MIRA INFORM REPORT

 

 

Report Date :

07.03.2011

 

IDENTIFICATION DETAILS

 

Name :

MEIJI FEED CO LTD

 

 

Registered Office :

1-1 Kanda-Sudacho Chiyodaku Tokyo 101-0041

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2010

 

 

Date of Incorporation :

March 1946

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Manufacturer of assorted cattle feeds, feed additives

 

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 1,111.9 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 – December 31, 2010

 

Country Name

Previous Rating

                   (30.09.2010)                  

Current Rating

(31.12.2010)

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

 

MEIJI FEED CO LTD

 

 

REGD NAME

 

Meiji Shiryo KK

 

 

MAIN OFFICE

 

1-1 Kanda-Sudacho Chiyodaku Tokyo 101-0041 JAPAN

Tel: 03-5209-0560     Fax: 03-3258-2068

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

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

 

 

ACTIVITIES  

 

Mfg of assorted cattle feeds, feed additives

 

 

BRANCHES   

 

Hokkaido (9), Sendai, Iwate (2), Aomori, Niigata, Tochigi, Chiba, Aichi, Osaka, other

 

 

FACTORIES  

 

Semine (Miyagi), Kakogawa (Hyogo), Kashima (Ibaraki)

 

 

OFFICER(S)  

 

TOSHIAKI YOSHIDA, PRES       Yoshito Hagawa, s/mgn dir

Daisuke Hirano, mgn dir             Katsumi Yamamoto, dir

Fumitoshi Sato, dir

 

Yen Amount:     In million Yen, unless otherwise stated

 

SUMMARY    

 

FINANCES                    FAIR                 A/SALES          Yen 36,990 M

PAYMENTS      REGULAR         CAPITAL           Yen 480 M

TREND             SLOW              WORTH            Yen 6,334 M

STARTED                     1946                 EMPLOYES      275

 

 

COMMENT

 

MFR SPECIALIZING IN CATTLE FEEDS, WHOLLY OWNED BY MEIJI HOLDINGS CO LTD

 

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR CREDIT ENGAGEMENTS: CD$291,765

 

MAX CREDIT LIMIT: YEN 1,111.9 MILLION 30 DAYS NORMAL TERMS

 

 

HIGHLIGHTS

 

The subject company was established by Meiji Dairies Corp, nation’s top-ranked dairy foods mfr, Tokyo, in order to advance into mfg assorted feeds for milk cows.  The subject specializes in mfg compound feeds for dairies & beef cattle, and additives for supply to dairy farmers, dairy cooperatives, etc, nationwide.  The firm also wholesales roughage feeds.  Materials and feeds are imported.  In Apr 2009 the firm founded a joint company with Meiji Seika named Meiji Holdings Co Ltd and became its wholly owned subsidiaries.  Imports of materials and roughage feeds are handled by major general trading houses. 

 

 

FINANCIAL INFORMATION

 

The sales volume for Mar/2010 fiscal term amounted to Yen 36,990 million, a 14% down from Yen 43,060 million in the previous term.  The net profit was posted at Yen 330 million, compared with Yen 107 million net losses a year ago.

 

For the current term ending Mar 2011 the net profit is projected at Yen 340 million, on a 3% rise in turnover, to Yen 38,000 million.

 

The financial situation is considered FAIR and good for ORDINARY business engagements.  Max credit limit is estimated at Yen 1,111.9 million, on 30 days normal terms.  The proposed amount is considered well within the firm’s financial capacities.

 

 

REGISTRATION

 

Date Registered:  Mar 1946

Legal Status:      Limited Company (Kabushiki Kaisha)

Authorized:         3.84 million shares

Issued:                960,000 shares

Sum:                   Yen 480 million

Major shareholders (%): Meiji Holdings Co Ltd* (100)

 

*..Joint holding company established thru management consolidation betweenTop-ranked Meiji Dairies and Meiji Seika in Apr 2009, listed Tokyo S/E, capital Yen 30,000 million, sales Yen 1,106,645 million, operating profit Yen 28,786 million, recurring profit Yen 26,316 million, net profit Yen 13,088 million, total assets Yen 729,050 million, net worth Yen 269,281 million, employees 14,999, pres  Naotada Sato

 

Consolidated Financials are attached (See SUPPLMENTS)

 

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

 

 

OPERATION

 

Activities: Manufactures and wholesales assorted cattle feeds & additives (90%), imports and wholesales roughage feeds, others (--10%).  T

 

Clients: Dairy farmers, dairy coops, farm coops, other

            No. of accounts: 1,000

            Domestic areas of activities: Nationwide

 

Suppliers: [Wholesalers] Nisshin Shoji, Itochu Corp, Sumitomo Corp, Mitsui & Co, Mitsubishi Corp, Marubeni 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 (Kyobashi)

Norin Chukin Bank (H/O)

Relations: Satisfactory

 

FINANCES

(In Million Yen)

 

       Terms Ending:

31/03/2011

31/03/2010

31/03/2009

31/03/2008

Annual Sales

　

38,000

36,990

43,060

38,999

Recur. Profit

　

　

　

　

　

Net Profit

　

340

330

-107

-133

Total Assets

　

　

12,627

13,390

　

Current Assets

　

　

7,592

7,919

　

Current Liabs

　

　

5,497

6,652

　

Net Worth

　

　

6,334

5,975

　

Capital, Paid-Up

　

　

480

480

480

Div.P.Share(¥)

　

　

0.00

0.00

0.00

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

2.73

-14.10

10.41

2.63

    Current Ratio

 

..

138.11

119.05

..

    N.Worth Ratio

..

50.16

44.62

..

    R.Profit/Sales

 

..

..

..

..

    N.Profit/Sales

0.89

0.89

-0.25

-0.34

    Return On Equity

..

5.21

-1.79

..

 

Notes: Financials are consolidated by the parent, Meiji Holdings Co Ltd, and disclosed in digested form only.

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

 

SUPPLEMENTS

 

CONSOLIDATED FINANCIALS OF THE PARENT, MEIJI HOLDINGS CO LTD.

FINANCES: (Consolidated in million yen)

　

　

Terms Ending:

31/03/2010

INCOME STATEMENT

 

 

  Annual Sales

　

1,106,645

 

  Cost of Sales

734,665

 

      GROSS PROFIT

371,980

 

  Selling & Adm Costs

343,194

 

      OPERATING PROFIT

28,786

 

  Non-Operating P/L

-470

 

      RECURRING PROFIT

28,316

　

      NET PROFIT

13,088

BALANCE SHEET

 

 

 

  Cash

　

16,682

 

  Receivables

 

154,589

 

  Inventory

 

111,298

 

  Securities, Marketable

　

 

  Other Current Assets

447,475

 

      TOTAL CURRENT ASSETS

730,044

 

  Property & Equipment

332,875

 

  Intangibles

 

10,476

 

  Investments, Other Fixed Assets

(343,351)

 

      TOTAL ASSETS

730,044

 

  Payables

 

95,164

 

  Short-Term Bank Loans

76,768

 

　

 

　

 

  Other Current Liabs

128,809

 

      TOTAL CURRENT LIABS

300,741

 

  Debentures

 

55,000

 

  Long-Term Bank Loans

39,631

 

  Reserve for Retirement Allw

15,711

 

  Other Debts

　

21,189

 

      TOTAL LIABILITIES

432,272

 

      MINORITY INTERESTS

 

 

Common stock

30,000

 

Additional paid-in capital

98,852

 

Retained earnings

169,618

 

Evaluation p/l on investments/securities

5,851

 

Others

 

2,575

 

Treasury stock, at cost

(9,125)

 

      TOTAL S/HOLDERS` EQUITY

297,771

　

      TOTAL EQUITIES

730,044

CONSOLIDATED CASH FLOWS

 

 

 

Terms ending:

31/03/2010

 

Cash Flows from Operating Activities

　

47,707

 

Cash Flows from Investment Activities

-33,641

 

Cash Flows from Financing Activities

-12,674

　

Cash, Bank Deposits at the Term End

　

16,061

ANALYTICAL RATIOS            Terms ending:

31/03/2010

 

 

Net Worth (S/Holders' Equity)

297,771

 

 

Current Ratio (%)

242.75

 

 

Net Worth Ratio (%)

40.79

 

 

Recurring Profit Ratio (%)

2.56

 

 

Net Profit Ratio (%)

1.18

 

 

Return On Equity (%)

4.40

 

           

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.44.99

UK Pound

1

Rs.73.24

Euro

1

Rs.62.80

 

 

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.