MIRA INFORM REPORT

 

 

Report Date :

04.08.2014

 

IDENTIFICATION DETAILS

 

Name :

MIURA CO LTD

 

 

Registered Office :

7 Horiecho Matsuyama Ehime-Pref 799-2651

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

May 1959

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Manufactures industrial boilers, water-pipes, cooling equipment & systems, maintenance services and other:

 

 

No. of Employees :

4,205

 

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 :

No Complaints

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 1, 2014

 

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

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. Prime Minister Shinzo ABE has declared the economy his government's top priority; he has overturned his predecessor's plan to permanently close nuclear power plants and is pursuing an economic revitalization agenda of fiscal stimulus, monetary easing, and structural reform. Japan joined the Trans Pacific Partnership negotiations in 2013, a pact that would open Japan's economy to increased foreign competition and create new export opportunities for Japanese businesses. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, Japan in 2013 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 is exceeding 230% of GDP. To help raise government revenue and reduce public debt, Japan decided in 2013 to gradually increase the consumption tax to a total of 10% by the year 2015. Japan is making progress on ending deflation due to a weaker yen and higher energy costs, but reliance on exports to drive growth and an aging, shrinking population pose other major long-term challenges for the economy.

 

Source : CIA

 

 

 

 


Company Name

 

MIURA CO LTD

 

 

REGD NAME

 

Miura Kogyo KK

 

 

MAIN OFFICE

 

7 Horiecho Matsuyama Ehime-Pref 799-2651 Japan

Tel: 089-979-7013    

Fax: 089-978-2321     -

 

URL:                 http://www.miuraz.co.jp

E-Mail address: (thru the URL)

 

ACTIVITIES:     Mfg of boilers, cooling equipment, water treatment equipment, other

BRANCHES:     Tokyo, Osaka, Fukuoka, Saitama, other (Tot 95 nationwide)

OVERSEAS:     China, Korea, Taiwan, Singapore, Thailand, Indonesia, USA, _Canada,

                        Mexico and Brazil

FACTORIES:     At the caption address, Ehime (2)

 

CHIEF EXEC:    YUJI TAKAHASHI, PRES

 

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY

 

FINANCES        FAIR                             A/SALES          Yen 85,535 M

PAYMENTSNO COMPLAINTS    CAPITAL           Yen 9,544 M

TREND UP                                WORTH            Yen 92,127 M

STARTED         1959                             EMPLOYES      4,205

 

COMMENT:       MFR OF INDUSTRIAL BOILERS 

FINANCIAL SITUATION COSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

                       

 

Business

Terms Ending

Annual Sales*

R.Profit*

N.Profit*

S.Growth

Net Worth*

   Results:

31/03/2011

67,904

5,856

3,065

(%)

81,433

(Consolidated)

31/03/2012

74,593

7,002

3,577

9.85

82,629

 

31/03/2013

78,157

8,859

5,187

4.78

86,029

 

31/03/2014

85,535

10,298

6,288

9.44

92,177

 

31/03/2015

90,000

10,300

6,500

5.22

..

Unit: In Million Yen

Forecast figures for the 31/03/2015 fiscal term.

 

 

HIGHLIGHTS

 

This is the top-ranked mfr of small industrial boilers, with maintenance services as main profit earner.  Domestic market share stands at over 50%.  Fostering water treatment and environment-related businesses.  Eager to develop overseas markets.  The company is planning to expand maintenance work sales channels in China, in anticipation of strong demand for high-efficiency boilers, due to air-pollution and shift to city gas systems.  It will add 6 new maintenance centers to existing 37 in China.  In the domestic market, it intends to stress marketing of cooling and heating equipment. .

 

 

FINANCIAL INFORMATION

 

The sales volume for Mar/2014 fiscal term amounted to Yen 85,535 million, a 9.4% up from Yen 78,157 million in the previous term.  Sales of mainstay small once-through boilers stagnated in the domestic market in the first half, but recovered greatly in the second half.  Demand grew in the overseas markets including the US, helped partly by the weaker Yen.  Operating profits advanced.  The recurring profit was posted at Yen 10,298 million and the net profit at Yen 8,288 million, respectively, compared with Yen 8,859 million recurring profit and Yen 5,187 million net profit, respectively, a year ago.

 

For the current term ending Mar 2015 the recurring profit is projected at Yen 10,300 million and the net profit at Yen 6,500 million, respectively, on a 5.2% rise in turnover, to Yen 90,000 million.  Sales of high-efficiency boilers, compressors and other products will rise in the domestic market, buoyed by strong demand for energy-saving products.  Orders for ship-use products will also advance.  Income from maintenance services will hold steady.  Overseas sales will increase by 20%, led by those in China and South Korea.  Operating profit will grow, absorbing higher depreciation and labor costs.

 

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

 

 

REGISTRATION

           

      Date Registered:           May 1959

Legal Status:               Limited Company (Kabushiki Kaisha

Authorized:                  100 million shares

Issued:                         41,763,704 shares

Sum:                            Yen 9,544 million

 

Major shareholders (%): State Street Bank & Trust (11.1), Company’s Treasury Stock (10.2), Master Trust Bank of Japan T (7.2), Iyo Bank (4.2), Ehime Bank (4.0), Employees’ S/Holding Assn (3.8), Japan Trustee Services T9 (3.7), Nomura Trust Inv T (2.5), Ehime Pref (2.3), Miura Education Foundation (2.3); foreign owners (23.9)

 

No. of shareholders: 3,359

 

Listed on the S/Exchange (s) of: Tokyo

 

Managements: Yuji Takahashi, pres; Takahisa Seriguchi, v pres; Akihiko Noguchi, v pres; Kimiaki Hosokawa, mgn dir; Yasuo Ochi, mgn dir; Hiroshi Fukushima, dir; Seigo Tange, dir; Masakatsu Nishihara, dir; Daisuke Miyauchi, dir; Takashi Morimatsu, dir; Yoshihiro Kojima, dir

 

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

 

Related companies: Miura Machine, Miura Koki, Miura Seiki, Miura Mfg, other.

 

 

OPERATION

           

Activities: Manufactures industrial boilers, water-pipes, cooling equipment & systems, maintenance services, other:

 

(Sales by Divisions):

Boilers Div (51%): steam boilers, hot water boilers, system equipment, and peripheral equipment;

Cooling Equipment & Water Treatment Div (16%): water tube boilers, specialized equipment, marine equipment, food processing equipment, medical equipment, water treatment equipment, water softener for industrial use, water softener for home use,  chemicals, other;

Maintenance Service Div (33%)

Overseas Sales Ratio (15%)

 

           

Clients: [Mfrs, wholesalers] Iwatani Corp, Totech Corp Inc, Imabari Shipbuilding, Kawasaki Trading Co, Sumisho Inax Co, Asahi-Kiki Co, Nakanishi Mfg Co, Mitsui Engineering & Shipbuilding, other

No. of accounts: 1,000

Domestic areas of activities: Nationwide

Suppliers: [Mfrs, wholesalers] Miura Aquatic, Miura Seiki, Miura Koki, Miura Machine, Miura Techno, Toshiba Industrial Products & Systems Corp, Yoneda Shoji, Otoji Shokai, Minato Sangyo, other

 

Payment record: No Complaints

 

Location: Business area in Matsuyama, Ehime-Pref.  Office premises at the caption address are owned and maintained satisfactorily.

 

Bank References:

Iyo Bank (H/O)

SMBC (Matsuyama)

Relations: Satisfactory

 

 

FINANCES

 

 (In Million Yen)

 

FINANCES: (Consolidated in million yen)

 

 

 

Terms Ending:

31/03/2014

31/03/2013

INCOME STATEMENT

 

 

 

  Annual Sales

 

85,535

78,157

 

  Cost of Sales

49,939

45,949

 

      GROSS PROFIT

35,595

32,207

 

  Selling & Adm Costs

26,630

24,765

 

      OPERATING PROFIT

8,965

7,441

 

  Non-Operating P/L

1,333

1,418

 

      RECURRING PROFIT

10,298

8,859

 

      NET PROFIT

6,288

5,187

BALANCE SHEET

 

 

 

 

  Cash

 

16,738

16,413

 

  Receivables

 

23,993

21,692

 

  Inventory

 

11,211

9,650

 

  Securities, Marketable

13,374

8,473

 

  Other Current Assets

5,075

5,005

 

      TOTAL CURRENT ASSETS

70,391

61,233

 

  Property & Equipment

35,126

32,034

 

  Intangibles

 

569

496

 

  Investments, Other Fixed Assets

11,412

12,178

 

      TOTAL ASSETS

117,498

105,941

 

  Payables

 

2,784

2,206

 

  Short-Term Bank Loans

20

20

 

 

 

 

 

 

  Other Current Liabs

19,699

16,798

 

      TOTAL CURRENT LIABS

22,503

19,024

 

  Debentures

 

 

 

 

  Long-Term Bank Loans

 

 

 

  Reserve for Retirement Allw

2,361

146

 

  Other Debts

 

457

741

 

      TOTAL LIABILITIES

25,321

19,911

 

      MINORITY INTERESTS

 

 

 

Common stock

9,544

9,544

 

Additional paid-in capital

10,088

10,088

 

Retained earnings

78,552

73,737

 

Evaluation p/l on investments/securities

860

332

 

Others

 

186

(616)

 

Treasury stock, at cost

(7,053)

(7,056)

 

      TOTAL S/HOLDERS` EQUITY

92,177

86,029

 

      TOTAL EQUITIES

117,498

105,941

CONSOLIDATED CASH FLOWS

 

 

 

 

Terms ending:

31/03/2014

31/03/2013

 

Cash Flows from Operating Activities

 

8,521

7,190

 

Cash Flows from Investment Activities

-4,681

-6,113

 

Cash Flows from Financing Activities

-1,581

-3,542

 

Cash, Bank Deposits at the Term End

 

16,922

13,256

ANALYTICAL RATIOS            Terms ending:

31/03/2014

31/03/2013

 

 

Net Worth (S/Holders' Equity)

92,177

86,029

 

 

Current Ratio (%)

312.81

321.87

 

 

Net Worth Ratio (%)

78.45

81.20

 

 

Recurring Profit Ratio (%)

12.04

11.33

 

 

Net Profit Ratio (%)

7.35

6.64

 

 

Return On Equity (%)

6.82

6.03

 

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.60.85

UK Pound

1

Rs.102.69

Euro

1

Rs.81.46

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

Report Prepared by :

TPT

 

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.