MIRA
INFORM REPORT
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Report Date : |
17.06.2008 |
IDENTIFICATION
DETAILS
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Name : |
TAIHEI MACHINERY WORKS LTD |
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Registered Office : |
955-8- Miyamae Irukade-Shinden Komaki City Aichi-Pref 485-0084 |
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Country : |
Japan |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
May 1925 |
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Legal Form : |
Limited Company (Kabushiki Kaisha) |
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Line of Business : |
Manufacturer of Veneer Machines |
RATING &
COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
YEN 194.6 Million |
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Status : |
Moderate |
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Payment Behaviour : |
Regular |
name & address
TAIHEI MACHINERY WORKS LTD
REGD NAME: KK Taihei Seisakusho
MAIN OFFICE: 955-8- Miyamae
Irukade-Shinden Komaki City Aichi-Pref 485-0084 JAPAN
Tel:
0568-73-6421 Fax: 0568-75-2805
URL: http://www.taihei-ss.co.jp/
E-Mail address:sales@taihei-ss.co.jp
ACTIVITIES
Mfg of veneer machines
BRANCH(ES)
Tokyo
FACTORY(IES)
At the caption address, Osaka
CHIEF EXEC
MITSUMASA NARITA, PRES
Yen Amount
In million Yen, unless otherwise stated
SUMMARY
FINANCES R/WEAK A/SALES Yen 7,224 M
PAYMENTS REGULAR CAPITAL Yen 750 M
TREND STEADY WORTH Yen 3,235 M
STARTED 1925 EMPLOYES 132
COMMENT
MFR OF
WOOKWORKING MACHINES.
FINANCIAL
SITUATION COSIDERED RATHER WEAK BUT SHOULD BE GOOD FOR MODERATE BUSINESS
ENGAGEMENTS.
MAX CREDIT LIMIT
YEN 194.6 MILLION, 30 DAYS NORMAL TERMS.
Forecast (or estimated) figures for
31/03/2009 fiscal term
HIGHLIGHTS
This is mfr of veneer/wood working machines. Also produces construction materials for homes. Now restructuring, including centralized mfg at Komaki Plant at the caption address. Help from local prominent companies includes personnel sent from Tokai Bank (now MUFG). Depressed veneer industry hinders reconstruction. Ratio for exports to S/E Asia and USA high at 20.5% of total sales.
FINANCIAL INFORMATION
The sales volume for Mar/2008 fiscal term amounted to Yen 7,224 million, a 3% up from Yen 7,019 million in the previous term. Exports rose 26.1% to Yen 1,483 million. Veneer machines down 0.5% to Yen 1,024 million; woodworking machines up 31.8% to 1,104 million. The recurring profit was posted at Yen 1,103 million and the net profit at Yen 618 million, respectively, compared with Yen 420 million recurring profit and Yen 274 million net profit, respectively, a year ago. Higher materials/fuel oils costs were absorbed adequately by the increased sales & exports.
For the current term ending Mar 2009 the recurring profit is projected at Yen 480 million and the net profit at Yen 265 million, on a 1.7% fall in turnover, to Yen 7,100 million. Higher materials/fuel costs will hinder sales growth. Domestic housing market will be slow.
The financial situation is considered RATHER WEAK but should be good for MODERATE business engagements. Max credit limit is estimated at Yen 194.6 million, on 30 days normal terms.
REGISTRATION
Date Registered: May 1925
Legal Status: Limited Company (Kabushiki Kaisha)
Issued: 15 million shares
Sum: Yen 750 million
Major shareholders (%)
Osamu Kido (9.0), Customers’ S/Holding Assn (5.7), Company’s
Treasury Stock (5.6), MUFG (4.9), Harukichi Naito (3.3), Aichi Bank (1.6), Chuo Mitsui
Trust Bank (1.6), Bank of Nagoya (1.6), Sompo Japan Ins (1.5); foreign owners (0.1).
No. of shareholders: 1,977
Listed on the S/Exchange (s) of: Osaka, Nagoya (--Second Sections)
Managements
Mitsumasa Narita, pres; Kazuhiko Nagaoka, dir; Junji Tsuji, dir;
Tetsuo Katsurayama, dir; Seizo Suzuki, dir; Kosaku Gohda, dir; Tetsutaro Mutsuura, dir
Nothing detrimental is known as to the commercial morality of executives.
Related companies
Taihei Housing
OPERATION
Activities: Manufactures veneer machines (70%), woodworking machines (12%), Housing construction & construction materials (18%). Overseas sales ratio (20.5%)
(Mfg items): knife grinder, computerized log centering chargers, air reeling systems, horizontal hot press, roller jet dryer, double saws, other
Clients
[House builders, timber traders] Hayashi Veneer, Akita Plywood, Keytech Corp, other.
Also exports to S/E Asia, USA, etc.
No. of accounts
500
Domestic areas of activities
Nationwide
Suppliers
[Mfrs, wholesalers] HRD, Tomoe Engineering, Daito Kosakusho, Shinko Kikai, other.
Payment record
Regular
Location
Business area in Komaki City, Aichi-Pref. Office premises at the caption address are owned and maintained satisfactorily.
Bank References
MUFG (Nagoya)
Shoko Chukin Bank (Nagoya)
Relations: Satisfactory
Financials
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FINANCES: (Consolidated
in million yen) |
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Terms Ending: |
31/03/2008 |
31/03/2007 |
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INCOME STATEMENT |
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Annual Sales |
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7,224 |
7,019 |
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Cost of Sales |
5,242 |
5,790 |
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GROSS PROFIT |
1,981 |
1,228 |
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Selling & Adm Costs |
879 |
806 |
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OPERATING PROFIT |
1,101 |
422 |
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Non-Operating P/L |
2 |
-2 |
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RECURRING PROFIT |
1,103 |
420 |
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NET PROFIT |
618 |
274 |
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BALANCE SHEET |
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Cash |
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2,052 |
2,301 |
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Receivables |
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1,895 |
1,293 |
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Inventory |
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1,165 |
908 |
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Securities, Marketable |
199 |
199 |
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Other Current Assets |
135 |
86 |
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TOTAL CURRENT ASSETS |
5,446 |
4,787 |
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Property & Equipment |
1,239 |
1,210 |
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Intangibles |
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45 |
38 |
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Investments, Other Fixed Assets |
531 |
563 |
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TOTAL ASSETS |
7,261 |
6,598 |
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Payables |
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1,343 |
1,555 |
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Short-Term Bank Loans |
950 |
950 |
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Other Current Liabs |
1,148 |
661 |
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TOTAL CURRENT LIABS |
3,441 |
3,166 |
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Debentures |
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Long-Term Bank Loans |
100 |
200 |
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Reserve for Retirement Allw |
216 |
166 |
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Other Debts |
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269 |
305 |
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TOTAL LIABILITIES |
4,026 |
3,837 |
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MINORITY INTERESTS |
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Common
stock |
750 |
750 |
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Additional
paid-in capital |
77 |
77 |
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Retained
earnings |
2,439 |
1,865 |
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Evaluation
p/l on investments/securities |
23 |
71 |
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Others |
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0 |
0 |
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Treasury
stock, at cost |
(54) |
(2) |
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TOTAL S/HOLDERS` EQUITY |
3,235 |
2,761 |
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TOTAL EQUITIES |
7,261 |
6,598 |
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CONSOLIDATED CASH FLOWS |
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Terms ending: |
31/03/2008 |
31/03/2007 |
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Cash Flows
from Operating Activities |
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115 |
192 |
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Cash
Flows from Investment Activities |
-268 |
-281 |
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Cash
Flows from Financing Activities |
-196 |
99 |
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Cash,
Bank Deposits at the Term End |
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1,882 |
2,231 |
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ANALYTICAL RATIOS Terms
ending: |
31/03/2008 |
31/03/2007 |
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Net
Worth (S/Holders' Equity) |
3,235 |
2,761 |
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Current
Ratio (%) |
158.27 |
151.20 |
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Net
Worth Ratio (%) |
44.55 |
41.85 |
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Recurring
Profit Ratio (%) |
15.27 |
5.98 |
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Net
Profit Ratio (%) |
8.55 |
3.90 |
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Return
On Equity (%) |
19.10 |
9.92 |
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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%)