MIRA
INFORM REPORT
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Report Date : |
12.03.2008 |
IDENTIFICATION
DETAILS
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Name : |
DAI NIPPON PRINTING CO LTD |
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Registered Office : |
1-1-1 Ichigaya-Kagacho Shinjukuku Tokyo 162-9001 |
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Country : |
Japan |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
January, 1894 |
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Legal Form : |
Limited Company |
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Line of Business : |
Printing house |
RATING &
COMMENTS
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MIRA’s Rating : |
Aa |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
name of the company
DAI NIPPON PRINTING CO LTD
REGD NAME
Dai Nippon Insatsu KK
MAIN OFFICE
1-1-1 Ichigaya-Kagacho Shinjukuku Tokyo 162-9001 JAPAN
Tel: 03-3266-2111
Fax: 03-5225-8239
URL
E-Mail address
ACTIVITIES
Printing house
BRANCHES
Sapporo, Aomori, Sendai, Tokyo,
Yokohama, Nagoya, Osaka, Hiroshima, Tokushima,
Fukuoka, Kagoshima, Okinawa, other (Tot 49)
OVERSEAS
Seoul, Beijing, Shanghai, Taipei,
Singapore, Australia, Jakarta, USA (8), Düsseldorf, London, Copenhagen, Italy,
Malaysia (Tot 22)
FACTORY(IES)
Tokyo (4), Saitama (7), Fukushima,
Tochigi, Yokohama, Kobe, Fukuoka (Tot 36)
(Overseas): USA (2), Malaysia, Indonesia, Denmark, Taiwan, Singapore
(Tot 7)
CHIEF EXEC
YOSHITOSHI KITAJIMA, PRES & CEO
Yen Amount
In million Yen, unless otherwise
stated
SUMMARY
FINANCES GOOD A/SALES Yen 1,557,802 M
PAYMENTS REGULAR CAPITAL Yen 114,464 M
TREND STEADY WORTH Yen 1,099,439 M
STARTED 1894 EMPLOYES 37,740
COMMENT
PRINTING HOUSE FINANCIAL SITUATION
CONSIDERED GOOD AND RESPONSIBLE FOR ORDINARY BUSINESS ENGAGEMENTS.
MAX CREDIT LIMIT: YEN 68,331.5
MILLION, 30 DAYS NORMAL TERMS..
Forecast (or estimated) figures for
31/03/2008 fiscal term
HIGHLIGHTS
The subject company was established
originally in 1876 as a printing house and was Incorporated in 1894. This is the nation’s largest printing
house. Boasts powerful marketing
capability and involved heavily in such areas as information,
telecommunications, construction ma-terials, packaging materials and
electronics. Of particular emphasis is
on electronics components (including shadow masks, LCD color printers) and
information media supplies. Bolstering
opera-tines in precision electronics parts.
In Jan 2006, entered into collaboration with Intel for future mask
technology development. Production of
5G LC color filters in June at Hiroshima factory and 6G filters in Sept at
Yawata factory 2006. Two-fold expansion
of production facilities for 8th-generation filters delayed until
Mar 2010 term. Capital spending in
current term reduced by 30%. But
increasing production facilities for photo masks.
FINANCIAL INFORMATION
The sales volume for Mar/2007 fiscal
term amounted to Yen 1,557,802 million, a 3.3% up from Yen 1,507,505 million in
the previous term. Mainline printing
weighed down by price cuts and paper price hikes. By divisions, Information/Communications up 1.0% to Yen 668,800
million; Life style industry up 11.0% to Yen 532,700 million, thanks to
increased production of inks for Fax machines; Electronics up 1.6% to Yen
291,900 million; Nonalcoholic beverages down 3.0% to Yen 74,100 million, due to
competition on prices. The recurring
profit was posted at Yen 101,348 million and the net profit at Yen 54,841 million,
respectively, compared with Yen 124,715 million recurring profit and Yen 65,187
million net profit, respectively, a year ago.
Hike of fuel prices and materials costs ate into profits.
(Apr/Sept/2007 results): Sales Yen 793,886 million (up 6.8%),
operating profit Yen 40,322 million (down 15.8%), recurring profit Yen 41,523
million (down 18.7%), net profit Yen 21,839 million (down 14.8%). Stepping up to streamlining measures but
operating profit continuing fall due to higher depreciation cost following
change in depreciation method.
For the current term ending Mar 2007
the recurring profit is projected at Yen 125,000 million and the net profit at
Yen 67,000 million, on a 7.5% rise in turnover, to Yen 1,620,000 million. New
filter plant will start full-capacity operations. IC cards will grow.
Commercial printing will fare well. Profits
will improve.
The financial situation is considered
maintained GOOD and responsible for ORDINARY business engagements. Max credit limit is estimated at Yen
68,331.5 million, on 30 days normal terms.
REGISTRATION
Date Registered: Jan 1894
Legal Status: Limited Company (Kabushiki Kaisha)
Authorized: 1.49 million shares
Issued: 740,480,693 shares
Sum: Yen
114,464 million
Major shareholders (%): Master Trust
Bank of Japan T (6.3), Company’s Treasury Stock (4.8), Dai-ichi Life Ins (4.7), Japan Trustee Services Bank T
(3.2), State Street Bank & Trust (3.1),
UBS London Clientele Acct (3.1), Mizuho Corporate Bank (2.8), Nippon Life Ins
(1.9), Mizuho Bank (1.6); foreign owners (34.5)
No. of shareholders
22,997
Listed on the
S/Exchange (s) of
Tokyo, Osaka
Managements
Yoshitoshi Kitajima, pres & CEO;
Koichi Takanami, s/mgn dir; Satoshi Saruwatari, s/mgn dir; Masayoshi Yamada,
s/mgn dir; Mitsuhiko Hakii, s/mgn dir; Osamu
Tsuchida, s/mgn dir; Teruomi Yoshino, s/mgn dir; Kosaku Mori, s/mgn dir;
Yoshinaru Kitajima, s/mgn dir
Nothing detrimental is known as to
the commercial morality of executives.
Related companies: Hokkaido Coca-Cola
Bottling, The Inctec, other (Tot 82 as of Mar/06)
OPERATION
Activities: Printing house (Sales
breakdown by divisions):
Information/Communications
Div (42%): textbooks, books &
magazines, AD prints,
security
papers, office documents & supplies, design, mfg of sales promotional
materials (AD), other;
Lifestyle/Industry
Div (34%): containers, packaging
materials, packaging equipment &
systems, building exterior materials, industrial materials, other;
Electronics
Div (19%): shadow masks, lead frames,
photo masks, color filters for LCD color printers, screens for projection TV’s,
other;
Non-alcoholic Beverage
Div (5%): Coca-Cola, soda, other soft drinks.
Overseas
Sales Ratio (17%)
Clients
[Business firms, publishers] Hitachi Ltd, Shueisha Co, Shogakukan
Inc, Lion Corp, Kodansha Ltd, other.
No. of accounts
2,000
Domestic areas of activities:
Nationwide
Suppliers
[Mfrs, wholesalers] The Inctec, Japan
Paper & Pulp, DNK, Dai Nippon Trading, NKK Trading Panac Co, Mitsubishi
Paper Sales, other.
Payment record
Regular
Location
Business area in Tokyo. Office premises at the caption address are
owned and maintained satisfactorily.
Bank References
Mizuho Corporate Bank (Ohtemachi)
SMBC (Tokyo)
Relations: Satisfactory
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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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1,557,802 |
1,507,505 |
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Cost of Sales |
1,268,072 |
1,202,159 |
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GROSS PROFIT |
289,730 |
305,345 |
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Selling & Adm Costs |
193,585 |
184,676 |
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OPERATING PROFIT |
96,144 |
120,669 |
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Non-Operating P/L |
5,204 |
4,046 |
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RECURRING PROFIT |
101,348 |
124,715 |
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NET PROFIT |
54,841 |
65,187 |
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BALANCE
SHEET |
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Cash |
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195,595 |
268,334 |
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Receivables |
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477,157 |
436,331 |
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Inventory |
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95,246 |
76,485 |
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Securities, Marketable |
9,992 |
6,797 |
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Other Current Assets |
22,283 |
17,180 |
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TOTAL CURRENT ASSETS |
800,273 |
805,127 |
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Property & Equipment |
635,783 |
368,965 |
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Intangibles |
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25,280 |
21,453 |
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Investments, Other Fixed Assets |
238,914 |
466,832 |
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TOTAL ASSETS |
1,700,250 |
1,662,377 |
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Payables |
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337,590 |
311,567 |
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Short-Term Bank Loans |
9,511 |
11,654 |
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Other Current Liabs |
135,272 |
129,662 |
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TOTAL CURRENT LIABS |
482,373 |
452,883 |
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Debentures |
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50,000 |
50,000 |
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Long-Term Bank Loans |
6,597 |
3,719 |
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Reserve for Retirement Allw |
55,275 |
58,447 |
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Other Debts |
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6,565 |
6,121 |
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TOTAL LIABILITIES |
600,810 |
571,170 |
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MINORITY INTERESTS |
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27,898 |
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Common
stock |
144,464 |
144,464 |
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Additional
paid-in capital |
144,898 |
144,908 |
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Retained
earnings |
828,707 |
806,446 |
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Evaluation
p/l on investments/securities |
41,331 |
55,489 |
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Others |
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633 |
(30,549) |
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Treasury
stock, at cost |
(60,594) |
(57,450) |
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TOTAL S/HOLDERS` EQUITY |
1,099,439 |
1,063,308 |
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TOTAL EQUITIES |
1,700,250 |
1,662,377 |
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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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123,010 |
141,673 |
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Cash Flows
from Investment Activities |
-150,717 |
-151,780 |
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Cash Flows
from Financing Activities |
-42,589 |
-46,712 |
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Cash, Bank
Deposits at the Term End |
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170,488 |
239,221 |
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ANALYTICAL
RATIOS Terms ending: |
31/03/2007 |
31/03/2006 |
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Net Worth
(S/Holders' Equity) |
1,099,439 |
1,063,308 |
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Current
Ratio (%) |
165.90 |
177.78 |
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Net Worth
Ratio (%) |
64.66 |
63.96 |
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Recurring
Profit Ratio (%) |
6.51 |
8.27 |
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Net Profit
Ratio (%) |
3.52 |
4.32 |
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Return On
Equity (%) |
4.99 |
6.13 |
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%)