(12287 KQ) Riding high Entertainment Company Update December 5, 218 (Maintain) Buy Target Price (12M, W) 6, Share Price (12/5/18, W) 44,5 Expected Return 35% OP (18F, Wbn) 12 Consensus OP (18F, Wbn) 11 EPS Growth (18F, %) -55.8 Market EPS Growth (18F, %) 1.2 P/E (18F, x) 18.1 Market P/E (18F, x) 8.6 KOSDAQ 71.12 Market Cap (Wbn) 89 Shares Outstanding (mn) 2 Free Float (%) 62.7 Foreign Ownership (%) 14.7 Beta (12M).74 52-Week Low 27, 52-Week High 46,7 (%) 1M 6M 12M Absolute 18.5 56.7 45.4 Relative 17. 96. 6.6 17 15 13 11 9 Mirae Asset Daewoo Co., Ltd. [Media] Jeong-yeob Park +822-3774-1652 jay.park@miraeasset.com KOSDAQ 7 11.17 3.18 7.18 11.18 BLACKPINK beats out BTS in November YouTube views BLACKPINK and BTS are currently the two biggest K-pop acts on the global music scene. BTS is once again demonstrating its global influence through its 2-city world tour (from August 218 to April 219), with concert tickets reselling (unofficially) for up to millions of won and long lines of fans camping outside concert venues. Meanwhile, BLACKPINK has built a huge fan base online, with the group s YouTube channel attracting 15.3mn subscribers as of December 5 th (a threefold increase from 5.3mn at end-217, and 81% of BigHit Entertainment s 19mn subscribers). According to market data, BLACKPINK s YouTube channel was viewed 37mn times in November, beating out BTS (BigHit Entertainment and Bangtan TV), which had 21mn views during the month. The number was also higher than the level seen during the height of the group s mega hit DDU-DU DDU-DU (average of 34mn views in June- July). What s even more encouraging is that the strong traffic does not appear to be driven solely by Jennie s new song ( SOLO ). Amid an overall increase in YouTube users, we believe s growing content library combined with frequent uploads and the rising influence of various versions of content is driving the huge number of views. We thus believe traffic growth is sustainable and structural. Of note, SOLO (November) has already been viewed 1mn times, compared with 52mn times for DDU-DU DDU-DU (June). Expectations through 219 remain low, but potential catalysts are growing It is widely anticipated that Big Bang s absence will lead to an earnings void through 219. While expectations have been lowered as a result, we see an increasing number of potential catalysts that could drive a gradual upgrade in earnings estimates: 1) As the company s resources and fan bases shift toward its next-generation artists, their activities are rapidly expanding. Both WINNER and ikon have remained busy after wrapping up their Asia tours in November. WINNER is scheduled to go on a seven-city North American tour in January (followed by a Japanese tour), while ikon is set to perform two dome concerts in Japan and release a repackaged version of their album Love Scenario at the end of the year (followed by a Japanese tour). Meanwhile, BLACKPINK will hold a dome concert in Japan at the end of the year and a sevencountry tour in Asia from January to March, followed by another stop in North America. Group member Rose is also getting ready for a solo debut, and a second group album is in the works. 2) A new boy group will debut in 1H19 as part of the company s show, YG Treasure Box. Three of the show s 1 episodes have aired so far, and have been viewed 26mn times on V LIVE and YouTube combined. The show has been more popular in Japan and Southeast Asia than in Korea, and the winning group is likely to include a Japanese member. Of note, we believe the company has already recovered most of the show s production costs by taking advantage of its multi-platform format. This change in profit structure is particularly meaningful, given that content production losses totaled W9.6bn over the past four quarters. Benefiting from new media We maintain our Buy rating and target price of W6, on. Given K- pop s growing status and the increasing value of music video content, we believe Korean entertainment firms overall will benefit from the rise of new media. Among them, we think has gained the most traction. The company is continuing to demonstrate strong YouTube traffic growth, led by BLACKPINK. Ad rates also have strong upside potential (more than double), considering the company s favorable position in talks regarding the establishment of Music & Creative Partners Asia (MCPA; a Korean version of VEVO), and potential geographical mix improvements (increased exposure to the US). FY (Dec.) 12/15 12/16 12/17 12/18F 12/19F 12/2F Revenue (Wbn) 193 322 35 289 34 45 OP (Wbn) 22 32 24 12 26 54 OP margin (%) 11.4 9.9 6.9 4.2 8.6 12. NP (Wbn) 28 19 18 8 22 45 EPS (W) 1,7 1,94 931 412 1,17 2,34 ROE (%) 14.7 7.7 5.7 2.3 6. 11.6 P/E (x) 26.2 25.9 31. 18.1 4.2 19.3 P/B (x) 3.6 1.8 1.6 2.5 2.3 2.1 Dividend yield (%).8.7.5.3.3.3 Note: All figures are based on consolidated K-IFRS; NP refers to net profit attributable to controlling interests Source: Company data, Mirae Asset Daewoo Research estimates
Table 1. Quarterly and annual earnings (Wbn, %, mn, %p) 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18F 218F 219F 22F Revenue 17 72 75 95 77 63 65 83 289 34 45 Products 27 32 24 5 2 26 3 37 112 139 21 Albums 18 22 16 17 13 16 17 21 12 19 27 Goods 8 9 8 34 6 9 13 16 45 54 87 Management 8 41 51 45 58 37 3 46 171 165 249 Concerts 13 7 21 15 2 1 5 11 19 33 64 Advertising 9 12 1 8 7 8 7 5 27 27 27 Royalties 49 6 5 1 35 5 4 11 54 41 87 Appearance fees 5 4 5 6 3 5 4 6 17 16 19 Commissions 4 11 9 11 8 18 9 11 45 4 42 Production 4 3 1 3 8 8 1 Gross profit 33. 24.6 2.8 22.3 2.5 21.7 21.5 24.1 88 12 148 Operating profit 14.8 4.3 1.5 4.6 2.3 1.4 2.6 6. 12 26 54 OP margin 13.9 6. 2. 4.8 3. 2.3 4.4 7.2 4.3 8.7 12.1 Pretax profit 13.6 6. 7.8 2.6 2.9 1.7 3.2 4.8 13 27 56 Net profit 6. 4.7 5.3-4.1.8 -.4 1.1 3.3 5 19 39 Net margin 5.6 6.6 7.1-4.3 1. -.6 1.9 4. 1.7 6.2 8.7 Controlling interests 7.3 4.4 6.2 -.1 2.3 -.1 2. 3.8 8. 21.6 45. YoY Revenue 46.5-6.5-25.7 35.8-27.7-13.2-13.3-12.7-17.5 5.5 48. Products 43.9 46.5 -.9 91.9-26.3-18.6 24.5-26.1-15.2 24. 44.2 Management 47.4-27.1-33.6 2.6-28. -9. -41.8 2.2-21.4-3.5 51.3 Gross profit 42.2 7.1-27.5 1.6-37.8-11.8 3.4 8.4-12.7 16.2 45. Operating profit 56.3-36.1-87.8 3. -84.4-67.2 77.8 31.7-5.8 112.9 15.7 Net profit -6.8-27.8 133.7 RR -87. TTR -78.8 TTB -59.2 287.3 18.2 Major assumptions Ticket sales volume in Japan.1.5.5.8.1..2.2.5.9 2.2 Source: Company data, Mirae Asset Daewoo Research estimates Figure 1. 24-month forward P/E band (W) 7, 64x 4x 6, 5, 4, 25x 19x 3, 2, 1, 14.1 14.7 15.1 15.7 16.1 16.7 17.1 17.7 18.1 18.7 Mirae Asset Daewoo Research 2
Figure 2. s YouTube-related net revenue growing rapidly on simultaneous growth in prices and volume (Wbn) 18 YouTube (Google) net revenue 16 15 13 12 9 6 3 3 6 8 216 217 218F 219F 22F Figure 3. BLACKPINK s YouTube view count set a new record in November (mn views) 5 4 BLACK PINK YG (YG ENTERTAINMENT + BLACK PINK + ikon + WINNER) Big Hit (ibighit + BangtanTV) 3 2 1 15.9 16.1 16.5 16.9 17.1 17.5 17.9 18.1 18.5 18.9 Figure 4. Quarterly YouTube view count by company (mn views) 1,6 1,2 SM (SMTOWN) JYP (jypentertainment + TWICE) YG (YG ENTERTAINMENT + BLACK PINK + ikon + WINNER) Big Hit (ibighit + BangtanTV) View count forecast 8 4 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18F 1Q19F 2Q19F 3Q19F 4Q19F 1Q2F 2Q2F 3Q2F 4Q2F Mirae Asset Daewoo Research 3
Table 2. Overview of YG Treasure Box Overview New idol group debut survival show 1-episode show; began to air in November 16, 218 Five members of a new boy group are expected to be selected (subject to changes) 1:pm on NAVER s V Live; 12:am on both YouTube/JTBC2 The number of supports (e.g., follower, view counts) turns into a ranking Friday, Vlive 22: Saturday, JTBC 2: Sunday, JTBC :2 Released November 16218 Presenter Jang Sung-kyu Cast Yang Hyun Suk, and YG trainees Platforms Instagram YouTube Vlive NaverTV Figure 5. V LIVE subscriber count: Japan > Indonesia > Thailand Source: Instagram, V LIVE, Mirae Asset Daewoo Research Figure 6. YouTube view count by artist for the past 9 days: Rise in contribution of developed markets to drive up CPM (mn views) 1,5 1,2 9 Other countries Latin America Southest Asia Korea/Japan US (%) 1 8 6 Other countries Latin America Southest Asia Korea/Japan US 6 4 3 BTS BLACK PINK ikon WINNER EXO NCT TWICE GOT7 2 11.6 1.6 BTS 19.5 14. 12.5 6.9 4.8 4.8 6.3 7.1 BLACK PINK 11.8 13. 34.7 2.7 4.9 7.4 ikon WINNER EXO NCT TWICE GOT7 Source: YouTube, Mirae Asset Daewoo Research Source: YouTube, Mirae Asset Daewoo Research Mirae Asset Daewoo Research 4
Figure 7. Japanese concert attendance to exceed previous highs in 22 (mn persons) 2.8 YG Family BLACK PINK 2.4 ikon WINNER 2. EPIK HIGH 2NE1 1.6 PSY BIG BANG 1.2.8.4. 212 213 214 215 216 217 218F 219F 22F Figure 8.BLACK PINK signs global partnership deal with Universal Music Source: Billboard, Mirae Asset Daewoo Research Figure 9. s comments indicate upbeat expectations for BLACKPINK solo projects and WINNER Source: Yang Hyun-suk s Instagram account, Mirae Asset Daewoo Research Mirae Asset Daewoo Research 5
(12287 KQ/Buy/TP: W6,) Comprehensive Income Statement (Summarized) Statement of Financial Condition (Summarized) (Wbn) 12/17 12/18F 12/19F 12/2F (Wbn) 12/17 12/18F 12/19F 12/2F Revenue 35 289 34 45 Current Assets 37 336 36 44 Cost of Sales 249 21 22 32 Cash and Cash Equivalents 99 151 186 213 Gross Profit 11 88 12 148 AR & Other Receivables 4 35 34 39 SG&A Expenses 77 76 76 94 Inventories 18 16 16 25 Operating Profit (Adj) 24 12 26 54 Other Current Assets 15 134 124 127 Operating Profit 24 12 26 54 Non-Current Assets 276 246 239 265 Non-Operating Profit 6 1 1 2 Investments in Associates 14 12 12 19 Net Financial Income 7 5 5 4 Property, Plant and Equipment 87 97 93 9 Net Gain from Inv in Associates Intangible Assets 63 61 58 56 Pretax Profit 3 13 27 56 Total Assets 584 583 598 67 Income Tax 18 8 8 17 Current Liabilities 73 66 66 99 Profit from Continuing Operations 12 5 19 39 AP & Other Payables 47 41 41 63 Profit from Discontinued Operations Short-Term Financial Liabilities 2 3 3 3 Net Profit 12 5 19 39 Other Current Liabilities 24 22 22 33 Controlling Interests 18 8 22 45 Non-Current Liabilities 78 82 82 83 Non-Controlling Interests -6-3 -3-6 Long-Term Financial Liabilities 75 8 8 8 Total Comprehensive Profit 6 5 19 39 Other Non-Current Liabilities 3 2 2 3 Controlling Interests 13 21 9 188 Total Liabilities 151 148 148 183 Non-Controlling Interests -7-16 -72-149 Controlling Interests 343 35 369 41 EBITDA 34 21 34 6 Capital Stock 9 9 9 9 FCF (Free Cash Flow) -8 7 26 53 Capital Surplus 29 29 29 29 EBITDA Margin (%) 9.7 7.3 11.2 13.3 Retained Earnings 124 13 149 191 Operating Profit Margin (%) 6.9 4.2 8.6 12. Non-Controlling Interests 89 85 82 77 Net Profit Margin (%) 5.1 2.8 7.2 1. Stockholders' Equity 432 435 451 487 Cash Flows (Summarized) Forecasts/Valuations (Summarized) (Wbn) 12/17 12/18F 12/19F 12/2F 12/17 12/18F 12/19F 12/2F Cash Flows from Op Activities 22 24 26 53 P/E (x) 31. 18.1 4.2 19.3 Net Profit 12 5 19 39 P/CF (x) 12.9 38.9 27.2 14.4 Non-Cash Income and Expense 31 18 13 21 P/B (x) 1.6 2.5 2.3 2.1 Depreciation 4 5 4 3 EV/EBITDA (x) 13.8 34.2 2.5 11.1 Amortization 6 4 3 3 EPS (W) 931 412 1,17 2,34 Others 21 9 6 15 CFPS (W) 2,245 1,144 1,634 3,88 Chg in Working Capital -7 9 8 BPS (W) 17,816 18,148 19,116 21,281 Chg in AR & Other Receivables -13 6-3 DPS (W) 15 15 15 15 Chg in Inventories -4 2-9 Payout ratio (%) 22.7 55.7 14.4 6.9 Chg in AP & Other Payables 15-19 6 Dividend Yield (%).5.3.3.3 Income Tax Paid -22-14 -8-17 Revenue Growth (%) 8.7-17.4 5.2 48. Cash Flows from Inv Activities -54 14 11-16 EBITDA Growth (%) -12.8-38.2 61.9 76.5 Chg in PP&E -3-17 Operating Profit Growth (%) -25. -5. 116.7 17.7 Chg in Intangible Assets -5-1 EPS Growth (%) -14.9-55.7 168.7 18.1 Chg in Financial Assets 11 5 11-16 Accounts Receivable Turnover (x) 1.7 8.2 9.3 13.1 Others -3-18 Inventory Turnover (x) 2.1 16.7 18.9 22.1 Cash Flows from Fin Activities 71 1-3 -3 Accounts Payable Turnover (x) 22.7 18.2 19.7 23.3 Chg in Financial Liabilities 1 6 ROA (%) 2.2.8 3.2 6.2 Chg in Equity 5 ROE (%) 5.7 2.3 6. 11.6 Dividends Paid -4-3 -3-3 ROIC (%) 7.1 2. 1.9 24.1 Others 15-2 Liability to Equity Ratio (%) 35.1 34.1 32.8 37.5 Increase (Decrease) in Cash 37 52 35 27 Current Ratio (%) 419.4 51.5 548.4 47.6 Beginning Balance 62 99 151 186 Net Debt to Equity Ratio (%) -32.8-4.5-44.4-44.7 Ending Balance 99 151 186 213 Interest Coverage Ratio (x) 14. 5.8 12.5 25.7 Source: Company data, Mirae Asset Daewoo Research estimates Mirae Asset Daewoo Research 6
APPENDIX 1 Important Disclosures & Disclaimers 2-Year Rating and Target Price History Company (Code) Date Rating Target Price (12287) 1/24/218 Buy 6, 8/12/218 Buy 43, 7/22/218 Trading Buy 43, 5/13/218 Trading Buy 3, 2/22/218 Trading Buy 32, 12/5/217 Buy 39, 9/5/217 Buy 35, 1/2/217 No Coverage 11/9/216 Buy 36, (W) 8, 6, 4, 2, 12 16 12 17 12 18 Stock Ratings Equity Ratings Distribution & Investment Banking Services Buy Trading Buy Hold Sell Equity Ratings Distribution 73.71% 13.92% 12.37%.% Investment Banking Services 82.61% 4.35% 13.4%.% * Based on recommendations in the last 12-months (as of September 3, 218) Industry Ratings Buy : Relative performance of 2% or greater Overweight : Fundamentals are favorable or improving Trading Buy : Relative performance of 1% or greater, but with volatility Neutral : Fundamentals are steady without any material changes Hold : Relative performance of -1% and 1% Underweight : Fundamentals are unfavorable or worsening Sell : Relative performance of -1% Ratings and Target Price History (Share price ( ), Target price ( ), Not covered ( ), Buy ( ), Trading Buy ( ), Hold ( ), Sell ( )) * Our investment rating is a guide to the relative return of the stock versus the market over the next 12 months. * Although it is not part of the official ratings at Mirae Asset Daewoo Co., Ltd., we may call a trading opportunity in case there is a technical or short-term material development. * The target price was determined by the research analyst through valuation methods discussed in this report, in part based on the analyst s estimate of future earnings. * The achievement of the target price may be impeded by risks related to the subject securities and companies, as well as general market and economic conditions. Disclosures As of the publication date, Mirae Asset Daewoo Co., Ltd. and/or its affiliates do not have any special interest with the subject company and do not own 1% or more of the subject company's shares outstanding. Analyst Certification The research analysts who prepared this report (the Analysts ) are registered with the Korea Financial Investment Association and are subject to Korean securities regulations. They are neither registered as research analysts in any other jurisdiction nor subject to the laws or regulations thereof. Each Analyst responsible for the preparation of this report certifies that (i) all views expressed in this report accurately reflect the personal views of the Analyst about any and all of the issuers and securities named in this report and (ii) no part of the compensation of the Analyst was, is, or will be directly or indirectly related to the specific recommendations or views contained in this report. Mirae Asset Daewoo Co., Ltd. ( Mirae Asset Daewoo ) policy prohibits its Analysts and members of their households from owning securities of any company in the Analyst s area of coverage, and the Analysts do not serve as an officer, director or advisory board member of the subject companies. Except as otherwise specified herein, the Analysts have not received any compensation or any other benefits from the subject companies in the past 12 months and have not been promised the same in connection with this report. Like all employees of Mirae Asset Daewoo, the Analysts receive compensation that is determined by overall firm profitability, which includes revenues from, among other business units, the institutional equities, investment banking, proprietary trading and private client division. At the time of publication of this report, the Analysts do not know or have reason to know of any actual, material conflict of interest of the Analyst or Mirae Asset Daewoo except as otherwise stated herein. Disclaimers This report was prepared by Mirae Asset Daewoo, a broker-dealer registered in the Republic of Korea and a member of the Korea Exchange. Information and opinions contained herein have been compiled in good faith and from sources believed to be reliable, but such information has not been independently verified and Mirae Asset Daewoo makes no guarantee, representation or warranty, express or implied, as to the fairness, accuracy, completeness or correctness of the information and opinions contained herein or of any translation into English from the Korean language. In case of an English translation of a report prepared in the Korean language, the original Korean language report may have been made available to investors in advance of this report. The intended recipients of this report are sophisticated institutional investors who have substantial knowledge of the local business environment, its common practices, laws and accounting principles and no person whose receipt or use of this report would violate any laws or regulations or subject Mirae Asset Daewoo or any of its affiliates to registration or licensing requirements in any jurisdiction shall receive or make any use hereof. This report is for general information purposes only and it is not and shall not be construed as an offer or a solicitation of an offer to effect transactions in any securities or other financial instruments. The report does not constitute investment advice to any person and such person shall not be treated as a client of Mirae Asset Daewoo by virtue of receiving this report. This report does not take into account the particular investment objectives, financial Mirae Asset Daewoo Research 7
situations, or needs of individual clients. The report is not to be relied upon in substitution for the exercise of independent judgment. Information and opinions contained herein are as of the date hereof and are subject to change without notice. The price and value of the investments referred to in this report and the income from them may depreciate or appreciate, and investors may incur losses on investments. Past performance is not a guide to future performance. Future returns are not guaranteed, and a loss of original capital may occur. Mirae Asset Daewoo, its affiliates and their directors, officers, employees and agents do not accept any liability for any loss arising out of the use hereof. Mirae Asset Daewoo may have issued other reports that are inconsistent with, and reach different conclusions from, the opinions presented in this report. The reports may reflect different assumptions, views and analytical methods of the analysts who prepared them. Mirae Asset Daewoo may make investment decisions that are inconsistent with the opinions and views expressed in this research report. Mirae Asset Daewoo, its affiliates and their directors, officers, employees and agents may have long or short positions in any of the subject securities at any time and may make a purchase or sale, or offer to make a purchase or sale, of any such securities or other financial instruments from time to time in the open market or otherwise, in each case either as principals or agents. Mirae Asset Daewoo and its affiliates may have had, or may be expecting to enter into, business relationships with the subject companies to provide investment banking, market-making or other financial services as are permitted under applicable laws and regulations. No part of this document may be copied or reproduced in any manner or form or redistributed or published, in whole or in part, without the prior written consent of Mirae Asset Daewoo. Distribution United Kingdom: This report is being distributed by Mirae Asset Securities (UK) Ltd. in the United Kingdom only to (i) investment professionals falling within Article 19(5) of the Financial Services and Markets Act 2 (Financial Promotion) Order 25 (the Order ), and (ii) high net worth companies and other persons to whom it may lawfully be communicated, falling within Article 49(2)(A) to (E) of the Order (all such persons together being referred to as Relevant Persons ). This report is directed only at Relevant Persons. Any person who is not a Relevant Person should not act or rely on this report or any of its contents. United States: Mirae Asset Daewoo is not a registered broker-dealer in the United States and, therefore, is not subject to U.S. rules regarding the preparation of research reports and the independence of research analysts. This report is distributed in the U.S. by Mirae Asset Securities (USA) Inc., a member of FINRA/SIPC, to major U.S. institutional investors in reliance on the exemption from registration provided by Rule 15a-6(b)(4) under the U.S. Securities Exchange Act of 1934, as amended. All U.S. persons that receive this document by their acceptance hereof represent and warrant that they are a major U.S. institutional investor and have not received this report under any express or implied understanding that they will direct commission income to Mirae Asset Daewoo or its affiliates. Any U.S. recipient of this document wishing to effect a transaction in any securities discussed herein should contact and place orders with Mirae Asset Securities (USA) Inc. Mirae Asset Securities (USA) Inc. accepts responsibility for the contents of this report in the U.S., subject to the terms hereof, to the extent that it is delivered to a U.S. person other than a major U.S. institutional investor. Under no circumstances should any recipient of this research report effect any transaction to buy or sell securities or related financial instruments through Mirae Asset Daewoo. The securities described in this report may not have been registered under the U.S. Securities Act of 1933, as amended, and, in such case, may not be offered or sold in the U.S. or to U.S. persons absent registration or an applicable exemption from the registration requirements. Hong Kong: This report is distributed in Hong Kong by Mirae Asset Securities (HK) Limited, which is regulated by the Hong Kong Securities and Futures Commission. The contents of this report have not been reviewed by any regulatory authority in Hong Kong. This report is for distribution only to professional investors within the meaning of Part I of Schedule 1 to the Securities and Futures Ordinance of Hong Kong (Cap. 571, Laws of Hong Kong) and any rules made thereunder and may not be redistributed in whole or in part in Hong Kong to any person. All Other Jurisdictions: Customers in all other countries who wish to effect a transaction in any securities referenced in this report should contact Mirae Asset Daewoo or its affiliates only if distribution to or use by such customer of this report would not violate applicable laws and regulations and not subject Mirae Asset Daewoo and its affiliates to any registration or licensing requirement within such jurisdiction. Mirae Asset Daewoo Research 8
Mirae Asset Daewoo International Network Mirae Asset Daewoo Co., Ltd. (Seoul) Mirae Asset Securities (HK) Ltd. Mirae Asset Securities (UK) Ltd. Global Equity Sales Team Mirae Asset Center 1 Building 26 Eulji-ro 5-gil, Jung-gu, Seoul 4539 Korea Suites 119-1114, 11th Floor Two International Finance Centre 8 Finance Street, Central Hong Kong 41st Floor, Tower 42 25 Old Broad Street, London EC2N 1HQ United Kingdom China Tel: 82-2-3774-2124 Tel: 852-2845-6332 Tel: 44-2-7982-8 Mirae Asset Securities (USA) Inc. Mirae Asset Wealth Management (USA) Inc. Mirae Asset Wealth Management (Brazil) CCTVM 81 Seventh Avenue, 37th Floor New York, NY 119 USA 555 S. Flower Street, Suite 441, Los Angeles, California 971 USA Rua Funchal, 418, 18th Floor, E-Tower Building Vila Olimpia Sao Paulo - SP 4551-6 Brasil Tel: 1-212-47-1 Tel: 1-213-262-387 Tel: 55-11-2789-21 PT. Mirae Asset Sekuritas Indonesia Mirae Asset Securities (Singapore) Pte. Ltd. Mirae Asset Securities (Vietnam) LLC Equity Tower Building Lt. 5 Sudirman Central Business District Jl. Jend. Sudirman, Kav. 52-53 Jakarta Selatan 1219 6 Battery Road, #11-1 Singapore 4999 Republic of Singapore 7F, Saigon Royal Building 91 Pasteur St. District 1, Ben Nghe Ward, Ho Chi Minh City Vietnam Indonesia Tel: 62-21-515-3281 Tel: 65-6671-9845 Tel: 84-8-3911-633 (ext.11) Mirae Asset Securities Mongolia UTsK LLC Mirae Asset Investment Advisory (Beijing) Co., Ltd Beijing Representative Office #46, Blue Sky Tower, Peace Avenue 17 1 Khoroo, Sukhbaatar District Ulaanbaatar 1424 Mongolia 241B, 24th Floor, East Tower, Twin Towers B12 Jianguomenwai Avenue, Chaoyang District Beijing 122 China 241A, 24th Floor, East Tower, Twin Towers B12 Jianguomenwai Avenue, Chaoyang District Beijing 122 China Tel: 976-711-86 Tel: 86-1-6567-9699 Tel: 86-1-6567-9699 (ext. 33) Shanghai Representative Office 38T31, 38F, Shanghai World Financial Center 1 Century Avenue, Pudong New Area Shanghai 212 China Ho Chi Minh Representative Office 7F, Saigon Royal Building 91 Pasteur St. District 1, Ben Nghe Ward, Ho Chi Minh City Vietnam Tel: 86-21-513-6392 Tel: 84-8-391-7715 Mirae Asset Daewoo Research 9