MIRA INFORM REPORT

 

 

 

Report Date :           

14.10.2011

 

IDENTIFICATION DETAILS

 

Name :

NIHON YAMAMURA GLASS CO., LTD.

 

 

Registered Office :

15-1 Nishi-Mukaishimacho Amagasaki City Hyogo-Pre 660\0023

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

December 1941  

 

 

Com. Reg. No.:

(Hyogo-Amagasaki) 054947

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Manufacturer of glass bottles, plastic containers

 

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 2,652.3 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 – September 30th, 2011

 

Country Name

Previous Rating

                   (30.06.2011)                  

Current Rating

(30.09.2011)

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

 

NIHON YAMAMURA GLASS CO LTD

 

 

REGD NAMe 

 

Nihon Yamamura Garasu KK

 

 

MAIN OFFICE

 

15-1 Nishi-Mukaishimacho Amagasaki City Hyogo-Pre 660\0023 JAPAN

Tel: 06-4300-6000     Fax: 06-4300-6381

 

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

E-Mail address:            (thru the URL)

 

 

ACTIVITIES  

 

Mfg of glass bottles, plastic containers

 

 

BRANCHES   

 

Tokyo, Nagoya, Fukuoka, Osaka, Nishinomiya

 

 

OVERSEAS   

 

Philippines (2), China (2) (--subsidiaries)

 

 

FACTORIES  

 

Tokyo, Kumagaya, Hyogo, Osaka, Utsunomiya, Nishinomiya, other (tot 10)

 

CHIEF EXEC 

 

KOJI YAMAMURA, PRES

 

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY    

 

FINANCES        FAIR                 　A/SALES       Yen 72,600 M

PAYMENTS      REGULAR         　CAPITAL        Yen 14,074 M

TREND             SLOW              　WORTH         Yen 50,894 M

STARTED         1941                 　EMPLOYES   1,897

 

 

COMMENT

 

MFR OF GLASS BOTTLES & PLASTIC CONTAINERS. 

 

FINANCIAL SITUATION COSIDERED FAIR AND GOOD FOR  ORDINARY BUSINESS ENGAGEMENTS.

                       

MAX CREDIT LIMIT: YEN 2,652.3 MILLION, 30 DAYS NORMAL TERMS

 

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

 

 

HIGHLIGHTS

 

This is the largest comprehensive mfr of glass bottles.  Started out in 1914 as individual entity making hand-blown glass bottles centrally for sake wine.  Business expanded into plastic container in early 1960s.  Fostering PET resin containers.  Co-developed non-lead glass for LEDs with US Du Pont, and evaluations of samples now in practices.  Switching fuel in glass bottle business to low-priced LNG.  The firm has employed the first foreign college graduates for the administrative division.  It has started compulsory learning of English language targeting employees up to middle management, in a hope to strengthen M&A and entry into the overseas markets.  Currently overseas sales ratio is below 10% of the total sales.

           

 

FINANCIAL INFORMATION

 

The sales volume for Mar/2011 fiscal term amounted to Yen 72,600 million, a 0.5% down from Yen 72,784 million in the previous term.  Sales of bottle caps grew, thanks to demand rush following the Great North East Earthquake.  Sales volume of powdered glass for plasma TVs inched up.  By divisions, Glass & Bottles down 3.6% to Yen 36,811 million; Plastic Containers down 2.0% to Yen 11,981 million, as Utsunomiya plant was damaged by the earthquake; Warehousing & Distribution up 0.9% to Yen 10,528 million; New Glass-related up 65.1% to Yen 5,298 million, benefited by the newly subsidized Yamamura Photonix Co.  The recurring profit was posted at Yen 3,063 million and the net profit at Yen 1,887 million, respectively, compared with Yen 3,773 million recurring profit and Yen 2,604 million net profit, respectively, a year ago.  Operating profits dropped, weighed down by steep fall in product prices, flagging demand for glass bottles due to fading boom of Chinese chile oil and rising crude oil prices.  Extraordinary loss of Yen 511 million related to the earthquake emerged.

 

(Apr/Jun 2011 results): Sales Yen 19,022 million (up 1.0%), operating profit Yen 1,158 million (up 24.9%), recurring profit Yen 1,298 million (up 23.6%), net profit Yen 792 million (up 25.8%).  (% compared with the corresponding period a year ago).

           

For the current term ending Mar 2012 the recurring profit is projected at Yen 2,800 million and the net profit at Yen 1,600 million, respectively, on a 3.3% rise in turnover, to Yen 75,000 million.  Newly consolidated subsidiary will contribute to full-term earnings.  Sales of mainstay glass bottles will slacken.  The company failed to boost sales of PET bottles during rush of special demand for mineral water due to earthquake damages at the PET bottle cap plant. 

 

The financial situation is considered FAIR and good for ORDINARY business engagements.  Max credit limit is estimated at Yen 2,598.7 million, on 30 days normal terms.

 

 

REGISTRATION

           

Date Registered:　Dec 1941

Regd No.:         (Hyogo-Amagasaki) 054947

Legal Status:      Limited Company (Kabushiki Kaisha)

Authorized:         300 million shares

Issued:                111,452,494 shares

Sum:                   Yen 14,074 million

 

Major shareholders (%): Company’s Treasury Stock (5.7), SMBC (3.8), MUFG (3.7), MUFG Trust (3.7), Japan Trustee Services T (3.5), Asahi Glass (3.4), Trustee Bank of Japan T (3.3), Nippon Life Ins (3.1), Customers’ S/Holding Assn (2.8), Koji Yamamura (2.6); foreign owners (12.9)

           

No. of shareholders: 8,729

 

Listed on the S/Exchange (s) of: Tokyo, Osaka

 

Managements: Koji Yamamura, pres; Yoshinori Taniguchi, s/mgn dir; Tatsuya Metori, dir; Yuki Uetaka, dir; Yoshio Inoue, dir

 

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

 

Related companies: Yamamura Warehouse Co, Seisho Co, Yamamura Glass Works, other

           

 

OPERATION

           

Activities: Manufactures glass bottles & containers:

 

(Sales breakdown by Divisions):

 

Glass & Bottles Division (51%): ecology bottles, micro-coated bottles, self adhesive labels, other;

 

Plastic Containers Division (17%): TEN glasses, PET bottles, other;

 

Warehousing & Distribution Division (14%): I S Machines, inspection machines;

 

New-Glass Related Division (7%): new glass, research center, other

 

Others (11%)

 

Clients: [Mfrs, wholesalers] Suntory Business Expert, Coca-Cola Business Service, Toray Ind, Nestle Mfg, Toray Ind, Otsuka Holdings, Yamato Materials, Ajinomoto General Foods, Mizkan-Sammi Corp, Daisho Glass Co, Kobayashi Corp, other

 

            No. of accounts: 1,000

            Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Mitsui & Co, Coca-Cola Business Service, Mitsui Bussan Plastic Trade Co, National Beverage, Unitika Ltd, Fuso Seiko, Teijin Kasei, Nihon Sekiyu Hambai, Hanwa Corp, other.

 

Payment record: Regular

 

Location: Business area in Amagasaki City, Hyogo-Pref.  Office premises at the caption address are owned and maintained satisfactorily.

 

Bank References:

·         SMBC (Nishinomiya)

·         MUFG (Kobe)

      Relations: Satisfactory

FINANCES

(In Million Yen)

 

FINANCES: (Consolidated in million yen)

 

　

　

Terms Ending:

31/03/2011

31/03/2010

INCOME STATEMENT

 

 

 

  Annual Sales

　

72,600

72,784

 

  Cost of Sales

58,039

57,888

 

      GROSS PROFIT

14,561

14,896

 

  Selling & Adm Costs

11,893

11,574

 

      OPERATING PROFIT

2,667

3,322

 

  Non-Operating P/L

396

451

 

      RECURRING PROFIT

3,063

3,773

　

      NET PROFIT

1,887

2,604

BALANCE SHEET

 

 

 

 

  Cash

　

12,106

12,651

 

  Receivables

 

19,189

19,182

 

  Inventory

 

8,169

7,753

 

  Securities, Marketable

　

　

 

  Other Current Assets

1,645

1,105

 

      TOTAL CURRENT ASSETS

41,109

40,691

 

  Property & Equipment

32,239

32,555

 

  Intangibles

 

430

377

 

  Investments, Other Fixed Assets

20,944

22,884

 

      TOTAL ASSETS

94,722

96,507

 

  Payables

 

7,209

7,560

 

  Short-Term Bank Loans

5,053

5,726

 

　

 

　

　

 

  Other Current Liabs

5,248

6,011

 

      TOTAL CURRENT LIABS

17,510

19,297

 

  Debentures

 

1,000

　

 

  Long-Term Bank Loans

17,380

17,680

 

  Reserve for Retirement Allw

3,549

3,264

 

  Other Debts

　

4,388

4,676

 

      TOTAL LIABILITIES

43,827

44,917

 

      MINORITY INTERESTS

 

 

 

Common stock

14,074

14,074

 

Additional paid-in capital

17,300

17,300

 

Retained earnings

25,665

25,216

 

Evaluation p/l on investments/securities

(28)

218

 

Others

 

(4,899)

(4,006)

 

Treasury stock, at cost

(1,218)

(1,213)

 

      TOTAL S/HOLDERS` EQUITY

50,894

51,589

　

      TOTAL EQUITIES

94,722

96,507

CONSOLIDATED CASH FLOWS

 

 

 

 

Terms ending:

31/03/2011

31/03/2010

 

Cash Flows from Operating Activities

　

4,696

10,024

 

Cash Flows from Investment Activities

-3,372

-3,748

 

Cash Flows from Financing Activities

-1,864

-1,835

　

Cash, Bank Deposits at the Term End

　

12,108

12,651

ANALYTICAL RATIOS            Terms ending:

31/03/2011

31/03/2010

 

 

Net Worth (S/Holders' Equity)

50,894

51,589

 

 

Current Ratio (%)

234.77

210.87

 

 

Net Worth Ratio (%)

53.73

53.46

 

 

Recurring Profit Ratio (%)

4.22

5.18

 

 

Net Profit Ratio (%)

2.60

3.58

 

 

Return On Equity (%)

3.71

5.05

 

           


FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.49.02

UK Pound

1

Rs.77.13

Euro

1

Rs.67.56

 

 

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.