MIRA INFORM REPORT
|
Report Date : |
05.09.2008 |
IDENTIFICATION
DETAILS
|
Name : |
TOMOE ENGINEERING CO LTD |
|
|
|
|
Registered Office : |
Art Village Osaki C Tower, 1-2-2 Osaki
Shinagawaku Tokyo 141-0032 |
|
|
|
|
Country : |
Japan |
|
|
|
|
Financials (as on) : |
31.10.2007 |
|
|
|
|
Date of Incorporation : |
May, 1941 |
|
|
|
|
Legal Form : |
Limited Company (Kabushiki Kaisha) |
|
|
|
|
Line of Business : |
Manufacturing
of Centrifugal Separators; Import, Export of Petrochemical Products |
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 1,825.5 Million |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Regular |
Name
TOMOE ENGINEERING
CO LTD
REGD NAME
Tomoe Kogyo KK
MAIN OFFICE
Art Village Osaki C Tower, 1-2-2 Osaki Shinagawaku Tokyo 141-0032 JAPAN
Tel: 03-5435-6511 Fax:
03-5435-0070
E-Mail address: (thru
the URL to each division)
ACTIVITIES
Mfg of centrifugal separators; import, export of
petrochemical products
BRANCHES
Sapporo, Sendai, Nagoya, Osaka, Fukuoka, Naha
OVERSEAS
Seoul, New York, Jakarta, and Shanghai
FACTORY (IES)
Tokyo, Yamato, Hiratsuka (--Kanagawa-Pref); Shenzhen (China)
CHIEF EXEC
MINORU HONMA, PRES
Yen Amount: In
million Yen, unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 50,795 M
PAYMENTS REGULAR CAPITAL Yen 1,061 M
TREND STEADY WORTH Yen 16,951 M
STARTED 1941 EMPLOYES 674
COMMENT
MFR OF
CHEMICAL MACHINERY; TRADING OF PETROCHEMICALS.
FINANCIAL
SITUATION COSIDERED FAIR AND GOOD FOR ORDINARY
BUSINESS
ENGAGEMENTS.
MAX CREDIT LIMIT
YEN 1,825.5 MILLION, 30 DAYS NORMAL TERMS
Forecast
(or estimated) figures for 31/10/2008 fiscal term
HIGHLIGHTS
The subject company
was established in order to mfr centrifugal separators on technical tie up with
Sharpless Corp, USA. Pioneer in this
field with D-canter model holding 50% domestic market share. The firm operates in
three business segments: Machinery & Equipment segment engaged in mfg and
sale of centrifuge decanter, the provision of after service, as well as the
proc-easing and sale of components; Chemical Products segment is engaged in mfg
and sale of films, nylon insert lock nuts, plastic surface treatment machines,
inorganic materials, organic materials, ceramics, thermal insulators, metallic
materials, carbon-graphite & bonding wires, etc; Others segment is engaged
in the delivery and sore management of products. Active in overseas opera- tins
covering China, India, Indonesia, other S/E Asian markets, emphasizing on
petrochemical, food and sewage treatment industries. Diversified into trading of petrochemical products, which
division now accounts for 71% of total sales.
Reported the firm is receiving active enquiries for abrasive grain
collecting equipment for collecting & recycling waste water containing
silicon for solar batteries and
semiconductors. Also reported the firm
is considering development of new centrifugal separators
for turning sludges & industrial wastes into fuel.
Notes: Regarding legal problems as indicated
in your inquiry, we have not heard or openly circulated in the market of any
material legal problems to the best of our knowledge. No outside sources report any of such problems, either.
FINANCIAL INFORMATION
The sales volume
for Oct/2007 fiscal term amounted to Yen 50,795 million, a 7.3% up from Yen
47,331 million in the previous term. By
divisions, Machinery Div up 20.1% to Yen 14,547 million, thanks to robust
exports plus domestic private sector demand; Chemicals Div up 2.9% to Yen
36,247 million, demand for synthetic resins in China being rather slow, while
special orders for new products and industrial chemicals grew. The recurring
profit was posted at Yen 2,554 million and the net profit at Yen 1,357 million,
respectively, compared with Yen 2,222 million recurring profit and Yen 1,267
million net profit, respectively, a year ago.
(Nov/2007/Jul/2008
results): Sales Yen 35,495 million (down 1.6%), operating profit Yen 2,024 million (up23.9%), recurring profit
Yen 2,160 million (up 25.3%), net profit Yen 1,150 million (up 26.6%) (%
compared with the corresponding period a year ago). Domestically, orders for plastic separators rose, and overseas
grain collecting systems grew in China, plus chemical machinery parts &
repairing works grew in other Asia.
For the current
term ending Oct 2008 the recurring profit is projected at Yen 2,650 million and the net profit at Yen 1,450 million,
respectively, on a 2.4% fall in turnover, to Yen 49,570 million. New orders for
centrifugal separators from domestic & overseas customers will increase,
while chemical products, such as synthetic resins, may recede. Higher materials prices may erode profits,
but gross profit margin will improve, aided by increased materials procurement
shift to imports. Operating profits inching up, thanks
partly to thanks partly to startup of sub in Shenzhen (China.)
The financial
situation is considered FAIR and good for ORDINARY business engagements. Max
credit limit is estimated at Yen 1,825.5 million, on 30 days normal terms.
REGISTRATION
Date
Registered: May 1941
Legal
Status: Limited Company
(Kabushiki Kaisha)
Authorized: 24,550,000 shares
Issued: 10,533,200 shares
Sum: Yen 1,061 million
Major shareholders (%)
Naomi Sagara (7.2),
Company’s Treasury Stock (5.2), Customers’ S/Holding Assn (3.9), Mariko Noda (3.8),
Mizuho Bank (3.7), Master Trust Bank of Japan (3.6), KK Tomoe Kikaku (3.3),
Haruko Yamaguchi (3.0), Sachiko Dohi (2.9), Employees’ S/Holding Assn (2.1);
foreign owners (5.0)
No. of shareholders
4,000
Listed on the S/Exchange (s) of
Tokyo
Managements
Hideaki Fukuma, ch;
Minoru Honma, pres; Kyohei Tomita, mgn dir; Susumu Sumioka, mgn dir; Koichi
Karita, dir; Noboru Shiono, dir; Kensuke Ikezaki, dir; Keisuke Hatayama, dir;
Hitoshi Shiraishi, dir; Hiroshi Konagai, dir; Hitoshi Yamamoto, dir
Nothing detrimental
is known as to the commercial morality of executives.
Related companies: Tomoe Machinery Service, Tomoe Machinery,
Tomoe Kogyo (HK), TomoeKogyo Shenzhen,
other
OPERATION
Activities: Manufactures centrifugal separators, other
machinery, parts & components (29%); manufactures, imports, exports and
wholesales petrochemicals raw materials, products, others (71%).
(Sales breakdown by divisions):
Machinery Division:
Machinery (37%): centrifugal
separators with D-Canter model, non-centrifugal type sepa- rators,shaftless conveyors, carbonization
equipment, crushing & shredding machines;
Facilities,
installation works (20%): centering on sewage treatment facilities, dust
collectors of semiconductors, plastic waste treatment equipment, other;
Parts/components/repairs
(41%): supplying spare parts & repairing parts for over 20,000 centrifugal
separators supplied domestically.
Others (2%);
Chemicals Division:
Synthetic Resins
(45%): plastic materials & products, films, sheets, materials for OA
equipment, IT equipment, automobiles particularly in overseas markets;
Industrial
materials (15%): ore & iron ore products as fillers & additives for
building materials, paints, adhesives, fertilizers, agro chemicals, other;
Chemical products
(17%): synthetic resins and additives for use in paints, adhesives, ink:
Functional
materials (11%): ceramics, nano-technology products, electrodes, metals for
semiconductors, others;
Electronics-related
materials (10%): semiconductor tools, trays, IC chips, other.
Others (2%):
imports wines, whiskies.
Overseas sales ratio (22.2%): Asia (20.2%) (centrally China, Taiwan,
Korea, Indonesia); other regions (2.0%) (centrally USA, Europe).
Clients
[Electronics mfrs, petrochemical
industries] Toshiba Electronics Asia, OM Plant, Shenzhen Meiyang Plastics, NGK
Insulators, Toshiba Tech, other.
No. of
accounts: 1,000
Domestic
areas of activities: Nationwide
Suppliers
[Mfrs, wholesalers]
Shenzhen Meiyang Plastics, Nippon Unicar Co, Dow Chemical Japan, Showa Denko,
NSCC Asia, Japan Polyethylene Corp, other.
Payment record: Regular
Location:
Business area in Tokyo. Office premises
at the caption address are leased and maintained satisfactorily.
Bank References
Mizuho Bank (Ginza-Chuo)
MUFG (Yaesudori)
Relations: Satisfactory
FINANCES: (In Million Yen)
|
FINANCES: (Consolidated
in million yen) |
|
|||||
|
|
|
Terms Ending: |
31/10/2007 |
31/10/2006 |
||
|
INCOME STATEMENT |
|
|
||||
|
|
Annual Sales |
|
50,795 |
47,331 |
||
|
|
Cost of Sales |
41,791 |
39,009 |
|||
|
|
GROSS PROFIT |
9,004 |
8,321 |
|||
|
|
Selling & Adm Costs |
6,559 |
6,211 |
|||
|
|
OPERATING PROFIT |
2,444 |
2,110 |
|||
|
|
Non-Operating P/L |
110 |
112 |
|||
|
|
RECURRING PROFIT |
2,554 |
2,222 |
|||
|
|
NET PROFIT |
1,357 |
1,267 |
|||
|
BALANCE SHEET |
|
|
|
|||
|
|
Cash |
|
1,873 |
1,235 |
||
|
|
Receivables |
|
18,897 |
15,924 |
||
|
|
Inventory |
|
4,351 |
5,030 |
||
|
|
Securities, Marketable |
|
|
|||
|
|
Other Current Assets |
1,049 |
1,063 |
|||
|
|
TOTAL CURRENT ASSETS |
26,170 |
23,252 |
|||
|
|
Property & Equipment |
3,180 |
2,929 |
|||
|
|
Intangibles |
|
15 |
11 |
||
|
|
Investments, Other Fixed Assets |
2,973 |
2,616 |
|||
|
|
TOTAL ASSETS |
32,338 |
28,808 |
|||
|
|
Payables |
|
7,349 |
7,615 |
||
|
|
Short-Term Bank Loans |
4,264 |
1,894 |
|||
|
|
|
|
|
|
||
|
|
Other Current Liabs |
3,101 |
2,795 |
|||
|
|
TOTAL CURRENT LIABS |
14,714 |
12,304 |
|||
|
|
Debentures |
|
|
|
||
|
|
Long-Term Bank Loans |
32 |
25 |
|||
|
|
Reserve for Retirement Allw |
246 |
254 |
|||
|
|
Other Debts |
|
395 |
507 |
||
|
|
TOTAL LIABILITIES |
15,387 |
13,090 |
|||
|
|
MINORITY INTERESTS |
|
|
|||
|
|
Common
stock |
1,061 |
1,061 |
|||
|
|
Additional
paid-in capital |
1,483 |
1,483 |
|||
|
|
Retained
earnings |
13,897 |
12,839 |
|||
|
|
Evaluation
p/l on investments/securities |
436 |
301 |
|||
|
|
Others |
|
436 |
395 |
||
|
|
Treasury
stock, at cost |
(362) |
(362) |
|||
|
|
TOTAL S/HOLDERS` EQUITY |
16,951 |
15,717 |
|||
|
|
TOTAL EQUITIES |
32,338 |
28,808 |
|||
|
CONSOLIDATED CASH FLOWS |
|
|
||||
|
|
|
Terms ending: |
31/10/2007 |
31/10/2006 |
||
|
|
Cash
Flows from Operating Activities |
|
-578 |
883 |
||
|
|
Cash
Flows from Investment Activities |
-623 |
-336 |
|||
|
|
Cash
Flows from Financing Activities |
1,844 |
-838 |
|||
|
|
Cash,
Bank Deposits at the Term End |
|
1,873 |
1,235 |
||
|
ANALYTICAL RATIOS Terms
ending: |
31/10/2007 |
31/10/2006 |
||||
|
|
|
Net
Worth (S/Holders' Equity) |
16,951 |
15,717 |
||
|
|
|
Current
Ratio (%) |
177.86 |
188.98 |
||
|
|
|
Net
Worth Ratio (%) |
52.42 |
54.56 |
||
|
|
|
Recurring
Profit Ratio (%) |
5.03 |
4.69 |
||
|
|
|
Net
Profit Ratio (%) |
2.67 |
2.68 |
||
|
|
|
Return
On Equity (%) |
8.01 |
8.06 |
||
FOREIGN EXCHANGE
RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.44.26 |
|
UK Pound |
1 |
Rs.79.19 |
|
Euro |
1 |
Rs.64.42 |
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%)