MIRA INFORM REPORT

 

 

Report Date :

30.06.2014   

 

IDENTIFICATION DETAILS

 

Name :

NEOPHARM CO., LTD.

 

 

Registered Office :

309-8, Techno 2-ro, Yuseong-gu, Daejeon, Korea

 

 

Country :

South Korea

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

01.07.2000

 

 

Com. Reg. No.:

305-81-38977

 

 

Legal Form :

Listed Company

 

 

Line of Business :

Manufacture of Perfumes and Cosmetics

 

 

No. of Employees

75

 

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 31, 2014

 

Country Name

Previous Rating

(31.12.2013)

Current Rating

(31.03.2014)

South Korea

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low Risk

 

A2

Moderate Low Risk

 

B1

Moderate Risk

 

B2

Moderate High Risk

 

C1

High Risk

 

C2

Very High Risk

 

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. South 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. South 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-Korea Free Trade Agreement was ratified by both governments in 2011 and went into effect in March 2012. Throughout 2012 and 2013 the economy experienced sluggish growth because of market slowdowns in the United States, China, and the Eurozone. The administration in 2014 is likely to face the challenge 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, dominance of large conglomerates (chaebols), and heavy reliance on exports, which comprise about half of GDP

 

Source : CIA

 

 


Basic Information

 

Basic

 

Company Name

NEOPHARM CO., LTD.

(Korean Company Name : “()네오팜)

Registered Address

309-8, Techno 2-ro, Yuseong-gu, Daejeon, Korea

(Old Address System : 928, Tamnip-dong, Yuseong-gu, Daejeon, Korea)

Building

 

Zip Code

305-510

Tel

+82-42-864-0036~8

Fax

+82-42-864-0039

E-mail

 

Website

www.neopharm.co.kr

Trading Address

2FL., BH Bldg., 5, Bangbae-ro 18-gil, Seocho-gu, Seoul, Korea

(Old Address System : 2FL., BH Bldg., 902-5, Bangbae 1-dong, Seocho-gu, Seoul, Korea)

Tel

+82-2-533-0804

Fax

+82-2-591-4522

Other Address

 

Tel

 

Fax

 

Type

Export

Industry

Manufacture of Perfumes and Cosmetics

  Main Business

Atopic Moisturizer, Alternative Industrial Cleanser

  Sub Business

 

Established (mm/dd/yyyy)

07/01/2000

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Bath gels(53131612)

Sell

Skin care products(53131613)

Sell

Ultrasonic cleaning equipment(42281712)

Sell

Cleaning and disinfecting solutions(47131800)

Buy

Bottles(24122000)

Buy

Sorbitol(51211613)

Buy

Packaging boxes(24121503)

Buy

Glycerine(51171608)

Buy

Alcohols or its substitutes(12352104)

 

CEO’s

 

Name

Park Byeong-Deog

Address

 

Date of Birth

01/07/1966

Title

President & CEO

Sex

Male

Nationality

Korean

 

Profiles

 

Capital (KRW)

3,730,618,500

Employees

75

Formation

Listed Company (KOSDAQ : 092730) as of 01/30/2007

Venture Business

A Company of Aekyung Group

Bank Details

Hana Bank-Daeduck Branch

Corporate Registered No.

160111-0100688

Business Registered No.

305-81-38977

Permit & Licenses

07/2005 INNO-BIZ

12/2005 ISO 14001

12/2005 ISO 9001

09/2009 KGMP

12/2009 CGMP

 

Int’l Trade No.: 16104635

Shareholder Position

Name

Shares

%

Ahn Yong-Chan

1,000,000

13.40

Templeton Asset Management, Ltd.(7 Temasek Blvd. #38-03 Suntec Tower One, Singapore 038987)

745,374

9.99

Park Byeong-Deog

653,497

8.76

Chae Seung-Seok

606,047

8.12

Others

4,456,319

59.73

Total

7,461,237

100.00

Company History

07/01/2000 Incorporated as the present name

09/14/2000 Designated as a Venture Business

05/02/2008 Moved to the present HQ address from 125, Gwahak-ro, Yuseong-gu, Daejeon, Korea

11/01/2012 Designated as a Venture Business again

 

 

 

 

Detailed Information

 

Management

 

Job Description

Title

Name

Nationality

Date of Birth

Education

President & CEO

Mr.

Park Byeong-Deog

Korean

1966.01.07

Seoul National University, Korea

Executive Director

Mr.

Bae Hang-Sik

Korean

1956.08.14

Dongkuk University, Korea

Director

Mr.

Kim Yoon

Korean

1965.10.

Kunkuk University, Korea

Auditor

Mr.

Lee Seok-Joo

Korean

1969.10.28

Seoul National University, Korea

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

(*)03/2014

6,298,478,863

34,580,507,913

1,265,788,940

(*)2013

20,137,820,915

34,758,706,915

1,895,049,533

(*)2012

18,774,371,846

34,141,788,906

647,762,927

2011

16,944,305,401

34,000,641,679

904,242,301

2010

14,661,158,403

33,037,674,927

1,235,872,719

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

 

Financial Description

 

Authorized Capital(KRW)

10,000,000,000

Paid-Up Capital(KRW)

3,730,618,500

Total Issued Shares

7,461,237

 

Balance Sheet

Unit : Korean Won

01/01/2014~03/31/2014

As of 12/31/2013

As of 12/31/2012

Total Assets

34,580,507,913

34,758,706,915

34,141,788,906

Current Assets

18,633,029,772

17,940,314,795

15,975,576,269

Cash & Cash Equivalents

3,629,637,245

1,799,229,091

1,681,269,539

Current Financial Instruments

2,567,698,735

2,850,000,000

7,600,000,000

Trade Receivables & Other Receivables

3,307,636,815

4,340,572,816

3,824,871,398

Inventories

2,753,993,913

2,605,413,119

2,125,350,826

Short-Term Receivables

5,113,729,702

5,099,466,858

3,885,600

Marketable Financial Instruments

703,547,917

715,201,374

 

Deferred Income Tax Assets

49,338,260

44,464,370

36,889,530

Other Current Assets

507,447,185

485,967,167

703,309,376

Non-Current Assets

15,947,478,141

16,818,392,120

18,166,212,637

Marketable Financial Instruments

1,525,024,591

1,753,516,740

1,593,815,189

Investment_Real Estates

190,101,437

191,090,789

195,048,199

Tangibles

8,934,969,340

8,957,443,531

9,529,955,530

Intangibles

4,082,275,639

4,142,368,368

5,100,738,526

Non-Current Financial Instruments

 

 

18,853,600

Deferred Income Tax Assets

844,753,134

1,103,618,692

1,167,447,593

Other Non-Current Assets

370,354,000

670,354,000

560,354,000

Total Liabilities

4,623,915,376

4,422,726,783

4,218,105,408

Current Liabilities

2,922,610,437

2,748,720,574

3,309,419,837

Trade Payables & Other Payables

1,685,677,670

2,088,848,401

2,006,765,787

Short-Term Borrowings

 

 

116,145,799

Other Current Financial Debts

 

24,000,000

431,629,800

Provision for Sales Guarantee

43,549,522

48,638,088

45,355,060

Other Current Non-Financial Debts

1,193,383,245

587,234,085

709,523,391

Non-Current Liabilities

1,701,304,939

1,674,006,209

908,685,571

Long-Term Borrowings

900,000,000

900,000,000

 

Other Non-Current Liabilities

98,505,120

92,697,458

83,743,071

Provision for Severance & Retirement

702,799,819

681,308,751

824,942,500

Capital Stock

3,730,618,500

3,730,618,500

3,730,618,500

Capital Surplus

13,535,575,627

13,535,575,627

13,535,575,627

Others

-3,127,482,442

-2,195,181,177

-1,175,433,234

Installments

-37,478,737

-50,011,404

20,383,205

Profit Surplus

15,855,359,589

15,314,978,586

13,812,539,400

Total Equity

29,956,592,537

30,335,980,132

29,923,683,498

Liab. & Shareholder’s Equity

34,580,507,913

34,758,706,915

34,141,788,906

 

Income Statement

Unit : Korean Won

01/01/2014~03/31/2014

As of 12/31/2013

As of 12/31/2012

Sales

6,298,478,863

20,137,820,915

18,774,371,846

Cost of Sold Goods

1,477,153,838

5,074,497,058

4,579,226,056

Gross Profit

4,821,325,025

15,063,323,857

14,195,145,790

Selling & Admin. Expenses

3,328,646,837

12,915,676,040

13,985,998,609

Operating Income

1,492,678,188

2,147,647,817

209,147,181

Other Income

33,598,547

987,305,568

1,018,877,170

Other Expenses

69,779,620

1,497,079,758

1,121,743,745

Finance Income

77,588,708

347,400,071

391,412,429

Finance Expenses

15,928,598

37,230,050

61,052,433

Income Before Taxes

1,518,157,225

1,948,043,648

436,640,602

Income Taxes Expenses

252,368,285

52,994,115

-211,122,325

Net Income

1,265,788,940

1,895,049,533

647,762,927

 

Cash Flows

Unit : Korean Won

01/01/2014~03/31/2014

As of 12/31/2013

As of 12/31/2012

Operating Activities Cash Flows

2,093,267,922

2,371,250,678

564,344,700

Net Income

1,265,788,940

1,895,049,533

647,762,927

Adjustment

797,044,960

194,133,374

-340,492,590

Interests Received

35,017,993

318,228,759

269,829,108

Interests Paid

-4,583,971

-10,886,088

-7,899,985

Income Taxes

 

-25,274,900

-4,854,760

Cash Flows from Investing

683,740,706

-1,154,473,313

-1,024,056,054

Cash Flows from Financing

-950,493,603

-1,092,867,057

-514,285,488

Increase/Decrease in Cash

1,830,408,154

117,959,552

-976,663,323

Cash at the Beginning of Year

1,799,229,091

1,681,269,539

2,657,932,862

Cash at the End of Year

3,629,637,245

1,799,229,091

1,681,269,539

 

Products, Technologies, Services Description

 

Main Products & Services

Atopic Moisturizer, Alternative Industrial Cleanser

Detailed Products Spec.

 

Technologies Acquired

 

 

Trade Partners & Competitors

 

Suppliers

 

Customers

 

Competitors

HANBUL COSMETICS CO., LTD.

249, NONHYEON 2-DONG, GANGNAM-GU, SEOUL, KOREA

TEL:+82-2-3450-0114  FAX:+82-2-565-2125

 

BLUEBELL KOREA LTD.

5TH FL., BAEGANG BLDG., 666-14, SINSA-DONG, GANGNAM-GU, SEOUL, KOREA

TEL:+82-2-3444-2203  FAX:+82-2-3445-9377

 

COMMERCE PLANET CO., LTD.

8TH FL., SEONGMUGWAN BLDG., 370-1, SINDAEBANG 2-DONG, DONGJAK-GU, SEOUL, KOREA

TEL:+82-70-7400-3000  FAX:+82-2-3217-8407

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates

AEKYUNG INDUSTRIAL CO., LTD.(110111-0398275)

AEKYUNG CHEMICAL CO., LTD.(110111-0293011)

AEKYUNG CO., LTD.(110111-0028575)

AEKYUNG PETROCHEMICAL CO., LTD.(110111-4951243)

ATEC CO., LTD.(110111-0954374)

KOSPA CORP. (154511-0002686)

AEKYUNG DEVELOPMENT CO., LTD. (134211-0002321)

AEKYUNG PNT(134811-0002600)

JS AVIATION CO., LTD.(120111-0562993)

AM PLUS PFV GANGNAM CO., LTD.(110111-4726638)

AK CHEMTECH CO., LTD.(160111-0004541)

ARD INC.(131311-0029384)

ADMISSION CO., LTD.(110111-2681751)

JEJU AIR CO., LTD.(220111-0050575)

AEKYUNG S.T. CO., LTD.(110111-3624122)

Overseas Office

 

Liaison Office

 

Overseas Branch

 

Joint Venture

 

Subsidiary

 

Corporate Ownership

 

Major Shareholders

 

Cooperative Enterprise

 

 

Sales by Region (Activity & Markets)

 

Sales/ Unit :Mil KRW

03/2014

2013

2012

Export

643

2,056

2,121

Domestic

5,655

18,082

16,653

Total

6,298

20,138

18,774

The Subject exports to Taiwan, Russia, USA, UK, Australia, Japan, China, Poland, France and Hong Kong.

 

 

Court Action

 

No.

 

 

News Clipping

 

--


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.60.10

UK Pound

1

Rs.102.40

Euro

1

Rs.81.88

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

Report Prepared by :

NIS

 

               

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.