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MIRA INFORM REPORT
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Report No. : |
503377 |
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Report Date : |
11.04.2018 |
IDENTIFICATION DETAILS
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Name : |
TOYO SEIKAN CO LTD |
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Registered Office : |
Osaki Forest Bldg, 2-18-1 Higashi-Gotanda
Shinagawaku Tokyo 141-0022 |
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Country : |
Japan |
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Financials (as on) : |
31.03.2017 |
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Date of Incorporation : |
Apr 2012 |
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Com. Reg. No.: |
0107-01-026389 |
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Legal Form : |
Limited Company |
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Line of Business : |
Manufactures food/beverage containers, plastic bottles,
machinery for food packaging & packaging systems |
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No. of Employees : |
3,386 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
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MIRA’s Rating : |
A |
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Credit Rating |
Explanation |
Rating Comments |
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A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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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
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Country Name |
Previous Rating (30.09.2017) |
Current Rating (31.12.2017) |
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Japan |
A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low Risk |
A2 |
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Moderately Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderately High Risk |
C1 |
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High Risk |
C2 |
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Very High Risk |
D |
JAPAN - ECONOMIC
OVERVIEW
Over the past 70 years, government-industry cooperation, a strong work ethic, mastery of high technology, and a comparatively small defense allocation (slightly less than 1% of GDP) have helped Japan develop an advanced economy. Two notable characteristics of the post-World War II 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 have significantly eroded under the dual pressures of global competition and domestic demographic change.
Measured on a purchasing power parity basis that adjusts for price differences, Japan in 2017 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. For three postwar decades, overall real economic growth was impressive - a 10% average in the 1960s, 5% in the 1970s, and 4% in the 1980s. Growth slowed markedly in the 1990s, averaging just 1.7%, largely because of the aftereffects of inefficient investment and the collapse of an asset price bubble in the late 1980s, which entailed considerable 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.
Japan enjoyed an 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. Led by the Bank of Japan’s aggressive monetary easing, Japan is making modest progress in ending deflation, but demographic decline – a low birthrate and an aging, shrinking population – poses a major long-term challenge for the economy. The government currently faces the quandary of balancing its efforts to stimulate growth and institute economic reforms with the necessity of addressing its sizable public debt, which stands at 235% of GDP. To help raise government revenue, Japan adopted legislation in 2012 to gradually raise the consumption tax rate. However, the first such increase, in April 2014, led to another recession, so Prime Minister ABE has twice postponed the next increase, now scheduled for October 2019. Structural reforms to unlock productivity are seen as central to strengthening the economy in the long-run.
Scarce in critical natural resources, Japan has long been dependent on imported energy and raw materials. After the complete shutdown of Japan’s nuclear reactors following the earthquake and tsunami disaster in 2011, Japan's industrial sector has become even more dependent than before on imported fossil fuels. However, ABE’s government is seeking to restart nuclear power plants that meet strict new safety standards and is emphasizing nuclear energy’s importance as a base-load electricity source. In August 2015, Japan successfully restarted one nuclear reactor at the Sendai Nuclear Power Plant in Kagoshima prefecture, and several other reactors around the country have since resumed operations; however, opposition from local governments has delayed several more restarts that remain pending. Reforms of the electricity and gas sectors, including full liberalization of Japan’s energy market in April 2016 and gas market in April 2017, constitute an important part of Prime Minister Abe’s economic program.
In October 2015, Japan and 11 trading partners reached agreement on the Trans-Pacific Partnership (TPP), a pact that had promised to open Japan's economy to increased foreign competition and create new export opportunities for Japanese businesses. Japan was the first country to ratify the TPP in December 2016; the United States signaled its withdrawal from the TPP in January 2017, and in November 2017 the remaining 11 countries agreed on the core elements of a modified agreement, which they renamed the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).
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Source
: CIA |
Company
Name And address
TOYO SEIKAN CO LTD
REGD NAME: Toyo
Seikan KK
MAIN OFFICE: Osaki
Forest Bldg, 2-18-1 Higashi-Gotanda Shinagawaku Tokyo 141-0022 JAPAN
Tel:
03-4514-2300 Fax: 03-3280-8111
URL: http://www.toyo-seikan.co.jp
E-Mail
address: (thru the URL)
ACTIVITIES: Mfg of food/beverage containers, plastic
bottles, etc
BRANCHES: Saitama, Yokohama, other (Tot 2)
OVERSEAS: China (3), Thailand (7), Vietnam
(--subsidiaries)
FACTORIES: Hokkaido, Miyagi, Ibaraki, Saitama, other
(Tot 14)
OFFICERS:
ICHIO
OTSUKA, PRES Toshiyasu Gomi,
s/mgn dir
Masashi
Atofumi, s/mgn dir Keiji Nakai,
s/mgn dir
Norihito
Saeki, dir
Yen Amount: In million Yen, unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 273,763 M
PAYMENTS REGULAR CAPITAL Yen 1,000 M
TREND SLOW WORTH Yen
277,130 M
STARTED 2012 EMPLOYES 3,386
COMMENT
MFG OF FOOD/BEVERAGE CONTAINERS, OTHER.
FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR
ORDINARY BUSINESS ENGAGMENTS.
HIGHLIGHTS
This is the top-ranked mfr of
food/beverage containers and plastic bottles, maintaining overwhelming market
share. First specialized can producer
set up in 1917. Current firm emerged
from 1941 merger of 7 can makers. Moved
into plastic containers in 1962. Strong
in overseas business, having mfg factories in China, Asia, USA, other. In Apr 2013, the firm founded a holding
company, Toyo Seikan Group Holdings Ltd (See REGISTRATION), and became its subsidiary, but in 2012 separated as
an independent firm under the Holding Company.
FINANCIAL
INFORMATION
The sales
volume for Mar/2017 fiscal term amounted to Yen 273,763 million, an 8% down
from Yen 296,892 million in the previous term.
The recurring profit was posted at Yen 9,509 million and the net losses
at Yen 2,312 million, respectively, compared with Yen 2,379 million recurring
profit and Yen 3,883 million profit, respectively, a year ago.
For the
current term ending Mar 2018 the recurring profit is projected at Yen 12,500
million and the net profit at Yen 4,000 million, respectively, on a 3% rise in
turnover, to Yen 281,280 million.
The
financial situation is considered FAIR and good for ORDINARY business
engagements.
REGISTRATION
Date
Registered: Apr 2012
Regd
No.: 0107-01-026389
(Tokyo-Shinagawaku)
Legal
Status: Limited Company (Kabushiki Kaisha)
Authorized:
80,000 shares
Issued:
20,000 shares
Sum:
Yen 1,000 million
Major
shareholders (%): Toyo Seikan Group Holdings Ltd* (100)
*.. Holding Company, founded 2013, listed Tokyo S/E, capital Yen 11,094 million, sales Yen 779,469 million, operating profit Yen 35,184 million, recurring profit Yen 36,107 million, net profit Yen 12,190 million, total assets Yen 1,148,144 million, net worth Yen 727,829 million, employees 18,490, pres Takao Nakai
Nothing detrimental is known as to the commercial morality of executives.
OPERATION
Activities: Manufactures
food/beverage containers, plastic bottles, machinery for food packaging &
packaging systems, other (--100%)
(Items
manufactured):
Beverage
Packaging: cans, PET bottles;
Food
Packaging: cans, plastic bottles, cups, pouches;
Lifestyle
% Household Products: plastic bottles, pouches, aerosol
cans;
Industrial
Use Cans; cans, other
Clients:
[Mfrs, wholesalers] Suntory Business Expert, Asahi Soft Drinks, UACJ, Itoen,
Coca Cola Business Sourcing, Asahi Brewery, other
No.
of accounts: 350
Domestic
areas of activities: Nationwide
Suppliers:
[Mfrs, wholesalers] Toyo Kohan, Sumitomo Corp, Mitsui & Co, UACJ,
Mitsubishi Shoji Plastic, Nippon Unipet, Tokan Trading, Mitsubishi Shoji
Plastics, other
Payment record: Regular
Location:
Business area in Tokyo. Office premises
at the caption address are leased and maintained satisfactorily.
Bank References:
SMBC
(Hibiya)
MUFG
(Toranomon-Chuo)
Relations:
Satisfactory
FINANCES
(In Million Yen)
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Terms Ending: |
31/03/2018 |
31/03/2017 |
31/03/2016 |
31/03/2015 |
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Annual
Sales |
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281,980 |
273,763 |
296,892 |
297,534 |
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Recur.
Profit |
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12,500 |
11,947 |
9,509 |
2,379 |
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Net
Profit |
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4,000 |
-2,312 |
3,883 |
-9,611 |
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Total
Assets |
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306,537 |
343,375 |
330,746 |
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Current
Assets |
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159,710 |
162,951 |
152,979 |
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Current
Liabs |
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61,590 |
68,328 |
67,254 |
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Net
Worth |
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277,130 |
255,112 |
251,229 |
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Capital,
Paid-Up |
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1,000 |
1,000 |
1,000 |
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Div.P.Share(¥) |
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0.00 |
0.00 |
0.00 |
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<Analytical Data> |
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(%) |
(%) |
(%) |
(%) |
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S.Growth Rate |
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3.00 |
-7.79 |
-0.22 |
-6.47 |
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Current Ratio |
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259.31 |
238.48 |
227.46 |
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N.Worth Ratio |
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90.41 |
74.30 |
75.96 |
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R.Profit/Sales |
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4.43 |
4.36 |
3.20 |
0.80 |
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N.Profit/Sales |
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1.42 |
-0.84 |
1.31 |
-3.23 |
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Return On Equity |
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.. |
-0.83 |
1.52 |
-3.83 |
Notes:
Forecast (or estimated) figures for the 31/03/2018 fiscal term.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
INR 64.94 |
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1 |
INR 91.75 |
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Euro |
1 |
INR 79.90 |
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YEN |
1 |
INR 0.61 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
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Analysis Done by
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NIY |
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Report Prepared
by : |
KET |
RATING EXPLANATIONS
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Credit Rating |
Explanation |
Rating Comments |
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A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
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A+ |
Low Risk |
Business dealings permissible with low
risk of default |
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A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
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B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
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C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
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D |
High Risk |
Business dealing not recommended or on
secured terms only |
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NB |
New Business |
No recommendation can be done due to
business in infancy stage |
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NT |
No Trace |
No recommendation can be done as the
business is not traceable |
NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.
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 are as follows:
·
Financial
condition covering various ratios
·
Company
background and operations size
·
Promoters
/ Management background
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Payment
record
·
Litigation
against the subject
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Industry
scenario / competitor analysis
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Supplier
/ Customer / Banker review (wherever available)
This report is issued at
your request without any risk and responsibility on the part of MIRA INFORM
PRIVATE LIMITED (MIPL) or its officials.