[Company analysis] Mitsui Mining & Smelting Co., Ltd. (三井金属鉱業)

「Mitsui Mining & Smelting Co., Ltd. (三井金属鉱業)」is one of the「Mitsui Group」and they conducts metal refining and manufacturing of electronic materials and automobile parts. Originally, this company was a nonferrous metal manufacturer, but they succeeded in business strategic diversification. The number of consolidated employees is approximately 12,498.

 

1. Company Profile

2. Summary and Features

3. Major Business

4. Financial Information

 

 

 

1. Company Profile

 

※Unit is JPY million, as of 2019

Company name	Mitsui Mining & Smelting Co., Ltd.
Company name (Japanese)	三井金属鉱業
Date of establishment	Monday, May 1, 1950
Headquarters location	〒141-8584 東京都品川区大崎1-11-1
Capital	42,129
Consolidated sales	497,701
Consolidated operating profit	18,222
Consolidated total assets	523,315
Consolidated capital	179,673
Capital adequacy ratio	34.3%
Consolidated number of employees	12,498

 

 

 

2. Summary and Features

 
「Mitsui Mining & Smelting」was started from the Kamioka Mine mining business and they were a part of「Mitsui Mining(三井鉱山)」. but, in 1945,  by the GHQ's conglomerate dismantling policy, this company was seperated from Mitsu Mining. Right after its establishment, the price of metal sharply increased due to the Korean War, so they acheived explosive growth. However,  the compensation for "Itai-itai disease" caused by zinc refining at the Kamioka mine and the appreciation of the yen in the 1980s, made a long-term of financial slump to this company

However, since 1993, they had adopted results-based salary system and conducted management innovation, and this made good effect on「Mitsui Mining & Smelting」. In particular, they were expanding their business in a wide range of fields such as electronic materials and automotive functional parts by utilizing the technological capabilities they had accumulated in the field of non-ferrous metals.

As a result,「Mitsui Mining & Smelting」now handle not only basic materials such as gold bullion, but also intermediate materials such as catalyst materials for exhaust gas purification for motorcycles and motorcycles. So they became a comprehensive material manufacturer. Besides, this company has the world's top share in locking devices for automobile doors. The greatest strength of「Mitsui Mining & Smelting」is to develop their unique product production technology in various fields.

However, they still have weaknesses. Even though they managed to succeed in diversifying their business, they are still vulnerable to changes in the external environment. As long as「Mitsui Mining & Smelting」is in metal business, their performance rely on the original price of ore, which is the raw material for product production. In addition, they handle the harmful substances that inevitably cause environmental pollution problems, is the weak point is that they cannot be freed from.

 

 

 

3. Major Business

 

■ Metal business

■ Functional material business

■ Assembly processing business

■ Environment and recycling business

■ Engineering business

 

 

 

4. Financial information

 

※Unit is JPY million

		2016	2017	2018
Consolidated sales		436,330	519,215	497,701
Consolidated operating profit		38,461	49,529	18,222
Consolidated total assets		518,981	522,418	523,315
Consolidated net assets		184,421	178,652	179,673
Breakdown of sales	Functional material business	139,836	160,293	158,950
	Metal business	123,388	158,165	142,796
	Vehicle parts business	113,199	102,039	104,026
	Others	76,454	90,880	89,825
	Adjustments	-16,549	7,834	2,102