MIRA
INFORM REPORT
|
Report Date : |
06.12.2008 |
IDENTIFICATION
DETAILS
|
Correct Name : |
PSM INC. |
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Registered Office : |
1178-4, Jisa-dong, Gangseo-gu, Busan 618-230 |
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Country : |
Korea (South) |
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Financials (as on) : |
30.09.2008 |
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Date of Incorporation : |
06.01.1994 |
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Com. Reg. No.: |
603-81-20949 |
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Legal Form : |
Listed Company |
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Line of Business : |
Flange, Transformers, Electrical Distributing Panels |
RATING &
COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Good |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
Basic
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Company
Name |
PSM INC. (Korean Company Name : “평산”) (Ex. Company Name : PYEONG SAN METAL CO.,
LTD.) |
|
Registered Address |
1178-4, Jisa-dong, Gangseo-gu, Busan,
Korea |
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Zip Code |
618-230 |
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Tel |
+82-51-970-3000 |
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Fax |
+82-51-970-3001 |
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E-mail |
psm@psminc.co.kr |
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Website |
www.psminc.co.kr |
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Trading Address |
1178-4, Jisa-dong, Gangseo-gu, Busan,
Korea |
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Tel |
+82-51-970-3000 |
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Fax |
+82-51-970-3001 |
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Other Address- 2nd Factory |
1612-1, Songjeong-dong, Gangseo-gu, Busan,
Korea |
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Tel |
+82-51-970-3082 |
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Fax |
+82-51-970-3962 |
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Other Address-Noksan Factory |
1658-7, Songjeong-dong, Gangseo-gu, Busan, Korea |
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Tel |
+82-51-974-2852 |
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Fax |
+82-51-974-5858 |
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Type |
Export/Import |
|
Industry |
Forging of Metal |
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Main Business |
Flange, Transformers, Electrical Distributing Panels |
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Established (mm/dd/yyyy) |
01/06/1994 |
The Subject owns
the premises of registered HQ address(23,908.9㎡), 2nd Factory(7,044.30㎡) and Noksan Factory(16,529.00).
Detailed Products
|
Activity |
Detailed Products (UNSPSC) |
|
Sell |
Marine craft systems and
subassemblies(25111900) |
|
Sell |
Motor or generator components(26101800) |
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Sell |
Pneumatic cylinders and components(27131700) |
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Sell |
Pneumatic cylinder piston rods(27131704) |
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Sell |
Rocker arm shafts(26101730) |
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Sell |
Axle shafts(25173807) |
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Sell |
Industrial wheels(31171800) |
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Buy |
Temperature and heat measuring instruments(41112200) |
|
Buy |
Metallurgical microscopes(41111718) |
|
Buy |
Drills(23153301) |
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Buy |
Milling machines(23101513) |
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Buy |
Grinders(27111905) |
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Buy |
Die castings(31101500) |
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Buy |
Drilling machines(23101502) |
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Buy |
Hardness testers(41114611) |
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Buy |
Turning machines(23101511) |
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Buy |
Aluminum(11101705) |
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Buy |
Steel(11101704) |
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Buy |
Boring machines(23101505) |
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Buy |
Steel channels(30101804) |
CEO’s
|
Name |
Shin Dong-Soo |
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Date of Birth |
06/04/1954 |
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Title |
President & CEO |
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Sex |
Male |
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Nationality |
Korean |
Profiles
|
Capital |
8,609,621,000 KRW |
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Employees |
319 |
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Formation |
Listed Company(KOSDAQ: 089480) as of 08/22/2006 A Company of PSM INC. |
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Bank Details |
Korea Exchange Bank-Noksan Industrial
Complex Branch Busan Bank Korea Development Bank |
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Corporate Registered No. |
180111-0150655 |
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Business Registered No. |
603-81-20949 |
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Permit & Licenses |
06/1999 ISO 9002 06/26/2003 ISO 9001 by BSI Int’l Trade No.: 12010167 |
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Shareholder Position |
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Company History |
11/25/1986 Established as PYEONGSAN STEEL
INDUSTRY CO. 01/06/1994 Incorporated as PYEONGSAN METAL
INC. 04/2001 Completed Noksan Factory 11/2004 Completed 2nd Factory 03/2005 Acquired HANKUK CORE CO., LTD. 04/2006 Changed company name to the present
name 07/12/2007 M&A with DAE MYUNG IND CO.,
LTD. 11/2007 Awarded US$100 Million Export Top
Prize 04/2008 Acquired a German company, JAKE 06/13/2008 Moved to the present HQ address
from 1658-7, Songjeong-dong, Gangseo-gu, Busan, Korea |
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The Subject Company
is a Korea-based company engaged in the manufacturing of forging products for
wind power plants, ships, general industrial machinery and electric power
facilities. The Company provides three categories of products: forging products
for wind power plants, including tower flanges, gear rims, slewing rings, rotor
shafts and lock plates; forging products for ships and general industrial
machinery, including piston rods, cylinder covers, intermediate shafts,
propeller shafts, forged shells and crane wheels, and forging products for
electric power facilities, including tube sheets, generator shafts, channel
covers, channel flanges and self-reinforced nozzles. It also distributes steel
raw materials such as slab and plates.
Management
|
Job Description |
Title |
Name |
Nationality |
Date of Birth |
Career/Education |
|
President & CEO |
Mr. |
Shin Dong-Soo |
Korean |
1954.06.04 |
- |
|
Director |
Mr. |
Kim Joong-Myung |
Korean |
1946.12.03 |
Vice President of Doosna Heavy Industries
Co., Ltd./ Busan National University |
|
Outside Director |
Mr. |
Ahn Sang-Kyun |
Korean |
1972.02.07 |
Goldman Sachs PIA / Seoul National
University |
|
Outside Director |
Mr. |
Nam Sung-Il |
Korean |
1954.04.18 |
Prof., of Seogang University, Korea /
University of Rochester |
Financials
Unit: KRW
|
Year |
Sales |
Assets |
Net income |
|
254,726,760,278 |
402,709,692,207 |
26,531,040,214 |
|
|
2006 |
167,330,848,701 |
213,634,276,509 |
18,647,204,556 |
|
2005 |
140,301,275,207 |
135,259,015,770 |
16,810,181,657 |
|
2004 |
107,257,958,649 |
66,000,644,914 |
12,574,438,042 |
Financial Description
Unit: KRW
|
Authorized
Capital |
30,000,000,000 |
|
Paid-Up Capital |
8,609,621,000 |
|
Total Issues Shares |
17,219,242 |
Balance
Sheet
|
Unit : Korean Won |
01/01/2008~09/30/2008 |
As of 12/31/2007 |
As of 12/31/2006 |
|
Total Assets |
663,458,954,347 |
402,709,692,207 |
213,634,276,509 |
|
Current Assets |
409,134,925,205 |
247,619,662,306 |
165,687,666,730 |
|
-Quick Assets |
178,515,624,948 |
152,696,032,208 |
95,587,246,808 |
|
-Inventories |
230,619,300,257 |
94,923,630,098 |
70,100,419,922 |
|
Fixed Assets |
254,324,029,142 |
155,090,029,901 |
47,946,609,779 |
|
-Investment |
141,392,173,000 |
51,127,203,279 |
9,123,465,000 |
|
-Tangibles |
109,160,109,460 |
98,538,946,646 |
35,828,347,247 |
|
-Intangibles |
607,855,520 |
697,082,137 |
- |
|
-Others |
3,163,891,162 |
4,726,797,839 |
2,994,797,532 |
|
Total Liabilities |
464,680,656,294 |
184,632,449,885 |
83,914,590,861 |
|
Current Liabilities |
451,049,351,416 |
169,292,494,333 |
75,931,823,301 |
|
Fixed Liabilities |
13,631,304,878 |
15,339,955,552 |
7,982,767,560 |
|
Capital Stock |
8,609,621,000 |
8,609,621,000 |
7,300,000,000 |
|
Capital Surplus |
128,303,965,920 |
128,303,965,920 |
66,279,203,400 |
|
Profit Surplus |
68,078,668,911 |
81,795,522,462 |
56,140,482,248 |
|
Capital Adjustment |
(-)6,213,957,778 |
(-)631,867,060 |
- |
|
Total Equity |
198,778,298,053 |
218,077,242,322 |
129,719,685,648 |
|
Liab. & Shareholder’s Equity |
663,458,954,347 |
402,709,692,207 |
213,634,276,509 |
|
Current
Liabilities |
451,049,351,416 |
169,292,494,333 |
75,931,823,301 |
|
Trade Payables |
12,368,042,148 |
6,664,801,541 |
5,944,116,323 |
|
Short-Term Borrowings |
383,930,566,599 |
136,369,971,025 |
60,025,654,716 |
|
Account Payables |
10,573,175,587 |
13,152,839,211 |
5,129,111,202 |
|
Advance Receipts |
5,635,895,417 |
1,006,979,051 |
314,729,921 |
|
Withholdings |
239,135,269 |
202,712,271 |
126,669,625 |
|
Accrued Expenses |
2,918,201,486 |
2,004,639,306 |
858,541,770 |
|
Accrued Income Tax |
4,680,174,370 |
7,863,644,852 |
3,159,562,720 |
|
Current Portion of Long-Term Debts |
7,000,000,000 |
- |
- |
|
Derivatives |
23,704,160,540 |
2,026,907,076 |
34,328,674 |
|
Deferred Income Tax Credit |
- |
- |
339,108,350 |
|
Fixed
Liabilities |
13,631,304,878 |
15,339,955,552 |
7,982,767,560 |
|
Long-Term Borrowings |
8,184,000,000 |
14,894,000,000 |
7,000,000,000 |
|
Provision for Severance & Retirement |
1,725,805,352 |
1,202,133,469 |
848,972,747 |
|
Leasehold Deposit Received |
315,050,000 |
165,050,000 |
50,000,000 |
|
Long-Term Deferred Income Tax Credit |
4,252,491,707 |
- |
665,963,711 |
Income
Statement
|
Unit : Korean Won |
01/01/2008~09/30/2008 |
As of 12/31/2007 |
As of 12/31/2006 |
|
Sales |
279,526,440,890 |
254,726,760,278 |
167,330,848,701 |
|
Cost of Sold Goods |
213,731,213,580 |
189,959,681,355 |
128,823,759,130 |
|
Gross Profit |
65,795,227,310 |
64,767,078,923 |
38,507,089,571 |
|
Selling & Admin. Expenses |
20,352,382,882 |
18,045,164,521 |
12,378,235,799 |
|
Operating Income |
45,442,844,428 |
46,721,914,402 |
26,128,853,772 |
|
Non-Operating Income |
17,434,311,986 |
8,903,924,913 |
4,502,739,609 |
|
Non-Operating expenses |
80,858,462,791 |
21,203,228,686 |
6,597,839,825 |
|
Ordinary Income |
(-)17,981,306,377 |
34,422,610,629 |
24,033,753,556 |
|
Special Income |
- |
- |
- |
|
Income Before Taxes |
(-)17,981,306,377 |
34,422,610,629 |
24,033,753,556 |
|
Income Taxes Expenses |
(-)5,297,607,226 |
7,891,570,415 |
5,386,549,000 |
|
Net Income |
(-)12,683,699,151 |
26,531,040,214 |
18,647,204,556 |
Cash
Flows
|
Unit : Korean Won |
01/01/2008~09/30/2008 |
As of 12/31/2007 |
As of 12/31/2006 |
|
Cash Flows from Operating |
(-)140,556,015,879 |
(-)8,416,825,293 |
(-)1,758,710,188 |
|
-Net Income |
(-)12,683,699,151 |
26,531,040,214 |
18,647,204,556 |
|
-Exp. without Cash Outflow |
69,576,517,286 |
18,953,722,737 |
8,654,238,608 |
|
-Revenue
without Cash Inflows |
(-)10,088,700,737 |
(-)2,098,057,065 |
(-)503,064,765 |
|
-Changes in
Asset/ & Liability |
(-)187,360,133,277 |
(-)51,803,531,179 |
(-)28,557,088,587 |
|
Cash Flows
from Investing |
(-)46,024,867,148 |
(-)149,557,768,493 |
(-)37,092,082,309 |
|
-Cash Inflow
from Investing |
109,489,323,133 |
230,185,708,171 |
63,806,180,564 |
|
-Cash
Outflows for Investing |
(-)155,514,190,281 |
(-)379,743,476,664 |
(-)100,898,262,873 |
|
Cash Flows
from Financing |
189,155,602,853 |
140,808,809,598 |
59,475,283,085 |
|
-Cash
Inflows from Financing |
398,718,461,620 |
293,642,858,547 |
77,579,203,400 |
|
-Cash
Outflows from Financing |
(-)209,562,858,767 |
(-)152,834,048,949 |
(-)18,103,920,315 |
|
Increase/Decrease
in Cash |
2,574,719,826 |
(-)17,163,913,918 |
20,624,490,588 |
|
Cash at the
Beginning of Year |
5,550,245,558 |
22,714,159,476 |
2,089,668,888 |
|
Cash at the End of Year |
8,124,965,384 |
5,550,245,558 |
22,714,159,476 |
Products, Technologies, Services
Description
|
Main
Products & Services |
WIND POWER PLANT EQUIPMENT Flange Gear Rim Distance Plate Lock Plate Slewing Ring Rotor Shaft SHIP VESSELS AND OTHER INDUSTRIAL EQUIPMENT Piston Rod Connecting Rod Crank Throw Intermediate Shaft Propeller Shaft Rudder Stock Rintle Impeller Hub Crane Wheel Forged Shell Standard Flange PLANT/ELECTRIC POWER GENERATING FACILITIES Tube Sheet Hydraulic Main Shaft Channel Cover /Flange Self Reinforced Nozzle Diaphram Special Forged and Machined Nozzle RAW MATERIALS Slab Ingot Round Bar Bloom |
Trade
Partners
|
Suppliers |
KISCO CORP.(194211-0094318) |
|
Customers |
TOSHIBA-JAPAN THE JAPAN STEEL WORKS,LTD.(JSW)-JAPAN PT. KORINDO HEAVY INDUSTRY-INDONESIA SUZLON ENERGY LIMITED-INDIA (5TH FLOOR GODREJ MILLENNIUM BUILDING 9, KOREGAON PARK ROAD PUNE, 411
001 INDIA TEL:+91-20-56022000 FAX:+91-20-56022100) DOOSAN HEAVY INDUSTRIES & CONSTRUCTION
CO., LTD(194211-0000943) DONGKUK S&C CO., LTD.(110111-2276784) |
|
Competitors |
VESTAS GAMESA GE WIND ENERCON SIEMENS SUZLON (*)The Subject’s global market share in
Tower Flange is about 32.0%. |
Related Parties (Subsidiaries,
Joint-Venture & Affiliates)
|
Affiliates |
EPC INTELLIGENCE APS (45.0% held by the subject company) JAHNEL-KESTERMANN SERVICE GMBH JAKE SERVICE GMBH (*)JAHNEL HOLDING GMBH (*)JAHNEL-KESTERMANN GETRIEBEWERKE GMBH
& CO. KG (*) Theses two companies are separated from
the position of the subject’s affiliated company by merging with
JAHNEL-KESTERMANN SERVICE GMBH as of Dec/01/2008. |
|
Subsidiary |
PYEONGSAN HEAVY INDUSTRY (DAIRYIAN) CO.,
LTD.-CHINA (85.0% held by the subject company) TEL:+86-411-8751-2611 FAX:+86-411-8751-5911 (*) WS 2018 VERMOGENSVERWALTUNGS GMBH (100.0% held by the subject company) (*) This company is separated from the
position of the subject’s affiliated company by merging with
JAHNEL-KESTERMANN SERVICE GMBH as of Dec/01/2008. |
|
Cooperative Enterprise |
-Insured Company DONGBU INSURANCE CO., LTD.(110111-0095285) HYUNDAI MARINE & FIRE INSURANCE
CO.,LTD.(110111-0035893) |
Sales by
Region (Activity &
Markets)
|
Sales/ Unit :Mil KRW |
2007 |
2006 |
2005 |
|
Export |
155,879 |
86,418 |
67,007 |
|
Domestic |
98,848 |
80,913 |
73,294 |
|
Total |
254,727 |
167,331 |
140,301 |
The Subject exports
to China, India, Indonesia and Japan.
Court
Action
No.
News
Clipping
STEEL, MACHINERY
FIRMS GAIN AS TELECOMS FALL
JOONGANGILBO &
JOINS.COM:10/29/2008
The benchmark Korea
Composite Stock Price Index rose 52.71 points, or 5.6 percent, to 999.16
yesterday after opening over 3 percent lower on overnight U.S. losses.
Volume was heavy at
642.6 million shares worth 6.18 trillion won ($4.2 billion), with gainers
outpacing losers 624 to 230.
The Kospi has more
lost more than half its value from a historic high of 2,085 points in November
2007, largely on selling by offshore investors.
Foreign selling amounted
to some 34.3 trillion won so far this year, according to the Korea Exchange,
the bourse operator.
Exporters led the
overall gains, with steel and machinery stocks chalking up strong gains.
Leading steelmaker
Posco soared 13.69 percent to 299,000 won and top power generator producer
Doosan Heavy Industries rose to a daily limit of 15 percent to end at 46,000
won.
Technology and
automaking shares also added momentum.
Samsung Electronics
Co., Asia’s largest maker of chips and handsets, gained 25,500 won, or 5.8
percent, to 463,500.
UBS AG raised its
recommendation to “neutral’’ from “sell,’’ in a note to reflect that the stock
has dropped about 50 percent since May.
Smaller chip rival
Hynix Semiconductor soared 14.9 percent to 9,330 won.
Leading automaker
Hyundai Motor rallied 12.6 percent to 58,100 won.
Telecoms, however,
fell hard.
SK Telecom, the
nation’s top wireless carrier, plunged 6.72 percent to 187,500 won after
announcing disappointing third-quarter earnings, while its rival KTF plunged
13.67 percent after its former president, now being held in custody, admitted
to receiving kickbacks from suppliers during a court hearing.
CJ Home Shopping
Co., the operator of a cable television shopping channel and Internet mall,
rose 2,200 won, or 6.7 percent, to 34,900, the most since Oct.14.
Goldman, Sachs and
Co. reiterated its “buy’’ rating, saying the current stock price is “near floor
value,’’ while it cut its earnings forecast for next year to reflect a weaker
consumption outlook.
Pyeong San Co.,
which makes various products for wind power generators, surged 1,800 won, or 15
percent, to 13,850.
The company said it
received a 117.7 billion won ($80 million) parts supply deal from a client in
Europe it didn’t identify.
Yonhap, Bloomberg
- Copyrights ⓒ JoongangIlbo & Joins.com, All rights
reserved. –
FOREIGN EXCHANGE
RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.49.22 |
|
UK Pound |
1 |
Rs.75.03 |
|
Euro |
1 |
Rs.63.14 |
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 |
Unfavourable & favourable factors carry similar weight in credit
consideration. 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 |
|
NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
|
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%)