MIRA
INFORM REPORT
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Report Date : |
25.04.2013 |
IDENTIFICATION DETAILS
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Name : |
MITSUBISHI MATERIALS CORPORATION |
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Registered Office : |
1-3-2 Ohtemachi Chiyodaku Tokyo 100-8117 |
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Country : |
Japan |
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Financials (as on) : |
31.03.2012 |
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Date of Incorporation : |
April 1950 |
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Legal Form : |
Limited Company |
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Line of Business : |
Nonferrous metal smelting, mfg of cement, metal processed
products |
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No. of Employees : |
22416 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
Yen 24,124.1 Million |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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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 – June 30th, 2012
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Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
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Japan |
A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
japan ECONOMIC OVERVIEW
In the years following World War II,
government-industry cooperation, a strong work ethic, mastery of high
technology, and a comparatively small defense allocation (1% of GDP) helped
Japan develop a technologically advanced economy. Two notable characteristics
of the post-war economy were the close interlocking structures of
manufacturers, suppliers, and distributors, known as keiretsu, and the
guarantee of lifetime employment for a substantial portion of the urban labor
force. Both features are now eroding under the dual pressures of global
competition and domestic demographic change. Japan's industrial sector is
heavily dependent on imported raw materials and fuels. A small agricultural
sector is highly subsidized and protected, with crop yields among the highest
in the world. While self-sufficient in rice production, Japan imports about 60%
of its food on a caloric basis. For three decades, overall real economic growth
had been spectacular - a 10% average in the 1960s, a 5% average in the 1970s,
and a 4% average in the 1980s. Growth slowed markedly in the 1990s, averaging
just 1.7%, largely because of the after effects of inefficient investment and
an asset price bubble in the late 1980s that required a protracted period of
time for firms to reduce excess debt, capital, and labor. Modest economic
growth continued after 2000, but the economy has fallen into recession three
times since 2008. A sharp downturn in business investment and global demand for
Japan's exports in late 2008 pushed Japan into recession. Government stimulus
spending helped the economy recover in late 2009 and 2010, but the economy
contracted again in 2011 as the massive 9.0 magnitude earthquake and the
ensuing tsunami in March disrupted manufacturing. The economy has largely
recovered in the two years since the disaster, but reconstruction in the Tohoku
region has been uneven. Newly-elected Prime Minister Shinzo ABE has declared
the economy his government's top priority; he has pledged to reconsider his
predecessor's plan to permanently close nuclear power plants and is pursuing an
economic revitalization agenda of fiscal stimulus and regulatory reform and has
said he will press the Bank of Japan to loosen monetary policy. Measured on a
purchasing power parity (PPP) basis that adjusts for price differences, Japan
in 2012 stood as the fourth-largest economy in the world after second-place
China, which surpassed Japan in 2001, and third-place India, which edged out
Japan in 2012. The new government will continue a longstanding debate on
restructuring the economy and reining in Japan's huge government debt, which
exceeds 200% of GDP. Persistent deflation, reliance on exports to drive growth,
and an aging and shrinking population are other major long-term challenges for
the economy.
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Source : CIA |
COMPANY NAME
MITSUBISHI MATERIALS CORPORATION
REGD NAME
Mitsubishi
Material KK
MAIN OFFICE
1-3-2 Ohtemachi
Chiyodaku Tokyo 100-8117 JAPAN
Tel:
03-5252-5201
Fax:
03-5252-5272
*.. The is its Senda Plant
URL: http://www.mmc.co.jp
E-Mail address: (thru the URL)
ACTIVITIES
Nonferrous
metal smelting, mfg of cement, metal processed products, other
BRANCHES
Tokyo,
Osaka, Nagoya, Sapporo, Sendai, other (Tot53)
FACTORIES
Naoshima,
Akita, Sakai, Yokose, Okegawa, Niigata, Gifu, other (Tot21)
CHIEF EXEC
HIROSHI YAO, PRES
Yen
Amount: In million Yen, unless
otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 1,440,847 M
PAYMENTS No Complaints
CAPITAL Yen 119,457 M
TREND UP WORTH Yen 409,074 M
STARTED 1950 EMPLOYES 22,416
COMMENT
NONFERROUS METAL SMELTER
FINANCIAL SITUATION COSIDERED
FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.
MAX
CREDIT LIMIT: YEN 24,124.1 MILLION, 30 DAYS NORMAL TERMS
Unit: In Million Yen
Forecast figures for the 31/03/2013
fiscal term.
HIGHLIGHTS
This subject company was established originally as Mitsubishi Metal Corp, and later, in Sept 1990, changed as captioned when merged with Mitsubishi Mining & Cement. This is the top nonferrous metal smelter. Actively developing copper smelting plant in Indonesia. Engaged in 4 core businesses of cement, copper, processing & electronic materials. Strengthening recycle business. The company acquired 100% stake in cement and ready-mixed concrete firm in California thru its subsidiary. .
FINANCIAL INFORMATION
The sales volume for Mar/2012 fiscal term amounted to Yen 1,440,847 million, an 8% up from Yen 1,333,992 million in the previous term. The recurring profit was posted at Yen 42,495 million and the net profit at Yen 9,565 million, respectively, compared with Yen 56,425 million recurring profit and Yen 14,274 million net profit, respectively, a year ago.
(Apr/Dec/2012 results): Sales Yen 956,898 million (down 12.1%), operating profit Yen 39,684 million (down 9.2%), recurring profit Yen 55,100 million (up 2.0%), net profit Yen 30,591 million (up 15.0%). (% compared with the corresponding period a year ago).
For the term that just ended Mar 2013 the recurring profit was projected at Yen 70,000 million and the net profit at Yen 32,000 million, on a 9.8% fall in turnover, to Yen 1,300,000 million.
Sales of cement grew, but copper smelting and processing for automobiles and electric machinery were slumping below estimates. Final results are yet to be released.
The financial situation is considered FAIR and good for ORDINARY business engagements. Max credit limit is estimated at Yen 24,124.1 million, on 30 days normal terms.
REGISTRATION
Date Registered: Apr
1950
Legal Status:
Limited Company (Kabushiki Kaisha
Authorized: 3,400 million shares
Issued:
1,314,896,351 shares
Sum: Yen 119,457
million
Major shareholders (%): Japan Trustee Services T (7.6), Master Trust Bank of Japan T (5.0), Zenkyoren (2.5), SSBT OD05 Omnibus Acct Treaty (2.4), Meiji Yasuda Life Ins (2.3), Japan Trustee Services T9 (2.0), MUFG (1.8), Nippon Life Ins (1.4), Mitsubishi Heavy Ind (1.4), Mitsubishi Estate (1.3); foreign owners (16.9)
No. of shareholders: 105,549
Listed on the S/Exchange (s) of: Tokyo, Osaka
Managements: Akihiko Ide, ch; Hiroshi Yao, pres; Toshinori Kato, v pres; Akira Takeuchi, mgn dir; Toshimichi Fujio, mgn dir; Masatoshi Hanzawa, mgn dir; Shun’ichi Murai, mgn dir; kio Hamachi, mgn dir; Yukio Okamoto, dir
Nothing detrimental is known as to the commercial morality of executives.
Related companies: Mitsubishi Aluminium, Mitsubishi shindoh, other.
OPERATION
Activities: Manufacturing & smelting: cement (11%), copper (42%), processing (8%), electronic materials (8%), aluminium (10%), others (energy, precious metals, recycling, other) (--25%)
Overseas Sales Ratio (37%)
Clients: [Mfrs, wholesalers] Mitsui & Co, The Mocatta GRO, Mitsubishi Shindoh Co,
Mitsubishi Ube Cement, other
No. of accounts: 800
Domestic areas of activities: Nationwide
Suppliers: [Mfrs, wholesalers] Mitsubishi Corp, Maintenance Techno, Fukuchiyama Heavy Ind, Indonesia Copper Smelting, other
Payment record: No Complaints
Location:
Business area in Tokyo. Office premises
at the caption address are owned and maintained satisfactorily.
Bank References:
MUFG
(H/O)
Mitsubishi
UFJ Trust Bank (H/O)
Relations:
Satisfactory
FINANCES
(In Million Yen)
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FINANCES: (Consolidated
in million yen) |
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Terms Ending: |
31/03/2012 |
31/03/2011 |
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INCOME STATEMENT |
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Annual Sales |
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1,440,847 |
1,333,992 |
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Cost of Sales |
1,239,744 |
1,141,094 |
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GROSS PROFIT |
201,102 |
192,898 |
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Selling & Adm Costs |
138,809 |
135,607 |
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OPERATING PROFIT |
62,293 |
57,290 |
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Non-Operating P/L |
-19,798 |
-865 |
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RECURRING PROFIT |
42,495 |
56,425 |
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NET PROFIT |
9,565 |
14,274 |
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BALANCE SHEET |
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Cash |
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70,923 |
112,930 |
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Receivables |
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223,977 |
221,480 |
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Inventory |
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257,617 |
261,840 |
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Securities, Marketable |
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570 |
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Other Current Assets |
208,816 |
191,651 |
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TOTAL CURRENT ASSETS |
761,333 |
788,471 |
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Property & Equipment |
662,834 |
687,602 |
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Intangibles |
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47,792 |
53,246 |
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Investments, Other Fixed Assets |
279,911 |
308,086 |
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TOTAL ASSETS |
1,751,870 |
1,837,405 |
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Payables |
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115,582 |
136,749 |
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Short-Term Bank Loans |
275,248 |
330,791 |
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Other Current Liabs |
386,423 |
394,674 |
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TOTAL CURRENT LIABS |
777,253 |
862,214 |
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Debentures |
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75,000 |
80,000 |
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Long-Term Bank Loans |
316,629 |
305,974 |
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Reserve for Retirement Allw |
61,809 |
62,478 |
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Other Debts |
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112,104 |
123,870 |
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TOTAL LIABILITIES |
1,342,795 |
1,434,536 |
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MINORITY INTERESTS |
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Common
stock |
119,457 |
119,457 |
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Additional
paid-in capital |
113,566 |
113,570 |
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Retained
earnings |
116,890 |
108,887 |
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Evaluation
p/l on investments/securities |
31,316 |
28,157 |
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Others |
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29,288 |
34,218 |
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Treasury
stock, at cost |
(1,443) |
(1,421) |
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TOTAL S/HOLDERS` EQUITY |
409,074 |
402,868 |
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TOTAL EQUITIES |
1,751,870 |
1,837,405 |
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CONSOLIDATED CASH FLOWS |
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Terms ending: |
31/03/2012 |
31/03/2011 |
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Cash
Flows from Operating Activities |
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91,549 |
115,111 |
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Cash
Flows from Investment Activities |
-48,335 |
-60,273 |
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Cash
Flows from Financing Activities |
-84,159 |
-12,171 |
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Cash,
Bank Deposits at the Term End |
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69,499 |
112,226 |
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ANALYTICAL RATIOS Terms ending: |
31/03/2012 |
31/03/2011 |
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Net
Worth (S/Holders' Equity) |
409,074 |
402,868 |
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Current
Ratio (%) |
97.95 |
91.45 |
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Net
Worth Ratio (%) |
23.35 |
21.93 |
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Recurring
Profit Ratio (%) |
2.95 |
4.23 |
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Net
Profit Ratio (%) |
0.66 |
1.07 |
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Return
On Equity (%) |
2.34 |
3.54 |
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FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.54.30 |
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UK Pound |
1 |
Rs.82.88 |
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Euro |
1 |
Rs.70.80 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NB |
New Business |
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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.