MIRA
INFORM REPORT
|
Report Date : |
19.02.2008 |
IDENTIFICATION
DETAILS
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Name : |
SUMITOMO SHOJI CHEMICALS CO LTD |
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Registered Office : |
Harumi Island Toriton Square Office Tower Z 23/24 F’s,
1-8-12 Harumi Chuoku Tokyo 104-0053 |
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Country : |
Japan |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
February 1998 |
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Legal Form : |
Limited Company (Kabushiki
Kaisha) |
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Line of Business : |
Import, Export, Wholesale of Plastics,
Industrial Chemicals |
RATING &
COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
YEN 1,363.1 Million |
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Status : |
Good |
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Payment Behaviour : |
Regular |
name & address
SUMITOMO SHOJI CHEMICALS CO LTD
REGD NAME: Sumitomo Shoji Chemical KK
MAIN OFFICE: Harumi Island Toriton Square Office Tower Z 23/24 F’s, 1-8-12 Harumi Chuoku Tokyo 104-0053 JAPAN
Tel: 03-5166-9300 Fax: 03-5166-9303
URL: http://www.sc-chem.co.jp/
E-Mail address: info@sc-chem.co.jp
ACTIVITIES
Import, export, wholesale of
plastics, industrial chemicals
BRANCHES
Osaka, Nagoya, Takaoka
OFFICER(S)
KAZUHIKO YAMAZAKI, PRES
Shin’ya Matsuzawa, v pres
Toshio Matsuki, dir
Tomoyuki Kondo, dir
Heizo Suzuki, dir
Masamitsu Umehara, dir
Yen Amount
In million Yen, unless otherwise
stated
SUMMARY
FINANCES FAIR A/SALES Yen 233,813 M
PAYMENTS REGULAR CAPITAL Yen 900 M
TREND STEADY WORTH Yen 6,975 M
STARTED 1998 EMPLOYES 304
COMMENT
TRADING HOUSE SPECIALIZING IN
INDUSTRIAL CHEMICALS, WHOLLY OWNED BY SUMITOMO CORP.
FINANCIAL SITUATION CONSIDERED FAIR
AND GOOD FOR CREDIT
ENGAGEMENTS: US$250,000 / O/A 60
DAYS.
MAX CREDIT LIMIT
YEN 1,363.1 MILLION, 30 DAYS
NORMAL TERMS.
HIGHLIGHTS
The subject company was
established on the basis of Chemical Business Unit Plastic Division separated
from Sumitomo Corp (see REGISTRATION), named Sumitomo Shoji Plastics Co Ltd,
dealing mainly in construction materials, industrial & wrapping
materials. In Jul 2004 acquired Organic
Chemicals Division from a sister company, Sumitomo Shoji Chemicals Co Ltd,
handling functional chemical products.
In Oct 2005, merged with Sumitomo Shoji Chemicals Co Ltd and Sumitomo
Chemicals & Plastics Nagoya Co Ltd, with Sumitomo Shoji Plastics Co Ltd as
a surviving entity and then renamed as captioned. A specialized trader for import, export and wholesale of plastics
and chemicals (see OPERATION). The
merger was conducted in order to integrate and streamline chemicals &
plastics operations of the Sumitomo Group.
FINANCIAL INFORMATION
The sales volume for Mar/2007
fiscal term amounted to Yen 233,813 million, a 24% continuous hike from Yen
188,029 million in the previous term.
Hike in chemical materials prices, fueled by the oil & other
materials prices contributed. Weaker
Yen also assisted. The recurring profit
was posted at Yen 2,542 million and the net profit at Yen 1,204 million,
respectively, compared with Yen 2,510 million recurring profit and Yen 1,546
million net profit, respectively, a year ago.
For the current term ending Mar
2008 the recurring profit is projected at Yen 2,550 million and the net profit
at Yen 1,210 million, respectively, on a 6% rise in turnover, to Yen 247,000
million. Hike in materials prices will
contribute.
The financial situation is
considered FAIR and good for ORDINARY business engagements. Max credit limit is estimated at Yen 1,363.1
million, on normal 30 days terms. The
proposed amount for 60 days terms is considered well within the firm’s
financial capabilities.
FINANCIALS (In Million Yen)
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Terms Ending: |
31/03/2008 |
31/03/2007 |
31/03/2006 |
31/03/2005 |
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Annual
Sales |
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247,000
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233,813
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188,029
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143,120
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Recur.
Profit |
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2,550 |
2,542 |
2,510 |
1,840 |
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Net
Profit |
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1,210 |
1,204 |
1,546 |
1,038 |
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Total
Assets |
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101,158
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94,275 |
67,230 |
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Current
Assets |
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88,136 |
80,692 |
57,479 |
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Current
Liabs |
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91,619 |
84,651 |
60,571 |
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Net
Worth |
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6,975 |
6,757 |
3,833 |
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Capital,
Paid-Up |
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|
900 |
900 |
900 |
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Div.P.Share(¥) |
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26,700.00
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48,400.00
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24,200.00
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<Analytical
Data> |
(%) |
(%) |
(%) |
(%) |
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S.Growth Rate |
5.64 |
24.35 |
31.38 |
24.31 |
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Current Ratio |
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.. |
96.20 |
95.32 |
94.90 |
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N.Worth Ratio |
.. |
6.90 |
7.17 |
5.70 |
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R.Profit/Sales |
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1.03 |
1.09 |
1.33 |
1.29 |
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N.Profit/Sales |
0.49 |
0.51 |
0.82 |
0.73 |
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Return On Equity |
.. |
17.26 |
22.88 |
27.08 |
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Note: Forecast for the 31/03/2008
fiscal term.
REGISTRATION
Date
Registered: Feb 1998
Legal
Status: Limited Company (Kabushiki
Kaisha)
Authorized: 36,000 shares
Issued: 9,000 shares
Sum:
Yen 900 million
Major shareholders (%)
Sumitomo
Corp*(100)
*.. One of leading general trading
houses, nucleus of Sumitomo group, founded 1919, listed Tokyo, Osaka, Nagoya,
Frankfurt S/E’s, capital Yen 219,279 million, turnover Yen 10,528,277 million,
recurring profit Yen 331,929 million, net profit Yen 211,004 million, total
assets Yen 8,430,477 million, net worth Yen 1,473,128 million, employees
61,490, pres Motoyuki Oka
Consolidated Financials are as
attached (See SUPPLEMENTS)
Nothing detrimental is knows as to
the commercial morality of executives.
OPERATION
Activities: Import, export, wholesale
of synthetic resins (46%), organic chemicals (18%), functional chemicals (20%), electronic materials (16%).
Import/Export 28%.
Handling Items:
Plastics: construction materials,
resin materials & subsidiary materials, plastic film/sheet molding, electronics materials, FRP products,
packaging materials, agricultural materials,
plastic processing machinery, metal molds, other;
Chemicals: aromatics & organic
solvents, industrial organic chemicals, resin/rubber mate- rials & fibers, coal chemical products,
organic halides, organic resin additives, catalytic agents, inorganic
chemicals, minerals, industrial gases, fine chemicals, polyurethane raw
materials, epoxy resin, life science, raw materials for cosmetics, electronics
parts, semi conductor materials, fine
ceramics, other.
Clients
[Mfrs, wholesalers] Sumitomo Corp, Sumitomo Corp (Hong Kong), Lilycolor Co, Sumitomo Electric Ind, Sumitomo Chemical, Interflex, Dainippon Ink & Chemicals,
Samsung Japan, Mitsubishi Electric, Taoka Chemical, Tenma Corp, other.
No. of accounts
2,000
Domestic areas of activities
Nationwide
Suppliers
[Mfrs, wholesalers] Sumitomo Corp, Sumitomo Chemical, Daikin Ind, Arisawa Mfg, Sumitomo Bakelite, Takeda Chemical Ind, Toyobo Co, Asahi Kasei Chemicals, Sumika Bayer Urethane, Sumitomo Mitsubishi Silicon Corp, Asahi Glass, Sumitomo Metal Ind,
Sumitomo Metal Mining, Sumitomo Seika Chemicals, Toyo Styrene, Japan Polypropylene Corp, other.
Payment record
Regular
Location
Business area in Tokyo. Office premises at the caption address are
owned by the parent, Sumitomo Corp, and maintained satisfactorily.
Bank References
SMBC (Tokyo)
Sumitomo Trust Bank (Tokyo)
Relations: Satisfactory
SUPPLEMENTS
CONSOLIDATED FINANCIALS OF THE PARENT,
SUMITOMO CORPORATION.
(In Million Yen)
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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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10,528,300
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10,336,265
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Cost of Sales |
9,670,600
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9,629,618
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GROSS PROFIT |
857,700
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706,647
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Selling & Adm Costs |
618,000
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530,514
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OPERATING PROFIT |
239,700
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176,133
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Non-Operating P/L |
92,200 |
71,674 |
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RECURRING PROFIT |
331,900
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247,807
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NET PROFIT |
211,000
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160,237
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BALANCE
SHEET |
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Cash |
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436,814
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522,000
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Receivables |
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1,722,118
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1,994,091
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Inventory |
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757,473
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705,257
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Securities, Marketable |
17,304 |
22,087 |
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Other Current Assets |
2,224,041
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400,905
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TOTAL CURRENT ASSETS |
5,157,750
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3,644,340
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Property & Equipment |
864,691
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819,503
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Intangibles |
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255,526
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259,264
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Investments, Other Fixed Assets |
2,152,510
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1,988,787
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TOTAL ASSETS |
8,430,477
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6,711,894
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Payables |
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1,103,839
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1,193,912
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Short-Term Bank Loans |
461,931
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968,112
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Other Current Liabs |
2,281,633
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460,490
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TOTAL CURRENT LIABS |
3,847,403
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2,622,514
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Debentures |
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Long-Term Bank Loans |
2,764,352
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2,447,170
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Reserve for Retirement Allw |
9,835 |
13,180 |
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Other Debts |
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239,507
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230,364
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TOTAL LIABILITIES |
6,861,097
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5,313,228
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MINORITY INTERESTS |
96,252 |
94,691 |
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Common
stock |
219,279
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219,279
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Additional
paid-in capital |
279,711
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279,470
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Retained
earnings |
772,855
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596,913
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Evaluation
p/l on investments/securities |
262,292
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251,093
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Others |
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(40,002) |
(37,326) |
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Treasury
stock, at cost |
(21,007) |
(5,454) |
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TOTAL S/HOLDERS` EQUITY |
1,473,128
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1,303,975
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TOTAL EQUITIES |
8,430,477
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6,711,894
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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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191,235
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-62,752
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Cash
Flows from Investment Activities |
-453,120
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-141,975
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Cash
Flows from Financing Activities |
176,106
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262,145
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Cash,
Bank Deposits at the Term End |
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436,814
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522,000
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ANALYTICAL
RATIOS Terms ending: |
31/03/2007 |
31/03/2006 |
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Net
Worth (S/Holders' Equity) |
1,473,128
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1,303,975
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Current
Ratio (%) |
134.06 |
138.96 |
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Net
Worth Ratio (%) |
17.47 |
19.43 |
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Recurring
Profit Ratio (%) |
3.15 |
2.40 |
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Net
Profit Ratio (%) |
2.00 |
1.55 |
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Return
On Equity (%) |
14.32 |
12.29 |
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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%)