MIRA INFORM REPORT

 

 

Report Date :

01.02.2013

 

IDENTIFICATION DETAILS

 

Name :

DAESUNG MICROBIOLOGICAL LABS. CO., LTD.

 

 

Registered Office :

293, Sam-dong, Uiwang-si, Gyeonggi-do, Korea 437-815

 

 

Country :

South Korea

 

 

Financials (as on) :

30.09.2012

 

 

Date of Incorporation :

04.02.1966

 

 

Com. Reg. No.:

138-81-02340

 

 

Legal Form :

Listed Company

 

 

Line of Business :

Manufacture of Animal Medicaments

 

 

No. of Employees :

128

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory

Payment Behaviour :

No Complaints

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 – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2011)

Current Rating

(30.06.2012)

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 currently is among the world's 20 largest economies. 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. With the global economic downturn in late 2008, South Korean GDP growth slowed to 0.3% in 2009. In the third quarter of 2009, the economy began to recover, in large part due to export growth, low interest rates, and an expansionary fiscal policy, and growth was 3.6% in 2011. In 2011, the US-South Korea Free Trade Agreement was ratified by both governments and is projected to go into effect in early 2012. 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

 

Company Name

DAESUNG MICROBIOLOGICAL LABS. CO., LTD.

(Korean Company Name : “()대성미생물연구소”)

Registered Address

293, Sam-dong, Uiwang-si, Gyeonggi-do, Korea

Zip Code

437-815

Tel

+82-31-461-7103

Fax

+82-31-461-0599

E-mail

webmaster@dsmbio.com; johnpark@dsmbio.com

Website

www.dsmbio.com

Trading Address

7th Fl., HCN Bldg., 1462-7, Seocho 3-dong, Seocho-gu, Seoul, Korea

Tel

+82-2-553-1104

Fax

+82-2-554-1104

Type

Export/Import

Industry

Manufacture of Animal Medicaments

  Main Business

Bovine Vaccines, Veterinary Antibiotics, Veterinary Antibacterial Agents, Anthelmintics, Animal Feed Additives

  Sub Business

 

Established (mm/dd/yyyy)

02/04/1966

The Subject owns the premises of registered HQ address(9,873).

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Veterinary products(42121600)

Sell

Metabolites(51251000)

Sell

Veterinary nonsteroidal anti inflammatory drugs VNSAIDs(51142700)

Sell

Genito urinary system sex or hormone veterinary products(42121607)

Buy

Veterinary products(42121600)

Buy

Biochemicals(12352200)

Buy

Chemistry reagents or solutions(41116105)

 

 

CEO’s

 

Name

Cho Hang-Won

Date of Birth

09/13/1953

Title

President & CEO

Sex

Male

Nationality

Korean

 

 


Profiles

 

Capital (KRW)

1,900,000,000

Employees

128

Formation

Listed Company (KOSDAQ : 036480) as of 03/31/2000

Bank Details

Shinhan Bank-Yeoksam Dong Branch

Citibank, Korea

Corporate Registered No.

134111-0000880

Business Registered No.

138-81-02340

Permit & Licenses

There are 15 patents domestically, 3 patents internationally.

 

Int’l Trade No.: 402165

Shareholder Position

Name

Shares

%

LEE DONG KYU

121,674

32.02

CHO HANG-WON

25,000

6.58

OTHERS

233,326

61.40

TOTAL

380,000

100.00

Company History

02/04/1966 Incorporated as Yangsongyi Center Co., Ltd.

02/1968 Changed company name to the present name

07/1986 Moved the Seoul office to the present address from 315-4, Hangangno 2-ga, Yongsan-gu, Seoul, Korea

 

 

 

 

Management

 

Job Description

Title

Name

Nationality

Date of Birth

Education

Chairman

Mr.

Lee Dong Kyu

Korean

1958.10.23

Chungang University, Korea

President & CEO

Mr.

Cho Hang-Won

Korean

1953.09.13

Seoul National University, Korea

Executive Director

Mr.

Kim Jong-Nyeong

Korean

1950.12.05

Kunkook University, Korea

Outside Director

Mr.

Kim Won-Jae

Korean

1957.05.29

Yonsei University, Korea

Auditor

Mr.

Kwon Dong-Hern

Korean

1958.01.11

Chungang University, Korea

 

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

(*)09/2012

12,513,623,405

25,092,602,750

99,284,520

(*)2011

17,148,021,619

26,582,984,986

-307,779,580

(*)2010

17,540,048,195

25,144,675,810

999,830,061

2009

15,656,214,553

21,894,454,103

1,049,043,549

2008

14,828,460,948

21,851,206,770

1,263,599,820

2007

15,458,599,994

21,770,922,489

1,374,682,981

2006

14,529,009,925

20,675,324,359

994,629,394

2005

14,063,794,462

20,504,469,732

642,974,122

2004

12,906,197,143

19,137,311,548

575,573,175

2003

13,212,540,154

18,423,372,268

628,058,699

(*)Figures are based on the K-IFRS Accounting System.

 

 

Financial Description

 

Authorized Capital(KRW)

6,000,000,000

Paid-Up Capital(KRW)

1,900,000,000

Total Issued Shares

380,000

 

 

Balance Sheet

 

Unit : Korean Won

01/01/2012~09/30/2012

As of 12/31/2011

As of 12/31/2010

Total Assets

25,092,602,750

26,582,984,986

25,144,675,810

Current Assets

9,691,252,695

10,912,916,021

11,745,612,378

Cash & Cash Equivalents

1,357,042,518

607,628,133

1,229,342,350

Current Financial Instruments

719,000,000

1,216,000,000

1,444,000,000

Other Finance Assets

25,000

22,015,000

66,363,953

Trade Receivables

3,131,924,678

4,114,302,284

4,028,415,767

Other Receivables

59,406,170

61,727,706

72,368,682

Account Receivables

 

 

234,000,000

Advance Payments

8,375,764

14,480,548

67,429,820

Prepaid Expenses

35,939,685

39,580,108

42,476,740

Prepaid VAT

 

 

21,651,648

Prepaid Taxes

50,139,855

 

 

Other Taxes

 

118,386,348

 

Inventories

4,329,399,025

4,718,795,894

4,539,563,418

Non-Current Assets

15,401,350,055

15,670,068,965

13,399,063,432

Non-Current Financial Instruments

840,700,000

486,700,000

342,700,000

Marketable Financial Instruments

18,900,000

18,500,000

9,000,000

Tangibles

13,261,548,205

13,971,809,732

11,871,679,717

Intangibles

804,265,008

792,582,744

860,069,705

Guarantee Deposits

274,354,000

199,354,000

199,184,000

Deferred Income Tax Assets

201,582,842

201,122,489

116,430,010

Total Liabilities

5,478,147,713

6,753,066,869

4,705,419,749

Current Liabilities

2,691,546,883

3,800,046,181

1,937,352,091

Trade Payables

412,922,919

770,478,146

668,561,171

Short-Term Borrowings

1,006,000,000

1,681,786,651

353,200,000

Current Portion of Long-Term Debts

819,999,999

771,678,670

300,016,000

Withholdings

19,397,160

81,895,570

95,665,210

VAT Withhold

99,605,815

178,388,338

 

Advance Receipts

2,408,198

37,192,229

27,065,664

Accrued Income Tax

 

 

4,729,405

Accrued Expenses

331,212,792

278,626,577

488,114,641

Non-Current Liabilities

2,786,600,830

2,953,020,688

2,768,067,658

Long-Term Borrowings

2,413,333,331

2,733,333,330

2,618,292,000

Provision for Severance & Retirement

373,267,499

219,687,358

149,775,658

Capital Stock

1,900,000,000

1,900,000,000

1,900,000,000

Capital Surplus

6,241,160,297

6,241,160,297

6,241,160,297

Others

 

-8,252,400

-3,505,747

Profit Surplus

11,473,294,740

11,697,010,220

12,301,601,511

Total Equity

19,614,455,037

19,829,918,117

20,439,256,061

Liab. & Shareholder’s Equity

25,092,602,750

26,582,984,986

25,144,675,810

 

 

Income Statement

 

Unit : Korean Won

01/01/2012~09/30/2012

As of 12/31/2011

As of 12/31/2010

Sales

12,513,623,405

17,148,021,619

17,540,048,195

Cost of Sold Goods

9,456,605,966

13,570,856,919

12,052,193,731

Gross Profit

3,057,017,439

3,577,164,700

5,487,854,464

Selling & Admin. Expenses

2,910,394,812

4,390,845,106

4,624,309,286

Other Operating Income

135,274,037

331,068,741

154,919,825

Other Operating Expenses

3,715,961

26,322,591

99,173,076

Operating Income

278,180,703

-508,934,256

919,291,927

Finance Income

63,040,719

190,664,930

239,063,250

Finance Expenses

211,679,480

165,026,309

66,990,156

Income Before Taxes

129,541,942

-483,295,635

1,091,365,021

Income Taxes Expenses

30,257,422

-175,516,055

91,534,960

Net Income

99,284,520

-307,779,580

999,830,061

 

 

Cash Flows

 

Unit : Korean Won

01/01/2012~09/30/2012

As of 12/31/2011

As of 12/31/2010

Operating Activities Cash Flows

2,209,896,158

1,808,914,987

804,723,540

Cash Flows from Operating

2,290,745,255

1,648,565,280

1,009,553,055

Net Income

99,284,520

-307,779,580

999,830,061

Adjustment

1,327,129,847

1,226,017,562

1,354,801,449

Changes in Asset/ & Liability

864,330,888

730,327,298

-1,345,078,455

Interests Received

57,360,848

153,084,575

247,610,954

Dividends Received

640,000

710,000

600,000

Interests Paid

-174,051,063

-72,861,826

-237,481,594

Income Taxes

35,201,118

79,416,958

-215,558,875

Cash Flows from Investing

-179,799,657

-3,146,869,579

-2,009,928,025

Cash Inflow from Investing

1,122,162,652

2,309,712,030

6,485,394,572

Cash Outflows for Investing

-1,301,962,309

-5,456,581,609

-8,495,322,597

Cash Flows from Financing

-1,270,465,321

704,368,658

1,751,264,000

Cash Inflows from Financing

2,791,465,651

6,546,173,947

2,393,280,000

Cash Outflows from Financing

-4,061,930,972

-5,841,805,289

-642,016,000

Increase/Decrease in Cash

749,414,385

-621,714,217

537,297,327

Cash at the Beginning of Year

607,628,133

1,229,342,350

692,045,023

Cash at the End of Year

1,357,042,518

607,628,133

1,229,342,350

 

 

Products, Technologies, Services Description

 

Main Products & Services

Antibiotics & Antibacterials

Mastitis Ointment

Anthelmintics

Disinfectant

Probiotics & Enzyme Products

Teat Dipping Disinfectant

Metabolite

Nutrients

Biologicals

 

Trade Partners & Competitors

 

Suppliers

HYUNJIN GREENMIL CO., LTD.

DAESAN BIOTECH CO., LTD.

DONGSIN TUBE GLASS IND. CO. , LTD.(120111-0009797)

YOUNG JIN INDUSTY CO., LTD(134811-0025389)

Competitors

BAYER KOREA LTD.(110111-0610596)

KOMIPHARM INTERNATIONAL CO., LTD.(110111-0134372)

CHOONG ANG VACCINE LABORATORY(160111-0042533)

UNI BIOTECH CO., LTD.(161511-0001605)

 

 

Sales by Region

(Activity & Markets)

 

Sales/ Unit :Mil KRW

09/2012

2011

2010

Export

1,899

2,322

1,632

Domestic

10,614

14,826

15,908

Total

     12,513

17,148

17,540

The Subject exports to China, Pakistan and Vietnam.

 

Court Action

 

No.

 

 

News Clipping

 

--


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.53.29

UK Pound

1

Rs.84.22

Euro

1

Rs.72.23

 

 

INFORMATION DETAILS

 

Report Prepared by :

PRL

 

 

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.