MIRA INFORM REPORT

 

 

Report Date :

04.10.2014

 

IDENTIFICATION DETAILS

 

Name :

DAICEL FINE CHEM LTD

 

 

Registered Office :

Sumitomo Ginko Asakusabashi Minami Bldg 7F, 2-1-1 Nihombashi-Bakurocho  Chuoku Tokyo 103-0002

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

July, 1969

 

 

Com. Reg. No.:

0100-01-049777 (Tokyo-Chuoku)

 

 

Legal Form :

Limited Company (Kabushiki Kaisha)

 

 

Line of Business :

Import, export, wholesale of industrial chemicals

 

 

No. of Employees :

90

 

 

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 and Address

 

DAICEL FINE CHEM LTD

 

REGD NAME:    Daicel Fine Chem KK

 

MAIN OFFICE:  Sumitomo Ginko Asakusabashi Minami Bldg 7F, 2-1-1 Nihombashi-Bakurocho

                                    Chuoku Tokyo 103-0002 JAPAN

Tel: 03-5643-3580      Fax: 03-5643-3586

 

                        *.. The is its Osaka Office

 

URL:                 http://www.daicelfinechem.jp

E-Mail address: (thru the URL)

 

 

ACTIVITIES

 

Import, export, wholesale of industrial chemicals

 

 

BRANCHES

 

Osaka, Hokkaido, Himeji, Niigata

 

 

OVERSEAS

 

China (subsidiary)

 

 

OFFICERS

 

TENPEI NOMURA, PRES          Yukihisa Akashi, dir

Yoshinori Shimomaki, dir            Tohru Nishimura, dir

Shuji Maishi, dir                         Hideki Ueda, dir

                       

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY

 

FINANCES        FAIR                             A/SALES          Yen 11,514 M

PAYMENTSNO COMPLAINTS    CAPITAL           Yen 70 M

TREND STEADY                       WORTH            Yen 3,031 M     

STARTED         1969                             EMPLOYES      90

 

 

COMMENT

 

TRADING FIRM SPECIALIZING IN INDUSTRIAL CHEMICALS.

 

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

 

 

HIGHLIGHTS

           

The subject company was established on the basis of a merger of Daicel Kaseihin Ltd and Daicel Craft Ltd (all Daicel Group firms), named as Daicel Fine Chem Ltd as above.  This is a trading firm for import, export and wholesale of industrial chemicals (See OPERATION).  70% of the products are supplied by the parent and its group firms. 

 

 

FINANCIAL INFORMATION

           

Financials are disclosed only partially for the 31/03/2014 fiscal term.

 

The sales volume for Mar/2014 fiscal term amounted to Yen 11,514 million, a 2% down from Yen 11,743 million in the previous term.  The net profit was posted at Yen 538 million, compared with Yen 57 million a year ago.  Some extraordinary profits/incomes are involved, but no details revealed.

 

For the current term ending Mar 2015 the net profit is projected at Yen 75 million, on a 4% rise in turnover, to Yen 12,000 million.

 

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

 

 

REGISTRATION

 

Date Registered:          Jul 1969

Regd No.:                                 0100-01-049777 (Tokyo-Chuoku)

Legal Status:               Limited Company (Kabushiki Kaisha)

Authorized:                  560,000 shares

Issued:                         140,000 shares

Sum:                            Yen 70 million

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

 

*.. Mfr of organic chemicals & cellulose acetate, Osaka, listed Tokyo S/E, capital Yen 36,275 million, sales Yen 413,786 million, operating profit Yen 37,912 million, recurring profit Yen 41,433 million, net profit Yen 2,843 million, total assets Yen 509,834 million, net worth Yen 268,611 million, employees 9,700, pres Misao Fudaba

 

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

 

 

OPERATION

           

Activities: Imports, exports and wholesales polymers, other (--100%)

 

(Handling Items):

WSP Marketing Div: Sodium and calcium carboxymethyl cellulose (CMC), hydroxyethyl cellulose (HEC) and micro fibrillated products;

Polymer Marketing Div: Polyvinyl acetate emulsions, polyacrylic emulsions, hot-melt resins and other adhesives, civil engineering & construction materials for floor coverings, exterior furnishing & paintings.

 

Clients: [Mfrs, wholesalers] Daicel Corp (30%), Fujifilm Corp, Gotoku Chemical Co, Nchirin Chemical Ind, Japan Tobacco Inc, other 

No. of accounts: 300

Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Daicel Corp (70%), Mitsui & Co, Mitsubishi Corp, Nichirin Chemical Ind, Dynic Corp, other.

Imports from China, Hong Kong, other

 

Payment record: No Complaints

 

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

 

Bank References:

            SMBC (Osaka)

            MUFG (Kyobashi-Chuo)

            Relations: Satisfactory

 

 

FINANCES

(In Million Yen)

 

Terms Ending:

　

31/03/2015

31/03/2014

31/03/2013

31/03/2012

Annual Sales

　

12,000

11,514

11,743

12,582

Recur. Profit

　

..

..

841

991

Net Profit

　

75

538

57

575

Total Assets

　

　

N/A

4,998

5,158

Net Worth

　

　

3,031

2,655

2,427

Capital, Paid-Up

　

　

70

70

70

Div.P.Share(¥)

　

　

0.00

0.00

0.00

<Analytical Data>

　

(%)

(%)

(%)

(%)

    S.Growth Rate

　

4.22

-1.95

-6.67

-2.86

    Current Ratio

　

　

..

..

..

    N.Worth Ratio

　

　

..

53.12

47.05

    N.Profit/Sales

　

0.63

4.67

0.49

4.57

 

Notes: Financials are only partially disclosed for the 31/03/2014 fiscal term.

 

Forecast (or estimated) figures for the 31/03/2015 fiscal term.

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.61.75

UK Pound

1

Rs.100.07

Euro

1

Rs.77.95

 

INFORMATION DETAILS

 

Analysis Done by :

SUM

 

 

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.