MIRA INFORM REPORT

 

 

Report Date :

18.02.2011

 

IDENTIFICATION DETAILS

 

Name :

MISUMI CORPORATION

 

 

Registered Office :

2-4-43 Toyo Kotoku Tokyo 135-0016

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2010

 

 

Date of Incorporation :

April 2005

 

 

Com. Reg. No.:

(Tokyo-Kotoku) 030898

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Import, Export, Catalog Sales of precision machinery parts

 

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 4,054.4 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 – June 30, 2010

 

Country Name

Previous Rating

                   (01.04.2010)                  

Current Rating

(30.06.2010)

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

 

MISUMI CORPORATION

 

 

REGD NAME 

 

KK Misumi

 

 

MAIN OFFICE

 

2-4-43 Toyo Kotoku Tokyo 135-0016 JAPAN

            Tel: 03-3647-7111     Fax: 03-3647-7458

 

URL:                             http://www./misumi.ec.com

E-Mail address:            (thru the URL)

 

 

ACTIVITIES

 

Import, export, catalog sales of precision machinery parts

 

 

BRANCHES

 

Kumamoto, Yokohama, other (Tot 15)

 

 

OVERSEAS   

 

USA, UK, Germany, China (5), Hong Kong, Korea, Taiwan, Thailand, Singapore, India, Vietnam (--subsidiaries)

 

 

FACTORIES  

 

(Subcontracted - about 150 makers)

 

OFFICER(S)  

 

MASAYUKI TAKAYA, PRES

 

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY    

 

FINANCES                    FAIR                             A/SALES          Yen 72,557 M

PAYMENTS      REGULAR                     CAPITAL           Yen 850 M

TREND             SLOW                          WORTH            Yen 52,028 M

STARTED                     2005                             EMPLOYES      556

 

 

COMMENT    

 

CATALOG SALES OF PRECISION MACHINEY PARTS, WHOLLY OWNED BY MISUMI GROUP INC. 

 

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR CREDIT ENGAGEMENTS: US$100,000 / O/A 60 DAYS.

                       

MAX CREDIT LIMIT: YEN 4,054.4 MILLION, 30 DAYS NORMAL TERMS.

 

 

HIGHLIGHTS

 

The subject company was established originally in 1963 and was reorganized through merger of Misumi Corp and Suruga Seiki Co in Apr 2005, and formed a holding company, Misumi Group Inc (See REGISTRATION).  Masayuki Takaya is concurrently pres at the Holding Company.  This is a mail-order house for precision machinery parts, particularly of standardized parts for FA equipment and metal molds.  Not involved in production.  Cooperative makers of about 150 both at home and abroad produce Misumi-brand products based on customer needs.  Goods are imported from subsidiary factories and purchasing offices overseas.

 

 

FINANCIAL INFORMATION

 

The sales volume for Mar/2010 fiscal term amounted to Yen 72,557 million, a 20% down from Yen 90,389 million in the previous term.  In the first half, sales were down 40% Sales declined in the wake of the economic recession that began in the latter half of FY2008.  In the second half, however, Asia led the recovery, driven by marked economic growth in China and Japan also experienced a moderate recovery.  The recurring profit was posted at Yen 9,293 million and the net profit at Yen 5,614 million, respectively, compared with Yen 12,114 million recurring profit and Yen 6,081 million net profit, respectively, a year ago. 

 

For the current term ending Mar 2011 the recurring profit is projected at Yen 9,500 million and the net profit at Yen 6,200 million, respectively, on a 17% rise in turnover, to Yen 85,000 million.  Business environment will turn around thanks to recovery in capital investment by the private industry.  Sales volume, mainly for parts for FA equipment, picking up sharply, both in Japan and Asia. 

 

 The financial situation is considered FAIR and good for ORDINARY business engagements.  Max credit limit is estimated at Yen 4,054.4 million, on 30 days normal terms.  The proposed amount is considered well within the firm’s financial capacities.

 

 

REGISTRATION

           

Date Registered:  Apr 2005

Regd No.:            (Tokyo-Kotoku) 030898

Legal Status:      Limited Company (Kabushiki Kaisha)

Authorized:         68,000 shares

Issued:                17,000 shares

Sum:                   Yen 850 million

Major shareholders (%): Misumi Group Inc* (100)

 

*.. Holding company of Misumi group firms, founded 2005, listed Tokyo S/E, capital Yen 4,681 million, turnover Yen 89,180 million, operating profit Yen 6,408 million, recurring profit Yen 8,082 million, net profit Yen 3,885 million, total assets Yen 98,891 million, net worth Yen 80,01 million, employees 4,597, pres Masayuki Takaya, concurrently

 

Consolidated Financials are attached (See SUPPLEMENTS)

 

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

 

 

OPERATION

 

Activities: Mail-Order House for distributing precision machinery parts by catalog and online:

 

(Sales breakdown by Divisions):

 

Factory Automation Div (57%): linear shafts, aluminum frames, filter units, screws, air cylinders processed urethane & rubber, anti-vibration & soundproof materials, insulator plates, switches, cutters, others;

 

Die Components Div (26%): punches & button dies, stripper guide pins & bushings, ejector pins, core pin guides, others;

 

Electronics Div (9%): harnesses, cables, connectors, terminal blocks, wiring accessories, memory HDD, keyboards, data converters, other;

 

Optics Div (4%): theater locating stage, mirror holders, lens holders, optical sensors, micro manipulators, other;

 

Diversified Business Div (4%): machine tools, digital design tools, medical & veterinary supplies, food service supplies, environmental protective supplies, other.

(Overseas sales ratios 22%)

 

Clients: [Mfrs, wholesalers] Exports to: Misumi USA, Misumi S/E Asia, Misumi Korea, Misumi Precision Shanghai, Misumi Taiwan, other.

            No. of accounts: 1,000

            Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Suruga Seiki, AIO Precision, Yamada Kikai Kogyo, Morimoto Seimitsu Shaft, other.

 

Payment record: Regular

 

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

 

Bank References:

Mizuho Bank (Kinshicho)

MUFG (Fukagawa)

Relations: Satisfactory

 

 

FINANCES

(In Million Yen)

 

       Terms Ending:

31/03/2011

31/03/2010

31/03/2009

31/03/2008

Annual Sales

　

85,000

72,557

90,389

100,582

Recur. Profit

　

9,500

9,293

12,114

13,769

Net Profit

　

6,200

5,614

6,081

8,305

Total Assets

　

　

63,628

55,660

57,476

Current Assets

　

　

47,913

40,358

42,390

Current Liabs

　

　

10,524

7,174

12,937

Net Worth

　

　

52,028

47,574

43,803

Capital, Paid-Up

　

　

850

850

850

Div.P.Share(¥)

　

　

0.00

0.00

0.00

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

17.15

-19.73

-10.13

7.59

    Current Ratio

 

..

455.27

562.56

327.66

    N.Worth Ratio

..

81.77

85.47

76.21

    R.Profit/Sales

 

11.18

12.81

13.40

13.69

    N.Profit/Sales

7.29

7.74

6.73

8.26

    Return On Equity

..

10.79

12.78

18.96

 

Notes: Forecast (or estimated) figures for the 31/03/2011 fiscal term. 

SUPPLEMENTS

 

CONSOLIDATED FINANCIALS OF THE PARENT, MISUMI GROUP INC

FINANCES: (Consolidated in million yen)

 

　

　

Terms Ending:

31/03/2010

31/03/2009

INCOME STATEMENT

 

 

 

  Annual Sales

　

89,180

110,041

 

  Cost of Sales

54,241

69,075

 

      GROSS PROFIT

34,938

40,965

 

  Selling & Adm Costs

26,530

29,948

 

      OPERATING PROFIT

8,408

11,016

 

  Non-Operating P/L

-326

-389

 

      RECURRING PROFIT

8,082

10,627

　

      NET PROFIT

3,885

4,686

BALANCE SHEET

 

 

 

 

  Cash

　

27,603

23,357

 

  Receivables

 

22,071

16,890

 

  Inventory

 

10,614

11,494

 

  Securities, Marketable

5,402

5,385

 

  Other Current Assets

1,664

2,459

 

      TOTAL CURRENT ASSETS

67,354

59,585

 

  Property & Equipment

13,736

12,977

 

  Intangibles

 

3,650

3,572

 

  Investments, Other Fixed Assets

8,200

9,945

 

      TOTAL ASSETS

92,940

86,079

 

  Payables

 

7,197

4,410

 

  Short-Term Bank Loans

1,200

1,301

 

　

 

　

　

 

  Other Current Liabs

6,133

5,547

 

      TOTAL CURRENT LIABS

14,530

11,258

 

  Debentures

 

　

　

 

  Long-Term Bank Loans

　

430

 

  Reserve for Retirement Allw

1,728

1,607

 

  Other Debts

　

736

931

 

      TOTAL LIABILITIES

16,994

14,226

 

      MINORITY INTERESTS

 

 

 

Common stock

4,681

4,681

 

Additional paid-in capital

14,453

14,453

 

Retained earnings

58,801

55,363

 

Evaluation p/l on investments/securities

63

0

 

Others

 

(1,402)

(1,995)

 

Treasury stock, at cost

(650)

(649)

 

      TOTAL S/HOLDERS` EQUITY

75,946

71,853

　

      TOTAL EQUITIES

92,940

86,079

CONSOLIDATED CASH FLOWS

 

 

 

 

Terms ending:

31/03/2010

31/03/2009

 

Cash Flows from Operating Activities

　

6,413

12,412

 

Cash Flows from Investment Activities

-17,161

-4,182

 

Cash Flows from Financing Activities

-1,105

-2,092

　

Cash, Bank Deposits at the Term End

　

10,908

22,670

ANALYTICAL RATIOS            Terms ending:

31/03/2010

31/03/2009

 

 

Net Worth (S/Holders' Equity)

75,946

71,853

 

 

Current Ratio (%)

463.55

529.27

 

 

Net Worth Ratio (%)

81.72

83.47

 

 

Recurring Profit Ratio (%)

9.06

9.66

 

 

Net Profit Ratio (%)

4.36

4.26

 

 

Return On Equity (%)

5.12

6.52

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.45.38

UK Pound

1

Rs.73.08

Euro

1

Rs.61.60

 

 

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

 

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.