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MIRA INFORM REPORT
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Report No. : |
495351 |
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Report Date : |
01.03.2018 |
IDENTIFICATION DETAILS
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Name : |
METAL ONE CORPORATION |
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Registered Office : |
JP Tower, 2-7-2 Marunouchi Chiyodaku Tokyo 100-0005 |
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Country : |
Japan |
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Financials (as on) : |
31.03.2017 |
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Date of Incorporation : |
January 2003 |
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Com. Reg. No.: |
0104-01-049321 |
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Legal Form : |
Limited Company |
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Line of Business : |
Imports, Exports and Wholesales Steel Products |
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No. of Employees : |
1,139 |
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+ |
Low Risk |
Business dealings permissible with low
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 2016 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 second country to ratify the TPP in
December 2016; the United States signaled its withdrawal from the TPP on
January 23, 2017, and as of April 2017 the agreement has not gone into effect.
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Source
: CIA |
Company
name & address
METAL ONE CORPORATION
REGD NAME: KK
Metal One
MAIN
OFFICE: JP Tower, 2-7-2
Marunouchi Chiyodaku Tokyo 100-0005 JAPAN
Tel:
03-6400-2000 Fax: 03-6400-2939
E-Mail address: info@mtlo.co.jp
ACTIVITIES
Specialized
trading house for steel products
BRANCHES
Domestic: Osaka, Nagoya, Hiroshima, Fukuoka,
other (Tot 14) Affiliated firms: 6 subsidiaries, named as Metal One plus area,
such as Metal ne Kyushu, etc)
OVERSEAS
Overseas: Americas (24), Europe (14
including Russia), Asia/Oceania (39, Including 9 in China), Mid East/Africa
(16)
OFFICERS
SHUICHI IWATA,
PRES Takehiro Honda, v pres
Kanji Nishiura,
dir Kotaro Tsukamoto,
dir
Shigeru Nishihara,
dir Yuichi Tai, mgn dir
Yen Amount: In
million Yen, unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 957,973 M
PAYMENTS REGULAR CAPITAL Yen 100,000 M
TREND SLOW WORTH Yen
209,160 M
STARTED 2003 EMPLOYES 1,139
COMMENT
TRADING HOUSE SPECIALIZING IN STEEL PRODUCTS, JOINTLY OWNED BY MITSUBISHI CORP AND SOJITZ CORP. FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.
HIGHLIGHTS
The subject company was established jointly on the basis of steel products divisions separated from each Mitsubishi Corp and the then Nissho Iwai Corporation (now Sojitz Corporation) in order to integrate steel business operations. This is a specialized trading house for import, export and wholesale of steel products, stainless steel products, and other metal products. The operations are composed of five core business divisions: Steel Plate, Tube & Construction Materials Div; Steel Sheet Products, Automotive Steel Products Business Div; Wire & Specialty Steel, Stainless Steel Div; International Steel Operation Div; and Energy Project International Business Div. For operation details see OPERATION. Has taken equity position of 20% in Usiminas SA (South America), and will proceed to expand operations in Brazil. Metal One Corporation India Pvt. Ltd: founded in Jun/2008, headquartered in New Delhi, has branches in Mumbai, Chennai and Kolkata. The firm is actively expanding operations in India, China and other emerging nations. It is planning to increase capital share in JV in Brazil. In Oct 2014 Metal One Structural Steel & Resource Corp and Mitsui & Co’s steel division merged to work together on structural steel business.
FINANCIAL
INFORMATION
The sales volume for Mar/2017 fiscal term amounted to Yen 957,973 million, a 7% down from Yen 1,026,934 million in the previous term. The recurring profit was posted at Yen 13,121 million and the net profit at Yen 15,442 million, respectively, compared with Yen 13,725 million recurring profit and Yen 21,264 million net profit, respectively, a year ago.
For the current term ending Mar 2018 the recurring profit is projected at Yen 13,500 million and the net profit at Yen 16,000 million, respectively, on a 3% rise in turnover, to Yen 986,700 million.
The financial situation is considered FAIR and good for ORDINARY business engagements.
REGISTRATION
Date Registered: Jan
2003
Regd No.:
0104-01-049321
(Tokyo-Minatoku)
Legal Status: Limited
Company (Kabushiki Kaisha)
Authorized: 8
million shares
Issued: 2
million shares
Sum: Yen
100,000 million
Major
shareholders (%): Mitsubishi Corp (60),
Sojitz Corp (40)
No. of shareholders: 2
Nothing detrimental
is known as to the commercial morality of executives.
OPERATION
Activities: Imports, exports and wholesales steel products (--100%):
Exports (45%)
(Handling items by
Divisions)
Business Division A: heavy & medium plates, structural pipes, piping materials, steel bars, wide flange beams, general steel shapes, lightweight steel shapes, steel sheet piles, steel pipe piles, other structural steel, processed ferrous raw materials;
Business
Division B: hot rolled plates & sheets, cold rolled steel plates & sheets,
surface-treated steel plates & sheets, electrical sheets, tinned steel
plates & sheets;
Business
Division C: line pipes, oil country tubular goods (OCTGs), steel pipe piles, steel
sheets, steel plates, steel shapes, round bars, semi-finished products;
Wire,
Specialty Steel & Stainless Steel Division: (Wire rod sector): wire rods &
secondary & tertiary wire rod products, specialty steel sector, structural
steel, alloy steel, spring steel, ball-bearing steel, specialty steel sheets,
free-cutting steel, heat-resistant steel, tool steel; (Stainless steel sector): stainless steel plates, sheets, strips,
pipes, bar steel, shapes, round bars, stainless steel processed products,
stainless steel scrap, titanium products, other
Clients: [Mfrs,
wholesalers] Mitsubishi Heavy Ind, Mitsubishi Motors, Mitsubishi Electric,
Suzuki Motors, Nissan Motors, other.
No. of accounts:
1,000
Domestic areas of
activities: Nationwide
Suppliers: [Mfrs,
wholesalers] Nippon Steel & Sumitomo Metal Corp, JFE Steel, Kobe Steel,
Nisshin Steel, other
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Payment record: Regular
Location: Business area in Tokyo. Office premises at the caption address are leased and maintained satisfactorily.
Bank References:
MUFG (H/O)
Mizuho Bank (H/O)
Relations: Satisfactory
FINANCES
(In Million Yen)
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Terms Ending: |
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31/03/2018 |
31/03/2017 |
31/03/2016 |
31/03/2015 |
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Annual
Sales |
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986,700 |
957,973 |
1,026,934 |
1,184,860 |
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Recur.
Profit |
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13,500 |
13,121 |
13,725 |
.. |
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Net
Profit |
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16,000 |
15,442 |
21,264 |
12,194 |
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Total
Assets |
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480,163 |
489,712 |
561,956 |
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Net
Worth |
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209,160 |
202,482 |
198,374 |
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Capital,
Paid-Up |
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100,000 |
100,000 |
100,000 |
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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 |
-6.72 |
-13.33 |
-2.53 |
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Current Ratio |
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.. |
.. |
.. |
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N.Worth Ratio |
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43.56 |
41.35 |
35.30 |
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N.Profit/Sales |
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1.62 |
1.61 |
2.07 |
1.03 |
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 65.10 |
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1 |
INR 94.44 |
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Euro |
1 |
INR 79.59 |
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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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PRA |
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Report Prepared
by : |
TRU |
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
·
Industry
scenario / competitor analysis
·
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.