DUZON BIZON Investor s Guide. IR team

Transcription

1 DUZON BIZON Investor s Guide IR team

2 Table of Contents I. Corporate Introduction 1. Company Profile 2. E3 Solution of Duzon 3. Business Outline III. New Growth Business 1. Business Model 2. D-Cloud Business II.. ERP Business 1. Solution Line-up 2. Lite ERP 3. Standard/Extended ERP V. Appendix 1. Duzon IT Group Gangchon Campus 2

3 I. Corporate Introduction 1-1. Company Profile Company Profile C E O Yong Woo Kim Establishment August Core Businesses ERP(Enterprise Resourcing Planning) e-finance Business, Mobile Office Service, D-Cloud Service Employees 619 (R&D 40%, as of December 2011) Largest Shareholder and others 32.08% (Largest shareholder 16.08%, Affiliated Persons 16.00%) Foreigners 7.5% Institutions 1.3% Treasury Stock 7.23% Outstanding Common Stock M Treasury Stock 2.15 M Par Value \ 500 Capital \ 14.8 b Market Cap. \ b (As of ) Common Shareholders 51.85% Shareholder Distribution as of

4 I. Corporate Introduction 1-2. Company Profile Duzon brings you values from all areas related to enterprise information The Blue Stands for Green IT, Innovation and youthfulness (Values offered by Duzon) Heart Something Indispensable (Duzon s close relationship with customers) That Drives Business Information Platform Generation, Distribution, Storage and Reutilization of Information The driving force of business operations (Through Duzon s service) Enterprises Duzon s Customers (Duzon s target) 4

5 I. Corporate Introduction 2. E3 Solution of DUZON Duzon s solutions for enterprise information management that streamlines the generation, distribution and storage of information Generation of Information ERP Enterprise Resource Planning Distribution of Information EUC Enterprise Unified Communications Storage of Information (Reuse) EDB Enterprise Data Bank Duzon iplus Duzon icube Duzon icube - G20 Manufacturing ERP Duzon ERP iu IFRS Solution BizBox Green Fax Cloud Fax Smart CEO Smart CTA Smart STEP Mobile SFA Mobile G/W e-tax Invoice IDC Certified e-document Storage Cloud Solution Smart TaxOS Smart BizOS BIZBOX Next APO Integrated Security 5

6 I. Corporate Introduction 3. Business Outline Synergy achieved by the combination of ERP, EDB and EUC EUC e-finance 1e-Tax Invoice Issuance 2Instant Collection Service (PG) 3Electronic Bill EDB D-Cloud 1Smart TaxOS 2Smart BizOS 3BIZBOX Next 4Certified e- Document Storage 5IDC ERP - Business Platform EUC Other New Solutions 1Cloud FAX 2Smart CEO 3Smart SFA 4T-Book No.1 Domestic Market Share for ERP Business (Including IFRS solution) License + Maintenance 6

7 II. ERP Business 1. Solution Line-up (Price in million won) Lite ERP Target Market : SMEs Client Status : 110,000 SMEs & All tax accounting offices in South Korea Standard ERP/Extended ERP/IFRS Target Market : Medium & Large Enterprises Client Status : 10,000 Corporate Clients 60 Net-based Web ERP Solution 건설 an ERP solution based on standardization of SMEs construction businesses Artificial Intelligence and Business Innovation Program SOA-based Customer-centric Packaged ERP Budget/Accounting/Tax Management Solution for Non-profit Organizations Small SMEs Medium Large IFRS Solution for Large/Financial Sector/Listed companies -Consolidated Financial Statement Posting System for Parent Company - IFRS ERP System for Individual Companies Function 7

8 II. ERP Business 2. Lite ERP 1) Market Status Target market 3.29 million SMEs Tax Accounting Offices 10,300 tax accounting offices in Korea - 90% of tax accounting offices are using Duzon iplus) - Only 10% are using Kicom Duzon Bizon owns 72% of Kicom Available Market for Duzon iplus (companies with 5 to 50 employees) Market size: about 550,000 SMEs Duzon s Clients: 110,000 (20% penetration) No. of start-ups: Appx. 50,000 annually Potential Market (companies with 1~4 employees) Market Size : 2.72 million companies Power User (Future Clients) Nationally Certified e-tax Accounting Examinations - Accumulated no. of applicants:1,271,247 - No. of applicants in 2011: 182,894 - Covers regular subjects in commercial high schools, community colleges and universities - 98% applicants choose Duzon product. Lite ERP Market: High Entry Barriers and Very Few Competitors 8

9 II. ERP Business 2. Lite ERP 2) Status of Start-ups and Bankrupt Companies & Nationally Certified e-tax Accounting Exam Status of Start-ups and Bankrupt Companies Nationally Certified e-tax Acct. Exam Applicants 90,000 60,000 50,512 53,483 50,855 56,830 60,312 65, ,000 Duzon 153, , , ,246 30,000 Kicom 105, , ,628 1,507 1,886 1,364 1, ,000 64,945 84, , Number of Start-ups Number of Bankrupt Companies 50,515 53,483 50,855 56,830 60,312 65,110 1,628 1,507 1,886 1,364 1, Net Gain 48,887 51,976 48,969 55,466 59,170 64,143 <Source: SMBA/ 2010> There were 19,285 start-ups and 7,538 bankrupt companies during 1998 Korean IMF Crisis. - 4,360 3,580 2,790 1,568 1,774 3,331 4,273 4, , % of applicants choose Duzon Product. Duzon Bizon owns 72% of Kicom. <Source: KICPTA> 9

10 II. ERP Business 2. Lite ERP 3) Electronic Tax Filing Status Electronic Tax Filing through Duzon ERP in 2010 : Corporate Tax (87%), General Income Tax(91%) Electronically-filed Corporate Taxes Electronically-filed General Income Taxes Kicom and 5 other companies 13 % Kicom and 5 other companies 9% Duzon 87% Duzon 91% <Source: National Tax Service (2010) Vendor e-filings Share Duzon 353,299 87% Others 53,183 13% Total 406, % <Source: National Tax Service (2010) Vendor e-filings Share Duzon 1,811,193 91% Others 179,130 9% Total 1,990, % * DuzonBizon owns 72% of Kicom. * DuzonBizon owns 72% of Kicom. 10

11 II. ERP Business 3. Standard/Extended ERP 1) Market Status Target market 40,000 Medium/Large Enterprises Accounting Firms & Banks Standard/Extended ERP Market (Companies with 50 or more employees) Market Size: appx. 40,000 companies Duzon s ERP Clients: 10,000 (25% penetration) Duzon s IFRS Clients: 300 Power User (Future Clients) Partnership with Accounting Firms : Securing ERP clients through IFRS business (Partnership with KOSDAQ-listed Companies Association) Partnership with Banks: Securing ERP clients through bank-affiliated ERP Nationally Certified ERP Info. Mgmt. Exam -No. of Accumulated Applicants for 28 Exams: 51,557-95% applicants choose Duzon product 11

12 II. ERP Business 3. Standard/Extended ERP 2) ERP Competitors & Nationally Certified ERP Exam Domestic Market Share of ERP Vendors (based on ERP revenues) Nationally Certified ERP Exam 60% 50% SAP 48% 14,000 12,000 11,984 40% 10,000 8,979 30% 8,000 6,000 5,545 6,686 5,562 6,258 20% Duzon 14% 4,000 3,073 3,470 10% Oracle 9% Samsung SDS 6% YoungLimWon 5% 2,000 0% - < Source : Korea ERP Applications Software Forecast and Analysis,Korea IDC / 2008 > exams 4 exams 2 exams 3 exams 3 exams 4 exams 4 exams 4 exams <Source : KPC> Duzon Bizon - No. 2 vendor based on Domestic ERP Market Share Duzon Bizon has the biggest market share among Korean vendors. As of 2010, ERP revenue in Korea of SAP was W 150.4B, and that of Duzon Bizon was W 117.4B. 95% (51,557 applicants) from 28 exams chose Duzon software for their exams. 12

13 III. New Growth Business 1. Business Model e-tax Invoice Issuing Service Instant Collection Service (PG) Electronic Billing Service Smart CEO Smart SFA Duzon T-Book Cloud FAX e-finance Business EUC Other New Solution EUC D-Cloud Business EDB IDC Nationally Certified e-document Storage & Scan Service Smart TaxOS/ Smart BizOS BIZBOX Next 13

14 III. New Growth Business 2. D-Cloud Business 1) D-Cloud Service Outline Server ERP 1 When a company grows, it feels the need to implement a system to manage its business. Duzon Security Data Backup 2 However, smaller companies are unable to support such a system due to its high costs. Moreover, they lack human resources to maintain it. And, such a system may not satisfy their needs. 1. IaaS Model : - Cloud center(physical space), dedicated line & server rental - Security (Firewall + Real-time control) - Data Back-up Server ERP 2. PaaS Model : Security, Fee-based revenue 3 Companies can use the hardware and software as a service on-demand without having to invest in costly systems, through D-Cloud Center. Backup Security 3. SaaS Model : -Management Information Solution : ERP, IFRS, FTA Origin Mgmt System, Tax Accounting, Groupware, etc. -e-finance Solution : e-tax Invoice, Payment Gateway, e-billing, etc -Mobile Solution : Mobile Office -Other solutions : Nationally Certified e-document Storage Center, Scan, Fax, Credit Assessment, etc. 14

15 III. New Growth Business 2. D-Cloud Business 2) The Need of Cloud Business for Duzon Case 1. In Smartphone Market Device Samsung HTC LG Motorola OS Android Regardless of smartphone manufacturer, if the device runs on Android OS, its user must use services from Google and therefore becomes a Google customer. iphone ios Case 2. In Enterprise Cloud Service Market Device Samsung Smartphone ipad Sony Laptop LG Desktop PC Cloud Service D-Cloud Similarly, regardless of hardware manufacturer, if a user subscribes to services from D-Cloud, s/he automatically becomes a Duzon customer. Once a D-Cloud customer, always a D-Cloud customer even if s/he replaces the hardware. 15

16 III. New Growth Business 2. D-Cloud Business 3) Competitiveness of D-Cloud The Only B2B Cloud Service in Korea Targeting SMBs that cannot afford the investment in IT infrastructure Companies that need an enterprise solution are all potential customers of Duzon because Duzon provides comprehensive solutions covering any type, size, and nature of business. Robust Client Base Why D-Cloud? The only service provider in Korea that offers Allin-One Service, including ERP, Server, Network, Back-up and Security solution. Mid/Long-term Business Models 120,000 Duzon ERP clients 10,000+ tax accounting offices 2 million clients of tax accounting offices 270,000 e-tax invoice clients 10,000 clients from other solutions Duzon will offer its software as a service (SaaS) that is device-independent. Duzon has 3 most important elements for Cloud Computing business: Clients / Cost Reduction / Service Model 16

17 III. New Growth Business 2. D-Cloud Business 3) Competitiveness of D-Cloud Cutting-edge IT Facilities Constant temperature and humidity control system Uninterrupted power supply system with independent power generator 24-hour secured environment Eco-friendly Green IT Cloud Why D-Cloud? Proprietary Computing Infrastructure in Gangchon Campus Nationally Certified e-document Storage Center IDC Center Scan Center Security Control Center Geographic Advantages Easy to approach : located 40 minutes away from Seoul Cost reduction via power saving : D-Cloud center can run on a cost-free cooling system for 4 to 5 months in a year because of its location where the temperature is 2 to 3 degrees Celsius lower than that of the typical areas. The Vision of Duzon IT Group towards a Global IT Company is being realized through D-Cloud Center! 17

18 III. New Growth Business 2. D-Cloud Business 4) Cutting-edge Facility of D-Cloud Center < Most Advanced Eco-friendly Green IT Technology> - Built in compliance with CCITT TIA-942, the international datacenter standards. - Optimized for facility cooling and built to withstand earthquakes - Installed advanced fire extinguishing system that uses eco-friendly materials - Servers, nationally certified e-document storage center, scan center, and other infrastructures in a ft 2 room. - Constant temperature and humidity control system - 24-hour secured environment - Independent power generator for uninterrupted power supply 18

19 V. Appendix 1. Duzon IT Group Gangchon Campus 2. Duzon IT Group Gangchon Campus 구 Front View Accessibility Business Expansion and Market Competitiveness Improvement with Proprietary IT Infrastructure Corporate Tax Deduction Benefits of W 50B to W 70B for 7 years R&D Bolstered by Exclusive Cooperation with Local Universities 19