MIRA INFORM REPORT

 

 

Report Date :

07.10.2014

 

IDENTIFICATION DETAILS

 

Name :

DIGITAL GRAPHICS INCORPORATION

 

 

Registered Office :

48, Pyeonghwa-ro 1479beon-gil, Yangju-si, Gyeonggi-do, Korea, 482-050

 

 

Country :

South Korea

 

 

Financials (as on) :

30.06.2014

 

 

Date of Incorporation :

28.11.1991

 

 

Com. Reg. No.:

127-81-18162

 

 

Legal Form :

Listed Company

 

 

Line of Business :

Manufacture of Computer Printer, Cutting Plotter, Inkjet Printer

 

 

No of Employees :

79

 

 

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

DIGITAL GRAPHICS INCORPORATION

(Trade Name : DGI)

(Korean Company Name : “()디지아이”)

Registered Address

48, Pyeonghwa-ro 1479beon-gil, Yangju-si, Gyeonggi-do, Korea

(Old Address System : 517, Deokgye-dong, Yangju-si, Gyeonggi-do, Korea)

Building

 

Zip Code

482-050

Tel

+82-31-820-8990

Fax

+82-31-820-8990

E-mail

sales@dgi-net.com

Website

www.dgi-net.com

Trading Address

52, Cheongdam-ro, Yangju-si, Gyeonggi-do, Korea

(Old Addr5ess System : 271-6, Go-eup-dong, Yangju-si, Gyeonggi-do, Korea)

Tel

+82-31-820-8900

Fax

+82-31-820-8990

Other Address

3rd Fl., DGI Bldg., 692, Ssangmun-dong, Dobong-gu, Seoul, Korea

Tel

 

Fax

 

Type

Export

Industry

Manufacture of Computer Printer

  Main Business

Cutting Plotter, Inkjet Printer

  Sub Business

 

Established (mm/dd/yyyy)

11/28/1991

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Plotter printers(43212107)

 

 

CEO’s

 

Name

Choi Kwan-Soo

Address

 

Date of Birth

10/15/1947

Title

Chairman & CEO

Sex

Male

Nationality

Korean

 

 


Profiles

 

Capital (KRW)

4,500,000,000

Employees

79

Formation

Listed Company(KOSDAQ : 043360) as of 07/20/2001

Venture Business

Bank Details

Industrial Bank of Korea-Uijungbu Branch

Corporate Registered No.

111511-0015359

Business Registered No.

127-81-18162

Permit & Licenses

01/2000 ISO 9001

01/14/2003 ISO 9001

08/2012 NET Mark

 

Int’l Trade No.: 263012

Shareholder Position

Name

Shares

%

CHOI KWAN-SOO

2,397,785

26.64

CHOI DONG-HO

1,232,000

13.69

KIM YONG-HWAN

248,683

2.76

YOON YEON-SOO

200,000

2.22

OTHERS

4,921,532

54.68

TOTAL

9,000,000

100.00

Company History

01/1985 Established as ILLI CO.(Sole Proprietorship)

11/28/1991 Incorporated as ILLI INC.

01/1999 Designated as a Venture Business

04/18/2000 Changed company name to the present name

11/2002 Awarded US$10 Million Export Top Prize

11/2004 Awarded US$20 Million Export Top Prize

11/2007 Awarded US$30 Million Export Top Prize

07/2009 Designated as an INNO-BIZ Company

 

 

 

 

Detailed Information

 

Management

 

Job Description

Title

Name

Nationality

Date of Birth

Education

Chairman & CEO

Mr.

Choi Kwan-Soo

Korean

1947.10.15.

Kyunghee University, Korea

President & CEO

Mr.

Choi Dong-Ho

Korean

1978.06.

Korea University, Korea

Director

Mr.

Yoon Shin-Yong

Korean

1964.09.01.

Dongkuk University, Korea

Director

Mr.

Shin Dong-Hoon

Korean

1974.12.22.

Inha University, Korea

 

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

(*)06/2014

14,012,956,131

56,485,177,087

1,262,195,427

(*)2013

24,543,545,785

56,859,808,365

-1,350,380,488

(*)2012

30,811,535,771

60,169,523,219

868,272,696

2011

26,955,616,443

58,848,623,733

154,391,321

2010

37,434,961,684

62,482,925,105

3,095,561,885

2009

40,648,439,402

58,527,617,715

3,154,181,915

2008

36,091,562,300

62,192,523,358

-668,615,295

2007

35,189,694,000

55,710,948,000

2,221,388,000

2006

38,118,178,000

53,400,245,000

2,884,679,000

2005

34,796,161,000

51,398,263,000

3,072,115,000

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

 

Financial Description

 

Authorized Capital(KRW)

15,000,000,000

Paid-Up Capital(KRW)

4,500,000,000

Total Issued Shares

9,000,000

 

Balance Sheet

Unit : Korean Won

01/01/2014~06/30/2014

As of 12/31/2013

As of 12/31/2012

Total Assets

56,485,177,087

56,859,808,365

60,169,523,219

Current Assets

31,212,420,486

31,648,098,598

34,524,117,426

Cash & Cash Equivalents

334,187,071

1,063,890,940

1,045,672,251

Current Financial Instruments

17,650,000,000

18,400,000,000

19,800,000,000

Trade Receivables & Other Receivables

8,385,747,088

6,580,486,725

7,513,152,451

Inventories

4,187,335,740

4,745,885,361

5,575,421,864

Deferred Income Tax Assets

33,939,210

102,095,150

114,931,130

Other Current Assets

621,211,377

755,740,422

474,939,730

Non-Current Assets

25,272,756,601

25,211,709,767

25,645,405,793

Non-Current Financial Instruments

18,000,000

18,000,000

18,000,000

Long-Term Trade Receivables & Other Receivables

7,806,936,497

7,645,279,203

7,319,285,221

Investment_Subsidiaries

20,000,000

0

0

Tangibles

9,644,965,743

9,790,492,894

10,266,338,877

Investment_Real Estates

6,872,113,546

6,894,636,972

6,939,683,826

Intangibles

735,499,691

776,043,030

1,102,097,869

Deferred Income Tax Assets

175,241,124

87,257,668

0

Total Liabilities

4,912,404,186

6,104,397,441

7,618,898,357

Current Liabilities

3,585,942,016

4,698,029,913

4,107,148,283

Trade Payables & Other Payables

2,264,859,885

2,739,976,691

2,586,049,231

Debentures

601,025,864

824,005,088

1,316,328,067

Provision for Sales Gurantee

587,050,722

605,767,082

0

Other Current Liabilities

133,005,545

528,281,052

204,770,985

Non-Current Liabilities

1,326,462,170

1,406,367,528

3,511,750,074

Long-Term Trade Payables & Other Payables

1,326,462,170

1,304,026,293

2,780,691,373

Provision for Sales Gurantee

0

102,341,235

650,682,667

Deferred Income Tax Credit

0

0

80,376,034

Capital Stock

4,500,000,000

4,500,000,000

4,500,000,000

Capital Surplus

9,262,691,675

9,262,691,675

9,262,691,675

Profit Surplus

37,810,081,226

36,992,719,249

38,787,933,187

Total Equity

51,572,772,901

50,755,410,924

52,550,624,862

Liab. & Shareholder’s Equity

56,485,177,087

56,859,808,365

60,169,523,219

 

Income Statement

Unit : Korean Won

01/01/2014~06/30/2014

As of 12/31/2013

As of 12/31/2012

Sales

14,012,956,131

24,543,545,785

30,811,535,771

Cost of Sold Goods

10,120,228,609

18,902,790,151

22,631,430,163

Gross Profit

3,892,727,522

5,640,755,634

8,180,105,608

Selling Expenses

1,022,909,662

2,863,775,598

2,535,952,343

Admin. Expenses

1,059,903,732

2,255,975,439

2,878,629,206

R&D

1,124,025,288

3,172,814,254

2,737,253,676

Operating Income

685,888,840

-2,651,809,657

28,270,383

Finance Income

438,092,275

957,709,078

1,124,065,838

Finance Expenses

25,492,915

101,653,390

125,447,293

Non-Operating Income

345,706,750

1,300,241,333

841,721,525

Non-Operating Expenses

269,982,979

1,022,501,554

1,121,081,015

Income Before Taxes

1,174,211,971

-1,518,014,190

747,529,438

Income Taxes Expenses

-87,983,456

-167,633,702

-120,743,258

Net Income

1,262,195,427

-1,350,380,488

868,272,696

 

Cash Flows

Unit : Korean Won

01/01/2014~06/30/2014

As of 12/31/2013

As of 12/31/2012

Operating Activities Cash Flows

-708,554,376

-548,178,005

849,421,201

Cash Flows from Operating

-1,011,372,434

-1,273,946,947

53,876,308

Interests Received

243,116,433

729,523,042

820,962,770

Interests Paid

-8,454,315

-16,590,080

-25,411,397

Income Taxes

68,155,940

12,835,980

-6,480

Cash Flows from Investing

638,102,982

1,495,535,588

-890,227,207

Cash Flows from Financing

-659,252,475

-929,095,686

209,240,288

Increase/Decrease in Cash

-729,703,869

18,261,897

168,434,282

Cash at the Beginning of Year

1,063,890,940

1,045,672,251

877,539,054

Cash at the End of Year

334,187,071

1,063,890,940

1,045,672,251

 

 

Products, Technologies, Services Description

 

Main Products & Services

Cutting Plotter, Inkjet Printer

 

Brand Name : POLA-JET  SERIES, XP SERIES, DURA-JET SERIES, ORION-JET SERIES, OMEGA  SERIES

Detailed Products Spec.

 

Technologies Acquired

 

 

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Subsidiary

SAWNICS INC.(134111-0078407)

(20.61% held by the subject company)

 

DGI LIGHT CO., LTD.(280211-0129863)

(66.67% held by the subject company)

 

 

Sales by Region (Activity & Markets)

 

The Subject exports to Iran and India.

 

 

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 :

KAR

 

 

Report Prepared by :

SMN

 

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.