The Companies That Posted Earnings for More Than 30 Years

Fifty-eight of Korea's top companies have been posting gains for a lot more than three decades.

Analysis of 2,303 organizations listed on the Korea Composite Inventory Price Index implies that 6 of them have already been making funds for over fifty percent a hundred years -- Yuhan for 67 years, Handok for 64, Boryung Pharmaceutical for 57, Samchully for 55 and Shinyoung Securities and Samsung C&T for 50.

One thing they have as a common factor is normally that their majority holders own 32 to 57 percent of their stocks, providing a well balanced environment for long-term business investment and goals.

Park Jin-hwan in Feynman Asset Management said, "Companies that contain been posting income for years have good reputations and a solid brand image instead of appearing big and famous. They also have a minimal debt-to-equity ratio and secure financial structures that allow them to get over crises."

However the 58 companies constitute only 2.5 percent of KOSPI-listed businesses for the reason that feat is complicated to accomplish. They made money actually during the 1997 Asian financial crisis and the 2008 global financial meltdown.

Analysts cited three regular characteristics -- focus on a core place of business, solid earnings structure predicated on domestic sales, and steady management.

Kim Hak-gyun at Shinyoung Securities said those money-making firms "avoid excessive borrowing, give attention to familiar regions of business and avoid expanding quickly into new regions of business." Put simply, conservatism and a give attention to domestic rather than export markets win in the end.

But being component of Korea's biggest conglomerates likewise helped. Leading companies include Samsung affiliates Samsung Electronics (40 years), Samsung C&T (50 years), Samsung Fire and Marine Insurance (48 years), Cheil Worldwide (35 years) and S-1 (33 years), and also POSCO (48 years), LG (40 years), CJ (39 years), SK Telecom (33 years) and Shinsegae (36 years).

The last time Samsung Electronics suffered a damage was in 1980, amid the global oil crisis.

In the U.S., stolid big names happen to be also among those that contain consistently been rewarding. Coca Cola, McDonald's, 3M, Walmart, Residence Depot, Johnson & Johnson, Merck and Pfizer have posted consecutive profits going back 40 years.

Many of them offer consumer goods or medications that aren't too vulnerable to economical cycles. Investment guru Warren Buffett offers vowed never to sell off Coca Cola and McDonald’s shares because processed foods sells even and specifically during economic downturns, which makes them recession-proof.

Kim Ki-ju at KPI Advisors said, "Corporate behemoths like Apple, Amazon and Google can seem invincible, but they still have to prove that they can stand the test of time. Companies that contain survived that long really have an edge."