MIRA INFORM REPORT
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Report Date : |
19.09.2008 |
IDENTIFICATION
DETAILS
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Name : |
NIKKA FINE TECHNO CO LTD (W.e.f Jun/2006) |
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Formerly Known As : |
NAIGAI NIKKA CO LTD |
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Registered Office : |
Tanaka Bldg 7F, 2-2-6 Uchikanda Chiyodaku Tokyo
101-0047 |
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Country : |
Japan |
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Financials (as on) : |
31.05.2008 |
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Date of Incorporation : |
October, 1931 |
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Legal Form : |
Limited Company (Kabushiki Kaisha) |
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Line of Business : |
Import, Export, Wholesale Industrial Chemicals,
Electronics Products, other |
RATING &
COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
Yen 147.7 Million |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
name
NIKKA FINE TECHNO CO LTD
(FORMERLY NAIGAI NIKKA CO LTD, as given)
* Renamed in Jun/2006
REGD NAME
KK Nikka Fine Techno
MAIN OFFICE
Tanaka Bldg 7F, 2-2-6 Uchikanda Chiyodaku Tokyo 101-0047 JAPAN
Tel: 03-3256-9421 Fax:
03-3256-9882
URL: http://www.nkft.co.jp
E-Mail address: nikkafinetechno@nkft.co.jp
ACTIVITIES
Import, export, wholesale industrial chemicals, electronics products,
other
BRANCHES
Osaka, Fukui
OFFICER(S)
SHIGEYUKI WATANABE, PRES Shoji
Fujiwara, dir
Wataru Nakagawa, dir Toshihide
Higashida, dir
Yoshimi Sasanuma, dir Hiromi
Morita, dir
Yen Amount: In million Yen,
unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 9,544 M
PAYMENTS REGULAR CAPITAL Yen 22 M
TREND STEADY WORTH Yen 949 M
STARTED 1931 EMPLOYES 46
COMMENT
TRADING FIRM SPECIALIZING IN INDUSTRIAL
CHEMICALS, WHOLLY OWNED BY NIPPON KAYAKU CO LTD.
FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR CREDIT
ENGAGEMENTS: R1,730,000 / 30 DAYS BUSINESS ENGAGEMENTS.
MAX CREDIT LIMIT
YEN 147.7 MILLION, 30 DAYS NORMAL TERMS
HIGHLIGHTS
The subject company was established originally by local entrepreneurs in order to sell industrial chemicals, as Naigai Nikka Co Ltd. And in Jun/2006 merged with NS Color Techno Co Ltd and renamed as captioned, Nikka Fine Techno Co Ltd. The merger was conducted by the capital participation of Nippon Kayaku Co Ltd, comprehensive chemical producer, Tokyo (See OPERA TION) and the subject became its wholly owned consolidated subsidiary. This is a trading firm for import, export and wholesale of a variety of industrial chemicals, electronics materials, petroleum products, fertilizers, other (See OPERATION). The merger expanded handling items to include electronics materials, functional chemicals, fine chemicals, other (brought from NS Color Techno). About 45% of the products are supplied from the parent, Nippon Kayaku Co Ltd. Clients are chemical mfrs, wholesalers, other.
FINANCIAL INFORMATION
Financials are consolidated by the parent, Nippon Kayaku Co Ltd, and disclosed in only digested forms.
The sales volume for May/2007 fiscal term amounted to Yen 9,544 million, a 39% sharp hike from Yen 6,869 million in the previous term. This is the effect of the said merger. The net profit was posted at Yen 69 million, up from Yen 52 million a year ago.
For the term that ended May 2008 the net profit was projected and believed posted at Yen 73 million, on a 5% rise in turnover, to Yen 10,000 million. The firm aimed to mark the Yen 10,000 million mark and it is believed achieved. The merger and material price hikes contributed.
The financial situation is considered FAIR and good for
ORDINARY business engagements. Max
credit limit is estimated at Yen 147.7 million, on 30 days normal terms. The proposed amount is considered well within the firm’s financial capacities.
REGISTRATION
Date Registered: Oct 1931
(Reorganized Jun/2006)
Legal Status:
Limited Company (Kabushiki Kaisha)
Authorized:
360,000 shares
Issued:
360,000 shares
Sum: Yen 22.5 million
Major
shareholders (%): Nippon Kayaku Co Ltd*(100)
Comprehensive chemical mfr, Tokyo, originating in 1916 as Japan’s first
explosive mfr, listed Tokyo S/E, capital Yen 14,932 million, sales Yen 144,901
million, operating profit Yen 12,451 million, recurring profit Yen 11,405
million, net profit Yen 6,630 million, total assets Yen 207,269 million, net
worth Yen 118,515 million, employees 4,412, pres Koichiro Shimada
Consolidated Financials are as attached (See SUPPLEMENTS)
Nothing detrimental is known as to the commercial morality of
executives.
OPERATION
Activities: Trading firm for import, export and wholesale (--100%) of:
Synthetic resins, dyestuffs, pigments, industrial chemicals,
reagents, pulp & paper materials, synthetic coloring agents, ink, feeds
& additives, health foods, mineral water, seasoning, spices, food
additives, farm chemicals & fertilizer, agricultural machinery/equipment,
packaging materials, waste-water treatment equipment, petroleum by-products
& interme-diates, construction materials (concrete, cement, other), others.
Clients
[Mfrs, wholesalers] Taiyo Ink Mfg, Nippon
Kayaku, Samson Japan, Komatsu Seiren, Fukutoku Sangyo, Urase Co, other.
No.
of accounts: 1,000
Domestic areas of
activities: Nationwide
Suppliers
[Mfrs, wholesalers] Nippon Kayaku (45%), Kao Corp, Maeda
Industrial Chemi-cals, Hokko Chemicals, Rin Kagaku Kogyo, Konishi Chemical Ind,
Kiwa Chemicals Ind, other.
Payment record: Regular
Location: Business area in Tokyo. Office premises at the caption address are
leased and maintained satisfactorily.
Bank References
MUFG (Marunouchi)
SMBC (Marunouchi)
Relations: Satisfactory
FINANCES: (In Million Yen)
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Terms Ending: |
31/05/2008 |
31/05/2007 |
31/05/2006 |
31/05/2005 |
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Annual
Sales |
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10,000 |
9,544 |
6,869 |
6,728 |
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Recur.
Profit |
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Net
Profit |
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73 |
69 |
52 |
48 |
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Total
Assets |
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3,905 |
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Current
Assets |
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3,253 |
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Current
Liabs |
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2,630 |
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Net
Worth |
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989 |
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Capital,
Paid-Up |
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22 |
22 |
22 |
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Div.P.Share(¥) |
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78.00 |
58.00 |
30.00 |
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<Analytical Data> |
(%) |
(%) |
(%) |
(%) |
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S.Growth Rate |
4.78 |
38.94 |
2.10 |
-3.84 |
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Current Ratio |
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.. |
123.69 |
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.. |
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N.Worth Ratio |
.. |
25.33 |
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.. |
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R.Profit/Sales |
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.. |
.. |
.. |
.. |
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N.Profit/Sales |
0.73 |
0.72 |
0.76 |
0.71 |
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Return On Equity |
.. |
6.98 |
.. |
.. |
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Notes: Forecast (or estimated) figures for the 31/05/2008 fiscal term.
SUPPLEMENTS
CONSLIDATED
FINANCIALS OF THE PARENT, NIPPON KAYAKU CO LTD
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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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144,901 |
148,124 |
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Cost of Sales |
93,179 |
93,532 |
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GROSS PROFIT |
51,722 |
54,592 |
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Selling & Adm Costs |
39,270 |
41,056 |
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OPERATING PROFIT |
12,451 |
13,536 |
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Non-Operating P/L |
-1,046 |
1,602 |
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RECURRING PROFIT |
11,405 |
15,138 |
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NET PROFIT |
6,630 |
6,610 |
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BALANCE SHEET |
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Cash |
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18,299 |
18,390 |
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Receivables |
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48,731 |
46,213 |
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Inventory |
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24,503 |
26,180 |
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Securities, Marketable |
3,826 |
7,377 |
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Other Current Assets |
7,758 |
4,501 |
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TOTAL CURRENT ASSETS |
103,117 |
102,661 |
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Property & Equipment |
70,170 |
69,783 |
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Intangibles |
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6,230 |
5,757 |
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Investments, Other Fixed Assets |
27,752 |
28,880 |
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TOTAL ASSETS |
207,269 |
207,081 |
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Payables |
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17,986 |
15,836 |
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Short-Term Bank Loans |
8,175 |
7,099 |
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Other Current Liabs |
14,466 |
17,381 |
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TOTAL CURRENT LIABS |
40,627 |
40,316 |
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Debentures |
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Long-Term Bank Loans |
11,727 |
12,033 |
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Reserve for Retirement Allw |
4,729 |
3,980 |
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Other Debts |
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19,112 |
20,518 |
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TOTAL LIABILITIES |
76,195 |
76,847 |
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MINORITY INTERESTS |
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Common
stock |
14,932 |
14,932 |
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Additional
paid-in capital |
17,270 |
17,269 |
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Retained
earnings |
82,477 |
79,481 |
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Evaluation
p/l on investments/securities |
2,821 |
5,068 |
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Others |
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14,152 |
13,997 |
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Treasury
stock, at cost |
(578) |
(514) |
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TOTAL S/HOLDERS` EQUITY |
131,074 |
130,233 |
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TOTAL EQUITIES |
207,269 |
207,081 |
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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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15,975 |
20,201 |
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Cash
Flows from Investment Activities |
-17,929 |
-17,882 |
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Cash
Flows from Financing Activities |
-1,880 |
1,559 |
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Cash,
Bank Deposits at the Term End |
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21,662 |
25,589 |
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ANALYTICAL RATIOS Terms
ending: |
31/03/2008 |
31/03/2007 |
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Net
Worth (S/Holders' Equity) |
131,074 |
130,233 |
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Current
Ratio (%) |
253.81 |
254.64 |
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Net
Worth Ratio (%) |
63.24 |
62.89 |
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Recurring
Profit Ratio (%) |
7.87 |
10.22 |
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Net
Profit Ratio (%) |
4.58 |
4.46 |
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Return
On Equity (%) |
5.06 |
5.08 |
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FOREIGN EXCHANGE
RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.46.71 |
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UK Pound |
1 |
Rs.83.57 |
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Euro |
1 |
Rs.65.90 |
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%)