MIRA INFORM REPORT

 

 

Report Date :

26.10.2013

 

IDENTIFICATION DETAILS

 

Name :

KITZ SCT CORPORATION

 

 

Registered Office :

Omorieki-Higashiuchi Bldg, 1-5-1 Omori-Kita Otaku Tokyo 143-0016 JAPAN

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

May, 1982

 

 

Com. Reg. No.:

0108-01-013170 (Tokyo-Otaku)

 

 

Legal Form :

Limited Company (Kabushiki Kaisha)

 

 

Line of Business :

Manufacturer of Semiconductor Mfg Equipment, Parts, Components and Other.

 

 

No. of Employees :

218

 

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 :

Slow but correct

 

 

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

 

KITZ SCT CORPORATION

 

 

REGD NAME

 

KK Kitz SCT

 

 

MAIN OFFICE

 

Omorieki-Higashiuchi Bldg, 1-5-1 Omori-Kita Otaku Tokyo 143-0016 JAPAN

Tel: 03-6404-2171      Fax: 03-6404-2172

 

URL:                 http://www.kits-sct.co.jp

E-Mail address: (thru the URL)

 

 

ACTIVITIES

 

Mfg of semiconductor mfg equipment, parts, components, other

 

 

BRANCHES

 

Amagasaki, Fukuoka

 

 

OVERSEAS

 

China, other

 

 

FACTORIES

 

Gunma

 

 

OFFICERS

 

HISAO HOSOKAWA, PRES       Nobuhiro Honjo, mgn dir

Masahide Hara, dir                    Tsutomu Kojima, dir

Yukinari Koide, dir        

           

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY

 

FINANCES        FAIR                                         A/SALES          Yen 4,634 M

PAYMENTSSLOW BUT CORRECT                     CAPITAL           Yen 300 M

TREND SLOW                                       WORTH            Yen 1,798 M

STARTED         1982                                         EMPLOYES      218

 

 

COMMENT

 

MFR OF SEMICONDUCTOR MFG EQUIPMENT AND COMPONENTS.

 

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

 

 

HIGHLIGHTS

           

The subject company was established on the basis of a division separated from Kitz Corp.  This is a specialized mfr of semiconductor making equipment & components: fittings & valves for semiconductor, PDD, PV or LED, other.  Clients include electronics mfrs, other.  Goods are exported.

 

 

FINANCIAL INFORMATION

           

The sales volume for Mar/2013 fiscal term amounted to Yen 4,034 million, a 25% down from Yen 5,364 million in the previous term.  Semiconductor markets were at the bottom in demand, exports declined substantially.  The operations plunged into the red to post Yen 46 million recurring loss and Yen 40 million net losses, respectively, compared with Yen 252 million recurring profit and Yen 157 million net profit, respectively, a year ago.

 

For the current term ending Mar 2014 the operations are projected to come back to profitability to post Yen 150 million recurring profit and Yen 100 million net profit, respectively, on a 2% rise in turnover, to Yen 4,100 million. 

 

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

 

 

REGISTRATION

 

Date Registered:                       May 1982

Regd No.:                                 0108-01-013170 (Tokyo-Otaku)

Legal Status:                Limited Company (Kabushiki Kaisha)

Authorized:                  2.4 million shares

Issued:                         600,000 shares

Sum:                            Yen 300 million

Major shareholders (%): Kitz Corp* (100)

           

*.. Kitz Corp, largest producer of industrial valves & mass-produced valves, Chiba, founded 1944, listed Tokyo S/E, capital Yen 21,207 million, sales Yen111,275 million, operating profit Yen 6,558 million, recurring profit Yen 6,521 million, net profit Yen 4,039 million, total assets Yen 101,985 million, net worth Yen 60,725 million, employees 3,997, pres Yasuyuki Hotta

 

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

 

 

OPERATION

           

Activities: Manufactures semiconductor mfg equipment & components: Ultra high-purity valves & fittings for semiconductors, PDD, PV or LED, vacuum isolation valves, wet-type valves, gas delivery/exhaust & chemical handling system, others (--100%)

 

Clients: [Mfrs, wholesalers] DIC, Metal One Pipe & Tubular Products Inc, UCT Korea Co, Hitachi Ld, Tokyo Electron Yamanashi, Air Liquid Japan, other 

No. of accounts: 500

Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Kitz Corp, Metal One Pipe & Tubular Products, other

 

Payment record: Slow but correct                    

 

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

 

Bank References:

            Mizuho Corporate Bank (Nihombashi)

            SMBC (Tokyo-Chuo)

            Relations: Satisfactory

 

 

FINANCES

(In Million Yen)

 

       Terms Ending:

31/03/2014

31/03/2013

31/03/2012

31/03/2011

Annual Sales

　

4,100

4,034

5,364

6,091

Recur. Profit

　

150

-46

252

　

Net Profit

　

100

-40

157

300

Total Assets

　

　

2,898

3,216

3,480

Current Assets

　

　

2,461

2,464

2,461

Current Liabs

　

　

1,401

1,968

1,401

Net Worth

　

　

1,798

1,880

1,814

Capital, Paid-Up

　

　

300

300

300

Div.P.Share(¥)

　

　

0.00

0.00

0.00

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

1.64

-24.79

-11.94

83.96

    Current Ratio

 

..

175.66

125.20

175.66

    N.Worth Ratio

..

62.04

58.46

52.13

    R.Profit/Sales

 

3.66

-1.14

4.70

..

    N.Profit/Sales

2.44

-0.99

2.93

4.93

    Return On Equity

..

-2.22

8.35

16.54

 

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

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.61.63

UK Pound

1

Rs.99.94

Euro

1

Rs.84.14

 

 

INFORMATION DETAILS

 

Report Prepared by :

NIT

 

 

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.