MIRA INFORM REPORT

 

 

Report Date :

18.09.2013

 

IDENTIFICATION DETAILS

 

Name :

HANIL CARPET CO., LTD

 

 

Formerly Known As :

HANIL CARPET SALES CO., LTD

 

 

Registered Office :

216-14, Nonhyeon 2-dong, Gangnam-gu, Seoul, Korea, 7th Fl., Hanil Bldg., Zip Code 135-829

 

 

Country :

South Korea

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

26.09.1972

 

 

Com. Reg. No.:

211-81-76069

 

 

Legal Form :

Co., Ltd by shares

 

 

Line of Business :

Wholesaler of household Textiles and Make-Up Textile Articles

 

 

No. of Employees :

40

 

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 – 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

 

Company Name

HANIL CARPET CO., LTD.

(Korean Company Name : “한일카페트()”)

Registered Address

216-14, Nonhyeon 2-dong, Gangnam-gu, Seoul, Korea

Building

7th Fl., Hanil Bldg.

Zip Code

135-829

Tel

+82-1566-5900

Fax

+82-2-547-9294

E-mail

admin@hanilcarpet.co.kr

Website

www.hanilcarpet.co.kr

Trading Address

7th Fl., Hanil Bldg., 216-14, Nonhyeon 2-dong, Gangnam-gu, Seoul, Korea

Tel

+82-1566-5900

Fax

+82-2-547-9294

Other Address-Yongin Branch

432-1, Geumeo-ri, Pogok-eup, Cheoin-gu, Yongin-si, Gyeonggi-do, Korea

Other Address-Busan Branch

427, Jwadongsunhwan-ro, Haeundae-gu, Busan, Korea

Type

Export/Import

Industry

Wholesale of household Textiles and Make-Up Textile Articles

  Main Business

Carpets

Established (mm/dd/yyyy)

09/26/1972

 

The Subject owns the premises of registered HQ address and Yongin Branch.

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Rugs and mats(52101500)

Sell

Carpeting(30161701)

Sell

Access flooring(30161717)

Sell

Flooring(30161700)

Sell

Tiles and flagstones(30131700)

 

 

CEO’s

 

Name

Kim Chung-Sub

Address

Suite 702, 23, Dosan-daero 83-gil, Gangnam-gu, Seoul, Korea

Date of Birth

03/11/1967

Title

President & CEO

Sex

Male

Nationality

Korean

 


Profiles

 

Capital (KRW)

800,000,000

Employees

40

Formation

Co., Ltd by shares

Bank Details

Kookmin Bank-Nonhyun Dong Branch

Corporate Registered No.

110111-0134447

Business Registered No.

211-81-76069

Permit & Licenses

Int’l Trade No.: 949192

Shareholder Position

Name

Shares

%

KIM CHUNG-SUB

82,224

51.39

LEE YOUNG-JA

58,432

36.52

TREASURY STOCK

12,545

7.84

OTHERS

6,799

4.25

TOTAL

160,000

100.00

Company History

05/1964 Established as HANIL CARPET CORP.(Sole Proprietorship)

09/26/1972 Incorporated as HANIL CARPET SALES CO., LTD.

03/31/1993 Changed company name to the present name

07/29/1996 Spin off the par value to 5,000 KRW from 10,000 KRW

07/29/1996 Increased the authorized shares to 600,000 shares from 80,000 shares

 

 

 

 

Management

 

Job Description

Title

Name

Sex

Nationality

Inauguration Date

President & CEO

Mr.

Kim Chung-Sub

Male

Korean

12/16/2001

Director

M/S.

Lee Joo-Yeon

Female

Korean

01/21/2003

Director

Mr.

Lim Hwan-Kyu

Male

Korean

05/31/2007

Auditor

M/S.

Lee Young-Ja

Female

Korean

03/28/1994

Supervisor

Mr.

Oh Jae-Choon

Male

Korean

07/15/2013

 

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

2012

23,292,451,422

27,474,265,865

3,668,131,736

2011

21,208,111,096

26,594,454,426

3,986,011,608

2010

18,776,330,337

24,951,622,461

3,747,260,447

2009

18,125,735,690

15,925,017,803

1,858,880,144

2008

14,439,458,558

14,439,503,823

343,759,092

2007

14,604,097,830

14,033,785,110

778,803,140

2006

13,747,102,400

13,312,081,645

610,268,373

2005

14,312,238,732

14,413,105,910

3,142,536,893

 


Financial Description

 

Authorized Capital(KRW)

3,000,000,000

Paid-Up Capital(KRW)

800,000,000

Total Issued Shares

160,000

 

 

Balance Sheet

 

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Total Assets

27,474,265,865

26,594,454,426

24,951,622,461

Current Assets

10,585,366,424

11,537,125,871

12,508,412,650

-Quick Assets

5,209,910,721

6,326,902,449

8,261,139,327

-Inventories

5,375,455,703

5,210,223,422

4,247,273,323

Fixed Assets

16,888,899,441

15,057,328,555

12,443,209,811

-Investment

6,848,528,267

8,756,810,484

6,542,235,842

-Tangibles

8,655,942,616

4,911,339,513

5,074,413,368

-Intangibles

1,384,428,558

1,389,178,558

826,560,601

Total Liabilities

4,202,659,880

3,601,024,096

4,313,026,383

Current Liabilities

3,622,163,575

3,013,265,288

2,462,337,591

Fixed Liabilities

580,496,305

587,758,808

1,850,688,792

Capital Stock

800,000,000

800,000,000

800,000,000

Capital Surplus

167,190,925

167,190,925

167,190,925

Profit Surplus

19,964,864,595

17,800,773,859

15,483,365,737

Capital Adjustment

2,339,550,465

4,225,465,546

4,188,039,416

Total Equity

23,271,605,985

22,993,430,330

20,638,596,078

Liab. & Shareholder’s Equity

27,474,265,865

26,594,454,426

24,951,622,461

 

Current Liabilities

3,622,163,575

3,013,265,288

2,462,337,591

Trade Payables

481,365,261

854,875,279

473,001,934

Account Payables

1,021,081,326

880,685,950

581,860,657

Accrued Income Tax

546,312,579

669,119,315

1,031,135,562

Advance Receipts

912,466,199

526,776,114

153,317,298

Withholdings

60,938,210

75,709,100

213,953,020

Accrued Dividends

-

6,099,530

9,069,120

Short-Term Borrowings

600,000,000

 -

-

Fixed Liabilities

580,496,305

587,758,808

1,850,688,792

Provision for Severance & Retirement

2,646,128,938

2,404,440,344

1,903,423,455

Leasehold Deposit Received

200,000,000

360,000,000

360,000,000

Deferred Income Tax Credit

-

-

1,348,616,431

 


 

Income Statement

 

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Sales

23,292,451,422

21,208,111,096

18,776,330,337

Cost of Sold Goods

9,956,250,526

8,116,599,294

6,957,168,556

Gross Profit

13,336,200,896

13,091,511,802

11,819,161,781

Selling & Admin. Expenses

10,832,964,923

10,821,292,613

10,025,814,654

Operating Income

2,503,235,973

2,270,219,189

1,793,347,127

Non-Operating Income

2,305,416,367

3,113,369,687

3,329,081,192

Non-Operating Expenses

58,580,205

135,277,118

176,634,148

Income Before Taxes

4,750,072,135

5,248,311,758

4,945,794,171

Income Taxes Expenses

1,081,940,399

1,262,300,150

1,198,533,724

Net Income

3,668,131,736

3,986,011,608

3,747,260,447

 

 

Cash Flows

 

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Cash Flows from Operating

1,707,887,823

736,662,911

1,009,150,542

-Net Income

3,668,131,736

3,986,011,608

3,747,260,447

-Exp. without Cash Outflow

669,196,539

943,265,156

949,315,317

-Sale without Cash Inflows

-1,832,777,525

-2,543,415,001

-2,908,437,417

-Changes in Asset/ & Liability

-796,662,927

-1,649,198,852

-778,987,805

Cash Flows from Investing

-1,880,069,742

-990,161,448

2,141,163,214

-Cash Inflow from Investing

6,489,481,232

7,025,621,542

8,875,413,042

-Cash Outflows for Investing

-8,369,550,974

-8,015,782,990

-6,734,249,828

Cash Flows from Financing

-890,234,280

-1,507,010,590

-982,534,100

-Cash Inflows from Financing

600,000,000

-

-

-Cash Outflows from Financing

-1,490,234,280

-1,507,010,590

-982,534,100

Increase/Decrease in Cash

-1,062,416,199

-1,760,509,127

2,167,779,656

Cash at the Beginning of Year

1,335,611,083

3,096,120,210

928,340,554

Cash at the End of Year

273,194,884

1,335,611,083

3,096,120,210

 

 

Products, Technologies, Services Description

 

Main Products & Services

Carpets

 


Trade Partners & Competitors

 

Suppliers

KCC CORPORATION(110111-0221814)

Competitors

KOLON GLOTECH, INC.

8TH FL., KOLON TOWER, 1-23, BYEORYANG-DONG, GWACHEON-SI, GYEONGGI-DO, KOREA

TEL:+82-2-3677-5771~5  FAX:+82-2-3677-5901

 

WONU CO., LTD.

2ND FL., SEO-IL BLDG., 222, JAMSILBON-DONG, SONGPA-GU, SEOUL, KOREA

TEL:+82-2-569-5722  FAX:+82-2-569-5081

 

DUAL CO., LTD.

9TH FL., SINIL TOWER, 68-22, CHEONGDAM-DONG, GANGNAM-GU, SEOUL, KOREA

TEL:+82-2-6922-7272  FAX:+82-2-6922-7129

 

 

Related Parties

(Subsidiaries, Joint-Venture & Affiliates)

 

Subsidiary

LA VIEW CO., LTD.(110111-3051747)

(100.0% held by the subject company, but it was liquidated in 2008.)

Cooperative Enterprise

-Insured Company

DONGBU INSURANCE CO.,LTD.(110111-0095285)

 

 

Sales by Region

(Activity & Markets)

 

The Subject deals with the companies in Belgium, China and Iran.

 

 

Court Action

 

No.

 

 

News Clipping

 

---


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.38

UK Pound

1

Rs.100.86

Euro

1

Rs.84.59

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

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%)

 

 

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