MIRA
INFORM REPORT
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Report Date : |
30.08.2014 |
IDENTIFICATION DETAILS
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Name : |
TOWA CORPORATION |
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Registered Office : |
5 Kamichoshi-cho Kamitoba Minamiku |
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Country : |
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Financials (as on) : |
31.03.2014 |
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Date of Incorporation : |
April 1979 |
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Legal Form : |
Limited Company |
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Line of Business : |
Manufactures semiconductor mfg systems (92%), fine plastic molded
products (8%) |
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No of Employees : |
1,073 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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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 01, 2014
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Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
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A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low Risk |
A2 |
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Moderate Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderate High Risk |
C1 |
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High Risk |
C2 |
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Very High Risk |
D |
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 & address
TOWA CORPORATION
REGD NAME
Towa KK
MAIN OFFICE
5 Kamichoshi-cho Kamitoba Minamiku Kyoto 601-8105 Japan
Tel: 075-592-0250
Fax: 075-692-0270 -
URL: http://www.towajapan.co.jp
E-Mail address: (thru the URL)
ACTIVITIES: Mfg
of semiconductor mfg systems
BRANCHES: Kyoto
(3), Tokyo, Saga
OVERSEAS: Singapore,
Malaysia, China (4), Thailand, Philippines, USA
FACTORIES: At
the caption address, Yamanashi; Malaysia, China (4), Korea
CHIEF EXEC: HIROKAZU
OKADA, PRES
Yen Amount: In million Yen, unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 17,165 M
PAYMENTS NO COMPLAINTS CAPITAL Yen
8,932 M
TREND UP WORTH Yen
17,909 M
STARTED 1979 EMPLOYES 1,073
COMMENT: MFR OF SEMICONDUCTOR MFG SYSTEMS
FINANCIAL SITUATION COSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.
Unit: In Million Yen
Forecast
figures for the 31/03/2015 fiscal term.
HIGHLIGHTS
This is an independent R&D-oriented company, started out as maker of
semiconductor-related precision metal molds.
Major maker of semiconductor back-end processing machinery. Has strength in small-size package products. Active in overseas operations including China
with local production bases.
FINANCIAL INFORMATION
The sales volume for Mar/2014 fiscal term amounted to Yen 17,165
million, a 4.3% up from Yen 16,454 million in the previous term. Sales of semiconductor mfg systems rallied,
supported by recovery of capital investment in semiconductors. Shipment of compression molding machines was
steady. The recurring profit was posted
at Yen 666 million and the net profit at Yen 568 million, respectively,
compared with Yen 663 million recurring profit and Yen 691 million net profit,
respectively, a year ago.
(Apr/Jun/2014 results): Sales Yen 4,897 million (up 37.7%), operating
profit Yen 425 million (previously Yen 148 million loss), recurring profit Yen
414 million (previously Yen 133 million loss), net profit Yen 377 million (previously
Yen 157 million loss). (% & figures
compared with the corresponding period a year ago).
For the current term ending Mar 2015 the recurring profit is projected
at Yen 900 million and the net profit at Yen 800 million, respectively, on a
4.9% rise in turnover, to Yen 18,000 million.
Sales of molding and cutting machines will hold firm. Operating profit will advance.
The financial situation is considered FAIR and good for ORDINARY
business engagements.
REGISTRATION
Date Registered: Apr 1979
Legal Status: Limited
Company (Kabushiki Kaisha
Authorized:
80 million
shares
Issued: 25,021,832
shares
Sum: Yen
8,932 million
Major
shareholders (%): Japan Trustee Services Bank (16.2), KB Kousan Ltd (7.9), Master Trust
Bank of Japan (7.6), Kazuhiko Bando (6.2), Bank of Kyoto (2.7), Trust &
Custody Services Bank (2.4), KB Techno Ltd (1.9), Kumiko Yamada (1.8), Bank of
NY Mellon Int’D131800 (1.8); foreign owners (11.2)
No.
of shareholders: 7,677
Listed on the S/Exchange (s) of: Tokyo
Managements: Kazuhiko Bando,
ch; Hirokazu Okada, pres; Takeshi Amakawa, s/mgn dir; Hisani Konishi, mgn dir;
Makoto Fukushima, mgn dir; Hajime Kuwaki, dir
Nothing
detrimental is known as to the commercial morality of executives.
Related companies: Bandick Corp, Towa Tec, Towa China, Towa
M, other.
OPERATION
Activities: Manufactures
semiconductor mfg systems (92%), fine plastic molded products (8%)
Overseas
Sales Ratio (82%)
Clients: [Mfrs,
wholesalers] Terumo Corp, Sanyo Electric, JPAL (H.K.) Co, Stats Chip Pac
Shanghai, other
No. of accounts:
500
Domestic areas of
activities: Nationwide
Suppliers: [Mfrs,
wholesalers] Terumo Corp, Scientific & Semiconductor Mfg Equipment
Recycling Co, Bandick Co, Murata Mfg, Ohtori Kiko Co, other
Payment record: No Complaints
Location: Business area in
Kyoto. Office premises at the caption
address are owned and maintained satisfactorily.
Bank References:
Bank of Kyoto
(H/O)
Mizuho Bank
(Kyoto)
Relations:
Satisfactory
FINANCES
(In Million Yen)
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FINANCES: (Consolidated in million yen) |
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Terms Ending: |
31/03/2014 |
31/03/2013 |
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INCOME STATEMENT |
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Annual Sales |
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17,165 |
16,454 |
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Cost of Sales |
12,623 |
12,697 |
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GROSS PROFIT |
4,542 |
3,757 |
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Selling & Adm Costs |
4,085 |
4,197 |
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OPERATING PROFIT |
457 |
-439 |
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Non-Operating P/L |
209 |
224 |
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RECURRING PROFIT |
666 |
663 |
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NET PROFIT |
568 |
691 |
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BALANCE SHEET |
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Cash |
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5,921 |
5,608 |
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Receivables |
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6,249 |
3,811 |
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Inventory |
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3,174 |
3,292 |
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Securities, Marketable |
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Other Current Assets |
369 |
301 |
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TOTAL CURRENT ASSETS |
15,713 |
13,012 |
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Property & Equipment |
10,622 |
10,216 |
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Intangibles |
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531 |
632 |
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Investments, Other Fixed Assets |
2,266 |
2,036 |
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TOTAL ASSETS |
29,132 |
25,896 |
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Payables |
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2,108 |
984 |
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Short-Term Bank Loans |
1,601 |
1,068 |
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Other Current Liabs |
3,351 |
2,930 |
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TOTAL CURRENT LIABS |
7,060 |
4,982 |
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Debentures |
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240 |
340 |
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Long-Term Bank Loans |
2,953 |
2,539 |
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Reserve for Retirement Allw |
764 |
815 |
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Other Debts |
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205 |
148 |
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TOTAL LIABILITIES |
11,222 |
8,824 |
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MINORITY INTERESTS |
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Common
stock |
8,932 |
8,932 |
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Additional
paid-in capital |
462 |
462 |
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Retained
earnings |
7,208 |
6,890 |
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Evaluation
p/l on investments/securities |
509 |
392 |
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Others |
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806 |
404 |
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Treasury
stock, at cost |
(8) |
(8) |
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TOTAL S/HOLDERS` EQUITY |
17,909 |
17,072 |
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TOTAL EQUITIES |
29,132 |
25,896 |
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CONSOLIDATED CASH FLOWS |
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Terms ending: |
31/03/2014 |
31/03/2013 |
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Cash
Flows from Operating Activities |
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935 |
2,710 |
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Cash Flows
from Investment Activities |
-1,553 |
-1,083 |
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Cash
Flows from Financing Activities |
819 |
-817 |
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Cash,
Bank Deposits at the Term End |
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5,533 |
5,266 |
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ANALYTICAL RATIOS Terms ending: |
31/03/2014 |
31/03/2013 |
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Net
Worth (S/Holders' Equity) |
17,909 |
17,072 |
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Current
Ratio (%) |
222.56 |
261.18 |
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Net
Worth Ratio (%) |
61.48 |
65.93 |
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Recurring
Profit Ratio (%) |
3.88 |
4.03 |
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Net
Profit Ratio (%) |
3.31 |
4.20 |
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Return
On Equity (%) |
3.17 |
4.05 |
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.60.47 |
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1 |
Rs.100.35 |
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Euro |
1 |
Rs.79.86 |
INFORMATION DETAILS
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Analysis Done by
: |
DIV |
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Report Prepared
by : |
TPT |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall
operation is considered normal. Capable to meet normal commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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-- |
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.