MIRA INFORM REPORT

 

 

Report No. :

336321

Report Date :

12.08.2015

 

IDENTIFICATION DETAILS

 

Name :

SEOUL ENGINEERING CO., LTD.

 

 

Registered Office :

332, Bangchuk-Ro, Nam-Gu, Incheon, Korea 22122

 

 

Country :

South Korea

 

 

Financials (as on) :

31.12.2014

 

 

Date of Incorporation :

21.03.1974

 

 

Com. Reg. No.:

131-81-01258

 

 

Legal Form :

Co., Ltd by Shares

 

 

Line of Business :

·         Exporter of Tuyere Coolers, Tuyere Nozzle, Lance Nozzles, Stave Cooler, Screw Nut, Copper Panel, Gare Box Assembly, Mandrel & Rotating Cylinder, One Touch Attachment, Screw Nut, Precision Industrial Machinery, Tension Reel.

·         Other Cast of Non-ferrous Metals

 

 

No. of Employees :

276

 

 

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, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

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 economic 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. A system of close government and business ties, including directed credit and import restrictions, initially 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 7% 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 over 6% growth in 2010. The US-Korea Free Trade Agreement was ratified by both governments in 2011 and went into effect in March 2012. Between 2012 and 2014, the economy experienced slow growth due to sluggish domestic consumption and investment. The administration in 2015 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 the heavy reliance on exports, which comprise about half of GDP. In an effort to address the long term challenges and sustain economic growth, the current government has prioritized structural reforms, deregulation, promotion of entrepreneurship and creative industries, and the competitiveness of small and medium enterprises.

 

Source : CIA

 

 

 

Basic Information

 

Company Name

SEOUL ENGINEERING CO., LTD.

Registered Address

332, Bangchuk-ro, Nam-gu, Incheon, Korea

Building

 

Zip Code

22122

Tel

+82-32-863-9901

Fax

+82-32-863-9904

E-mail

seouleng@seoul-eng.co.kr;seouleng@unitel.co.kr

Website

www.seoul-eng.co.kr

Trading Address

332, Bangchuk-ro, Nam-gu, Incheon, Korea

(Old Address System : 1381-1, Juan 1-dong, Nam-gu, Incheon, Korea)

Tel

+82-32-863-9901

Fax

+82-32-863-9904

Other Address-Gajwa Factory

131, Janggogae-ro, Seo-gu, Incheon, Korea

(Old Address System : 180-172 / 571-7, Gajwa 1-dong, Seo-gu, Incheon, Korea)

Tel

+82-32-584-9901

Fax

+82-32-584-9902

Type

Export

Industry

Other Cast of Non-ferrous Metals

  Main Business

Tuyere Coolers, Tuyere Nozzle, Lance Nozzles, Stave Cooler, Screw Nut, Copper Panel, Gare Box Assembly, Mandrel & Rotating Cylinder, One Touch Attachment, Screw Nut, Precision Industrial Machinery, Tension Reel

  Sub Business

 

Established (mm/dd/yyyy)

03/21/1974

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Copper plate(30102209)

Sell

Nozzles(40141731)

Sell

Industrial machinery components and accessories(23153100)

Sell

Furnaces(40101805)

Sell

Fans(40101604)

Sell

Hardware and fittings(40141700)

Sell

Hardware and fittings(40141700)

Sell

Impellers(40101603)

Buy

Ingots(30103400)

Buy

Seals(31181600)

 

 

CEO’s

 

Name

Lee Won-Suk

Address

Suite 509-501, 93, Solbit-Ro, Dong-Gu, Incheon, Korea

Date of Birth

05/01/1956

Title

President & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

3,000,000,000

Employees

276

Formation

Co., Ltd by Shares

Bank Details

Shinhan Bank

Hana Bank

Woori Bank

Corporate Registered No.

120111-0004870

Business Registered No.

131-81-01258

Permit & Licenses

10/1996 ISO 9002

10/1998 EM

12/1999 ISO 9001

02/12/2002 ISO 9001

 

Int’l Trade No.: 200642

Shareholder Position

Name

Shares

%

OH SE-CHEOL

1,768,200

58.94

LEE WON-SUK

461,400

15.38

OTHERS

770,400

25.68

TOTAL

3,000,000

100.00

Company History

11/01/1996 Established as SEOUL ALUMINUM INDUSTRIES CO.(Sole Proprietorship)

03/21/1974 Incorporated as the present name

09/23/1996 Finished Corporate Clearing Procedure by Incheon District Court

06/2006 Designated as a Venture Business

10/01/2006 Moved to the present HQ address from 1402-3, Juan 1-dong, Nam-gu, Incheon, Korea

11/22/2007 Split off the par value to 1,000 KRW from 10,000 KRW

11/22/2007 Increased the authorized shares to 20,000,000 shares from 100,000 shares

12/30/2010 Increased capital to 3,000,000,000 KRW from 2,122,500,000 KRW

11/2012 Awarded US$ 50 Million Export Top Prize

 

 

 

 

Management

 

Job Description

Title

Name

Sex

Nationality

Inauguration Date

Co-President & CEO

Mr.

Lee Won-Suk

Male

Korean

01/02/2003

Co-President & CEO

Mr.

Oh Se-Cheol

Male

Korean

12/24/2014

Director

Mr.

Song Kwang-Soo

Male

Korean

03/29/2014

Auditor

Mr.

Lee Hwan-Kyu

Male

Korean

03/22/1999

 

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

2014

69,145,129,298

68,248,273,989

2,471,409,683

2013

83,148,356,660

68,335,622,668

4,411,622,759

2012

107,810,035,613

83,857,104,219

4,895,773,445

2011

83,562,867,950

84,290,805,020

2,158,033,235

2010

68,460,595,744

69,441,524,222

4,735,099,574

2009

80,695,444,265

57,302,786,980

11,095,344,410

 

 

Financial Description

 

Authorized Capital(KRW)

20,000,000,000

Paid-Up Capital(KRW)

3,000,000,000

Total Issued Shares

3,000,000

 

Balance Sheet

Unit : Korean Won

As of 12/31/2014

As of 12/31/2013

As of 12/31/2012

Total Assets

68,248,273,989

68,335,622,668

83,857,104,219

Current Assets

36,260,639,722

34,946,806,806

49,486,230,615

-Quick Assets

16,714,508,595

13,885,695,346

20,886,530,298

-Inventories

19,546,131,127

21,061,111,460

28,599,700,317

Fixed Assets

31,987,634,267

33,388,815,862

34,370,873,604

-Investment

258,163,780

981,356,920

853,888,840

-Tangibles

31,536,059,949

32,191,301,207

33,328,475,016

-Intangibles

157,360,833

179,522,966

150,753,466

-Others

36,049,705

36,634,769

37,756,282

Total Liabilities

27,005,612,758

28,957,211,120

48,087,015,430

Current Liabilities

19,942,418,752

21,943,763,230

42,414,739,739

Fixed Liabilities

7,063,194,006

7,013,447,890

5,672,275,691

Capital Stock

3,000,000,000

3,000,000,000

3,000,000,000

Capital Surplus

 

 

 

Profit Surplus

38,242,661,231

36,371,251,548

32,760,628,789

Capital Adjustment

-

7,160,000

9,460,000

Total Equity

41,242,661,231

39,378,411,548

35,770,088,789

Liab. & Shareholder’s Equity

68,248,273,989

68,335,622,668

83,857,104,219

 

Current Liabilities

19,942,418,752

21,943,763,230

42,414,739,739

Trade Payables

2,812,091,298

2,979,085,755

4,037,340,065

Account Payables

404,087,163

343,692,924

557,468,555

Accrued Expenses

1,054,603,938

1,015,344,061

1,017,298,288

Advance Receipts

2,044,539,665

1,754,668,966

4,165,063,803

Short-Term Borrowings

13,000,000,000

15,000,000,000

29,500,000,000

Withholdings

289,939,110

259,309,820

231,801,270

Deferred Income Tax Credit

295,996,861

437,554,999

398,702,261

Current Portion of Deferred Income Tax Credit

28,160,717

41,106,705

94,065,513

Guarantee Deposit Withhold

13,000,000

13,000,000

13,000,000

Current Portion of Long-Term Debts

-

100,000,000

2,399,999,984

Fixed Liabilities

7,063,194,006

7,013,447,890

5,672,275,691

Long-Term Borrowings

6,000,000,000

6,500,000,000

5,100,000,016

Provision for Severance & Retirement

825,614,576

71,872,690

203,527,808

Non-Current Portion of Deferred Income Tax Credit

237,579,430

441,575,200

368,747,867

 

Income Statement

Unit : Korean Won

As of 12/31/2014

As of 12/31/2013

As of 12/31/2012

Sales

69,145,129,298

83,148,356,660

107,810,035,613

Cost of Sold Goods

59,819,234,748

68,978,479,593

95,133,875,876

Gross Profit

9,325,894,550

14,169,877,067

12,676,159,737

Selling & Admin. Expenses

6,842,950,277

7,313,712,827

7,766,883,721

Operating Income

2,482,944,273

6,856,164,240

4,909,276,016

Non-Operating Income

2,581,828,762

3,223,773,171

8,310,524,633

Non-Operating Expenses

2,184,470,448

4,887,351,599

7,370,828,839

Income Before Taxes

2,880,302,587

5,192,585,812

5,848,971,810

Income Taxes Expenses

408,892,904

780,963,053

953,198,365

Net Income

2,471,409,683

4,411,622,759

4,895,773,445

 

Cash Flows

Unit : Korean Won

As of 12/31/2014

As of 12/31/2013

As of 12/31/2012

Cash Flows from Operating

3,961,414,102

17,762,770,973

7,084,564,913

-Net Income

2,471,409,683

4,411,622,759

4,895,773,445

-Exp. without Cash Outflow

2,885,060,611

3,432,513,934

3,848,490,930

-Revenue without Cash Inflows

-416,797,109

-68,395,366

-135,406,702

-Changes in Asset/ & Liability

-978,259,083

9,987,029,646

-1,524,292,760

Cash Flows from Investing

-445,196,818

-1,172,694,111

-2,195,720,335

-Cash Inflow from Investing

1,038,101,569

224,406,537

195,273,165

-Cash Outflows for Investing

-1,483,298,387

-1,397,100,648

-2,390,993,500

Cash Flows from Financing

-3,200,000,000

-16,201,000,000

-4,619,015,765

-Cash Inflows from Financing

22,206,113,390

22,580,736,750

88,470,907,461

-Cash Outflows from Financing

-25,406,113,390

-38,781,736,750

-93,089,923,226

Increase/Decrease in Cash

316,217,284

389,076,862

269,828,813

Cash at the Beginning of Year

4,313,491,949

3,924,415,087

3,654,586,274

Cash at the End of Year

4,629,709,233

4,313,491,949

3,924,415,087

 

 

Products, Technologies, Services Description

 

Main Products & Services

Tuyere Coolers, Tuyere Nozzle, Lance Nozzles, Stave Cooler, Screw Nut, Copper Panel, Gare Box Assembly, Mandrel & Rotating Cylinder, One Touch Attachment, Screw Nut, Precision Industrial Machinery, Tension Reel

Detailed Products Spec.

 

Technologies Acquired

 

 

 

Trade Partners & Competitors

 

Suppliers

HYUNDAI STEEL COMPANY(120111-0001743)

Customers

POSCO(174611-0000741)

POSCO ENGINEERING & CONSTRUCTION CO., LTD.(174611-0002979)

Competitors

SEUNG BO MECHA TECH CO., LTD.

269-1, GWANHO-RI, YAKMOK-MYEON, CHILGOK-GUN, GYEONGSANGBUK-DO, KOREA

TEL:+82-54-975-6526~7  FAX:+82-54-975-6530

 

JE-IL PRODUCTION CO., LTD.

889-1, DALSAN-RI, JEONGGWAN-MYEON, GIJANG-GUN, BUSAN, KOREA

TEL:+82-51-727-5525  FAX:+82-51-727-5528

 

JINHAP CO., LTD.

RM. B-5,  INDUSTRIAL COMPLEX , 40-57, DAEHWA-DONG, DAEDEOK-GU, DAEJEON, KOREA

TEL:+82-70-7430-1800  FAX:+82-70-7442-7785

 

 

Sales by Region (Activity & Markets)

 

The Subject exports to South Africa, Netherlands, Taiwan, Germany, Mexico, USA, Belgium, Sweden, Spain, Australia, Austria, Italy, India, Canada, Turkey and France.

 

 

Court Action

 

No.

 

 

News Clipping

 

-----------

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.64.76

UK Pound

1

Rs.99.85

Euro

1

Rs.70.36

 

 

 

 

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

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.