MIRA INFORM REPORT
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Report Date : |
23.12.2011 |
IDENTIFICATION DETAILS
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Name : |
JUKI CORPORATION |
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Registered Office : |
2-11-1 Tsurumaki Tama City Tokyo-Metrop
206-8551 |
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Country : |
Japan |
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Financials (as on) : |
31.03.2011 |
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Date of Incorporation : |
December 1938 |
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Com. Reg. No.: |
(Tokyo-Metrop-Tama Shi) 006169 |
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Legal Form : |
Limited Company |
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Line of Business : |
Manufacturer of industrial
sewing machines, industrial machinery |
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No. of Employee: |
6,613 |
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 614.2 Million |
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Status : |
Satisfactory |
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Payment
Behaviour : |
Regular |
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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
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Country Name |
Previous Rating (31.12.2010) |
Current Rating (31.03.2011) |
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Japan |
a1 |
a1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
Company name
JUKI CORPORATION
REGD NAME
JUKI KK
MAIN OFFICE
2-11-1 Tsurumaki
Tama City Tokyo-Metrop 206-8551 JAPAN
Tel:
042-357-2211 Fax: 042-357-2540
E-Mail address: (thru the URL)
ACTIVITIES
Mfg of
industrial sewing machines, industrial machinery
BRANCHES
Domestic
122 locations; globally 79 locations
OVERSEAS
China
(7), Singapore, India (6), Sri Lanka, Vietnam (3), Bangladesh (3), UAE,
Cambodia, Thailand, Myanmar,
Poland,
Germany, Italy, Romania, Russia, Belarus, Turkey, USA, other.
FACTORIES
Ohtawara
(Tochigi), other; China, Vietnam, India, other
CHIEF EXEC
AKIRA
KIYOHARA, PRES
Yen
Amount: In million Yen, unless
otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 89,596 M
PAYMENTS REGULAR CAPITAL Yen 15,950 M
TREND UP WORTH Yen 11,549 M
STARTED 1938 EMPLOYES 6,613
COMMENT
MFR OF INDUSTRIAL SEWING MACHINES.
FINANCIAL SITUATION COSIDERED
FAIR AND GOOD FOR ORDINARYBUSINESS ENGAGEMENTS.
MAX
CREDIT LIMIT: YEN 614.2 MILLION, 30 DAYS NORMAL TERMS.
Forecast (or estimated) figures for 31/12/2011 fiscal term due to
change in term
HIGHLIGHTS
The subject company was established originally as a rifle
mfr, shifted into home sewing machines after WW2 and succeeded in production of
nation’s first machine in 1947. Now the
firm is the largest producer of industrial sewing machines in the world and
third largest in home-use machines in Japan.
Also expanding electronic equipment including chip mounter production (2nd
mainline). Boosting output in China,
where the firm operates 7 subsidiaries including factories. One time known as door-to-door sales of
household sewing machines but this business is now contracting. Improving product-mix of chip mounters
heavily biased to medium-speed chip mounters by marketing new high-speed chip
mounters. The firm will make electric
feeders overseas, which are now made only in Japan, such as Shanghai. This will make the firm to cut costs 30-40%
by shifting output to Shanghai. The firm
started up an assembly line at its new plant in Vietnam. It intends to further expand capacity, in bid
to meet strong demand for sewing machines in the local market. It will distribute suppliers, responding to
shortage of parts and materials due to the impact of the Tohoku Earthquake.
(Recent news dated
19/05/2011):
The firm will enter into Comprehensive Alliance Agreement with KAULIN
MANUFACTURING CO LTD, TAIWAN. Both
companies are scheduled to acquire stocks of each company by way of market
transaction, etc by June 30, 2011 (It has been effected, our comment).
Amount of acquisition: Juki (SIRUBA’s common stock equivalent to Yen 300
million.
SIRUBA (Juki’s common stock equivalent to Yen 200 million)
Business alliance:
Main field for both companies contemplated business alliance will
include 1) Manufacturing, 2) Procurement, 3) Research & Development, 4)
Sales and Services, 5) Personnel Exchange, etc.
FINANCIAL INFORMATION
The sales volume for Mar/2011 fiscal term amounted to Yen 89,596
million, a 57.3% up from Yen 56,970 million in the previous term. Sales have shown increasing trend, driven by active
demand in the markets of China and emerging countries in Asia and other
regions. In all segments sales
increased. By Divisions, Industrial
Sewing Machine up 58.4% to Yen 57,177 million; SMT Systems up 86.4% to Yen
22,427 million, bolstered by steadily growing sales of high-speed
pick-and-placers in China and robust development in Japan, USA and Europe;
Household Sewing Machines up 27.5% to Yen 3,090 million, backed by steady
development in the US and Europe markets.
The operations returned to profitability to post Yen 1,174 million
recurring profit and Yen 2,467 million net profits, respectively, compared with
Yen 11,102 million recurring loss and Yen 11,233 million net losses,
respectively, a year ago
For the current term ending Dec 2011, due to the change in accounting
term, the recurring profit is projected at Yen 1,100 million and the net profit
at Yen 800 million, on an 11.6% rise (as adjusted on a 12-month basis) in
turnover to Yen 75,000 million. Sales of
mainstay industrial sewing machines will increase in China after capacity
expansion. Sales of high-priced new chip
mounters will grow strongly
The financial situation is considered FAIR and good for ORDINARY
business engagements. Max
credit limit is estimated at Yen 614.2 million, on 30 days normal terms.
REGISTRATION
Date Registered: Dec 1938
Regd No.: (Tokyo-Metrop-Tama Shi) 006169
Legal Status:
Limited Company (Kabushiki Kaisha)
Authorized:
400 million shares
Issued: 129,370,899 shares
Sum: Yen 15,950 million
Major shareholders
(%):
Japan Trustee Services T (4.2) Goldman Sachs International (3.8), Mizuho Bank
(3.6), Nippon Life Ins (3.3), Asahi Life Ins (2.7), Master Trust Bank of Japan
T (2.4), Dai-ichi Life Ins (1.9), Meiji Yasuda Life Ins (1.7), Ryo Omura (1.5),
Mizuho Trust Bank (1.5); foreign owners (14.4).
No. of
shareholders: 11,921
Listed on the
S/Exchange (s) of: Tokyo
Managements: Kazuyuki
Nakamura, ch; Akira Kiyohara, pres; Tomohisa Miyake, v pres; Shinji Yamaguchi,
mgn dir; Hirokazu Mizushima, mgn dir; Shuji Yamaoka, mgn dir
Nothing detrimental is known as to the commercial morality of
executives.
Related companies: JUKI Denshi
Kogyo, JUKI Singapore, other (Tot 32 con subs)
OPERATION
Activities: Manufactures, imports and exports industrial sewing machines, household sewing machines, industrial equipment, electronics, precision instruments:
Sales Breakdown by
Divisions:
Industrial Sewing
Machines (64%): 1-needle, lockstitch machine, 2-needle, lockstitch machine, overlock
safety stitch machine, zigzag stitching machine, covering stitch machine,
double chain stitch machine, button sewing machine, bartacking machine,
shape-tacking machine, buttonholing machine & eyelet buttonholing machine,
special purpose machine,
computer-controlled cycle machine, automatic machine, motor, devices &
software, flat-bed sewing machine, long arm sewing machine, cylinder-bed sewing
machine, post-bed sewing machine, machine for extra heavy materials;
Household Sewing
Machines (3%): 1-needle lockstitch sewing machine, home surgers, semi-professional
sewing machine, other;
SMT (Surface Mount
Technology) systems (25%): pick & placer, general pick & placer,
bare-chip flexible pick & placer, small-type pick & placer, other;
Electronics &
Precision Equipment (4%): electronic equipment, computer peripherals, others;
Others (8%): jewelry,
health-care products, lost wax products, others;
Overseas sales
ratio (82%)
Clients: [Mfrs,
wholesalers] JUKI Hong Kong, JUKI Singapore, JUKI Automation Systems, JUKI
European Holdings, JUKI Union Special, JUKI China Co, JUKI Shanghai, JUKI
Household Sewing Machine, other.
No. of accounts: 2,000
Domestic areas of activities: Nationwide
Suppliers: [Mfrs,
wholesalers] JUKI Matsue, JUKI Denshi Kogyo, JUKI Hiroshima Seisakusho, JUKI
Shanghai, other.
Payment record: Regular
Location: Business area in
Tama City, Tokyo-Metrop. Office premises
at the caption address are owned and maintained satisfactorily.
Bank References:
Mizuho Bank (Shinjuku)
Mizuho Trust Bank (H/O)
Relations: Satisfactory
FINANCIALS
(In Million Yen)
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FINANCES: (Consolidated
in million yen) |
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Terms Ending: |
31/03/2011 |
31/03/2010 |
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INCOME STATEMENT |
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Annual Sales |
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89,596 |
56,970 |
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Cost of Sales |
68,030 |
47,140 |
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GROSS PROFIT |
21,565 |
9,829 |
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Selling & Adm Costs |
20,420 |
21,017 |
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OPERATING PROFIT |
1,144 |
-11,187 |
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Non-Operating P/L |
30 |
-5 |
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RECURRING PROFIT |
1,174 |
-11,192 |
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NET PROFIT |
2,467 |
-11,233 |
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BALANCE SHEET |
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Cash |
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7,178 |
8,348 |
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Receivables |
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17,357 |
13,153 |
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Inventory |
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36,239 |
29,296 |
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Securities, Marketable |
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6 |
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Other Current Assets |
2,990 |
5,088 |
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TOTAL CURRENT ASSETS |
63,764 |
55,891 |
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Property & Equipment |
30,714 |
32,911 |
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Intangibles |
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1,855 |
2,302 |
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Investments, Other Fixed Assets |
10,260 |
9,977 |
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TOTAL ASSETS |
106,593 |
101,081 |
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Payables |
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14,836 |
11,003 |
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Short-Term Bank Loans |
42,643 |
42,197 |
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Other Current Liabs |
8,638 |
6,937 |
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TOTAL CURRENT LIABS |
66,117 |
60,137 |
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Debentures |
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80 |
120 |
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Long-Term Bank Loans |
19,958 |
21,915 |
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Reserve for Retirement Allw |
6,336 |
6,541 |
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Other Debts |
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2,552 |
1,682 |
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TOTAL LIABILITIES |
95,043 |
90,395 |
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MINORITY INTERESTS |
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Common
stock |
15,950 |
15,950 |
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Additional
paid-in capital |
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8,976 |
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Retained
earnings |
2,604 |
(8,839) |
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Evaluation
p/l on investments/securities |
74 |
16 |
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Others |
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(7,021) |
(5,360) |
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Treasury
stock, at cost |
(58) |
(57) |
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TOTAL S/HOLDERS` EQUITY |
11,549 |
10,686 |
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TOTAL EQUITIES |
106,593 |
101,081 |
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CONSOLIDATED CASH FLOWS |
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Terms ending: |
31/03/2011 |
31/03/2010 |
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Cash
Flows from Operating Activities |
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-613 |
1,224 |
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Cash
Flows from Investment Activities |
-119 |
-10,440 |
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Cash Flows
from Financing Activities |
7 |
8,574 |
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Cash,
Bank Deposits at the Term End |
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7,077 |
8,291 |
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ANALYTICAL RATIOS Terms ending: |
31/03/2011 |
31/03/2010 |
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Net
Worth (S/Holders' Equity) |
11,549 |
10,686 |
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Current
Ratio (%) |
96.44 |
92.94 |
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Net
Worth Ratio (%) |
10.83 |
10.57 |
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Recurring
Profit Ratio (%) |
1.31 |
-19.65 |
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Net
Profit Ratio (%) |
2.75 |
-19.72 |
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Return
On Equity (%) |
21.36 |
-105.12 |
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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.52.78 |
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UK Pound |
1 |
Rs.82.73 |
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Euro |
1 |
Rs.68.88 |
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 |
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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NB |
New Business |
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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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.