MIRA INFORM REPORT

 

 

Report No. :

317616

Report Date :

14.04.2015

 

IDENTIFICATION DETAILS

 

Name :

FUJI CHEMICAL INDUSTRY CO LTD

 

 

Registered Office :

55 Yokohoonji Kamiichimachi Nakaniikawa-gun Toyama-Pref 930-0355

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

October 1946

 

 

Com. Reg. No.:

230001004848

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Manufactures: Pharmaceutical products/synthesis, bulk pharmaceuticals products, food additives, health foods, other (--100%)

 

 

No. of Employees :

409

 

 

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

 

Maximum Credit Limit :

Yen 223.6 Million

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 – December 31, 2014

 

Country Name

Previous Rating

(30.09.2014)

Current Rating

(31.12.2014)

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 & address

 

FUJI CHEMICAL INDUSTRY CO LTD

 

 

REGD NAME

 

Fuji Kagaku Kogyo KK

 

 

MAIN OFFICE

 

55 Yokohoonji Kamiichimachi Nakaniikawa-gun Toyama-Pref 930-0355 JAPAN

Tel: 076-472-2323      Fax: 076-472-2330

 

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

E-Mail address: (thru the URL)

 

ACTIVITIES:     Mfg of pharmaceuticals, health foods

BRANCHES:     Tokyo, Osaka

OVERSEAS:     India

FACTORIES:    At the caption address (2)

 

OFFICERS:       MITSUNORI NISHIDA, PRES      Hiroki Tsukahara, dir

                        Takashi Fujii, dir                                    Yoko Nishida, dir

                       

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY

 

FINANCES        FAIR                             A/SALES          Yen 10,859 M

PAYMENTSNO COMPLAINTS    CAPITAL           Yen 100 M

TREND UP                                WORTH            Yen 5,893 M    

STARTED         1948                             EMPLOYES      409

 

COMMENT:      MFR OF PHARMACEUTICALS.  FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

                       

MAX CREDIT LIMIT: ESTIMATED AT YEN 223.6 MILLION, ON 30 DAYS  NORMAL TERMS.

 

 

HIGHLIGHTS

           

This is a specialized mfr of pharmaceuticals, health foods, food additives, other.  Goods are widely exported to USA, Europe, Asian countries, other.  Clients include pharmaceutical makers, wholesalers, other, nationwide

 

 

FINANCIAL INFORMATION

           

The sales volume for Mar/2014 fiscal term amounted to Yen 10,859 million, a 13% up  from Yen 9,639 million in the previous term.  Productions increased by the enlarged mfg factory of a subsidiary.  The recurring profit was posted at Yen 1,524 million and the net profit at Yen 864 million, respectively, compared with Yen 1,716 million recurring profit and Yen 30 million net losses, respectively, a year ago.

 

For the term that ended Mar 2015 the recurring profit was projected at Yen 1,600 million and the net profit at Yen 950 million, respectively, on a 6% rise in turnover, to Yen 11,500 million. 

Final results are yet to be released.

 

The financial situation is considered FAIR and good for ORDINARY business engagements.  Max credit limit is estimated at Yen 223.6 million, on 30 days normal terms.

 

 

REGISTRATION

    

Date Registered:                       Oct 1946

Regd No.:                                 230001004848 (Toyama-Nakaniikawagun)

Legal Status:                Limited Company (Kabushiki Kaisha)

Authorized:                  8 million shares

Issued:                         2 million shares

Sum:                            Yen 100 million

Major shareholders (%):           Employees’ S/Holding Assn (33), Fuji Chemical Trading (29),Executives’ S/Holding

Assn (9)

  No. of shareholders: 12

 

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

 

 

OPERATION

           

Activities: Manufactures: Pharmaceutical products/synthesis, bulk pharmaceuticals products, food additives, health foods, other (--100%)

 

Clients: [Mfrs, wholesalers] Astellas Pharma Inc, Takeda Chemical Ind, Kowa Co, Daiichi Sankyo Co, Kissei Pharmaceutical, Pfizer Japan Inc, Eizai Corp, Ono Pharmaceutical, other

Exports to: USA, Europe, UK, Indonesia, Taiwan, Thailand, Korea, India, other

No. of accounts: 500

Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Kanamori Ind, Kowa Inc, Nagase Corp, other

 

Payment record: No Complaints

 

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

 

Bank References:

Shoko Chukin Bank (Toyama)

Hokkoku Bank (Toyama)

Relations: Satisfactory

 

 

FINANCES

 

(In Million Yen)

Terms Ending:

31/03/2015

31/03/2014

31/03/2013

31/03/2012

Annual Sales

 

11,500

10,859

9,639

9,055

Recur. Profit

 

1,600

1,524

1,716

 

Net Profit

 

950

864

-30

219

Total Assets

 

 

17,679

14,570

14,553

Current Assets

 

 

8,231

6,719

 

Current Liabs

 

 

5,264

4,071

 

Net Worth

 

 

5,893

4,935

4,921

Capital, Paid-Up

 

 

100

100

100

Div.Ttl in Million (¥)

 

 

6.3

5.8

5.8

<Analytical Data>

 

(%)

(%)

(%)

(%)

    S.Growth Rate

 

5.90

12.66

6.45

14.95

    Current Ratio

 

..

156.36

165.05

..

    N.Worth Ratio

 

..

33.33

33.87

33.81

    R.Profit/Sales

 

13.91

14.03

17.80

..

    N.Profit/Sales

 

8.26

7.96

-0.31

2.42

    Return On Equity

 

..

14.66

-0.61

4.45

 

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

 

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.62.39

UK Pound

1

Rs.91.05

Euro

1

Rs.66.16

 

 

INFORMATION DETAILS

 

Analysis Done by :

SUB

 

 

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%)

 

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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.