|
Report Date : |
03.06.2014 |
IDENTIFICATION DETAILS
|
Name : |
SHIN NIPPON MACHINERY CO LTD |
|
|
|
|
Registered Office : |
Think Park Tower, 2-1-1 Osaki Shinagawaku Tokyo 141-6025 |
|
|
|
|
Country : |
Japan |
|
|
|
|
Financials (as on) : |
31.03.2014 (Estimated) |
|
|
|
|
Date of Incorporation : |
07.12.1951 |
|
|
|
|
Com. Reg. No.: |
0107-01-015023 (Tokyo-Shinagawaku) |
|
|
|
|
Legal Form : |
Limited Company |
|
|
|
|
Line of Business : |
Manufacturer of Steam Turbines, Process Pumps for use in Irrigation,
Rain Water, Sewage Treatment & Industrial Fasteners |
|
|
|
|
No. of Employees : |
435 |
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 : |
Good |
|
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 – March 31, 2014
|
Country Name |
Previous Rating (31.12.2013) |
Current Rating (31.03.2014) |
|
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 |
SHIN NIPPON
MACHINERY CO LTD
Shin Nippon Zoki KK (Zoki means machinery-making)
Think Park Tower, 2-1-1 Osaki Shinagawaku Tokyo 141-6025 JAPAN
Tel: 03-6737-2630 Fax:
03-6866-5120
E-Mail address: admins@snm.co.jp
Manufacturer of Steam Turbines, Process Pumps for use in Irrigation, Rain
Water, Sewage Treatment & Industrial Fasteners
Osaka, Nagoya, Hiroshima, Niihama, Fukuoka, Naha, other
Kure (Hiroshima), Amagasaki, Nigata (Hiroshima)
MASAMI DEGUCHI, PRES Kiyoshi
Boda, mgn dir
Koji Maruyama, dir Futoshi
Okada, dir
Osamu Sekiya, dir
Yen Amount: In million Yen,
unless otherwise stated
FINANCES FAIR A/SALES Yen 21,464 M
PAYMENTS REGULAR CAPITAL Yen
2,408 M
TREND UP WORTH Yen 21,532 M
STARTED 1951 EMPLOYES 435
MFR SPECIALIZING IN TURBINES, PUMPS AND FASTENERS, WHOLLY OWNED BY
SUMITOMO HEAVY INDUSTRIES LTD.
FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.
The subject company was established originally in 1929 for mfg
industrial pumps & turbines and was incorporated in 1961. Specializes in mfg steam turbines and pumps
for overseas chemical makers and industrial fasteners mainly for automobile and
light electric makers. Features high
export ratio of power-generation turbines.
The firm was listed on the Tokyo S/E (Second Section) in Dec 1982 but
was de-listed in Apr 2004 when the firm was wholly taken over by Sumitomo Heavy
Industries Ltd (see REGISTRATION). Exports account for over 80% of total
sales. In July 2012 opened a subsidiary
office in Thailand. Domestic clients
include heavy machinery makers, wholesalers, other, nationwide
The sales volume for Mar/2013 fiscal term amounted to Yen 21,464
million, a 7% up from Yen 20,026 million in the previous term. Exports of turbines & pumps to Thailand,
Indonesia and other S/E Asian countries leaped.
Newly opened Thailand Office contributed. The recurring profit was posted at Yen 2,847
million and the net profit at Yen 2,088 million, respectively, compared with
Yen 2,075 million recurring profit and Yen 1,187 million net profit,
respectively, a year ago.
.
For the current term ending Mar 2014 the recurring profit is projected
at Yen 3,000 million and the net profit at Yen 2,200 million, respectively, on
a 5% rise in turnover, to Yen 22,500 million.
Exports continue rising.
The financial situation is considered FAIR and good for ORDINARY
business engagements.
Date Registered: 07
Dec 1951
Regd No.: 0107-01-015023
(Tokyo-Shinagawaku)
Legal Status: Limited Company (Kabushiki
Kaisha)
Authorized: 60 million shares
Issued:
17.39 million shares
Sum: Yen 2,408 million
Major shareholders
(%):
Sumitomo Heavy Industries Co
Ltd* (100)
*..Mfr of heavy electric machinery, one of Sumitomo Group core firms,
founded 1934, listed Tokyo, Osaka S/E’s, capital Yen 30,872 million, turnover
Yen 585,871 million, operating profit Yen 31,288 million, recurring profit Yen
30,997 million, net profit Yen 5,865 million, total assets Yen 647,724 million,
net worth Yen 292,826 million, employees 18,383, pres Shunsuke Betsukawa
Nothing detrimental is knows as to the commercial morality of
executives.
Activities: Manufactures
steam turbines (37%), process pumps (48%): for use in irrigation, rain water,
sewage treatment, industrial fasteners (13%), others (2%). (% is
all about)
(Export ratio 85%).
Clients: [Mfrs,
wholesalers] Nikki Shoji, Takuma Co, Shinsho Corp, Sumitomo Heavy Ind, Nissei
Co, Mitsubishi Heavy Ind, Samsung Engineering TD Power Systems Ltd, other
No. of accounts: 800
Domestic areas of activities: Nationwide
Suppliers: [Mfrs,
wholesalers] Seisa Gear, Pacific Sowa, Shinko Electric, Moriya Corp, Otofuji
Corp, Sinfonia Technologies, Meidensha, BRUSH, other.
Payment record: Regular
Location: Business area in
Tokyo. Office premises at the caption
address are owned by the parent, Sumitomo Heavy Industries, and maintained
satisfactorily.
Bank References:
· SMBC (Tokyo)
· MUFG (Shimbashi)
Relations: Satisfactory
(In Million Yen)
|
Terms Ending: |
31/03/2014 |
31/03/2013 |
31/03/2012 |
31/03/2011 |
|
|
Annual Sales |
|
22,500 |
21,464 |
20,026 |
18,253 |
|
Recur. Profit |
|
3,000 |
2,847 |
2,075 |
2,855 |
|
Net Profit |
|
2,200 |
2,088 |
1,187 |
1,563 |
|
Total Assets |
|
|
30,664 |
30,728 |
27,653 |
|
Current Assets |
|
|
19,196 |
22,291 |
23,679 |
|
Current Liabs |
|
|
7,550 |
9,136 |
6,597 |
|
Net Worth |
|
|
21,532 |
19,966 |
19,536 |
|
Capital, Paid-Up |
|
|
2,408 |
2,408 |
2,408 |
|
Div.P.Share(¥) |
|
|
|
|
|
|
<Analytical Data> |
(%) |
(%) |
(%) |
(%) |
|
|
S.Growth Rate |
4.83 |
7.18 |
9.71 |
-32.52 |
|
|
Current Ratio |
.. |
254.25 |
243.99 |
358.94 |
|
|
N.Worth Ratio |
.. |
70.22 |
64.98 |
70.65 |
|
|
R.Profit/Sales |
13.33 |
13.26 |
10.36 |
15.64 |
|
|
N.Profit/Sales |
9.78 |
9.73 |
5.93 |
8.56 |
|
|
Return On Equity |
.. |
9.70 |
5.95 |
8.00 |
|
Notes: Forecast (or estimated) figures for the 31/03/2014 fiscal term.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.59.14 |
|
|
1 |
Rs.99.02 |
|
Euro |
1 |
Rs.80.63 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
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.