MIRA
INFORM REPORT
|
Report Date : |
11.05.2012 |
IDENTIFICATION DETAILS
|
Name : |
MITSUI & CO LTD |
|
|
|
|
Registered Office : |
Mitsui Bussan Bldg, 1-2-1 Ohtemachi Chiyodaku |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.03.2011 |
|
|
|
|
Date of Incorporation : |
July 1947 |
|
|
|
|
Com. Reg. No.: |
(Tokyo-Chiyodaku) 008767 |
|
|
|
|
Legal Form : |
Limited Company |
|
|
|
|
Line of Business : |
Wholesale, import, export: iron & steel, metals, machinery, chemicals, foodstuffs, textiles, crude oil, fuels, electronics, etc |
|
|
|
|
No. of Employees : |
40,026 |
RATING & COMMENTS
|
MIRA’s Rating : |
A |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Status : |
Good |
|
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 – 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 and address
MITSUI & CO LTD
REGD NAME: Mitsui
Bussan KK
MAIN OFFICE: Mitsui Bussan
Bldg, 1-2-1 Ohtemachi Chiyodaku
Tel:
03-3285-1111 Fax: 03-3285-9800
E-Mail address: (through the URL to each division)
ACTIVITIES
Wholesale, import, export: iron & steel, metals, machinery, chemicals, foodstuffs, textiles, crude oil, fuels, electronics, etc
BRANCHES
155 offices in 67
countries: Domestic (12); Overseas (143)
CHIEF EXEC
MASAMI IIJIMA,
PRES & CEO
Yen Amount: In million Yen, unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 9,942,472 M
PAYMENTS REGULAR CAPITAL Yen
341,482 M
TREND SLOW WORTH Yen 2,553,334 M
STARTED 1947 EMPLOYES 40,026
COMMENT
JAPAN’S LEADING GENERAL TRADING HOUSE, NUCLEUS OF THE MITSUI GROUP.
FINANCIAL SITUATION CONSIDERED FAIR AND GOOD
FOR ORDINARYBUSINESS ENGAGEMENTS.
Forecast (or estimated) figures for 31/03/2012 fiscal term
HIGHLIGHTS
The subject company is an offshoot of
Japan’s wealthiest merchant house of Edo era founded in 1600. Now ranked one of the largest general trading
houses of Japan vying with Mitsubishi Corp for top position. Ranked 2nd in foodstuffs trade
next to Mitsubishi Corp but 1st in chemicals. Nucleus firm of the Mitsui group. Handling items vary from metals &
minerals, machinery, electronics & information, to chemicals,
petrochemicals, plastics, foods, etc.
Traditionally strong in field of heavy industries. Active in overseas business expansion such as
oil/gas development in Russia and construction of large thermal power plant in
Thailand. Strengthening partnership
strategy with US Douglas, Unisys and other big firms. Stressing on natural resources, including
LNG, and telecommunications sectors. The
company paid Yen 88.6 billion out-of-court settlement reached with BP,
regarding the oil spill incident in the Gulf of Mexico recorded for the year
ended Mar 31/2011. BP is to pay in full
any further compensation that may emerge but there is little risk of losses. The company plans to establish a specialty steel
mfg company in collaboration with the Mahindra Group, India’s leading financial
group, and will continue to seek collaborative business. It intends to establish a JV with a Canadian
bio firm and plans production of chemicals derived from biomass.
FINANCIAL INFORMATION
The sales volume for Mar/2011 fiscal term amounted to Yen 9,942,472 million, a 6.2% up from Yen 9,358,379 million in the previous term. The global economy maintained a moderate rate of recovery on the whole. In the advanced economies, demand has been effectively recovered and led to moderate growth. The emerging economies maintained a high rate of growth due to recovery of exports and strong domestic demand. Sales increased in such segments as: Mineral & Metal Resources Segment, reflecting higher iron ore prices; Energy Segment, reelecting higher oil prices & volume, in addition to oil & gas production businesses; Iron & Steel Products Segment, Chemical Segment, and Foods & Retail Segment, primarily attributable to an increase in steel products export business for emerging countries, reflecting the recovery in prices and markets, and due to an increase in sales volume of grains, respectively. The recurring profit was posted at Yen 272,697 million and the net profit at Yen 306,659 million, respectively, compared with Yen 126,040 million recurring profit and Yen 149,719 million net profit, respectively, a year ago.
(Apr/Dec/2011 results): Sales Yen 7,839,096 million (up 6.4%), operating profit Yen 289,362 million (up 16.4%), recurring profit Yen 337,465 million (up 20.6%), net profit Yen 346,248 million (up 23.4%). (% compared with the corresponding period a year ago). Surging emerging-market demand for iron ore, crude oil and other resources lifted international commodities prices, buoying the trading houses’ return from natural resources concessions and other related investments. Mitsui’s net profit shot up 23% to a record high. Metal resources and energy operations soared 35% to Yen 294.8 billion on a net basis, reflecting such factors as a nearly 30% jump in iron ore prices.
For the current
term ending Mar 2012 the recurring profit is projected at Yen 380,000 million
and the net profit at Yen 430,000 million, respectively, on a 15.72% rise in
turnover, to Yen 11,500,000 million.
Metal resources segment has enjoyed a good performance until fall 2011
with historical record-high prices on iron ore.
Energy business is at a high level.
Machinery, projects and chemical products are all robust. The loss on the oil spill will
disappear. Net profit will hit a new
high.
The financial situation is considered FAIR and good for ORDINARY
business engagements.
REGISTRATION
Date Registered:
Jul 1947
Regd No.:
(Tokyo-Chiyodaku) 008767
Legal Status: Limited Company (Kabushiki Kaisha)
Authorized: 2,500 million shares
Issued: 1,829,153,527 shares
Sum: Yen 341,482 million
Major
shareholders (%): Master Trust Bank of Japan, T (9.0), Japan Trustee Services Bank T
(6.8), SMBC (2.1), SSBT OD05 Omnibus Acct Treaty Cl. (2.0), Nippon Life Ins
(1.9), Japan Trustee Services T9 (1.6), State Street Bank & Trust (1.6),
Chuo Mitsui Trust Bank (1.3), Mitsui Sumitomo Ins (1.3), NTRE Government of
Singapore Inv (1.2); foreign owners (35.6)
No. of shareholders: 169,819
Listed on the S/Exchange (s) of: Tokyo, Osaka,
Nagoya, NASDAQ
Managements: Shoei Utsuda,
ch; Masami Iijima, pres; Seiichi Tanaka, v pres; Takao Omae, v pres; Masayuki
Komai, v pres; Fuminobu Kawashima, s/mgn dir; Daisuke Saiga, mgn dir; Joji
Okada, mgn dir; Masayuki Kinoshita, mgn dir
Nothing
detrimental is known as to the commercial morality of executives.
Related
companies: Mitsui & Co (USA), Mitsui Foods, Telepark Corp, other
OPERATION
Activities: A general trading
house for import, export and wholesale of:
(Sales
breakdown by divisions):
Metals
(11%): iron ore, steel materials, ferroalloys, coal, coke, nonferrous metals,
precious metals, electric wires, other;
Machinery
& Information (6%): industrial machinery,
automobiles, electronics & information equipment, office machines, other;
Chemicals (18%): organic & inorganic
chemicals, petrochemicals, fine chemicals, fertilizers, other;
Energy (30%): crude oil, LNG, LPG, fuels,
other petroleum products, other,
Lifestyle
(12%): clothing, upholstery, fabrics, textile raw materials, other;
Steel
Products (3%); steel slabs, billets, hot-rolled sheets, coated sheets, tin plates,
electrical sheets, pipes, wire rods, automotive steel, stainless steel, other;
Others
(20%): lumber, flooring, other construction materials, sporting goods,
cereals, alcoholic beverages, other foodstuffs).
Overseas
sales ratio (44.1%): N America 9.9%; Europe 6.3%; Asia 19.4%; Oceania
0.6%, other region 7.9%.
Clients: [Steel mills,
mfrs, wholesalers] Nippon Steel, Toray Ind, Tokyo Electric Power, Mitsui Foods, Mitsui Oil & Gas,
Mitsui Chemical, Toyota Canada Inc, other.
No. of accounts:
3,000 – 5,000
Domestic areas of
activities: Nationwide
Suppliers: [Mfrs,
wholesalers] Nippon Steel, Toshiba Corp, Toyota Motor, Fuji Heavy Ind, Mitsui Chemical, Abu Dhabi Gas
Liquefaction, other.
Payment record: Regular
Location: Business area in
Tokyo. Office premises at the caption
address are owned and maintained satisfactorily.
Bank References:
SMBC (H/O)
Mizuho Corporate
Bank (H/O)
Relations:
Satisfactory
FINANCES
(In Million Yen)
|
FINANCES: (Consolidated
in million yen) |
|
|||||
|
|
|
Terms Ending: |
31/03/2011 |
31/03/2010 |
||
|
INCOME STATEMENT |
|
|
||||
|
|
Annual Sales |
|
9,942,472 |
9,358,379 |
||
|
|
Cost of Sales |
3,820,220 |
3,394,484 |
|||
|
|
GROSS PROFIT |
6,122,252 |
5,963,895 |
|||
|
|
Selling & Adm Costs |
5,805,249 |
5,819,382 |
|||
|
|
OPERATING PROFIT |
317,003 |
144,513 |
|||
|
|
Non-Operating P/L |
-44,306 |
-18,473 |
|||
|
|
RECURRING PROFIT |
272,697 |
126,040 |
|||
|
|
NET PROFIT |
306,659 |
149,719 |
|||
|
BALANCE SHEET |
|
|
|
|||
|
|
Cash |
|
1,441,059 |
1,402,399 |
||
|
|
Receivables |
|
1,463,601 |
1,382,259 |
||
|
|
Inventory |
|
467,355 |
504,547 |
||
|
|
Securities, Marketable |
5,602 |
4,361 |
|||
|
|
Other Current Assets |
940,025 |
967,524 |
|||
|
|
TOTAL CURRENT ASSETS |
4,317,642 |
4,261,090 |
|||
|
|
Property & Equipment |
1,030,748 |
978,560 |
|||
|
|
Intangibles |
|
87,525 |
84,741 |
||
|
|
Investments, Other Fixed Assets |
3,162,209 |
3,044,593 |
|||
|
|
TOTAL ASSETS |
8,598,124 |
8,368,984 |
|||
|
|
Payables |
|
1,316,772 |
1,307,980 |
||
|
|
Short-Term Bank Loans |
250,062 |
241,380 |
|||
|
|
|
|
|
|
||
|
|
Other Current Liabs |
976,115 |
831,407 |
|||
|
|
TOTAL CURRENT LIABS |
2,542,949 |
2,380,767 |
|||
|
|
Debentures |
|
|
|
||
|
|
Long-Term Bank Loans |
2,818,529 |
2,909,794 |
|||
|
|
Reserve for Retirement Allw |
37,054 |
33,927 |
|||
|
|
Other Debts |
|
614,690 |
646,258 |
||
|
|
TOTAL LIABILITIES |
6,313,222 |
5,970,746 |
|||
|
|
MINORITY INTERESTS |
|
|
|||
|
|
Common
stock |
341,482 |
341,482 |
|||
|
|
Additional
paid-in capital |
430,152 |
428,848 |
|||
|
|
Retained
earnings |
1,922,034 |
1,671,945 |
|||
|
|
Evaluation
p/l on investments/securities |
96,657 |
123,891 |
|||
|
|
Others |
|
(230,650) |
(130,891) |
||
|
|
Treasury
stock, at cost |
(6,341) |
(6,321) |
|||
|
|
TOTAL S/HOLDERS` EQUITY |
2,553,334 |
2,429,806 |
|||
|
|
TOTAL EQUITIES |
8,598,124 |
8,368,984 |
|||
|
CONSOLIDATED CASH FLOWS |
|
|
||||
|
|
|
Terms ending: |
31/03/2011 |
31/03/2010 |
||
|
|
Cash
Flows from Operating Activities |
|
504,474 |
632,360 |
||
|
|
Cash
Flows from Investment Activities |
-484,021 |
-180,093 |
|||
|
|
Cash
Flows from Financing Activities |
33,820 |
-214,445 |
|||
|
|
Cash,
Bank Deposits at the Term End |
|
1,441,059 |
1,401,399 |
||
|
ANALYTICAL RATIOS Terms ending: |
31/03/2011 |
31/03/2010 |
||||
|
|
|
Net
Worth (S/Holders' Equity) |
2,553,334 |
2,429,806 |
||
|
|
|
Current
Ratio (%) |
169.79 |
178.98 |
||
|
|
|
Net
Worth Ratio (%) |
29.70 |
29.03 |
||
|
|
|
Recurring
Profit Ratio (%) |
2.74 |
1.35 |
||
|
|
|
Net
Profit Ratio (%) |
3.08 |
1.60 |
||
|
|
|
Return
On Equity (%) |
12.01 |
6.16 |
||
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.53.34 |
|
UK Pound |
1 |
Rs.86.11 |
|
Euro |
1 |
Rs.69.07 |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.