|
Report Date : |
25.03.2013 |
IDENTIFICATION DETAILS
|
Name : |
TUNGALOY CORPORATION |
|
|
|
|
Registered Office : |
11-1 Yoshima-Kogyodanchi Iwaki City Fukushima-Pref 970-1144 |
|
|
|
|
Country : |
Japan |
|
|
|
|
Financials (as on) : |
31.12.2012 |
|
|
|
|
Date of Incorporation : |
February 1950 |
|
|
|
|
Com. Reg. No.: |
3800-01-019501 (Fukushima-Iwaki) |
|
|
|
|
Legal Form : |
Limited Company (Kabushiki Kaisha) |
|
|
|
|
Line of Business : |
Manufacturer of cutting tools |
|
|
|
|
No. of Employees : |
1,000 |
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 637.7 Million |
|
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 – June 30th, 2012
|
Country Name |
Previous Rating (31.03.2011) |
Current Rating (30.06.2012) |
|
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 tiny agricultural sector is highly subsidized and protected, with crop yields among the highest in the world. Usually self-sufficient in rice, Japan imports about 60% of its food on a caloric basis. Japan maintains one of the world's largest fishing fleets and accounts for nearly 15% of the global catch. 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. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, Japan in 2011 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 2011. A sharp downturn in business investment and global demand for Japan's exports in late 2008 pushed Japan further 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 in March disrupted manufacturing. Electricity supplies remain tight because Japan has temporarily shut down almost all of its nuclear power plants after the Fukushima Daiichi nuclear reactors were crippled by the earthquake and resulting tsunami. Estimates of the direct costs of the damage - rebuilding homes, factories, and infrastructure - range from $235 billion to $310 billion, and GDP declined almost 0.5% in 2011. Prime Minister Yoshihiko NODA has proposed opening the agricultural and services sectors to greater foreign competition and boosting exports through membership in the US-led Trans-Pacific Partnership trade talks and by pursuing free-trade agreements with the EU and others, but debate continues 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
TUNGALOY CORPORATION
REGD NAME: KK
Tungaloy
MAIN OFFICE: 11-1
Yoshima-Kogyodanchi Iwaki City Fukushima-Pref 970-1144 JAPAN
Tel:
044-548-9500 Fax: 044-548-9540
URL: http://www.tungaloy.co.jp
E-Mail address: info@tungaloy.co.jp
Mfg of cutting
tools
Tokyo, Nagoya,
Osaka, Yokohama, Kawasaki, other (Tot 15)
USA (3), Canada,
Mexico, Europe (3), China (4), Thailand, Singapore,
India, Indonesia, Malaysia, Turkey, other
(Tot 28)
Iwaki, Nirasaki,
Nagoya, other (Tot 5); China (2), Vietnam
YOSHITO UEHARA,
PRES Jacob Harpaz, ch
Hirofumi
Taniguchi, s/mgn dir Susumu Takahashi,
dir
Yen Amount: In million Yen, unless otherwise stated
FINANCES FAIR A/SALES Yen 30,881 M
PAYMENTSREGULAR CAPITAL Yen
8,000 M
TREND SLOW WORTH Yen 15,248 M
STARTED 1950 EMPLOYES 1,000
MFR SPECIALIZING IN CUTTING TOOLS.
FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY
BUSINESS ENGAGEMENTS.
MAX CREDIT LIMIT:
YEN 637.7 MILLION, 30 DAYS NORMAL TERMS.
.
The subject company was
established by Toshiba Group in order to amalgamate subsidiaries in the similar
line of cutting tools businesses. In
2004, became independent from the Group by MBO sponsored by Nomura Principal
Finance. This is a leading mfr of
ultra-hard cutting tools, cutting tools for electronics mfg, sintering tools,
friction materials, other. About 30% are exported. Has 28 overseas subsidiaries. Domestic clients include automakers, heavy
machinery mfrs, electronics mfrs, other, nationwide. .
The sales volume for Dec/2012 fiscal term amounted to Yen 30,881
million, a 7% down from Yen 30,713 million in the previous term. Exports were hurt by the high Yen, reducing
earnings in Yen terms. The recurring
profit was posted at Yen 2,154 million and the net profit at Yen 2,551 million,
respectively, compared with Yen 52,060 million recurring profit and Yen 1,689
million net profit, respectively, a year ago.
For the current term ending Dec 2013 the recurring profit is projected
at Yen 2,200 million and the net profit at Yen 2,600 million, respectively, on
a 4% rise in turnover, to Yen 32,000 million.
Business is seen uprising.
The financial situation is considered FAIR and good for ORDINARY
business engagements. Max credit limit
is estimated at Yen 637.7 million, on 30 days normal terms.
Date Registered:
Feb 1950
Regd No.:
3800-01-019501 (Fukushima-Iwaki)
Legal Status: Limited Company (Kabushiki Kaisha)
Authorized: 170,472,907 shares
Issued: 35.2 million shares
Sum: Yen 8,000 million
Major shareholders (%): IMC B V, Tungaloy
Korea, other (Details unavailable)
No. of shareholders: Unavailable
Nothing
detrimental is known as to the commercial morality of executives.
Activities: Manufactures ultra hard metal
cutting tools, electronics parts mfg tools, sintering tools, milling tools,
civil engineering & building construction tools, wear-resistant tools,
other hard cutting tools, (--100%).
Clients: [Mfrs,
wholesalers] Tungaloy Europe, Tungaloy America, Sagami BCI, Mitsuya Sangyo Inc,
Ibiden Co, Sekigahara Seisakusho, other.
No. of accounts:
500
Domestic areas of
activities: Nationwide
Suppliers: [Mfrs, wholesalers] Mitsui & Co, Asahi
Diamond Ind, Mitsui Metal Mining, Tungaloy
Precision, Saga Tool, Sun Kiko Co, Show-Wa Co, other.
Payment record: Regular
Location: Business area in Yokohama.
Office premises at the caption address are owned and maintained
satisfactorily.
Bank References:
SMBC (Kawasaki)
Mitsui Sumitomo
Trust (H/O)
Relations:
Satisfactory
(In Million Yen)
|
Terms Ending: |
31/12/2013 |
31/12/2012 |
31/12/2011 |
31/12/2010 |
|
|
Annual
Sales |
|
32,000 |
30,881 |
32,713 |
30,542 |
|
Recur.
Profit |
|
2,200 |
2,154 |
2,060 |
2,239 |
|
Net
Profit |
|
2,600 |
2,551 |
1,689 |
-2,745 |
|
Total
Assets |
|
|
44,631 |
45,042 |
44,253 |
|
Current
Assets |
|
|
23,362 |
21,512 |
19,898 |
|
Current
Liabs |
|
|
6,141 |
9,986 |
11,364 |
|
Net
Worth |
|
|
15,248 |
12,633 |
11,000 |
|
Capital,
Paid-Up |
|
|
8,000 |
8,000 |
8,000 |
|
Div.P.Share(¥) |
|
|
0.00 |
0.00 |
0.00 |
|
<Analytical Data> |
(%) |
(%) |
(%) |
(%) |
|
|
S.Growth Rate |
3.62 |
-5.60 |
7.11 |
41.57 |
|
|
Current Ratio |
|
.. |
380.43 |
215.42 |
175.10 |
|
N.Worth Ratio |
.. |
34.16 |
28.05 |
24.86 |
|
|
R.Profit/Sales |
|
6.88 |
6.98 |
6.30 |
7.33 |
|
N.Profit/Sales |
8.13 |
8.26 |
5.16 |
-8.99 |
|
|
Return On Equity |
.. |
16.73 |
13.37 |
-24.95 |
|
Notes: Forecast
figures for the 31/12/2013 fiscal term
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.33 |
|
|
1 |
Rs.82.56 |
|
Euro |
1 |
Rs.70.10 |
INFORMATION DETAILS
|
Report
Prepared by : |
PRL |
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.