MIRA INFORM REPORT

 

 

Report No. :

330505

Report Date :

03.07.2015

 

IDENTIFICATION DETAILS

 

Name :

HOMECAST CO., LTD.

 

 

Registered Office :

726, Eonju-Ro, Gangnam-Gu, Seoul, 14FL., Doosan Bldg. Korea 138-160

 

 

Country :

South Korea

 

 

Financials (as on) :

31.03.2015

 

 

Date of Incorporation :

27.04.2000

 

 

Com. Reg. No.:

215-81-91010

 

 

Legal Form :

Listed Company

 

 

Line of Business :

Manufacture of Broadcasting Apparatuses.

 

 

No. of Employees :

76

 

 

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

HOMECAST CO., LTD.

Registered Address

726, Eonju-ro, Gangnam-gu, Seoul, Korea

Building

14FL., Doosan Bldg.

Zip Code

138-160

Tel

+82-2-2142-3700

Fax

+82-2-2142-3749

E-mail

yejj@homecast.net ;smith@homecast.net

Website

www.homecast.net

Trading Address

14FL., Doosan Bldg., 726, Eonju-ro, Gangnam-gu, Seoul, Korea

(Old Address System : 14FL., Doosan Bldg., 105-7, Nonhyeon 2-dong, Gangnam-gu, Seoul, Korea)

Tel

+82-2-2142-3700

Fax

+82-2-2142-3749

Other Address- Yeoju Factory

497-6, Jeombong-ri, Yeoju-eup, Yeoju-gun, Gyeonggi-do, Korea

Tel

+82-31-883-1303

Fax

+82-31-883-1348

Type

Export/Import

Industry

Manufacture of Broadcasting Apparatuses

  Main Business

Digital Satellite Receiver, Digital Terrestrial(Cable) Receiver, Home Network Peperater, Digital Set Top Box

 

 

Established (mm/dd/yyyy)

04/27/2000

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Multimedia receivers(52161521)

Sell

Satellite receivers(52161526)

Sell

Video cassette players or recorders(52161529)

Buy

Transistors(32111600)

Buy

Magnetic coils(39121010)

Buy

Radio access equipment(43221705)

Buy

Filters(40161500)

Buy

Resistors(32121600)

Buy

Plastic injection moldings(31141501)

Buy

Bare printed circuit boards(32131010)

Buy

Diodes(32111500)

Buy

Integrated circuits(32101600)

Buy

Connectors(31163100)

 

 


CEO’s

 

Name

Shin Jae-Ho

Address

Suite 104-1404, 55, Jeongjail-ro, Bundang-gu, Seongnam-si, Gyeonggi-do, Korea

Date of Birth

08/11/1970

Title

President & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

15,835,488,000

Employees

76

Formation

Listed Company (KOSDAQ: 064240) as of 06/11/2003

Venture Business

Bank Details

Kookmin Bank-Bangyi Dong Corporate Finance Branch

Korea Exchange Bank

Corporate Registered No.

110111-1954513

Business Registered No.

215-81-91010

Permit & Licenses

Int’l Trade No.: 11782238

Shareholder Position

Name

Shares

%

CHANG BYUNG-KWON

1,405,674

4.51

SHINHEUNG TELECOM CO., LTD.( 134111-0007943)

1,266,716

4.06

H BION INC.(110111-3893941)

1,379,310

4.42

EMPLOYEE STOCK OWNERSHIP ASSOCIATION

251,207

0.81

TREASURY STOCK

343,761

1.10

OTHERS

26,524,225

85.09

TOTAL

31,170,893

100.00

Company History

04/27/2000 Incorporated as EM Techniques Co., Ltd.

07/29/202 Designated as an INNO-BIZ Company

03/12/2004 Changed company name to the present name

03/12/2004 Increased the authorized shares to 40,000,000 shares from 20,000,000 shares

11/30/2005 Awarded US$ 100 Million Export Top Prize

03/22/2006 Designated as a Venture Business

08/21/2014 Moved to the present HQ address from 36, Garak-dong, Songpa-gu, Seoul, Korea

04/02/2015 Increased capital to 15,835,488,000 KRW from 15,662,478,000 KRW

 

 

 

 

Management

 

Job Description

Title

 

Name

Nationality

Date of Birth

Inauguration Date

Co-President & CEO

Mr.

Shin Jae-Ho

Korean

08/11/1970

12/29/2014

Co-President & CEO

Mr.

Kwon Young-Cheol

Korean

11/07/1972

12/29/2014

Director

Mr.

Yun Jin-Seok

USA

08/20/1967

05/23/2014

Outside Director

Mr.

Jang Yong-Sik

Korean

03/20/1955

05/23/2014

Outside Director

Mr.

Han Do

Korean

08/01/1969

12/29/2014

Outside Director

Mr.

Myung Jae-Won

Korean

09/16/1974

12/29/2014

Auditor

Mr.

Choi Byung-Gap

Korean

12/15/1953

05/23/2014

Auditor

Mr.

Sohn Boo-Kyung

Korean

04/03/1960

12/29/2014

 

 

Financials

 

Year / Unit : KRW

 

Sales

Assets

Net Income

(*)03/2015

18,107,370,537

116,313,374,073

1,187,693,765

(*)2014

71,744,806,292

112,178,377,401

2,285,967,987

(*)2013

74,714,222,965

67,072,464,013

-18,661,128,662

(*)2012

96,501,955,459

73,726,801,656

-1,864,860,084

(*)2011

161,444,196,910

98,278,111,605

6,560,036,952

2010

129,707,926,380

96,216,904,554

6,836,416,669

2009

165,738,564,784

79,975,445,829

-4,845,621,963

2008

163,843,612,921

81,462,549,376

8,619,371,058

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

 

 

Financial Description

 

Authorized Capital(KRW)

200,000,000,000

Paid-Up Capital(KRW)

15,835,488,000

Total Issues Shares

31,170,893

 

Balance Sheet

Unit : Korean Won

01/01/2015~03/31/2015

As of 12/31/2014

As of 12/31/2013

Total Assets

116,313,374,073

112,178,377,401

67,072,464,013

Current Assets

55,981,864,571

53,388,502,158

35,652,986,813

Cash & Cash Equivalents

10,824,789,062

12,323,219,595

5,493,332,765

Trade Receivables

17,371,992,782

15,642,350,790

20,578,521,470

Other Receivables

25,602,208

57,194,070

204,570,587

Other Current Assets

135,842,094

32,107,335

4,724,384

Short-Term Receivables

1,700,000,000

2,694,000,000

267,860,341

Advance Payments

675,120,826

655,808,148

175,883,097

Prepaid Expenses

26,845,393

19,476,996

28,899,902

Prepaid Taxes

905,330

47,365,451

 

Deferred Income Tax Assets

47,361,751

 

13,721,070

Current Financial Instruments

12,101,725,450

12,278,484,200

282,077,100

Finance Assets from this year's Income

3,500,000,000

3,500,000,000

 

Marketable Financial Instruments

 

 

260,582,785

Inventories

9,571,679,675

6,138,495,573

8,342,813,312

Derivatives

0

0

0

Non-Current Assets

60,331,509,502

58,789,875,243

31,419,477,200

Tangibles

19,671,766,330

19,691,684,109

27,764,335,120

Intangibles

946,433,391

1,642,365,953

1,918,773,317

Investment_Subsidiaries

1,706,000,000

20,000,000

0

Investment_Related Companies

27,989,992,000

27,989,992,000

0

Marketable Financial Instruments

558,719,445

558,719,445

775,048,108

Investment_Real Estates

7,914,158,736

7,914,158,736

 

Non-Current Financial Instruments

276,250,000

274,800,000

263,825,000

Guarantee Deposit

1,268,189,600

698,155,000

70,456,000

Deferred Income Tax Assets

 

 

627,039,655

Total Liabilities

44,274,759,865

41,378,908,385

26,800,995,566

Current Liabilities

40,759,284,212

37,796,601,847

22,800,995,566

Trade Payables

5,256,835,492

3,988,975,198

7,887,332,631

Account Payables

4,862,996,776

3,217,207,141

4,153,052,956

Accrued Expenses

312,894,960

296,364,495

434,808,744

Advance Receipts

1,069,149,232

1,256,905,398

606,259,346

Withholdings

100,385,952

193,428,872

131,714,129

Short-Term Borrowings

6,672,500,000

6,919,001,600

9,587,827,760

Current Portion of Long-Term Debts

1,333,360,000

1,000,030,000

0

Current Portion of Debentures

21,151,161,800

20,924,689,143

 

Non-Current Liabilities

3,515,475,653

3,582,306,538

4,000,000,000

Long-Term Borrowings

2,666,640,000

2,999,970,000

4,000,000,000

Leasehold Deposit Received

200,000,000

200,000,000

 

Provision for Severance & Retirement

193,961,532

262,452,966

0

Deferred Income Tax Credit

454,874,121

119,883,572

0

Capital Stock

12,310,350,500

12,310,350,500

7,629,193,000

Capital Surplus

41,372,065,362

41,372,065,362

19,223,701,229

Capital Adjustment

-1,447,031,858

-1,498,483,285

-3,032,160,328

Others

0

 

24,022,871

Profit Surplus

19,803,230,204

18,615,536,439

16,426,711,675

Total Equity

72,038,614,208

70,799,469,016

40,271,468,447

Liab. & Shareholder’s Equity

116,313,374,073

112,178,377,401

67,072,464,013

 

 

Income Statement

Unit : Korean Won

01/01/2015~03/31/2015

As of 12/31/2014

As of 12/31/2013

Sales

18,107,370,537

71,744,806,292

74,714,222,965

Cost of Sold Goods

10,402,999,602

50,441,725,935

55,129,110,130

Gross Profit

7,704,370,935

21,303,080,357

19,585,112,835

R&D

856,619,237

3,207,718,660

2,929,913,170

Selling & Admin. Expenses

5,058,261,958

10,851,604,173

24,273,278,687

Operating Income

1,789,489,740

7,243,757,524

-7,618,079,022

Finance Income

654,035,772

3,726,357,105

1,875,774,563

Finance Expenses

920,542,040

3,560,726,838

2,622,680,258

Other Operating Income

3,811,872,323

663,579,400

11,728,551

Other Operating Expenses

3,812,171,481

5,013,451,951

10,132,263,927

Income Before Taxes

1,522,684,314

3,059,515,240

-18,485,520,093

Income Taxes Expenses

334,990,549

773,547,253

-175,608,569

Net Income

1,187,693,765

2,285,967,987

-18,661,128,662

 

 

Cash Flows

Unit : Korean Won

01/01/2015~03/31/2015

As of 12/31/2014

As of 12/31/2013

Operating Activities Cash Flows

-575,726,702

12,140,836,857

76,240,309

Cash Flows from Operating

-173,540,477

13,130,258,380

571,520,246

Net Income

1,187,693,765

2,285,967,987

-18,661,128,662

Adjustment

1,190,232,038

6,643,196,240

20,858,949,096

Changes in Asset/ & Liability

-2,551,466,280

4,201,094,153

-1,626,300,188

Interests Received

109,734,417

642,600,730

180,619,657

Interests Paid

-511,920,642

-1,632,022,253

-360,408,734

Income Taxes

 

 

-315,490,860

Cash Flows from Investing

-569,126,250

-51,000,570,127

-9,816,037,200

Cash Flows from Financing

-272,601,600

45,550,805,110

6,695,495,234

Increase/Decrease in Cash

-1,417,454,552

6,691,071,840

-3,044,301,657

Cash at the Beginning of Year

12,323,219,595

5,493,332,765

8,553,358,283

Cash at the End of Year

10,824,789,062

12,323,219,595

5,493,332,765

 

 

Products, Technologies, Services Description

 

Main Products & Services

DIGITAL SET-TOP-BOX(STB)

DIGITAL SATELLITE RECEIVER

DIGITAL CABLE BOX

DIGITAL WEB BOX

HDTV STB

DIGITAL TERRESTRIAL RECEIVER

PVR(PERSONAL VIDEO RECORDER)

DIGITAL AUDIO BROADCASTING RECEIVER

HOME NETWORK SET-TOP BOX

TERRESTRIAL DIGITAL MULTIMEDIA BROADCASTING

PORTABLE MULTIMEDIA PLAYER

PMP

 

Brand Name: HOMECAST, TVUS

 

 

Trade Partners & Competitors

 

Competitors

HUMAX(110111-0604200)

TOPFIELD CO., LTD(131111-0033389)

WOOJEON & HANDAN CO., LTD.(110111-1459969)

HYUNDAI DIGITAL TECHNOLOGY CO., LTD.(110111-1535272)

KAON MEDIA CO., LTD.(131111-0060978)

 

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates

LUK CENTER CO., LTD.(176011-0032728)

(40.49%held by the subject company)

 

HOMECAST THAILAND CO., LTD.

(49.00%held by the subject company)

 

H BION INC.(110111-3893941)

(22.12%held by the subject company)

 

BRAVE ENTERTAINMENT CO., LTD.(110111-4908947)

(31.54%held by the subject company)

 

SPO LIVE CO., LTD.(110111-5225142)

(29.1% held by the subject company)

Cooperative Enterprise

-CAS License Agreement with

IRDETO ACCESS B.V.

 

-Patent Using Agreement with

S.I.SV.EL.,S.P.A.

 

 

Sales by Region (Activity & Markets)

 

Sales/ Unit : Thousand KRW

03/2015

2014

2013

Export

16,827,423

68,148,655

72,878,861

Domestic

1,279,947

3,596,151

1,835,362

Total

18,107,370

71,744,806

74,714,223

The Subject exports to China, South East Asian, Middle East, Europe and USA.

 

 

Court Action

 

Case No.

Court

Plaintiff(s)/ Creditor(s)/ Applicant(s)

Defendant(s)/ Debtor(s)/ Respondent(s)

Cause

Amount (KRW)

Status

 

Seoul District Public Prosecutor´s Office

Lee Bo-Sun(Ex. President & CEO)

The Subject Company

Misappropriation of Business

550,000,000

Proceeding

 

 

Prosecutor´s Office

The Subject Company

Violation of law of punishment on tax criminal

 

1st round is proceeding

 

 

News Clipping

 

---------

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.57

UK Pound

1

Rs.99.20

Euro

1

Rs.70.35

 

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%)

 

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.