MIRA INFORM
REPORT
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Report Date : |
07.10.2011 |
IDENTIFICATION DETAILS
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Name : |
SOJITZ CORPORATION |
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Registered Office : |
6-1-20 Akasaka
Minatoku Tokyo 107-8655 |
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Country : |
Japan |
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Financials (as on) : |
31.03.2011 |
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Date of Incorporation : |
December 1982 |
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Com. Reg. No.: |
(Tokyo-Minatoku)
049977 |
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Legal Form : |
Limited Company |
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Line of Business : |
Import, Export, Wholesale of machinery, energy &
metals, chemicals |
RATING & COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
Yen 53,485.8 Million |
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Status : |
Good |
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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
SOJITZ CORPORATION
REGD NAME
Sojitz KK
MAIN OFFICE
6-1-20 Akasaka
Minatoku Tokyo 107-8655 JAPAN
Tel:
03-5520-5000 Fax: 03-5520-2390
E-Mail address: info@sojitz.com
ACTIVITIES
Import,
export, wholesale of machinery, energy & metals, chemicals, other
BRANCHES
7
domestic, 91 overseas
(Subsidiaries/affiliates):
144 domestic, 377 overseas
CHIEF EXECS
YUTAKA
KASE, PRES
Yen
Amount: In million Yen, unless
otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 4,014,639 M
PAYMENTS REGULAR CAPITAL Yen 160,339 M
TREND STEADY WORTH Yen
355,510 M
STARTED 2003 EMPLOYES 16,615
COMMENT
GENERAL TRADING HOUSE.
FINANCIAL SITUATION CONSIDERED
FAIR AND GOOD FOR CREDIT ENGAGEMENTS: US$125,000.00 / DA TERMS.
MAX
CREDIT LIMIT: YEN 53,485.8 MILLION, 30 DAYS NORMAL TERMS
Forecast
figures for the 31/03/2012 fiscal term.
HIGHLIGHTS
The subject company was established in Apr 2003 by forming a joint holding
company, named Nissho Iwai-Nichimen Holdings Company, by the then Nissho Iwai
Co and Nichimen Co, and subsequently in Apr 2004 the two merged into Sojitz
Corp as captioned. The holding company,
at the same time, renamed Sojitz Holdings Corporation. The merger was formed in order to restructure
the two firms through supports from financial institutions including the then
UFJ Bank (now MUFG), the main bank for the two firms. On 01/Oct/2005, in order to further
streamline the Group’s management framework, Sojitz Holdings merged with its
principal operating arm and wholly owned subsidiary, Sojitz Corporation. The company’s name was then changed to Sojitz
Corporation. This is a general trading
house succeeding the business rights & operations of the said two firms,
excluding liquidation or separation of unprofitable divisions &
operations. This is the sixth-ranked
general trading house. Major handling
items are machinery, energy & resources, which former Nissho Iwai Corp was
the stronger, and textiles, etc, which the former Nichimen Corp was
stronger. Highly competitive in fields
of aircraft, lumber and urban development.
The company plans to acquire additional concession of the Minerva mine
in Australia to independently operate the mine as the primary contractor. It joined the potassium sulfate fertilizer
production in India.
FINANCIAL INFORMATION
The sales volume for Mar/2011 fiscal term amounted to Yen 4,014,639
million, a 4.4% up from Yen 3,844,418 million in the previous term. The increases were mainly attributable to a
recovery in commodity prices and demand for the products in an environment in
which high economic growth in emerging countries, particularly those in Asia,
are driving the global economy. By
Divisions, Machinery down 1.9% to Yen 965,412 million; Energy & Metals up
15.9% to Yen 1,013,981 million, due to increase in prices of ferroalloys and
precious metals and growth in precious metal, ferroalloy & coat unit
volumes; Chemicals & Functional Materials up 11.8% to Yen 612,510 million,
mainly due to an increase in trading volumes reflecting demand recoveries in
China and elsewhere in Asia & methanol price increases; Lifestyle up 1.0%
to Yen 1,378,000 million, due to major improvement in fertilizer business’s
earnings. The recurring profit was
posted at Yen 45,316 million and the net profit at Yen 15,981 million,
respectively, compared with Yen 13,702 million recurring profit and Yen 8,794
million net profit, respectively, a year ago.
For the current term ending Mar 2012 the recurring profit is projected
at Yen 46,000 million and the net profit at Yen 16,000 million, respectively,
on a 9.1% rise in turnover, to Yen 4,380,000 million. Natural resources will expand with increased
coal & copper concessions. In
automobiles, sales in Russia will pick up and automobile production in South
America will be free of adverse effects of a walkout. The forecast is based on: Yen 80/US Dollar
exchange rate, and crude oil prices at US$90/bbl (Brent)
The financial situation is considered FAIR and good for ORDINARY
business engagements. Max credit limit
is estimated at Yen 53,485.8 million, on 30 days normal terms. The proposed amount is considered well within
the firm’s financial capacities.
REGISTRATION
Date Registered: Dec 1982
Regd No.: (Tokyo-Minatoku) 049977
Legal Status:
Limited Company (Kabushiki Kaisha)
Authorized:
1,349 million shares
Issued: 1,251,091,013 shares
Sum: Yen 160,339 million
Major shareholders
(%):
Japan Trustee Services T (5.6), Master Trust Bank of Japan T (3.0), State
Street Bank & Trust 505225 (1.3), Mellon Bank Mellon Omnibus US P (1.1),
Chase London SL Omnibus Acct (1.0), JUNIPER (0.9), Melon Bank NA Treaty Cl
Omnibus (0.8), Japan Trustee Services T1 (0.7), Japan Trustee Services T3
(0.7); foreign owners (26.3)
No. of
shareholders: 196,901
Listed on the
S/Exchange (s) of: Tokyo, Osaka
Managements: Akio Dobashi,
ch; Masaki Hashikawa, v ch; Yutaka Kase, pres;
Yoji Sato, v pres; Kazunori Teraoka, v pres, Yoshikazu Sashida, dir Toru
Nagashima, dir
Nothing detrimental is known as to the commercial morality of
executives.
OPERATION
Activities: A general
trading house:
(Sales breakdown
by Divisions):
Machinery Division
(26%): Automotive Unit, Environment & Infrastructure Unit, IT Business
Unit, Marine & Aerospace Unit;
Energy &
Metals Division (23%): Energy & Nuclear Unit, Coal & Non-ferrous
Metals Unit, Ferrous Metals & Steel Products Unit;
Chemicals &
Functional Materials Division (14%): Chemicals Unit, Functional Materials Unit;
Lifestyle Business
Division (36%): Foods Resources Unit, General Commodities & Textile Unit, Forest
Products & Real Estate Development Unit;
Others (2%)
Overseas trading
(30.7%): N America 2.7%, Europe 2.6%, Asia/Oceania 19.7%,
other 5.7%.
Clients: [Mfrs,
wholesalers] Kobe Steel, NM Life, First Retailing, Uto Kosan, Zao Severstal,
Varig S.A., Auto-Isuzu PT Indofood Sukses Makmur TBK, MMC Automotriz SA, other
No. of accounts: 2,000
Domestic areas of
activities: Nationwide
Suppliers: [Mfrs,
wholesalers] Hitachi Zosen, Hitachi Ltd, Toyo Rubber, Yamazaki
Nabisco, Sun Building Materials Corp, Sumitomo Metal Mining, Fuji
Electric Systems,
Sojitz Asia, other.
Payment record: Regular
Location:
Business area in Tokyo. Office premises
at the caption address are leased and maintained satisfactorily.
Bank References:
MUFG
(Tokyo)
Mizuho
Corporate 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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4,014,639 |
3,844,418 |
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Cost of Sales |
3,821,914 |
3,666,215 |
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GROSS PROFIT |
192,725 |
178,203 |
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Selling & Adm Costs |
155,205 |
162,074 |
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OPERATING PROFIT |
37,519 |
16,128 |
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Non-Operating P/L |
7,797 |
-2,426 |
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RECURRING PROFIT |
45,316 |
13,702 |
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NET PROFIT |
15,981 |
8,974 |
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BALANCE SHEET |
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Cash |
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415,694 |
455,728 |
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Receivables |
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478,880 |
462,233 |
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Inventory |
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243,210 |
248,629 |
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Securities, Marketable |
5,437 |
6,131 |
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Other Current Assets |
123,408 |
112,556 |
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TOTAL CURRENT ASSETS |
1,266,629 |
1,285,277 |
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Property & Equipment |
215,774 |
222,665 |
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Intangibles |
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132,595 |
114,445 |
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Investments, Other Fixed Assets |
501,962 |
538,531 |
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TOTAL ASSETS |
2,116,960 |
2,160,918 |
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Payables |
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414,984 |
377,468 |
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Short-Term Bank Loans |
247,656 |
256,652 |
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Other Current Liabs |
227,904 |
207,413 |
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TOTAL CURRENT LIABS |
890,544 |
841,533 |
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Debentures |
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82,719 |
123,647 |
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Long-Term Bank Loans |
723,926 |
763,098 |
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Reserve for Retirement Allw |
13,136 |
13,280 |
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Other Debts |
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51,124 |
41,956 |
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TOTAL LIABILITIES |
1,761,449 |
1,783,514 |
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MINORITY INTERESTS |
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Common
stock |
160,339 |
160,339 |
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Additional
paid-in capital |
152,160 |
152,160 |
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Retained
earnings |
159,358 |
146,489 |
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Evaluation
p/l on investments/securities |
12,310 |
14,845 |
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Others |
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(128,487) |
(96,260) |
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Treasury
stock, at cost |
(170) |
(169) |
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TOTAL S/HOLDERS` EQUITY |
355,510 |
377,404 |
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TOTAL EQUITIES |
2,116,960 |
2,160,918 |
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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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67,863 |
107,222 |
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Cash
Flows from Investment Activities |
-19,903 |
28,439 |
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Cash
Flows from Financing Activities |
-72,054 |
-102,597 |
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Cash,
Bank Deposits at the Term End |
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415,261 |
454,262 |
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ANALYTICAL RATIOS Terms ending: |
31/03/2011 |
31/03/2010 |
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Net
Worth (S/Holders' Equity) |
355,510 |
377,404 |
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Current
Ratio (%) |
142.23 |
152.73 |
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Net
Worth Ratio (%) |
16.79 |
17.46 |
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Recurring
Profit Ratio (%) |
1.13 |
0.36 |
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Net
Profit Ratio (%) |
0.40 |
0.23 |
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Return
On Equity (%) |
4.50 |
2.38 |
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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.49.19 |
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UK Pound |
1 |
Rs.75.92 |
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Euro |
1 |
Rs.65.44 |
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 |
---- |
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.