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Dear shareholders and customers

In the fiscal year 2016, we continued sales growth by striving to serve our customers with satisfaction and team-leader oriented management.
Total sales were up by 13% to KRW 1.9trn and operating profit was up by 8.8% to KRW 159.6bn from 146.7bn the previous year.
As a result of improvements to our products and quality competitiveness, we have experienced growth in all our sales channels, and the premium kitchen brand, “Kitchen Bach,” has especially appealed to our customers.

The management policies for 2017 are as follows:
 “Secure 50% of regular customers through the establishment of a customer satisfaction management system,”
 “Establish a responsible management system: 1 year plans for team leaders and 3 year plans for department leaders,”
 “Expand our remodeling package business,” and
 “Successfully launch B2C business in China.”

  1. This year we plan to focus our strength on the following tasks:
  2. First, we are planning innovations within the existing business.
    We are going to challenge ourselves to develop and introduce new best-selling items and living accessories that can each achieve monthly sales of KRW 5bn and KRW 1bn, respectively, through our flagship store and online channels. Additionally, we aim to finish the following projects this year: a) expand standard stores, b) achieve monthly sales of KRW 30bn from home shopping channels, and c) innovate B2B business. The early achievement of these goals will eventually drive a market share of 30% in the domestic market and enable us to become a leading global company in the home environment industry.
  3. Second, we are planning a successful launch of a remodeling package business.
    We aim to secure 3,000 skilled local contractors, increase the number of Rehaus stores, and convert top-performing local contractors to permanent employees in our agencies. At the same time, we will train sales people with demonstrated potential, who can suggest best lifestyle solutions for our customers. Furthermore, we will develop products requiring simple installation and will produce a manual for logistics and installation as we initiate the previously untried interior and remodeling package business.
  4. Third, we are going to establish a sales management system worth KRW 10trn.
    After achieving KRW 1trn sales in 2013 for the first time, we have been experiencing rapid growth every year. We are not settling with this achievement but are challenging ourselves to become the world’s best interior company by increasing sales to more than KRW 10trn and ultimately achieving sales of KRW 100trn. For sustainable growth, we believe in the importance of delivering best quality products and services, establishing an efficient management system, and promoting transparent and innovative processes. We are going to build such a management system for further growth.
  5. Last, we are planning a successful launch of B2C business in China.
    Hanssem has been preparing to launch business in China for future growth. We will build factories and logistic centers in China this year in preparation for opening our first flagship store in Shanghai by the second half of this year. For the successful expansion of the business, we will recruit local staff for finance, human resource, and planning positions, and train frontline personnel in sales, logistics, installation, and customer services. Further, we will establish a complete support system in the headquarters to ensure that our plan is not delayed. As a result of these investments, we will be able to introduce our lifestyle solutions in China.

The year 2017 marks the beginning of the company’s endeavors towards becoming the world’s best interiors company.
We have a strong belief in our potential to successfully launch new business in the renovation markets in Korea and in China.
Equipped with customer satisfaction and team-leader oriented management systems, we will provide best home solutions to our customers and improve performance over previous years. We all express our deep gratitude for your unwavering support and attention.

Thank you.

  • CEO: Yangha Choi, Corporate Registration Number: 133-81-22865
  • Mail Order Reported Number: Ansan No. 512
  • 15418 / 144 Beonnyeong 2-ro, Ansan-si Gyeonggi-do, Korea
  • Main Phone: + 82-2-6908-3114, A/S center: http://as.hanssem.com
  • Customer Center: + 82-1688-4945
  • All rights reserved. Copyright 2015

Hanssem Flagship Stores

  • Jamsil Store + 82-2-3430-6900
  • Nonhyeon Store + 82-2-542-8558
  • Mokdong Store + 82-2-6344-7000
  • Bangbae Store + 82-2-591-2300
  • Bundang Store + 82-31-719-3100
  • Busan Centum Store + 82-51-790-8500
  • Daegu Bumuh Store + 82-53-749-8500