MIRA INFORM REPORT

 

 

Report Date :

27.03.2012

 

IDENTIFICATION DETAILS

 

Name :

SANTOKU CORPORATION

 

 

Registered Office :

4-14-34 Fukaekitamachi Higashinadaku Kobe 658-0013

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

August 1949

 

 

Com. Reg. No.:

1400-01-001609 (Kobe-Higashinadaku)

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Mfg, processing of metals, ferroalloys, chemicals, other

 

 

No. of Employees :

220

 

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 309.2 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 30, 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 and address

 

SANTOKU CORPORATION

REGD NAME:    KK Santoku

MAIN OFFICE:  4-14-34 Fukaekitamachi Higashinadaku Kobe 658-0013 JAPAN

Tel: 078-431-0532     

Fax: 078-431-6522

 

            *.. The given address is its Tokyo Branch Office

                                               

URL:                 http://www.santoku-corp.co.jp

E-Mail address: info@santoku-corp.co.jp

 

 

ACTIVITIES  

 

Mfg, processing of metals, ferroalloys, chemicals, other

 

BRANCHES

 

Tokyo

 

OVERSEAS   

 

China, USA

 

FACTORIES

 

At the caption address, Akashi, Miki (--Hyogo); China

 

 

OFFICERS

 

CHIKARA OKADA, PRES                      Yusuke Inoue, ch

Shusaku Hirata, mgn dir             Jiro Nakanishi, mgn dir

Masanori Nakatsuka, dir                                                

 

Yen Amount:     In million Yen, unless otherwise stated

 

SUMMARY    

 

FINANCES                    FAIR                             A/SALES          Yen 21,634 M

PAYMENTS      NO COMPLAINTS          CAPITAL           Yen 1,500 M

TREND             STEADY                       WORTH            Yen 4,209 M

STARTED                     1949                             EMPLOYES      220

 

 

COMMENT    

 

MFG, PROCESSING OF METALS, FERROALLOYS, CHEMICALS.

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR CREDIT ENGAGEMENTS: US$1,000,000 / O/A 90 DAYS.

                       

MAX CREDIT LIMIT: YEN 309.2 MILLION, 30 DAYS NORMAL TERMS

 

 

HIGHLIGHTS

           

            The subject company was established by Akira Inoue originally in 1937 for mfg ferroalloys, on his account.  Incorporated in 1949 the firm has been succeeded by his descendants.  This is a specialized mfg & processing firm specializing in metals, rare metals, ferroalloys, chemicals, other.  It has four operation divisions: metals, magnets, batteries and chemicals.  Rare earth metals are imported from China centrally.  Clients include metal mfg firms, chemical firms, other.

 

 

FINANCIAL INFORMATION

           

            The sales volume for Mar/2011 fiscal term amounted to Yen 21,634 million, a 78% up from Yen 12,132 million in the previous term.  This is referred to the sharp increase of materials prices, including rare metals.  The operations came back to profitability to post Yen 1,892 million recurring profit and Yen 1,684 million net profit, respectively, compared with Yen 746 million recurring loss and Yen 478 million net losses, respectively, a year ago.

 

            For the current term ending Mar 2012 the recurring profit is projected at Yen 2,050 million and the net profit at Yen 1,800 million, on a 10% rise in turnover, to Yen 23,700 million.  The business is seen expanding steadily. 

 

The financial situation is considered FAIR and good for ORDINARY business engagements.  Max credit limit is estimated at Yen 309.2 million, on 30 days normal terms.  The proposed amount for 90 days terms is considered well within the firm’s financial capacities.

 


REGISTRATION

 

Date Registered:  Aug 1949

Regd No.:         1400-01-001609 (Kobe-Higashinadaku)

Legal Status:      Limited Company (Kabushiki Kaisha)

Authorized:         12 million shares

Issued:                3 million shares

Sum:                   Yen 1,500 million

Major shareholders (%): Biko Chemical Co (49), Sojitz Corp (37), Employees’ S/Holding

Assn (11), Yusuke Inoue (10), SMBC (9)

No. of shareholders: 167

 

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

 

 

OPERATION

           

Activities: Manufactures and processes metals, rare metals, batteries, chemicals, recycling of metals, other (--100%).

 

(Mfg, processing items by divisions):

Metals Div: metals, ferroalloy products, lithium, rare earth products, blocks, wires, powders, lithium foils, other;

Magnets Div: neodymium magnet alloys, samarium-cobalt magnet alloys, other;

Batteries Div: metal hydrate, negative electrode coils, lithium cobalt oxide, other;

Chemicals Div: zirconium compounds, cobalt oxide, magnet powder recycling, other.

 

Clients: [Mfrs, wholesalers] Hitachi Ltd, TDK, Neomax Kinki, Samsung Japan, Hitachi Maxell, Santoku America Inc, Biko Chemical Co, other

No. of accounts: 300

Domestic areas of activities: Nationwide

Suppliers: [Mfrs, wholesalers] Sojitz Corp, Santoku America Inc, Biko Chemical Co, Hanwa Corp, Alconix Corp, Osaka Asahi Co, Samwood Co, other

Imports from China, USA, other

 

Payment record: No Complaints

 

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

           

Bank References:

                        SMBC (Ashiya)

                        Resona Bank (Kobe)

                        Relations: Satisfactory

 

 


FINANCES

(In Million Yen)

 

       Terms Ending:

31/03/2012

31/03/2011

31/03/2010

31/03/2009

Annual Sales

 

23,700

21,634

12,132

15,754

Recur. Profit

 

2,050

1,892

-746

 

Net Profit

 

1,800

1,684

-478

-1,818

Total Assets

 

 

22,523

16,969

17,264

Current Assets

 

 

14,568

9,826

 

Current Liabs

 

 

14,244

8,155

 

Net Worth

 

 

4,209

2,530

3,010

Capital, Paid-Up

 

 

1,500

1,500

1,500

Div.P.Share(₯)

 

 

0.00

0.00

0.00

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

9.55

78.32

-22.99

-1.54

    Current Ratio

 

..

102.27

120.49

..

    N.Worth Ratio

..

18.69

14.91

17.44

    R.Profit/Sales

 

8.65

8.75

-6.15

..

    N.Profit/Sales

7.59

7.78

-3.94

-11.54

    Return On Equity

..

40.01

-18.89

-60.40

 

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

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.51.30

UK Pound

1

Rs.81.36

Euro

1

Rs.67.97

 

 

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.