MIRA INFORM REPORT

 

 

Report No. :

344540

Report Date :

10.10.2015

 

IDENTIFICATION DETAILS

 

Name :

OSAKA SYNTHETIC CHEMICAL LABORATORIES INC

 

 

Registered Office :

1-1-2 Nishinomiyahama Nishinomiya Hyogo-Pref 662-0934

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2015

 

 

Date of Incorporation :

March 1961

 

 

Com. Reg. No.:

1400-01-068188 (Hyogo-Nishinomiya)

 

 

Legal Form :

Limited Company (Kabushiki Kaisha)

 

 

Line of Business :

Manufacturer of Test Reagents, Pharmaceuticals, Industrial Chemicals.

 

 

No. of Employee :

235

 

 

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, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

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 an 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. Scarce in many natural resources, Japan has long been dependent on imported raw materials. Since the complete shutdown of Japan’s nuclear reactors after the earthquake and tsunami disaster in 2011, Japan's industrial sector has become even more dependent than it was previously on imported fossil 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 impressive - 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 aftereffects 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 four times since 2008. 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 of that year disrupted manufacturing. The economy has largely recovered in the four years since the disaster, although reconstruction in the affected Tohoku region has lagged, in part due to a shortage of labor in the construction sector. Japan enjoyed a sharp uptick in growth in 2013 on the basis of Prime Minister Shinzo Abe’s “Three Arrows” economic revitalization agenda - dubbed “Abenomics” - of monetary easing, “flexible” fiscal policy, and structural reform. Abe’s government has replaced the preceding administration’s plan to phase out nuclear power with a new policy of seeking to restart nuclear power plants that meet strict new safety standards, and emphasizing nuclear energy’s importance as a base-load electricity source. Japan joined the Trans-Pacific Partnership (TPP) 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 2014 stood as the fourth-largest economy in the world after first-place China, which surpassed Japan in 2001, and third-place India, which edged out Japan in 2012. While seeking to stimulate and reform the economy, the government must also devise a strategy for reining in Japan's huge government debt, which amounts to more than 230% of GDP. To help raise government revenue, Japan adopted legislation in 2012 to gradually raise the consumption tax rate to 10% by 2015, beginning with a hike from 5% to 8% implemented in April 2014. That increase had a contractionary effect on GDP, however, so PM Abe in late 2014 decided to postpone the final phase of the increase until April 2017 to give the economy more time to recover. Led by the Bank of Japan’s aggressive monetary easing, Japan is making progress in ending deflation, but demographics - low birthrate and an aging, shrinking population - pose major long-term challenges for the economy.

 

Source : CIA

 

Company name

 

OSAKA SYNTHETIC CHEMICAL LABORATORIES INC

 

 

REGD NAME

 

KK Osaka Gosei Yuki Kagaku Kenkyusho

 

 

MAIN OFFICE

 

1-1-2 Nishinomiyahama Nishinomiya Hyogo-Pref 662-0934 JAPAN

Tel: 0798-22-5840      Fax: 0798-22-5845

 

 

URL

 

http://www.tec-osc.co.jp

E-Mail address: (thru the URL)

 

 

ACTIVITIES

 

Mfg of test reagents, pharmaceuticals, industrial chemicals

 

 

BRANCHES

 

Nil

 

 

FACTORIES

 

Hyogo (3), Okayama

 

 


OFFICERS

 

KOICHI SASAMOTO, PRES       Yasuaki Matsumura, s/mgn dir

Masao Okuta, mgn dir               Akitoshi Ando, dir

Shingo Matsumoto, dir              Hitoshi Yahara, dir

                       

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY

 

FINANCES        FAIR                 A/SALES          Yen 5,800 M

PAYMENTSREGULAR   CAPITAL           Yen 35 M

TREND UP                    WORTH            Yen 2,325 M     

STARTED         1981                 EMPLOYES      235

 

 

COMMENT

 

MFR OF REAGENTS, PHARMACEUTICALS, OWNED BY KANEKA CORP.

 

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

           

 

HIGHLIGHTS

           

The subject company was established on the basis of a division separated from Kaneka Corporation (See REGISTRATION).  The firm specialized in mfg pharmaceuticals, materials, intermediates, test reagents, industrial chemicals, other.  Goods are exported.  Clients include chemical mfrs, pharmaceutical mfrs, wholesalers, other, nationwide

 

 

FINANCIAL INFORMATION

           

Financials are disclosed only partially.

 

The sales volume for Mar/2015 fiscal term amounted to Yen 5,800 million, a 21% up from Yen 4,800 million in the previous term.  Pharmaceuticals, particularly reagents, sold well.  The net profit was posted at Yen 616 million, compared with Yen 531 million a year ago.

 

For the current term ending Mar 2016 the net profit is projected at Yen 635 million, on a 5% rise in turnover, to Yen 6,100 million.  Business is seen expanding steadily.

 

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

 

 

REGISTRATION

 

Date Registered:           Mar 1961

Regd No.:         1400-01-068188 (Hyogo-Nishinomiya)

Legal Status:       Limited Company (Kabushiki Kaisha)

Authorized:         280,000 shares

Issued:                70,000 shares

Sum:                   Yen 35 million

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

 

*.. Leading mfr of PVC resins, Osaka, founded 1949, listed Tokyo, Nagoya S/E’s, capital Yen 33,046 million, sales Yen 552,189 million, operating profit Yen 24,635 million, recurring profit Yen 24,752 million, net profit Yen 18,023 million, total assets Yen 557,962  million, net worth Yen 298,260 million, employees 8,529, pres Mamoru Kadokura

 

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

 

 

OPERATION

           

Activities: Manufactures pharmaceuticals, materials, intermediates (70%), test reagents (20%), industrial chemicals, others (--10%)

Clients: [Mfrs, wholesalers] Kanaka Corp (20%), Sanofi KK, Takeda Chemical Ind, Mitsubishi Chemical, Japan Tobacco Inc, Mitsubishi Tanabe Pharma Corp, Sumitomo Dainippon Pharma Co, Nippon Shinyaku Co, other 

No. of accounts: 500

Domestic areas of activities: Nationwide

Suppliers: [Mfrs, wholesalers] Nagase & Co, Inoue Mago Co, Nakano Fine Chemical, Shimizu Ind, Fuji Chemicals, Wako Pure Chemical Ind, Kenko Corp, Kanto Kagaku, other

Payment record: Regular

 

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

 

Bank References:

            SMBC (Nishinomiya)

Mizuho Bank (Amagasaki)

Relations: Satisfactory

 

 


FINANCES

 

(In Million Yen)

Terms Ending:

 

31/03/2016

31/03/2015

31/03/2014

31/03/2013

Annual Sales

 

6,100

5,800

4,800

3,737

Recur. Profit

 

..

 

..

..

Net Profit

 

635

616

531

227

Total Assets

 

 

6,205

4,860

4,623

Net Worth

 

 

2,585

2,234

1,862

Capital, Paid-Up

 

 

35

35

35

Div.P.Share(¥)

 

 

0.00

0.00

0.00

<Analytical Data>

 

(%)

(%)

(%)

(%)

    S.Growth Rate

 

5.17

20.83

28.45

21.06

    Current Ratio

 

 

..

..

..

    N.Worth Ratio

 

 

41.66

45.97

40.28

    N.Profit/Sales

 

10.41

10.62

11.06

6.07

 

Notes: Financials are only partially disclosed.

 

Forecast (or estimated) figures for the 31/03/2016 fiscal term.

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.64.78

UK Pound

1

Rs.99.54

Euro

1

Rs.73.08

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

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%)

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