MIRA INFORM REPORT

 

 

Report Date :

05.07.2012

 

IDENTIFICATION DETAILS

 

Name :

OKADA AIYON CORPORATION

 

 

Registered Office :

4-1-18 Kaigandori Minatoku Osaka 552-0022

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

September 1960

 

 

Com. Reg. No.:

1200-01-028645 (Osaka-Minatoku)

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Manufacturer of construction machinery

 

 

No. of Employees :

158

 

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

 

 

Status :

Satisfactory

Payment Behaviour :

No Complaints

Litigation :

Clear

 

 

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, 2012

 

Country Name

Previous Rating

(31.12.2011)

Current Rating

(31.03.2012)

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

 

OKADA AIYON CORPORATION7

 

 

REGD NAME

 

Okada Aiyon KK

 

 

MAIN OFFICe

 

4-1-18 Kaigandori Minatoku Osaka 552-0022 JAPAN

Tel: 06-6576-1268     Fax: 06-6576-1280     -

 

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

E-Mail address:            (thru the URL)

 

 

ACTIVITIES

 

Mfg of construction machinery

 

 

BRANCHES

 

Sapporo, Sendai, Yokohama, Osaka, Hiroshima, other (Tot 10)

 

 

OVERSEAS

 

USA, India

 

 

FACTORIES

 

(subcontracted-subsidiaries)

 

CHIEF EXEC

 

TOSHIYUKI KANDA, PRES

 

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY    

 

FINANCES        FAIR                 　         A/SALES          Yen 8,266 M

PAYMENTS No Complaints   　CAPITAL        Yen 1,049 M

TREND UP                    　         WORTH            Yen 4,007 M

STARTED         1960                 　         EMPLOYES      158

 

 

COMMENT    

 

MFR OF CONSTRUCTION MACHINERY 

 

FINANCIAL SITUATION COSIDERED FAI AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

 

                        Unit: In Million Yen

Forecast figures for the 31/03/2013 fiscal term.

 

 

HIGHLIGHTS

 

This is a specialized mfr of construction machinery specializing in hydraulic breakers and crushing machines for building demolition.  Also sells purchased mining machines.  Assembles machinery in-house.  Active in business diversification, fostering new products, such as concrete drilling machines and automatically swiveling crushers.  Stressing market development in Asia.  The company contracted potential agencies in the construction machinery exhibition in India.  It intends to launch low-priced breakers in India to vie with South Korean-made products.  It could increase materials and parts made in South Korea to cope with the stronger Yen.

 

FINANCIAL INFORMATION

 

The sales volume for Mar/2012 fiscal term amounted to Yen 8,266 million, a 56% up from Yen 5,294 million in the previous term.  Crushers were in strong demand from post-disaster reconstruction projects.  Sales of environmental equipment for rubble removal were doing extremely well.  The recurring profit was posted at Yen 507 million and the net profit at Yen 415 million, respectively, compared with Yen 28 million recurring profit and Yen 60 million net profit, respectively, a year ago. 

           

For the current term ending Mar 2013 the recurring profit is projected at Yen 320 million and the net profit at Yen 150 million, on a 15% fall in turnover, to Yen 7,000 million.  Sales of construction machinery will fare well in North America.  Those of crushers will stay flat as the capacity reaches the limit at subcontractors.  Operating profit is likely to inch up, aided by shift to procurement from overseas suppliers. 

 

The financial situation is considered FAIR and good for ORDINARY business engagements. 

 

 

REGISTRATION

 

Date Registered:　Sept 1960

Regd No.:         1200-01-028645 (Osaka-Minatoku)

Legal Status:      Limited Company (Kabushiki Kaisha

Authorized:       20 million shares

Issued:                6.2 million

Sum:                   Yen 1,049 million

 

Major shareholders (%): Shin’ichiro Okada (14.2), Japan Trustee Services T (10.3), Katsuhiko Okada (5.9), Yasuura Kankyo Kaihatsu (4.5), SMBC (3.9), MUFG (3.5), Teisaku Co (2.9), Japan Securities Finance (2.5), Tomoe Kayaoka (1.8), Ikezaki Iron Works (1.8); foreign owners (0.0)

 

No. of shareholders: 634

 

Listed on the S/Exchange (s) of: Osaka (Second Section)

 

Managements: Katsuhiko Okada, ch; Toshiyuki Kanda, pres; Yukio Uchida, dir; Shigeru Hirosaki, dir; Takuji Orio, dir; Koji Kakehi, dir

 

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

 

Related companies: Aiyon Tech, Okada America Inc.

 

 

OPERATION

           

Activities: Manufactures construction machinery (71%), environmental equipment (12%), overseas operation (17%).

 

(Mfg items): hydraulic breakers, demolition crushers/shears, pulverizers, cutters, drills & grapples, recycling machines, other

           

Clients: [Mfrs, wholesalers] Okada America Inc, Miyashita Co, Dotekage Construction, Matsumoto Co, Caterpillar West Japan, other

            No. of accounts: 300

            Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Teisaku Corp, Ikezaki Iron Works, Aiyon Tech, Kansai  Kogu Seisakusho, Ohsaka Industries, other

 

Payment record: No Complaints

 

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

 

Bank References:

SMBC (Tenmabashi)

MUFG (Tanimachi)

Relations: Satisfactory

 

 

FINANCES

(In Million Yen)

 

FINANCES: (Consolidated in million yen)

 

　

　

Terms Ending:

31/03/2012

31/03/2011

INCOME STATEMENT

 

 

 

  Annual Sales

　

8,266

5,294

 

  Cost of Sales

5,935

3,723

 

      GROSS PROFIT

2,330

1,570

 

  Selling & Adm Costs

1,828

1,528

 

      OPERATING PROFIT

501

41

 

  Non-Operating P/L

6

-13

 

      RECURRING PROFIT

507

28

　

      NET PROFIT

415

60

BALANCE SHEET

 

 

 

 

  Cash

　

1,776

2,298

 

  Receivables

 

3,290

1,944

 

  Inventory

 

1,881

1,842

 

  Securities, Marketable

　

　

 

  Other Current Assets

　

　

 

      TOTAL CURRENT ASSETS

7,244

6,195

 

  Property & Equipment

2,245

2,235

 

  Intangibles

 

143

149

 

  Investments, Other Fixed Assets

　

　

 

      TOTAL ASSETS

9,675

8,677

 

  Payables

 

1,894

1,137

 

  Short-Term Bank Loans

2,350

2,550

 

　

 

　

　

 

  Other Current Liabs

　

　

 

      TOTAL CURRENT LIABS

5,084

4,194

 

  Debentures

 

　

　

 

  Long-Term Bank Loans

226

336

 

  Reserve for Retirement Allw

261

262

 

  Other Debts

　

　

　

 

      TOTAL LIABILITIES

5,668

4,904

 

      MINORITY INTERESTS

 

 

 

Common stock

1,049

1,049

 

Additional paid-in capital

1,000

1,000

 

Retained earnings

2,249

1,865

 

Evaluation p/l on investments/securities

1

1

 

Others

 

　

　

 

Treasury stock, at cost

(125)

(1)

 

      TOTAL S/HOLDERS` EQUITY

4,007

3,773

　

      TOTAL EQUITIES

9,675

8,677

CONSOLIDATED CASH FLOWS

 

 

 

 

Terms ending:

31/03/2012

31/03/2011

 

Cash Flows from Operating Activities

　

-108

140

 

Cash Flows from Investment Activities

82

95

 

Cash Flows from Financing Activities

-487

141

　

Cash, Bank Deposits at the Term End

　

1,613

2,135

ANALYTICAL RATIOS            Terms ending:

31/03/2012

31/03/2011

 

 

Net Worth (S/Holders' Equity)

4,007

3,773

 

 

Current Ratio (%)

142.49

147.71

 

 

Net Worth Ratio (%)

41.42

43.48

 

 

Recurring Profit Ratio (%)

6.13

0.53

 

 

Net Profit Ratio (%)

5.02

1.13

 

 

Return On Equity (%)

10.36

1.59

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.54.55

UK Pound

1

Rs.85.48

Euro

1

Rs.68.70

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

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.