MIRA INFORM REPORT
|
Report Date : |
08.10.2013 |
IDENTIFICATION DETAILS
|
Name : |
SHINKAWA LTD |
|
|
|
|
Registered Office : |
2-51-1 Inadaira Musashimurayama City Tokyo-Metrop 208-8585 |
|
|
|
|
Country : |
Japan |
|
|
|
|
Financials (as on) : |
31.03.2013 |
|
|
|
|
Date of Incorporation : |
August 1959 |
|
|
|
|
Com. Reg. No.: |
0128-01-002889 (Tokyo-Musashimurayama) |
|
|
|
|
Legal Form : |
Limited Company (Kabushiki Kaisha |
|
|
|
|
Line of Business : |
Mfg of semiconductor wire bonders |
|
|
|
|
No. of Employees : |
653 |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Status : |
Moderate |
|
Payment Behaviour : |
Slow |
|
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
SHINKAWA LTD
REGD NAME
KK Shinkawa
MAIN OFFICE
2-51-1 Inadaira
Musashimurayama City Tokyo-Metrop 208-8585 JAPAN
Tel:
042-560-1231 Fax: 042-560-8485 -
URL: http://www.shinkawa.com
E-Mail address: Shinkawa@shinkawa.com
ACTIVITIES
Mfg of semiconductor
wire bonders
BRANCHES
Fukuoka
OVERSEAS
Vietnam, Taiwan
(2), Korea, China (4), Philippines, Singapore, Malaysia, Thailand, USA
FACTORIES
At the caption
address; Vietnam, Thailand
CHIEF EXEC
HIROSHI NISHIMURA,
PRES
Yen Amount: In million Yen, unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 11,350 M
PAYMENTSSLOW CAPITAL Yen 8,360 M
TREND SLOW WORTH Yen 28,967 M
STARTED 1959 EMPLOYES 653
COMMENT
MFR OF SEMICONDUCTOR MFG EQUIPMENT
FINANCIAL SITUATION COSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS
ENGAGEMENTS.
Unit: In Million
Yen
Forecast figures
for the 31/03/2014 fiscal term.
HIGHLIGHTS
This is the high-ranking mfr of semiconductor wire bonders in the
world. Independent firm and delivers to
most of IC makers. Emphasis put more on
tapes for automated bonding (TAB) for multipin ICs. Expanding applications of bonders for LED
equipment makers, etc. Borrowings-free
management. The company will spend
R&D costs mainly on flip-chip bonders in view of active inquiries from
mobile semiconductor makers. It intends
to transfer wire bonder production lines to its plant in Thailand whose
start-up is scheduled for spring 2013.
It will transfer extra staff in domestic plants to production of new
products. .The company will launch flip chip bonders for advanced processes to
cultivate demand from mobile phone-related makers in March 2014 term. Sales are likely to exceed the breakeven
point at Yen 20 billion in the March 2016 term, supported by the sales growth
of newly-launched products.
FINANCIAL INFORMATION
The sales volume for Mar/2013 fiscal term amounted to Yen 11,350
million, a 15.3% down from Yen 13,396 million in the previous term. Clearer signs of a slowdown in economic
growth were seen even in the emerging nations, including China, which suffered
from the deceleration of exports and weak domestic demand. In the semiconductor industry, the launch of
new smartphones and tablet PC’s were favorable during the first half of the
year, but the demand for these products became nearly saturated in the
developed nations, resulting in a decline in the demand for
semiconductors. The operations continued
in the red to post Yen 2,051 million recurring loss and Yen 2,120 million net
losses, respectively, compared with Yen 2,487 million recurring loss and Yen
4,647 million net losses, respectively, a year ago.
(Apr/Jun/2013 results): Sales Yen 1,728 million (down 65.8%), operating
loss Yen 865 million (previously Yen 56 million loss), recurring loss Yen 801
million (previously Yen 98 million loss), net losses Yen 804 million
(previously Yen 155 million loss). (%
& figures compared with the corresponding period a year ago).
For the current term ending Mar 2014 the operations are projected to
continue in the deficit to post Yen 2,800 million recurring loss and Yen 2,700
million net losses, respectively, despite a 14.5% rise in turnover, to Yen
13,000 million. Sales of mainstay wire
bonders and die borders are remaining at the bottom in the first half, but will
rebound slightly in the second half. The
demand for PCs and televisions is not strong.
Plant utilization will stagnate at the domestic plants, negatively
affected by the start of mass production at a plant in Thailand in Apr
2013. Operating account deficit will
enlarge, but partly by increase in R&D expenses, despite continued
reduction In personnel expenses through lay-off.
The financial situation is considered FAIR and good for ORDINARY
business engagements.
REGISTRATION
Date Registered: Aug 1959
Regd No.:
0128-01-002889
(Tokyo-Musashimurayama)
Legal Status: Limited
Company (Kabushiki Kaisha
Authorized: 80
million shares
Issued: 20,047,500
shares
Sum: Yen
8,360 million
Major
shareholders (%): Company’s Treasury Stock (9.3), TCSB (Tokyo Tomin Bank) (4.4), Japan
Trustee Services T (2.7), I. & E. (2.4), Customers’ S/Holding Assn (2.4),
Mizuho Bank (2.0),Tomin Leasing (2.0), MUFG (1.4), Master Trust Bank of Japan T
(1.4), TYO Sm. & Med. Bus. Inv & Cons (1.3); foreign owners (5.8)
No.
of shareholders: 10,391
Listed on the S/Exchange (s) of: Tokyo
Managements: Hiroshi
Nishimura, pres; Tetsuya Tanabe, s/mgn dir; Takashi Nagano, mgn dir; Norimasa
Nagata, mgn dir; Kuniyuki Takahashi, dir; Kenji Sugimoto, dir
Nothing
detrimental is known as to the commercial morality of executives.
Related companies: Shinkawa Technologies, Shinkawa Shanghai,
Shinkawa Singapore,other.
OPERATION
Activities: Manufactures
semiconductor mfg equipment: wire bonders (55%), die bonders (30%), other systems
(6%), repairing, others (9%)
Overseas
Sales Ratio (77%)
Clients: IC makers,
semiconductor makers, other
No. of accounts: 500
Domestic areas of activities: Nationwide
Suppliers: Makers,
wholesalers, other
Payment record: Slow
Location: Business area in
Musashimurayama City, Tokyo-Metrop.
Office premises at the caption address are owned and maintained
satisfactorily.
Bank References:
Tokyo Tomin Bank
(Mitaka)
MUFG (Tachikawa)
Relations:
Satisfactory
FINANCES
(In Million Yen)
|
FINANCES: (Consolidated
in million yen) |
|
|||||
|
|
|
Terms Ending: |
31/03/2013 |
31/03/2012 |
||
|
INCOME STATEMENT |
|
|
||||
|
|
Annual Sales |
|
11,350 |
13,396 |
||
|
|
Cost of Sales |
8,633 |
10,339 |
|||
|
|
GROSS PROFIT |
2,716 |
3,057 |
|||
|
|
Selling & Adm Costs |
5,274 |
5,445 |
|||
|
|
OPERATING PROFIT |
-2,558 |
-2,388 |
|||
|
|
Non-Operating P/L |
-507 |
99 |
|||
|
|
RECURRING PROFIT |
-2,051 |
-2,487 |
|||
|
|
NET PROFIT |
-2,120 |
-4,647 |
|||
|
BALANCE SHEET |
|
|
|
|||
|
|
Cash |
|
9,845 |
9,393 |
||
|
|
Receivables |
|
2,231 |
5,713 |
||
|
|
Inventory |
|
5,325 |
2,228 |
||
|
|
Securities, Marketable |
|
|
|||
|
|
Other Current Assets |
1,704 |
4,249 |
|||
|
|
TOTAL CURRENT ASSETS |
19,105 |
21,583 |
|||
|
|
Property & Equipment |
6,857 |
6,716 |
|||
|
|
Intangibles |
|
67 |
155 |
||
|
|
Investments, Other Fixed Assets |
4,975 |
4,210 |
|||
|
|
TOTAL ASSETS |
31,004 |
32,664 |
|||
|
|
Payables |
|
467 |
770 |
||
|
|
Short-Term Bank Loans |
|
|
|||
|
|
|
|
|
|
||
|
|
Other Current Liabs |
487 |
488 |
|||
|
|
TOTAL CURRENT LIABS |
954 |
1,258 |
|||
|
|
Debentures |
|
|
|
||
|
|
Long-Term Bank Loans |
|
|
|||
|
|
Reserve for Retirement Allw |
515 |
566 |
|||
|
|
Other Debts |
|
568 |
474 |
||
|
|
TOTAL LIABILITIES |
2,037 |
2,298 |
|||
|
|
MINORITY INTERESTS |
|
|
|||
|
|
Common
stock |
8,360 |
8,360 |
|||
|
|
Additional
paid-in capital |
8,907 |
8,907 |
|||
|
|
Retained
earnings |
13,768 |
15,979 |
|||
|
|
Evaluation
p/l on investments/securities |
1,306 |
730 |
|||
|
|
Others |
|
(225) |
(461) |
||
|
|
Treasury
stock, at cost |
(3,149) |
(3,149) |
|||
|
|
TOTAL S/HOLDERS` EQUITY |
28,967 |
30,366 |
|||
|
|
TOTAL EQUITIES |
31,004 |
32,664 |
|||
|
CONSOLIDATED CASH FLOWS |
|
|
||||
|
|
|
Terms ending: |
31/03/2013 |
31/03/2012 |
||
|
|
Cash
Flows from Operating Activities |
|
2,225 |
-1,482 |
||
|
|
Cash
Flows from Investment Activities |
-1,794 |
-1,017 |
|||
|
|
Cash
Flows from Financing Activities |
-91 |
-93 |
|||
|
|
Cash,
Bank Deposits at the Term End |
|
9,253 |
8,821 |
||
|
ANALYTICAL RATIOS Terms ending: |
31/03/2013 |
31/03/2012 |
||||
|
|
|
Net
Worth (S/Holders' Equity) |
28,967 |
30,366 |
||
|
|
|
Current
Ratio (%) |
2002.62 |
1715.66 |
||
|
|
|
Net
Worth Ratio (%) |
93.43 |
92.96 |
||
|
|
|
Recurring
Profit Ratio (%) |
-18.07 |
-18.57 |
||
|
|
|
Net Profit
Ratio (%) |
-18.68 |
-34.69 |
||
|
|
|
Return
On Equity (%) |
-7.32 |
-15.30 |
||
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.78 |
|
|
1 |
Rs.99.06 |
|
Euro |
1 |
Rs.83.84 |
INFORMATION DETAILS
|
Report Prepared
by : |
SDA |
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.