
|
|
Common
stock |
147,143 |
142,334 |
|||
|
|
Additional
paid-in capital |
657,597 |
652,890 |
|||
|
|
Retained
earnings |
897,969 |
713,381 |
|||
|
|
Evaluation
p/l on investments/securities |
72,491 |
132,985 |
|||
|
|
Others |
|
37,407 |
25,403 |
||
|
|
Treasury
stock, at cost |
(270,927) |
(127,372) |
|||
|
|
TOTAL S/HOLDERS` EQUITY |
1,541,680 |
1,539,621 |
|||
|
|
TOTAL EQUITIES |
4,170,080 |
3,872,142 |
|||
|
CONSOLIDATED CASH FLOWS |
|
|
||||
|
|
|
Terms ending: |
31/03/2008 |
31/03/2007 |
||
|
|
Cash
Flows from Operating Activities |
|
438,257 |
417,645 |
||
|
|
Cash
Flows from Investment Activities |
-297,209 |
-292,750 |
|||
|
|
Cash
Flows from Financing Activities |
-125,473 |
-113,304 |
|||
|
|
Cash,
Bank Deposits at the Term End |
|
52,178 |
45,061 |
||
|
ANALYTICAL RATIOS Terms
ending: |
31/03/2008 |
31/03/2007 |
||||
|
|
|
Net
Worth (S/Holders' Equity) |
1,541,680 |
1,539,621 |
||
|
|
|
Current
Ratio(%) |
112.53 |
101.86 |
||
|
|
|
Net
Worth Ratio (%) |
36.97 |
39.76 |
||
|
|
|
Recurring
Profit Ratio (%) |
14.21 |
15.75 |
||
|
|
|
Net
Profit Ratio (%) |
7.40 |
9.19 |
||
|
|
|
Return
On Equity (%) |
16.98 |
19.46 |
||
FOREIGN EXCHANGE
RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.42.49 |
|
UK Pound |
1 |
Rs.84.21 |
|
Euro |
1 |
Rs.66.33 |
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%)