MIRA INFORM REPORT

 

 

Report Date :

20.12.2013

 

IDENTIFICATION DETAILS

 

Name :

HITACHI METALS ADMET LTD

 

 

Registered Office :

RBM Higashi Yaesu Bldg, 2-9-1 Hatchobori Chuoku Tokyo 104-0032

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

August 1949

 

 

Com. Reg. No.:

0100-01-054795

 

 

Legal Form :

Limited Company (Kabushiki Kaisha)

 

 

Line of Business :

Import, export, wholesale of electronics materials, industrial equipment

 

 

No. of Employees :

198

 

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 :

Regular

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, 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

Japan

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

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

Source : CIA


Company name and address

 

HITACHI METALS ADMET LTD

 

REGD NAME:   Hitachi Kinzoku Admet KK

MAIN OFFICE:  RBM Higashi Yaesu Bldg, 2-9-1 Hatchobori Chuoku Tokyo 104-0032 JAPAN

Tel: 03-3555-5311      Fax: 03-3555-5243

 

URL:                 www.hitachi-m-admit.com

E-Mail address: (thru the URL)

 

 

ACTIVITIES  

 

Import, export, wholesale of electronics materials, industrial equipment, other

 

 

BRANCHES   

 

Sendai, Atsugi, Osaka, Nagoya, Fukuoka, Ibaraki (Tot 8)

 

 

OVERSEAS   

 

Taiwan

 

 

FACTORIES  

 

(Group firms)

 

 

OFFICERS

 

TAKESHI ICHIHASHI, PRES       Keiji Miyamura, dir

Hiroshi Tomihara, dir                  Takeshi Komikado, dir

Kazumi Tokuda, dir                    Takuji Murauchi, dir       

           

Yen Amount:     In million Yen, unless otherwise stated

 


 

SUMMARY    

 

FINANCES        FAIR                 A/SALES          Yen 60,449 M

PAYMENTS      REGULAR         CAPITAL           Yen 350 M

TREND             SLOW              WORTH            Yen 10,932 M

STARTED         1949                 EMPLOYES      198

 

 

COMMENT    

 

TRADING FIIRM SPECIALIZING IN ELECTRONICS MATERIALS.

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

           

 

HIGHLIGHTS

           

The subject company was established on the basis of a division separated from Hitachi Ltd, as Hitachi Kinzoku Shoji (Trading) KK.  In 2005 merged 3 group firms and renamed as Hitachi Metals Admit Co Ltd, as captioned.  This is a trading firm specializing in import, export and wholesale of electronics & IT materials & devices, industrial equipment, magnetic materials, other.  This is a leading trading house in the Hitachi Ltd Group.  Expanding operations solar-cell materials, too.  The Korean subsidiary, Hitachi Metals Trading Co Ltd, was closed down in July 2010.  Clients include electronics makers, heavy machinery makers, other.

 

 

FINANCIAL INFORMATION

           

The sales volume for Mar/2013 fiscal term amounted to Yen 60,449 million, a 10% down from Yen 66,853 million in the previous term.  Sales of special steel for automobiles decreased.  Sales of magnetic materials for FA were also lackluster.  The recurring profit was posted at Yen 1,554 million and the net profit at Yen 991 million, respectively, compared with Yen 1,402 million recurring profit and yen 1,570 million net profit, respectively, a year ago.

 

For the current term ending Mar 20143 the recurring profit is projected at Yen 1,600 million and the net profit at Yen 1,000 million, respectively, on a 5% rise in turnover, to Yen 63,500 million.  Sales of special steel for automobile will surge, with business improvement of domestic customers including automakers, on back of weaker Yen. 

 

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

 

 

 

 

 

 

 

REGISTRATION

 

Date Registered:            Aug 1949

Regd No.:                      0100-01-054795 (Tokyo-Chuoku)

Legal Status:                 Limited Company (Kabushiki Kaisha)

Authorized:                    29 million shares

Issued:                           7.38 million shares

Sum:                             Yen 350 million

Major shareholders (%): Hitachi Metals Ltd* (100)

           

*.. Major mfr of high-quality special steel, subsidiary of Hitachi Ltd, Tokyo, listed Tokyo S/E, capital Yen 26,284 million, sales Yen 535,779 million, operating profit Yen 21,079 million, recurring profit Yen 21,251 million, net profit Yen 12,955 million, total assets Yen 547,814 million, net worth Yen 246,685 million, employees 17,145, pres Hiroyuki Fujii

 

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

 

 

OPERATION

           

Activities: Imports, exports and wholesales electronics & IT materials (44%), industrial equipment materials (26%), magnetic materials, others (30%)

Import/Export (27%)

 

(Mfg Items of the parent, Hitachi Metals Ltd)

High-Grade Metal Products & Materials (43%): molds & tool sheets, alloys for electronic products (display-related, semiconductor & other packages), industrial equipment & energy-related materials, rolls for steel, nonferrous & non-metal applications, injection molding machine parts, structural ceramic products, steel-flame joints for construction, cutting tools;

Electronics & IT Devices (26%): magnets (rare-earth magnets, ferrite magnetic materials, and applied products), components for information & telecommunications equipment (multilayered devices, isolators), IT components & materials, soft magnetic materials (soft ferrite cores & applied products, nanocrystaline magnetic materials, and applied devices, amorphous metals, and applied products);

High-Grade Functional Components & Equipment (31%): high-grade casting components for automobiles (high-grade ductile iron products, heat-resistant exhaust casting components, aluminum wheels, other aluminum components), piping & infrastructure components (pipe fittings, stainless steel & plastic piping components, water cooling equipment, precision mass flow control devices), construction components (access floor systems, structural systems, material handling systems).

 

Clients: [Mfrs, wholesalers] Rohm Co, Shinko Electric Ind, IHI Turbo, Hitachi Ltd, Riken Corp, IHI Corp, Mitsubishi Heavy Ind, Sumitomo Heavy Ind, Nittan Valve Co, other 

No. of accounts: 500

Domestic areas of activities: Nationwide

Suppliers: [Mfrs, wholesalers] Hitachi Metals, Hitachi Metals Precision, Hitachi Maxell, NEO Max Materials, other

 

Payment record: Regular

 

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

 

Bank References:          MUFG (Tokyo)

                                    SMBC (Nihombashi-Higashi)

                                    Relations: Satisfactory

 

FINANCES

 

(In Million Yen)

       Terms Ending:

31/03/2014

31/03/2013

31/03/2012

31/03/2011

Annual Sales

 

63,500

60,449

66,853

69,731

Recur. Profit

 

1,600

1,554

1,402

1,638

Net Profit

 

1,000

991

1,570

1,292

Total Assets

 

 

23,815

25,614

26,729

Current Assets

 

 

20,432

22,101

23,228

Current Liabs

 

 

12,499

14,866

14,379

Net Worth

 

 

10,932

10,384

11,989

Capital, Paid-Up

 

 

350

350

350

Div.P.Share(¥)

 

 

42.55

106.37

379.57

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

5.05

-9.58

-4.13

18.11

    Current Ratio

 

..

163.47

148.67

161.54

    N.Worth Ratio

..

45.90

40.54

44.85

    R.Profit/Sales

 

2.52

2.57

2.10

2.35

    N.Profit/Sales

1.57

1.64

2.35

1.85

    Return On Equity

..

9.07

15.12

10.78

 

Notes: Forecast (or estimated) figures for the 31/03/2014 fiscal term.

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.62.38

UK Pound

1

Rs.102.15

Euro

1

Rs.85.29

 

 

INFORMATION DETAILS

 

Report Prepared by :

NIS

 

 

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.