MIRA INFORM REPORT

 

 

Report Date :

06.10.2014

 

IDENTIFICATION DETAILS

 

Name :

GEOSUNG TEXTILE CO., LTD.

 

 

Registered Office :

31-15, Bonggi 1-gil, Punggak-myeon, Cheongdo-gun, Gyeongsangbuk-do, Korea

 

 

Country :

South Korea

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

24.09.1994

 

 

Com. Reg. No.:

502-81-26714

 

 

Legal Form :

Company Limited By Shares

 

 

Line of Business :

Subject is engaged in Weaving of Man-Made Fiber Fabrics.

 

 

No of Employees :

38

 

 

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 :

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 – June 1, 2014

 

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

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. 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

 

Company Name

GEOSUNG TEXTILE CO., LTD.

(Korean Company Name : “()거성산업자재”)

Registered Address

31-15, Bonggi 1-gil, Punggak-myeon, Cheongdo-gun, Gyeongsangbuk-do, Korea

Building

 

Zip Code

714-833

Tel

+82-54-371-5727

Fax

+82-54-371-5729

E-mail

tndus-love@hanmail.net

Website

www.geosung.co.kr

Trading Address

31-15, Bonggi 1-gil, Punggak-myeon, Cheongdo-gun, Gyeongsangbuk-do, Korea

(Old Address System : 1120, Bonggi-ri, Punggak-myeon, Cheongdo-gun, Gyeongsangbuk-do, Korea)

Tel

+82-54-371-5727

Fax

+82-54-371-5729

Other Address

 

Tel

 

Fax

 

Type

Export

Industry

Weaving of Man-Made Fiber Fabrics

  Main Business

Nylon Oxford Fabrics, High Tensil Yarn for Hose, Wool Pack, Letom, Polyester Dope Dyed Yarn

  Sub Business

 

Established (mm/dd/yyyy)

09/24/1994

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Awnings(30151901)

Sell

Packaging pouches or bags(24121502)

Sell

Nylon fibers(11151502)

Sell

Threads(11151600)

Buy

Rayon fibers(11151506)

Buy

Paper tubes or cores(24141701)

Buy

Polypropylene PP(13102022)

Buy

Synthetic fabrics(11161800)

Buy

Spandex thread(11151611)

Buy

Dyes(12171500)

Buy

Spinning machines(23121509)

Buy

Sun protection products(53131609)

 

CEO’s

 

Name

Moon Goo-Eui

Address

Suite 209-2502, 591, Jungang-daero, Buk-gu, Daegu, Korea

Date of Birth

07/01/1942

Title

President & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

1,700,000,000

Employees

38

Formation

Co., Ltd by Shares

Bank Details

Industrial Bank of Korea

Nonghyup Bank

Corporate Registered No.

170111-0079360

Business Registered No.

502-81-26714

Permit & Licenses

12/1999 ISO 14001

01/1998 ISO 9002

 

Int’ l Trade No.: 13015891

Shareholder Position

Name

Shares

%

MOON GOO-EUI

102,737

60.43

KANG MAL-BOON

23,800

14.00

MOON JUNG-EON

42,500

25.00

MOON TAE-IN

963

0.57

TOTAL

170,000

100.00

Company History

03/01/1985 Established as GEOSUNG TEXTILE CO.

09/24/1994 Incorporated as the present name

 

 

 

 

Detailed Information

 

Management

 

Job Description

Title

Name

Sex

Nationality

Inauguration Date

President & CEO

Mr.

Moon Goo-Eui

Male

Korean

04/17/1998

Director

M/S.

Kang Mal-Boon

Female

Korean

04/17/1998

Director

Mr.

Moon Jung-Eon

Male

Korean

04/17/2001

Auditor

M/S.

Kim Joo-Young

Female

Korean

05/12/2011

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

2013

11,044,655,809

11,652,450,398

239,272,081

2012

9,463,058,397

11,850,044,538

20,078,724

2011

19,291,607,148

11,988,180,420

803,293,086

2010

14,120,276,708

10,972,581,982

-492,885,940

2009

14,664,081,748

11,253,093,520

67,276,233

 

 

Financial Description

 

Authorized Capital(KRW)

6,000,000,000

Paid-Up Capital(KRW)

1,700,000,000

Total Issued Shares

170,000

 

Balance Sheet

Unit : Korean Won

As of 12/31/2013

As of 12/31/2012

As of 12/31/2011

Total Assets

11,652,450,398

11,850,044,538

11,988,180,420

Current Assets

6,663,735,794

5,697,529,243

5,880,388,257

-Quick Assets

3,911,265,049

3,335,829,131

3,336,821,013

-Inventories

2,752,470,745

2,361,700,112

2,543,567,244

Fixed Assets

4,988,714,604

6,152,515,295

6,107,792,163

-Investment

128,840,000

93,000,000

-

-Tangibles

4,800,549,567

6,016,801,109

6,015,477,977

-Intangibles

7,626,747

3,451,259

3,451,259

-Others

51,698,290

39,262,927

88,862,927

Total Liabilities

7,649,519,859

7,190,815,208

7,349,029,814

Current Liabilities

4,665,906,172

5,631,523,207

5,509,049,058

Fixed Liabilities

2,983,613,687

1,559,292,001

1,839,980,756

Capital Stock

1,700,000,000

1,700,000,000

1,700,000,000

Capital Surplus

 

 

 

Profit Surplus

-385,080,908

-624,352,989

-644,431,713

Capital Adjustment

2,688,011,447

3,583,582,319

3,583,582,319

Total Equity

4,002,930,539

4,659,229,330

4,639,150,606

Liab. & Shareholder’s Equity

11,652,450,398

11,850,044,538

11,988,180,420

 

Current Liabilities

4,665,906,172

5,631,523,207

5,509,049,058

Trade Payables

193,498,790

264,828,432

1,145,445,302

Account Payables

333,359,461

402,693,974

297,051,921

Withholdings

20,043,790

14,919,455

8,445,640

Advance Receipts

279,601

80,700,060

533,287,860

Short-Term Borrowings

3,929,210,148

3,019,630,688

3,261,400,000

Accrued Expenses

159,514,382

248,750,598

231,318,338

Current Portion of Long-Term Debts

30,000,000

1,600,000,000

-

Accrued Income Tax

 

 

32,099,997

Fixed Liabilities

2,983,613,687

1,559,292,001

1,839,980,756

Debentures

2,780,000,000

1,500,000,000

1,600,000,000

Long-Term Borrowings

70,000,000

-

 

Provision for Severance & Retirement

348,016,017

436,909,471

518,246,343

 

Income Statement

Unit : Korean Won

As of 12/31/2013

As of 12/31/2012

As of 12/31/2011

Sales

11,044,655,809

9,463,058,397

19,291,607,148

Cost of Sold Goods

10,012,302,903

8,936,018,799

17,052,252,448

Gross Profit

1,032,352,906

527,039,598

2,239,354,700

Selling & Admin. Expenses

1,008,244,060

1,238,458,488

1,678,234,429

Operating Income

24,108,846

-711,418,890

561,120,271

Non-Operating Income

713,034,215

1,226,777,399

904,753,341

Non-Operating Expenses

486,471,700

495,279,785

630,150,994

Income Before Taxes

250,671,361

20,078,724

835,722,618

Income Taxes Expenses

11,399,280

-

32,429,532

Net Income

239,272,081

20,078,724

803,293,086

 

Cash Flows

Unit : Korean Won

As of 12/31/2013

As of 12/31/2012

As of 12/31/2011

Cash Flows from Operating

-677,929,977

-401,345,504

836,478,342

-Net Income

239,272,081

20,078,724

803,293,086

-Exp. without Cash Outflow

615,967,983

468,938,338

684,900,069

-Revenue without Cash Inflows

-56,087,696

-

-45,507,650

-Changes in Asset/ & Liability

-1,477,082,345

-890,362,566

-606,207,163

Cash Flows from Investing

-211,552,123

-750,333,872

-367,033,751

-Cash Inflow from Investing

226,849,772

572,974,087

824,112,429

-Cash Outflows for Investing

-438,401,895

-1,323,307,959

-1,191,146,180

Cash Flows from Financing

694,987,811

1,258,230,688

-517,435,759

-Cash Inflows from Financing

2,294,987,811

1,500,000,000

7,419,395,225

-Cash Outflows from Financing

-1,600,000,000

-241,769,312

-7,936,830,984

Increase/Decrease in Cash

-194,494,289

106,551,312

-47,991,168

Cash at the Beginning of Year

202,363,356

95,812,044

143,803,212

Cash at the End of Year

7,869,067

202,363,356

95,812,044

 

 

Products, Technologies, Services Description

 

Main Products & Services

Nylon Oxford Fabrics, High Tensil Yarn for Hose, Wool Pack, Letom, Polyester Dope Dyed Yarn

Detailed Products Spec.

 

Technologies Acquired

 

 

 

Trade Partners & Competitors

 

Suppliers

 

Customers

 

Competitors

DO BEST CO., LTD.

105-112, GONGDEOK-DONG, MAPO-GU, SEOUL, KOREA

TEL:+82-2-3271-3800  FAX:+82-2-3271-3899

 

DREAM SEEKERS INC.

RM. 2410, MASTERS TOWER BLDG., 553, DOHWA-DONG, MAPO-GU, SEOUL, KOREA

TEL:+82-2-3275-5111~2  FAX:+82-2-3275-5113

 

HANWOO CORPORATION

4TH FL., 322-21, HAENGDANG 2-DONG, SEONGDONG-GU, SEOUL, KOREA

TEL:+82-2-2299-9100~8  FAX:+82-2-2299-9109

 

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates

LETOM AMERICA INC

 

 

Sales by Region (Activity & Markets)

 

Sales/ Unit : KRW

2013

2012

2011

Export

 

2,757,191,029

2,288,051,552

Domestic

 

6,705,867,368

17,003,555,596

Total

 

9,463,058,397

19,291,607,148

The Subject exports to New Zealand.

 

 

Court Action

 

No.

 

News Clipping

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.61.75

UK Pound

1

Rs.100.07

Euro

1

Rs.77.95

 

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

TPT

 


 

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.