MIRA INFORM REPORT

 

 

Report Date :

09.05.2014

 

IDENTIFICATION DETAILS

 

Name :

MIZUSHIMA FERROALLOY CO LTD

 

 

Registered Office :

1-1 Kawasakidori Mizushima Kurashiki City Okayama-Pref 712-8513

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

November 1964

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Manufactures manganese ferroalloys, ceramics, other

 

 

No. of Employees

179

 

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 :

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 Risk

 

A2

Moderately Low Risk

 

B1

Moderate Risk

 

B2

Moderately  High Risk

C1

High Risk

 

C2

Very High Risk

 

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 and address

 

MIZUSHIMA FERROALLOY CO LTD

REGD NAME:    Mizushima Gokintetsu KK

MAIN OFFICE:  1-1 Kawasakidori Mizushima Kurashiki City Okayama-Pref 712-8513 JAPAN

Tel: 086-444-4241      Fax: 086-45-1229

 

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

E-Mail address: (thru the URL)

 

 

ACTIVITIES  

 

Mfg of manganese ferroalloys, ceramics other

 

 

BRANCHES   

 

Okayama

 

 

OVERSEAS   

 

China (subsidiary maker)

 

 

FACTORIES  

 

At the caption address

 

 

OFFICERS

 

SHIZUKI KASAOKA, PRES        Tadanobu Masukawa, dir

Shoji Takahashi, dir                    Shoichi Hiwasa, dir

Yosuke Ueda, dir                       Iwao Okochi, dir

                       

Yen Amount:     In million Yen, unless otherwise stated

 

 


SUMMARY

 

FINANCES        FAIR                 A/SALES          Yen 32,963 M

PAYMENTSREGULAR   CAPITAL           Yen 1,257 M

TREND SLOW              WORTH            Yen 27,073 M   

STARTED         1964                 EMPLOYES      179

 

 

COMMENT    

 

MFR OF FERROALLOYS, OWNED BY JFE STEEL CORP.

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

           

           

HIGHLIGHTS

           

The subject company is JFE Steel Corp owned and specializes in mfg manganese ferroalloys, ceramics, other.  Operates mfg plant in South Africa.  Clients include steel makers, wholesalers, other, nationwide.

 

 

FINANCIAL INFORMATION

           

            The sales volume for Mar/2013 fiscal term amounted to Yen 32,963 million, a 6% down from Yen 34,953 million in the previous term.  The recurring profit was posted at Yen 2,582 million and the net profit at Yen 1,594 million, respectively, compared with Yen 1,141 million recurring profit and Yen 683 million net profit, respectively, a year ago.

 

            For the term that ended Mar 2014 the recurring profit was projected at Yen 2,600 million and the net profit at Yen 1,600 million, respectively, on a 3% rise in turnover, to Yen 23,950 million.  Final results are yet to be released.

 

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

 

 

REGISTRATION

 

Date Registered:  Nov 1964

Legal Status:      Limited Company (Kabushiki Kaisha)

Authorized:         38 million shares

Issued:                9.610,000 shares

Sum:                   Yen 1,257 million

Major shareholders (%): JFE Steel Corp* (100)

 

*.. Mfr of steel, Tokyo, founded 1950, capital Yen 239,614 million, sales Yen 2,499,814 million, operating profit Yen 2,580 million, recurring profit Yen 15,300 million, net loss Yen 27,627 million, total assets Yen 3,523,809 million, net worth Yen 1,170,066 million, employees 42,519, pres Eiji Hayashida

 

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

 

 

OPERATION

           

Activities: Manufactures manganese ferroalloys, ceramics, other (--100%)

 

Clients: [Mfrs, wholesalers] JFE Steel Corp, Kobe Steel, Tokyo Steel, other 

No. of accounts: 300

Domestic areas of activities: Nationwide

Suppliers: [Mfrs, wholesalers] Sumitomo Corp, JFE Shoji Trade Corp, Chuo Denki Kogyo, other

 

Payment record: Regular

 

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

 

Bank References:

Mizuho Bank (Mizushima)

Chugoku Bank (H/O)

Relations: Satisfactory

 

FINANCES

 

(In Million Yen)

       Terms Ending:

31/03/2014

31/03/2013

31/03/2012

31/03/2011

Annual Sales

 

33,950

32,963

34,953

39,855

Recur. Profit

 

2,600

2,582

1,141

5,972

Net Profit

 

1,600

1,594

683

3,620

Total Assets

 

 

35,913

34,436

34,364

Current Assets

 

 

17,464

22,517

 

Current Liabs

 

 

8,080

7,802

 

Net Worth

 

 

27,073

25,501

26,680

Capital, Paid-Up

 

 

1,257

1,257

1,257

Div.P.Share(¥)

 

 

74.93

0.00

194.40

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

2.99

-5.69

-12.30

21.28

    Current Ratio

 

..

216.14

288.61

..

    N.Worth Ratio

..

75.38

74.05

77.64

    R.Profit/Sales

 

7.66

7.83

3.26

14.98

    N.Profit/Sales

4.71

4.84

1.95

9.08

    Return On Equity

..

5.89

2.68

13.57

 

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

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.59.99

UK Pound

1

Rs.101.75

Euro

1

Rs.83.48

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

PDT

 

               

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%)

 

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.