MIRA INFORM REPORT

 

 

Report Date :           

27.02.2012

 

IDENTIFICATION DETAILS

 

Name :

MITSUMI ELECTRIC CO LTD

 

 

Registered Office :

2-11-2 Tsurumaki Tama Tokyo-Metrop 206-8567

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

April, 1949

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Manufacturer of electric parts & components

 

 

No. of Employees :

44516

 

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 10,919.2 Million

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

No Complaints

 

 

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

 

MITSUMI ELECTRIC CO LTD

 

 

REGD NAME

 

Mitsumi Denki KK

 

 

MAIN OFFICE

 

2-11-2 Tsurumaki Tama Tokyo-Metrop 206-8567 JAPAN

Tel: 042-310-5333     Fax: 042-310-5168

 

* The given address is Atsugi Operation Base at: 1601 Sakai Atsugi Kanagawa

 

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

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

 

 

ACTIVITIES  

 

Mfg of electric parts & components

 

 

BRANCHES

 

Osaka, Yamagata, Akita, Chitose, Mito, Fukuoka; Hong Kong, Taiwan, Singapore, Thailand, USA (2), Germany, France, UK, Seoul, Malaysia, China (5), other.

 

 

FACTORIES

 

At the caption address, Atsugi; China (4), Taiwan (3), Malaysia (2), Singapore, Philippines, Thailand (2)

 

 

CHIEF EXEC

 

SHIGERU MORIBE, PRES & CEO

 

Yen Amount:     In million Yen, unless otherwise stated

 

SUMMARY    

 

FINANCES                    FAIR                             A/SALES          Yen 187,418 M

PAYMENTS                  No Complaints          CAPITAL           Yen 39,890 M

TREND             SLOW                          WORTH                        Yen 139,659 M

STARTED                     1949                             EMPLOYES      44,516

 

 

COMMENT    

 

MFR SPECIALIZING IN ELECTRIC PARTS & COMPONENTS.

 

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

 

MAX CREDIT LIMIT: YEN 10,919.2 MILLION, 30 DAYS NORMAL TERMS.

 

 

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

 

 

HIGHLIGHTS

 

This is a comprehensive electronic parts mfr with mechanical parts & computer equipment as mainline items.  Has many in-house developed products.  Aggressive in overseas production and sales.  Fostering OEM business including product development & design.  Overseas trading ratio accounts for about 41% with majority being focused in Asian region.  Handling items are: telecom equipment, semiconductor devices, magnetic & optical devices, mechanical parts, high-frequency parts, power source parts, others (see OPERATION for details). The company installed additional production lines at actuator mfg plant in Sebu in the Philippines, in reaction to rise in labor costs in China.  It will decrease capital investment in the March 2012 term from the initial plan due to slumping sales of game machine-use products.   Clients are major electronics devices mfrs and wholesalers nationwide.

 

Overseas sales offices: Mitsumi Electric Co Ltd (China), Mitsumi Electronics Corp (USA), Mitsumi Electronics Europe GmbH (Germany), Taipei Mitsumi Co (Taipei), Mitsumi Philippines Inc (Manila), Mitsumi (Thailand) Co Ltd (Bangkok), Mitsumi Technology SDN BHD (Penang Office), Korea Mitsumi Co Ltd (Seoul), other.

 

 

FINANCIAL INFORMATION

 

The sales volume for Mar/2011 fiscal term amounted to Yen 187,418 million, a 9.7% down from Yen 207,536 million in the previous term.  Sales to game centers declined, due to sluggish consume spending.  High Yen ate into earnings & profits in Yen terms.  By Divisions, Semiconductor Div up 21.6% to Yen 34,941 million, as demand increased for handy phones such as smartphones, etc; Optical Devices up 17.7% to Yen 13,759 million, as demand for camera module for handy phones rose; Mechanical Parts down 14.0% to Yen 83,523 million, as sales of game consoles were poor; High-Frequency parts down 14.2% to Yen 30,973 million; Power Source Parts down 29% to Yen 19,407 million; Telecom Equipment down 26.5% to Yen 4,808 million..  The operations plunged into the red to register Yen 6,387 million recurring loss and Yen 3,541 million net losses, respectively, compared with Yen 8,295 million recurring profit and Yen 5,901 million net profit, respectively, a year ago. Incurred Yen 186 million extraordinary losses coming from the Great North Japan earthquake disaster.

 

(Apr/Dec/2011 results): Sales 131,621 million (down 7.1%), operating loss Yen 5,599 million (previously Yen 3,927 million loss), recurring loss Yen 6,159 million (previously Yen 5,013 million loss), net loss Yen 21,707 million (previously Yen 3,064 million loss).  (% & figures compared with the corresponding period a year ago)

 

For the current term ending Mar 2012 the operations are projected to continue in the deficit to post Yen 10,000 million recurring loss and Yen 31,500 million net losses, respectively, on a 10.9% fall in turnover, to Yen 167,000 million.  Sales of mechanical parts are decelerating, affected by slumping sales of game consoles at customers.  Operating account deficit will remain, hit by sharp drop in unit prices and the negative impact of the stronger Yen.  Net account deficit is likely to enlarge without the positive tax effect. 

           

The financial situation is considered maintained FAIR and good for ORDINARY business engagements.  Max credit limit is estimated at Yen 10,919.2 million, on 30 days normal terms.

 

 

REGISTRATION

 

Date Registered:  Apr 1949

Legal Status:      Limited Company (Kabushiki Kaisha)

Authorized:         200 million shares

Issued:                87,498,119 shares

Sum:                   Yen 39,890 million

 

Major shareholders (%): Japan Trustee Services T (14.0), Master Trust Bank of Japan, T (9.5), Japan Trustee Services T9 (4.6), Trust & Custody Services Inv T (3.2), Masako Moribe (2.8), JP Morgan Securities Japan (2.7), Nomura Trust, Trust Acct (1.9), Chase Manhattan GTS Escrow (1.7), Mitsubishi UFJ Morgan Stanley Sec (1.2), Itsuo Moribe (1.2): foreign owners (20.2)

 

No. of shareholders: 24,810

 

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

 

Managements: Itsuo Moribe, ch; Shigeru Moribe, pres & CEO; Kazuie Hirose, s/mgn dir; Shoro Watanabe, s/mgn dir; Yasuo Hirose, s/mgn dir; Kazuo Osawa, mgn dir; Fumio Hoki, dir; Toshikazu Nagaoka, dir; Megumi Yamada, dir; Fujio Furukawa, dir

 

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

 

Related companies: Kyushu Mitsumi, Cebu Mitsumi Ind, other

 

 

OPERATION

 

Activities: Manufactures electronic parts & components:

 

(Sales Breakdown by Divisions):

 

Information/telecommunications equipment Div (3%): FD, DDS, DVD, CD-ROM drivers, keyboard switches, mouse, other PC peripherals, other;

 

Semiconductor devices Div (19%): power supply IC’s, LED driver IC’s, battery IC’s, operating amplifier, headphone stereo IC’s, video IC’s, reset IC’s, packages, others;

 

Magnetic & optical devices Div (7%): magnetic heads for audio, optical pick-ups, camera module for mobile phones, terminal media converter, V groove boards, others;

 

Mechanical parts Div (45%): switches, coils, motors, remote controllers, connectors for versatile electronic equipment, controllers for game software, others;

 

High-frequency parts Div (17%): terrestrial tuners, BS digital RF units, AM/FM electronic tuners, RF modulators, radio tuners, others;

 

Power source parts Div (10%): switching power supplies, AC adaptors, car adaptors, chargers, switching regulators, others.

 

Exports (41.3%): Asia 38.5%; Europe 2.4%; N America 0.4%.

 

Clients: [Mfrs, wholesalers] Exports to Mitsumi Electronics Corp (USA), Mitsumi Electronics Europe GmbH (Germany), Mitsumi UK Ltd, other. 

Domestically, Sony EMCS, Green Electronics, Nintendo Co, Sanyo GS Soft Energy, Sony Corp, Toshiba Corp, Maspro Denkoh Corp, other.

            No. of accounts: 1,000

            Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Kyushu Mitsumi, Taihei Electronics, OS Electronics, other.  Also imports from Mitsumi Electronics Corp (USA), Mitsumi Electronics Co (China), Taiwan Mitsumi, and other overseas subsidiary mfrs.

 

Payment record: No Complaints

 

Location: Light industrial area in Tama City, Tokyo-Metrop.  Office premises at the caption address are owned and maintained satisfactorily.

 

Bank References:

SMBC (H/O)

Mizuho Corporate Bank (Shinjuku)

Relations: Satisfactory

 

 

FINANCES

(In Million Yen)

 

FINANCES: (Consolidated in million yen)

 

　

　

Terms Ending:

31/03/2011

31/03/2010

INCOME STATEMENT

 

 

 

  Annual Sales

　

187,418

207,536

 

  Cost of Sales

179,976

183,847

 

      GROSS PROFIT

7,441

23,688

 

  Selling & Adm Costs

12,461

14,271

 

      OPERATING PROFIT

-5,020

9,416

 

  Non-Operating P/L

-1,367

-1,121

 

      RECURRING PROFIT

-6,387

8,295

　

      NET PROFIT

-3,541

5,901

BALANCE SHEET

 

 

 

 

  Cash

　

45,115

57,247

 

  Receivables

 

63,624

69,579

 

  Inventory

 

30,305

24,500

 

  Securities, Marketable

　

　

 

  Other Current Assets

4,756

4,828

 

      TOTAL CURRENT ASSETS

143,800

156,154

 

  Property & Equipment

39,814

39,291

 

  Intangibles

 

1,883

2,089

 

  Investments, Other Fixed Assets

6,330

5,036

 

      TOTAL ASSETS

191,827

202,570

 

  Payables

 

36,113

34,714

 

  Short-Term Bank Loans

5,072

5,675

 

　

 

　

　

 

  Other Current Liabs

9,058

9,846

 

      TOTAL CURRENT LIABS

50,243

50,235

 

  Debentures

 

　

　

 

  Long-Term Bank Loans

　

　

 

  Reserve for Retirement Allw

607

623

 

  Other Debts

　

1,317

3,094

 

      TOTAL LIABILITIES

52,167

53,952

 

      MINORITY INTERESTS

 

 

 

Common stock

39,890

39,890

 

Additional paid-in capital

43,252

43,252

 

Retained earnings

72,162

78,745

 

Evaluation p/l on investments/securities

6

10

 

Others

 

(15,561)

(13,192)

 

Treasury stock, at cost

(90)

(88)

 

      TOTAL S/HOLDERS` EQUITY

139,659

148,617

　

      TOTAL EQUITIES

191,827

202,570

CONSOLIDATED CASH FLOWS

 

 

 

 

Terms ending:

31/03/2011

31/03/2010

 

Cash Flows from Operating Activities

　

5,457

30,839

 

Cash Flows from Investment Activities

-13,963

-9,065

 

Cash Flows from Financing Activities

-3,062

-4,310

　

Cash, Bank Deposits at the Term End

　

43,417

55,869

ANALYTICAL RATIOS            Terms ending:

31/03/2011

31/03/2010

 

 

Net Worth (S/Holders' Equity)

139,659

148,617

 

 

Current Ratio (%)

286.21

310.85

 

 

Net Worth Ratio (%)

72.80

73.37

 

 

Recurring Profit Ratio (%)

-3.41

4.00

 

 

Net Profit Ratio (%)

-1.89

2.84

 

 

Return On Equity (%)

-2.54

3.97

 

 

           


FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.49.07

UK Pound

1

Rs.77.19

Euro

1

Rs.65.57

 

 

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.