MIRA INFORM REPORT

 

 

Report Date :

29.09.2014

 

IDENTIFICATION DETAILS

 

Name :

VITZROCELL CO., LTD.

 

 

Formerly Known As :

TECKRAF CO., LTD.

 

 

Registered Office :

235-35, Chusa-Ro, Sinam-Myeon, Yesan-Gun, Chungcheongnam-Do

 

 

Country :

Korea South

 

 

Financials (as on) :

30.06.2014

 

 

Date of Incorporation :

04.02.1988

 

 

Com. Reg. No.:

311-81-01999

 

 

Legal Form :

Listed Company

 

 

Line of Business :

Manufacture of Primary Cells and Lithium Battery, Battery.

 

 

No. of Employees :

290

 

 

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 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

VITZROCELL CO., LTD.

Registered Address

235-35, Chusa-ro, Sinam-myeon, Yesan-gun, Chungcheongnam-do, Korea

(Old Address System : 256-41, Dugok-ri, Sinam-myeon, Yesan-gun, Chungcheongnam-do, Korea)

Building

 

Zip Code

340-861

Tel

+82-41-332-8642

Fax

+82-41-332-8646

E-mail

overseas@vitzrocell.com;pual@vitzrocell.com;mhlee@vitzrocell.com

Website

www.vitzrocell.com

Trading Address

VITZRO Bldg., 10, Neungdong-ro 25-gil, Gwangjin-gu, Seoul, Korea

(Old Address System : VITZRO Bldg., 27-16, Gunja-dong, Gwangjin-gu, Seoul, Korea)

Tel

+82-2-2024-3244

Fax

+82-2-499-2759

 

 

Type

Export

Industry

Manufacture of Primary Cells and Batteries

  Main Business

Lithium Battery, Battery

 

 

Established (mm/dd/yyyy)

02/04/1988

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Lithium batteries(26111711)

Sell

Batteries and cells and accessories(26111700)

Buy

Box(24112404)

Buy

Paperboard and packaging papers(14121500)

Buy

Tape(31201500)

Buy

Shells and casings(31261600)

Buy

Chemistry reagents or solutions(41116105)

Buy

Polyethylene films(13111201)

Buy

Cleaning and disinfecting solutions(47131800)

Buy

Labels(55121600)

Buy

Packaging films(24141514)

 

 

CEO’s

 

Name

Chang Seung-Kook

Date of Birth

03/05/1962

Title

President & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

6,401,467,000

Employees

290

Formation

Listed Company (KOSDAQ : 082920) as of 10/28/2009

Venture Business

A Company of VITZRO GROUP

Bank Details

Shinhan bank-Jungkok Dong Branch

Citi Bank, Korea-Sungsu Branch

Kookmin Bank-Yesan Branch

Hana Bank-Sungsu Branch

Korea Exchange Bank-Gunja Branch

Corporate Registered No.

110111-0548771

Business Registered No.

311-81-01999

Permit & Licenses

02/1997 UL

03/06/2006 ISO 9001

03/06/2006 ISO 14001

 

Int’l Trade No.: 947008

Shareholder Position

Name

Shares

%

VITZRO TECH CO., LTD.(110111-0086169)

2,845,994

22.23

CHANG SOON-SANG

1,818,186

14.20

CHNAG SOON-MYUNG

681,818

5.33

OTHERS

7,456,936

58.24

TOTAL

12,802,934

100.00

Company History

10/31/1987 Incorporated as TECKRAF Co., Ltd.

07/2002 Changed company name to VITZROCELL CO., LTD

06/30/2003 Moved to the present HQ address from 106-18, Dogok-ri ,Hapdeok-eup ,Dangjin-gun, Chungcheongnam-do, Korea

11/2004 Awarded US$10 Million Export Top Prize

12/2004 Re-designated as a Venture Business by small and Medium business administration

04/2005 Nominated by ministry of commerce, industry and energy as a Advanced Technology R&D center

03/23/2006 Changed financial closing date to March 31st from December 31st

 

 

 

 

Management

 

Job Description

Title

Name

Nationality

Date of Birth

Education

President & CEO

Mr.

Chang Seung-Kook

Korean

03/05/1962

Sungkyunkwan University, Korea

Chairman & CEO

Mr.

Chang Soon-Sang

Korean

07/07/1944

Hanyang University, Korea

Director

Mr.

Kim Bum-Soo

Korean

10/1959

Chungang University, Korea

Director

Mr.

Lee Jung-Do

Korean

06/1965

Chonnam National University, Korea

 

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

(*)06/2014

13,585,135,993

75,227,220,590

804,895,684

(*)03/2014

69,595,752,206

76,491,250,768

6,596,099,146

(*)03/2013

61,215,243,953

68,479,181,588

7,019,939,992

(*)03/2012

53,465,657,516

58,464,268,591

7,295,182,567

03/2011

53,465,657,516

58,464,268,591

7,295,182,567

03/2010

46,015,709,689

52,381,186,523

6,815,740,986

 

06/17/2014 Decided to change the financial closing date to June. 30 from March 31.

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

 

 

Financial Description

 

Authorized Capital(KRW)

15,000,000,000

Paid-Up Capital(KRW)

6,401,467,000

Total Issued Shares

12,802,934

 

Balance Sheet

Unit : Million Korean Won

04/01/2014~06/30/2014

As of 03/31/2014

As of 03/31/2013

Total Assets

75,227,220,590

76,491,250,768

68,479,181,588

Current Assets

31,233,247,981

33,846,245,563

32,112,046,599

Cash & Cash Equivalents

5,825,398,466

6,722,210,011

8,801,975,291

Current Financial Instruments

3,676,385,168

4,969,187,197

3,001,814,960

Trade Receivables & Other Receivables

11,292,031,867

14,652,245,473

13,395,450,762

Inventories

10,071,766,339

7,043,823,815

6,529,298,270

Other Current Assets

367,666,141

458,779,067

383,507,316

Non-Current Assets

43,993,972,609

42,645,005,205

36,367,134,989

Non-Current Financial Instruments

6,000,000

6,000,000

1,863,160,000

Marketable Financial Instruments

2,075,000,000

2,075,000,000

2,000,000,000

Investment_Subsidiaries

3,956,420,347

3,956,420,347

3,956,420,347

Long-Term Loans

259,140,790

343,785,300

190,237,000

Long-Term Trade Receivables & Other Receivables

57,776,000

270,776,000

330,776,000

Tangibles

32,495,045,950

31,096,162,647

24,327,536,434

Intangibles

4,133,063,330

3,837,678,300

2,971,299,278

Deferred Income Tax Assets

1,011,526,192

1,059,182,611

727,705,930

Total Liabilities

11,204,791,131

12,388,910,664

8,230,874,432

Current Liabilities

10,387,182,723

10,499,749,716

7,466,668,508

Trade Payables & Other Payables

6,651,144,707

7,620,240,557

5,985,351,640

Short-Term Borrowings

1,919,401,440

1,657,918,346

1,011,183,597

Deferred Income Tax Credit

318,589,294

559,254,820

420,091,842

Other Current Liabilities

1,498,047,282

662,335,993

50,041,429

Non-Current Liabilities

817,608,408

1,889,160,948

764,205,924

Long-Term Borrowings

-

1,000,000,000

 

Provision for Severance & Retirement

817,608,408

889,160,948

764,205,924

Capital Stock

6,401,467,000

6,401,467,000

6,374,347,000

Capital Surplus

18,527,245,117

18,527,245,117

18,424,963,797

Others

-1,789,448,227

-1,789,448,227

217,872,423

Profit Surplus

40,883,165,569

40,963,076,214

35,231,123,936

Total Equity

64,022,429,459

64,102,340,104

60,248,307,156

Liab. & Shareholder’s Equity

75,227,220,590

76,491,250,768

68,479,181,588

 

Income Statement

Unit : Korean Won

04/01/2014~06/30/2014

As of 03/31/2014

As of 03/31/2013

Sales

13,585,135,993

69,595,752,206

61,215,243,953

Cost of Sold Goods

9,896,171,417

52,342,195,188

45,013,233,843

Gross Profit

3,688,964,576

17,253,557,018

16,202,010,110

Selling & Admin. Expenses

2,140,806,055

9,591,384,057

8,644,289,644

Operating Income

1,548,158,521

7,662,172,961

7,557,720,466

Other Income

164,419,743

772,930,834

717,274,530

Other Expenses

939,606,574

2,019,236,353

1,181,144,486

Finance Income

90,247,511

808,937,185

475,606,405

Finance Expenses

10,667,098

63,911,670

18,829,888

Income Before Taxes

852,552,103

7,160,892,957

7,550,627,027

Income Taxes Expenses

47,656,419

564,793,811

530,687,035

Net Income

804,895,684

6,596,099,146

7,019,939,992

 

Cash Flows

Unit : Korean Won

04/01/2014~06/30/2014

As of 03/31/2014

As of 03/31/2013

Operating Activities Cash Flows

2,257,062,981

9,679,659,296

7,721,013,191

Cash Flows from Operating

2,465,312,513

10,174,187,050

7,965,056,252

Net Income

804,895,684

6,596,099,146

7,019,939,992

Adjustment

1,327,328,856

4,380,414,899

3,398,865,259

Changes in Asset/ & Liability

333,087,973

-802,326,995

-2,453,748,999

Interests Received

43,083,092

326,491,430

480,957,461

Interests Paid

-10,667,098

-63,911,670

-14,969,689

Income Taxes

-240,665,526

-757,107,514

-710,030,833

Cash Flows from Investing

-1,519,967,940

-10,701,627,826

-18,152,051,693

Cash Inflow from Investing

1,590,446,539

4,644,246,065

1,970,970,245

Cash Outflows for Investing

-3,110,414,479

-15,345,873,891

-20,123,021,938

Cash Flows from Financing

-1,486,292,946

-996,106,221

3,345,920,400

Cash Inflows from Financing

-

1,766,062,749

4,065,475,020

Cash Outflows from Financing

-1,486,292,946

-2,762,168,970

-719,554,620

Increase/Decrease in Cash

-896,811,545

-2,079,765,280

-7,092,876,180

Cash at the Beginning of Year

6,722,210,011

8,801,975,291

15,894,851,471

Cash at the End of Year

5,825,398,466

6,722,210,011

8,801,975,291

 

 

Products, Technologies, Services Description

 

Main Products & Services

Lithium Battery, Battery, Lithium Thionyl Chloride Battery

Detailed Products Spec.

 

Technologies Acquired

 

 

 

Trade Partners & Competitors

 

Suppliers

 

Customers

Agency for Defense Development, Korea

Ministry of Defense, Korea

Competitors

ROCKET ELECTRIC CO.,LTD(200111-0002819)

 

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates

VITZRO TECH CO., LTD.(110111-0086169)

VITZRO MATERIAL CO., LTD.(131411-0170911)

VITZRO MILLTECH CO., LTD.(110111-0831663)

HUMETRORYX CO., LTD.(110111-4341098)

VITZROSYS., CO. LTD(110111-0657275)

VITZROWETECH. CO., LTD.(134511-0070116)

VITZRO C&C CO., LTD.(110111-3777533)

USI VITZRO CO., LTD.(CHINA)

IUS SOLUTIONS, INC

Overseas Office

Shanghai Office

Rm. 2008, Liulin Tower, 1 Huaihai Mid Road, Shanghai, China

TEL: +86-21-63863566

Liaison Office

 

Overseas Branch

 

Joint Venture

 

Subsidiary

EXIUM TECHNOLOGIES INC.(USA)

(100.0% held by the subject company)

Corporate Ownership

 

Major Shareholders

 

Cooperative Enterprise

-Insured Company

AIG KOREA INC.(110111-4725010)

 

 

Sales by Region (Activity & Markets)

 

The Subject exports to USA, Asia and Europe.

 

 

Court Action

 

No.

 

 

News Clipping

 

--------

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.61.57

UK Pound

1

Rs.100.42

Euro

1

Rs.78.45

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

NIT

 

               

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.