MIRA INFORM REPORT

 

 

Report Date :

05.08.2013

 

IDENTIFICATION DETAILS

 

Name :

KUMSUNG PIPE CORPORATION

 

 

Registered Office :

629-8, Seonggok-dong, Danwon-gu, Ansan-si, Gyeonggi-do, Korea 609B-15L

 

 

Country :

South Korea

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

16.07.1996

 

 

Com. Reg. No.:

134-81-33462

 

 

Legal Form :

Co., Ltd by Shares

 

 

Line of Business :

Manufacture of Pipes and Tubes, of Non-cast Iron or Steel

 

 

No. of Employees :

19

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

Payment Behaviour :

Slow but Correct

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, 31st, 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

South Korea

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

SOUTH KOREA - ECONOMIC OVERVIEW

 

South Korea over the past four decades has demonstrated incredible growth and global integration to become a high-tech industrialized economy. In the 1960s, GDP per capita was comparable with levels in the poorer countries of Africa and Asia. In 2004, South Korea joined the trillion dollar club of world economies, and is currently the world's 12th largest economy. Initially, a system of close government and business ties, including directed credit and import restrictions, made this success possible. The government promoted the import of raw materials and technology at the expense of consumer goods, and encouraged savings and investment over consumption. The Asian financial crisis of 1997-98 exposed longstanding weaknesses in South Korea's development model including high debt/equity ratios and massive short-term foreign borrowing. GDP plunged by 6.9% in 1998, and then recovered by 9% in 1999-2000. Korea adopted numerous economic reforms following the crisis, including greater openness to foreign investment and imports. Growth moderated to about 4% annually between 2003 and 2007. Korea''s export focused economy was hit hard by the 2008 global economic downturn, but quickly rebounded in subsequent years, reaching 6.3% growth in 2010. The US-South Korea Free Trade Agreement was ratified by both governments in 2011 and went into effect in March 2012. Throughout 2012 the economy experienced sluggish growth because of market slowdowns in the United States, China, and the Eurozone. The incoming administration in 2013, following the December 2012 presidential election, is likely to face the challenges of balancing heavy reliance on exports with developing domestic-oriented sectors, such as services. The South Korean economy''s long term challenges include a rapidly aging population, inflexible labor market, and heavy reliance on exports - which comprise half of GDP.

 

Source : CIA

 


Basic Information

 

Basic

 

Company Name

KUMSUNG PIPE CORPORATION

Registered Address

629-8, Seonggok-dong, Danwon-gu, Ansan-si, Gyeonggi-do, Korea

Building

609B-15L

Zip Code

425-833

Tel

+82-31-495-5714

Fax

+82-31-495-5716

E-mail

kspipe21@autotube.kr

Website

www.autotube.kr

Trading Address

609B-15L, 629-8, Seonggok-dong, Danwon-gu, Ansan-si, Gyeonggi-do, Korea

(New Address System : 28, Byeolmang-ro 269beon-gil, Danwon-gu, Ansan-si, Gyeonggi-do, Korea)

Tel

+82-31-495-5714

Fax

+82-31-495-5716

Type

Export/Import

Industry

Manufacture of Pipes and Tubes, of Non-cast Iron or Steel

  Main Business

Steel Pipe, Auto Parts

Established (mm/dd/yyyy)

07/16/1996

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Tube and tubing(31231300)

Sell

Pipe(40142100)

Sell

Steel tubing(31231310)

 

 

CEO’s

 

Name

Lee Seung-Yong

Address

Suite 304-1302, 30, Songdogwahak-ro 27beon-gil, Yeonsu-gu, Incheon, Korea

Date of Birth

04/22/1970

Title

President & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

100,000,000

Employees

19

Formation

Co., Ltd by Shares

Bank Details

Industrial Bank of Korea-Banwol Seo Branchy

Corporate Registered No.

120111-0136673

Business Registered No.

134-81-33462

Permit & Licenses

N/A

Shareholder Position

Name

Shares

%

LEE SEUNG-YONG

1,500

15.00

LEE SEUNG-MIN

750

7.50

LEE SEUNG-CHEOL

750

7.50

LEE KEUN-SUN

1,500

15.00

KIM JAE-IK

1,000

10.00

KO TAE-IN

1,000

10.00

KO YOUNG-LIM

1,500

15.00

LEE YOUNG-KOOK

2,000

20.00

TOTAL

10,000

100.00

Company History

07/16/1996 Incorporated as the present name

08/13/2008 Moved to the present HQ address from 489-1, Mongnae-dong, Danwon-gu, Ansan-si, Gyeonggi-do, Korea

 

 

 

 

Detailed Information

 

Management

 

Job Description

Title

Name

Sex

Nationality

Inauguration Date

President & CEO

Mr.

Lee Seung-Yong

Male

Korean

03/31/2008

Director

Mr.

Ko Tae-In

Male

Korean

03/31/2008

Director

Mr.

Kim Jae-Ik

Male

Korean

03/31/2008

Director

Mr.

Ko Young-Lim

Male

Korean

03/31/2008

Auditor

Mr.

Lee Young-Kook

Male

Korean

07/01/2005

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

2012

14,288,226,968

9,484,336,594

787,002,314

2011

16,912,131,762

9,917,675,156

919,981,929

2010

14,973,460,524

10,133,873,104

191,393,063

 

 

Financial Description

 

Authorized Capital(KRW)

400,000,000

Paid-Up Capital(KRW)

100,000,000

Total Issued Shares

10,000

 

Balance Sheet

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Total Assets

9,484,336,594

9,917,675,156

10,133,873,104

Current Assets

4,897,534,983

5,253,459,781

5,340,076,132

-Quick Assets

3,619,096,335

3,794,401,141

4,051,245,897

-Inventories

1,278,438,648

1,459,058,640

1,288,830,235

Fixed Assets

4,586,801,611

4,664,215,375

4,793,796,972

-Investment

312,311,010

247,123,530

217,067,560

-Tangibles

3,814,298,530

3,956,899,774

4,106,123,631

-Intangibles

0

0

0

-Others

460,192,071

460,192,071

470,605,781

Total Liabilities

7,067,328,703

7,987,803,576

8,524,108,466

Current Liabilities

2,911,363,342

4,075,546,053

3,086,886,090

Fixed Liabilities

4,155,965,361

3,912,257,523

5,437,222,376

Capital Stock

100,000,000

100,000,000

100,000,000

Capital Surplus

0

0

0

Profit Surplus

2,316,745,942

1,829,743,628

1,509,761,699

Capital Adjustment

261,949

127,952

2,939

Total Equity

2,417,007,891

1,929,871,580

1,609,764,638

Liab. & Shareholder’s Equity

9,484,336,594

9,917,675,156

10,133,873,104

 

Current Liabilities

2,911,363,342

4,075,546,053

3,086,886,090

Trade Payables

919,606,831

934,207,745

995,388,684

Account Payables

197,216,750

169,396,216

182,843,383

Withholdings

56,257,840

102,944,520

10,946,800

VAT Withhold

43,570,637

103,204,277

58,152,710

Advance Receipts

6,088,401

0

 

Short-Term Borrowings

1,205,112,065

1,191,646,174

855,151,442

Accrued Income Tax

16,550,192

98,082,039

107,986,235

Accrued Expenses

41,519,706

42,165,050

45,479,300

Current Portion of Long-Term Debts

425,440,920

1,433,900,032

830,937,536

Fixed Liabilities

4,155,965,361

3,912,257,523

5,437,222,376

Long-Term Borrowings

3,862,857,105

3,706,593,044

5,078,679,344

Provision for Severance & Retirement

321,188,739

238,998,064

472,997,784

VAT Withhold

200,000,000

200,000,000

0

 

Income Statement

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Sales

14,288,226,968

16,912,131,762

14,973,460,524

Cost of Sold Goods

12,802,946,215

14,792,133,605

13,479,261,827

Gross Profit

1,485,280,753

2,119,998,157

1,494,198,697

Selling & Admin. Expenses

852,489,319

676,182,002

601,656,561

Operating Income

632,791,434

1,443,816,155

892,542,136

Non-Operating Income

538,033,268

243,018,655

52,899,857

Non-Operating Expenses

297,479,776

596,971,472

630,872,915

Income Before Taxes

873,344,926

1,089,863,338

314,569,078

Income Taxes Expenses

86,342,612

169,881,409

123,176,015

Net Income

787,002,314

919,981,929

191,393,063

 

Cash Flows

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Cash Flows from Operating

738,715,513

1,184,087,304

-690,017,134

-Net Income

787,002,314

919,981,929

191,393,063

-Exp. without Cash Outflow

203,658,391

420,254,616

558,319,599

-Revenue without Cash Inflows

-516,720,831

0

0

-Changes in Asset/ & Liability

264,775,639

-156,149,241

-1,439,729,796

Cash Flows from Investing

-258,803,356

-11,435,506

33,744,520

-Cash Inflow from Investing

18,636,364

146,151,000

315,498,410

-Cash Outflows for Investing

-277,439,720

-157,586,506

-281,753,890

Cash Flows from Financing

-612,823,159

-1,038,242,438

609,934,508

-Cash Inflows from Financing

1,121,076,873

536,494,732

654,034,508

-Cash Outflows from Financing

-1,733,900,032

-1,574,737,170

-44,100,000

Increase/Decrease in Cash

-132,911,002

134,409,360

-46,338,106

Cash at the Beginning of Year

154,489,208

20,079,848

66,417,954

Cash at the End of Year

21,578,206

154,489,208

20,079,848

 

Products, Technologies, Services Description

 

Main Products & Services

Steel Pipe, Auto Parts

Detailed Products Spec.

 

Technologies Acquired

 

 

 

Trade Partners & Competitors

 

Suppliers

 

Customers

 

Competitors

HIHO METAL CO., LTD.

8TH FL., DONGNAM BLDG., 588-19, SINSA-DONG, GANGNAM-GU, SEOUL, KOREA

TEL:+82-2-514-6671  FAX:+82-2-514-6489

 

DAEHAN METALS CO., LTD.

1769-2, SONGJEONG-DONG, GANGSEO-GU, BUSAN, KOREA

TEL:+82-51-974-6002  FAX:+82-51-831-9008

 

KYUNGSUNG METAL CO., LTD.

76-12, GUUI 2-DONG, GWANGJIN-GU, SEOUL, KOREA

TEL:+82-2-465-2300  FAX:+82-2-499-2101

 

 

Sales by Region (Activity & Markets)

 

Sales/ Unit :Mil KRW

2012

2011

2010

Export

 

 

 

Domestic

 

 

 

Total

 

 

 

Not Available.

 

 

News Clipping

 

Not Available


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.60.80

UK Pound

1

Rs.91.95

Euro

1

Rs.80.36

 

 

INFORMATION DETAILS

 

Report Prepared by :

SDA

 

 

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%)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.