MIRA INFORM REPORT

 

 

Report Date :

30.08.2011

 

IDENTIFICATION DETAILS

 

Name :

MIKUNI CORPORATION

 

 

Registered Office :

Mikuni Bldg, 6-13-11 Sotokanda Chiyodaku Tokyo 101-0021

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

October, 1948

 

 

Com. Reg. No.:

(Tokyo-Chiyodaku) 008791

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Manufacturer of carburetors for motorcycles & automobiles

 

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 1,065.9 Million

Status :

Satisfactory

Payment Behaviour :

Regular

Litigation :

--

 

NOTES :

Any query related to this report can be made on e-mail: infodept@mirainform.com while quoting report number, name and date.

 

 

ECGC Country Risk Classification List – March 31st, 2011

 

Country Name

Previous Rating

(31.12.2010)

Current Rating

(31.03.2011)

Japan

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

Company name and address

 

MIKUNI CORPORATION

 

REGD NAME                 KK Mikuni

MAIN OFFICE               Mikuni Bldg, 6-13-11 Sotokanda Chiyodaku Tokyo 101-0021 JAPAN

Tel:                              03-3833-0392    

Fax:                             03-3834-7607

                       

*.. The given address is its Nagoya Branch at: Ammnat Bldg 12F, 1-4-3

Sakae Nakaku Nagoya;

Tel: 052-223-3920;

Fax: 052-223-3925,

where in-house company, Mikuni Shoko Company is located (See Highlights).

 

URL:                             http://www.mikuni.co.jp/

E-Mail address:            info@mikuni.co.jp

 

 

ACTIVITIES       

 

Mfg of carburetors for motorcycles & automobiles

 

 

BRANCHES   

 

Osaka, Nagoya, other (tot 9)

 

 

OVERSEAS

           

USA (3), Mexico, Germany, Thailand, India, Indonesia, Korea, Taiwan, China (5) (--subsidiaries)

 

 

FACTORIES  

 

Morioka, Iwate (2), Odawara, Shizuoka (2)

 

 

CHIEF EXEC 

 

HISATAKA IKUTA, PRES

 

Yen Amount:    In million Yen, unless otherwise stated

 

 

SUMMARY

           

FINANCES        FAIR                             A/SALES          Yen 79,762 M

PAYMENTS      REGULAR                     CAPITAL           Yen 2,215 M

TREND             SLOW                          WORTH            Yen 14,426 M

STARTED         1948                             EMPLOYES      5,763

 

 

COMMENT    

 

MFR SPECIALIZING IN CARBURETORS. 

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

                       

MAX CREDIT LIMIT: YEN 1,065.9 MILLION, 30 DAYS NORMAL TERMS.

 

                       

Forecast (or estimated) figures for 31/03/2012 fiscal term

 

 

HIGHLIGHTS

 

This is an independent maker of carburetors for motorcycles and 4-wheelers.  Rapidly diversifying from carburetors into thermal equipment, including oil pumps, fuel pumps, gas burner safety devices.  Focuses on fuel injection-related devices.  Major customers include Suzuki Motor and Yamaha Motor.  Expanding sales of welfare & health-related equipment domestically and in North America, which division continuing profitable.  Imports of aircraft parts & materials sales are handled by the in-house company, Mikuni Shoko Company, which division starting to increase by the recovery of airline industry.  The management firm set up in China in 2010 will be fully operating.  The firm is reinforcing sales activities for car-mounted products, including variable valves for local mfrs.  It plans to start direct exports of gas safety control equipment from the China plant to Brazil. 

 

 

FINANCIAL INFORMATION

 

The sales volume for Mar/2011 fiscal term amounted to Yen 79,762 million, a 22.2% up from Yen 65,256 million in the previous term.  Sales of mainline parts for motorcycles and 4-wheelers was robust in overseas markets, particularly in China and S/E Asian countries  The recurring profit was posted at Yen 2,085 million and the net profit at Yen 939 million, respectively, compared with Yen 2,182 million recurring loss and Yen 4,642 million net losses, respectively, a year ago.

 

(Apr/Jun/2011 results): sales Yen 19,159 million (down 2.0%), operating profit Yen 749 million (down 6.7%), recurring profit Yen 575 million (down 23.0%), net profit Yen 182 million (down 58.8%).  (% compares with the corresponding period a year ago). 

 

For the current term ending Mar 2012 the recurring profit is projected at Yen 1,600 million and the net profit at Yen 700 million, respectively, on a 5.3% rise in turnover, to Yen 84,000 million.    Parts for motorcycles and gas equipment will grow steadily.  Mainline parts for automobiles will be hit by production cutbacks by Suzuki Motor and Mitsubishi Motors. 

 

The financial situation is considered FAIR and good for ORDINARY business engagements. Max credit limit is estimated at Yen 1,065.9 million, 30 days normal terms.

 

 

REGISTRATION

 

Date Registered:            Oct 1948

Regd No.:                      (Tokyo-Chiyodaku) 008791

Legal Status:                 Limited Company (Kabushiki Kaisha)

Authorized:                    110 million shares

Issued:                          34,049,423 shares

Sum:                            Yen 2,215 million

 

           

Major shareholders (%)

 

Aioi Nissay Dowa Inc (5.5), Masaki Ikuta (4.9), Resona Bank (4.9), Bank of Yokohama (4.9), Mikuni Sogyo (3.5), MUFG (3.3), Suzuki Motor (2.9), Tokio Marine & Nichido Fire Ins (2.8), Employees’ S/Holding Assn (2.3), Meiji Yasuda Life Ins (1.9); foreign owners (3.9)

           

 

No. of shareholders

 

3,170

 

 

Listed on the S/Exchange (s) of

 

Tokyo (Second Section)

 

 

Managements

 

Masaki Ikuta, ch; Hisataka Ikuta, pres; Hiroshi Yamanaka, mgn dir; Takeshi Umebayashi, mgn dir; Junnosuke Sakura, dir; Masahiro Hayashida, dir; Toshiro Asai, Eiichi Sakurai, dir; Masayuki Takashima, dir          

Nothing detrimental is known as to the commercial morality of executives.

 

 

Related companies

 

Mikuni America, Mikuni Thailand, other

           

 

OPERATION

 

Activities: Manufactures carburetors, oil pumps, fuel pumps, gas burners safety devices,    heaters, others for motorcycles & automobiles, lifestyle & environment products, imported    products, other:

 

(Sales Breakdown by Divisions)

 

Automotive-related Div (73%): carburetors for cars, motorcycles, snowmobiles, water vehicles, general purpose engines; electric fuel injection for throttle bodies, injection mixers, variable air-intake valves, throttle position sensors, fuel filters; pumps for oil pumps, fuel pumps, vacuum pumps; controllers; fuel controllers, air controllers, electronic controllers; heaters, engine pre-heaters for buses, trucks, cars, construction machinery special vehicles, trains, boats, other;

 

Lifestyle & environmental products Div (7%): medical equipment, easy care equipment for elderly & handicapped from dressing room to bath tub, hydraulic lifts, articulated arm, child seats, wheel chairs;

Imported products Div (17%): (handled by intra-company Mikuni Shoko Company): lawn mowers, turf care equipment, golf carts, general industrial machinery & parts, aircraft parts & materials.

Others (8%)

 

Overseas sales ratio (32.9%): N America 3.6%; Europe (Germany, Italy) 2.3%; Asia (China, Taiwan, Korea, Thailand, India, Indonesia) 26.1%; other regions (New Zealand, Australia, Brazil, Iran, other) 0.9%.

 

 

Clients

 

[Carmakers] Suzuki Motor, Mitsubishi Motors, Yamaha Motor Co, Defense Agency,           Ishikawajima-Harima Heavy Ind, Mitsubishi Heavy Ind, other. 

 

Exports to China, S/E Asian countries, USA, etc.

No. of accounts: 2,000

Domestic areas of activities: Nationwide

Suppliers: [Mfrs, wholesalers] Yamaha Corp, other.  Imports from USA, Europe, Asia, etc. 

 

 

Payment record

 

Regular

 

 

Location

 

Business area in Tokyo.  Office premises at the caption address are owned and maintained satisfactorily.

 

 

Bank References

 

Resona Bank (Ohtemachi)

Bank of Yokohama (Tokyo)

Relations: Satisfactory

 

 

FINANCIALS

 

FINANCES: (Consolidated in million yen)

 

　

　

Terms Ending:

31/03/2011

31/03/2010

INCOME STATEMENT

 

 

 

  Annual Sales

　

79,762

65,256

 

  Cost of Sales

68,640

59,047

 

      GROSS PROFIT

11,121

6,209

 

  Selling & Adm Costs

8,442

8,156

 

      OPERATING PROFIT

2,678

-1,947

 

  Non-Operating P/L

-590

-265

 

      RECURRING PROFIT

2,088

-2,182

　

      NET PROFIT

939

-4,642

BALANCE SHEET

 

 

 

 

  Cash

　

8,055

7,546

 

  Receivables

 

16,298

16,057

 

  Inventory

 

10,728

8,634

 

  Securities, Marketable

　

　

 

  Other Current Assets

2,583

2,148

 

      TOTAL CURRENT ASSETS

37,664

34,385

 

  Property & Equipment

33,217

34,527

 

  Intangibles

 

587

612

 

  Investments, Other Fixed Assets

5,946

7,285

 

      TOTAL ASSETS

77,414

76,809

 

  Payables

 

11,090

9,505

 

  Short-Term Bank Loans

21,419

22,522

 

　

 

　

　

 

  Other Current Liabs

9,491

7,628

 

      TOTAL CURRENT LIABS

42,000

39,655

 

  Debentures

 

　

　

 

  Long-Term Bank Loans

12,136

13,568

 

  Reserve for Retirement Allw

4,522

4,429

 

  Other Debts

　

4,329

4,291

 

      TOTAL LIABILITIES

62,987

61,943

 

      MINORITY INTERESTS

 

 

 

Common stock

2,215

2,215

 

Additional paid-in capital

1,700

1,700

 

Retained earnings

5,628

4,893

 

Evaluation p/l on investments/securities

751

940

 

Others

 

4,177

5,160

 

Treasury stock, at cost

(45)

(43)

 

      TOTAL S/HOLDERS` EQUITY

14,426

14,865

　

      TOTAL EQUITIES

77,414

76,809

CONSOLIDATED CASH FLOWS

 

 

 

 

Terms ending:

31/03/2011

31/03/2010

 

Cash Flows from Operating Activities

　

4,883

2,454

 

Cash Flows from Investment Activities

-2,311

-3,046

 

Cash Flows from Financing Activities

-1,914

1,265

　

Cash, Bank Deposits at the Term End

　

7,981

7,032

ANALYTICAL RATIOS            Terms ending:

31/03/2011

31/03/2010

 

 

Net Worth (S/Holders' Equity)

14,426

14,865

 

 

Current Ratio (%)

89.68

86.71

 

 

Net Worth Ratio (%)

18.63

19.35

 

 

Recurring Profit Ratio (%)

2.62

-3.34

 

 

Net Profit Ratio (%)

1.18

-7.11

 

 

Return On Equity (%)

6.51

-31.23

 

 

           


 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.45.87

UK Pound

1

Rs.75.14

Euro

1

Rs.66.67

 

 

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

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

----

NB

New Business

----

 

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%)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.