Emarine Global (EMRN) 10-Q 14 Aug 19 2019 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2019	Aug. 13, 2019
Document And Entity Information
Entity Registrant Name	EMARINE GLOBAL INC.
Entity Central Index Key	0001178377
Document Type	10-Q
Document Period End Date	Jun. 30, 2019
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business Flag	true
Entity Emerging Growth Company	false
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		23,159,105
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2019

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - KRW (₩) ₩ in Thousands	Jun. 30, 2019	Dec. 31, 2018
CURRENT ASSETS:
Cash and cash equivalents	₩ 84,339	₩ 126,406
Short-term financial instruments	36,000	18,000
Accounts receivable, net of allowance for doubtful accounts of ?11,227 as of June 30, 2019 and December 31, 2018	536,116	546,671
Inventories	143,295	7,217
Other current assets	25,648	48,608
Total Current Assets	825,398	746,902
Property and equipment, net	268,839	44,224
Goodwill	1,430,625	1,430,625
Intangible assets, net	251,802	302,155
Deposits	103,199	103,199
Total Assets	2,879,863	2,627,105
CURRENT LIABILITIES:
Accounts payable	1,229,688	1,393,676
Nontrade payables	1,638,130	1,307,079
Other current liabilities	241,219	238,073
Short-term borrowings	2,314,636	2,385,545
Loans from related parties	52,240	45,980
Current portion of long-term debt	256,980	222,260
Total Current Liabilities	5,732,893	5,592,613
Long-term debt	353,740	452,500
Lease liabilities	232,249
Accrued benefit pension liability	1,317,152	1,180,730
Total Liabilities	7,636,034	7,225,843
STOCKHOLDERS' DEFICIT :
Common stock, $0.001 par value, 300,000,000 shares authorized, 23,159,105 and 22,927,992 shares issued and outstanding as of June 30, 2019 and December 31, 2018, respectively	26,460	26,198
Additional paid-in capital	7,618,923	7,221,876
Accumulated other comprehensive loss	(257,957)	(215,614)
Accumulated deficit	(12,143,597)	(11,631,198)
Total Stockholders' Deficit	(4,756,171)	(4,598,738)
Total Liabilities and Stockholders' Deficit	₩ 2,879,863	₩ 2,627,105

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) ₩ in Thousands	Jun. 30, 2019KRW (₩)shares	Dec. 31, 2018KRW (₩)shares
Statement of Financial Position [Abstract]
Allowance for doubtful accounts, accounts receivable | ₩	₩ 11,227	₩ 11,227
Common stock, shares authorized	300,000,000	300,000,000
Common stock, shares issued	23,159,105	22,927,992
Common stock, shares outstanding	23,159,105	22,927,992

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) ₩ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2019$ / shares	Jun. 30, 2019KRW (₩)shares	Jun. 30, 2018$ / shares	Jun. 30, 2018KRW (₩)shares	Jun. 30, 2019$ / shares	Jun. 30, 2019KRW (₩)shares	Jun. 30, 2018$ / shares	Jun. 30, 2018KRW (₩)shares
Revenue
Total revenue		₩ 666,921		₩ 1,049,202		₩ 1,947,252		₩ 2,358,685
Cost of revenue
Total cost of revenue		394,931		690,973		1,128,395		1,545,988
Gross margin		271,990		358,229		818,857		812,697
Selling, general and administrative expenses		721,587		741,295		1,045,921		978,849
Research and development		105,184		29,810		177,044		216,334
Loss from operations		(554,781)		(412,876)		(404,108)		(382,486)
Other expense:
Interest expense, net		(44,103)		(39,089)		(83,801)		(78,905)
Other income (expense), net		(8,645)		11,286		(12,831)		7,241
Total other expense		(52,748)		(27,803)		(96,632)		(71,664)
Loss before provision for income taxes		(607,529)		(440,679)		(500,740)		(454,150)
Income tax		13,279		5,126		11,659		2,196
Net loss		₩ (620,808)		₩ (445,805)		₩ (512,399)		₩ (456,346)
Net loss per share | $ / shares	$ (27)		$ (19)		$ (22)		$ (20)
Weighted average shares outstanding | shares		23,105,771		22,927,992		23,017,373		22,525,778
Net loss		₩ (620,808)		₩ (445,805)		₩ (512,399)		₩ (456,346)
Other comprehensive loss:
Foreign exchange translation loss		(3,487)		(13,135)		(11,341)		(14,919)
Remeasurement of pension liabilities		(35,311)		(18,174)		(31,002)		(7,785)
Other comprehensive loss, net of tax:		(38,798)		(31,309)		(42,343)		(22,705)
Comprehensive loss		(659,606)		(477,114)		(554,742)		(479,051)
Product [Member]
Revenue
Total revenue		565,323		769,432		1,123,988		1,018,433
Cost of revenue
Total cost of revenue		302,352		493,431		553,872		675,818
Service [Member]
Revenue
Total revenue		101,598		279,770		823,264		1,340,252
Cost of revenue
Total cost of revenue		₩ 92,579		₩ 197,542		₩ 574,523		₩ 870,170

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Cash Flows (Unaudited) - KRW (₩) ₩ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	₩ (620,808)	₩ (445,805)	₩ (512,399)	₩ (456,346)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation and amortization			116,634	58,332
Pension plan expenses			110,754	108,458
Deferred income taxes			11,659	2,196
Warrants issued for professional service			373,826
Foreign currency loss			5,199	9,659
Changes in operating assets and liabilities:
Accounts receivable			10,555	(284,561)
Inventories			(136,078)	(81,222)
Other current assets			22,960	(10,645)
Deposits				20,300
Accounts payable			(169,187)	73,793
Nontrade payables			386,644	122,100
Other current liabilities			3,146	14,184
Pension benefits payments			(27,327)	(30,895)
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES			196,386	(454,647)
CASH FLOWS FROM INVESTING ACTIVITIES:
Increase in loans to related parties				(2,710)
Decrease in loans to related parties				165,166
Purchase of short-term financial instruments			(18,000)
Proceeds from disposals of short-term financial instruments				262,000
NET CASH PROVIDED BY INVESTING ACTIVITIES			(18,000)	424,456
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from private placement, net				557,336
Warrants exercised			20,944
Drawdown of short-term borrowings				122,113
Repayment of short-term borrowings			(70,909)	(518,508)
Repayment of current portion of long-term debt			(64,040)	(101,960)
Payment of lease liabilities			(58,647)
Increase in loans from related parties			308,800	181,016
Repayment of loans from related parties			(358,133)	(142,262)
NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES			(221,985)	97,735
Effect of exchange rate on cash and cash equivalents			1,532	(10,632)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS			(42,067)	56,912
CASH AND CASH EQUIVALENTS- beginning of year			126,406	109,316	₩ 109,316
CASH AND CASH EQUIVALENTS- end of year	₩ 84,339	₩ 166,228	84,339	166,228	₩ 126,406
Cash paid for:
Interest			79,841	78,652
Income taxes
SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES:
Recognition of right-of-use assets and lease liabilities			107,387
Increase in loans from related parties due to payment of general expenses by related parties			₩ 55,594

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Changes In Stockholders' Deficit (Unaudited) - KRW (₩) ₩ in Thousands	Common Stock [Member]	Additional Paid-in Capital [Member]	Accumulated Other Comprehensive Loss [Member]	Accumulated Deficit [Member]	Total
Balance at Dec. 31, 2017	₩ 25,265	₩ 6,577,829	₩ (56,593)	₩ (10,492,538)	₩ (3,946,037)
Balance, shares at Dec. 31, 2017	22,061,317
Private placement	₩ 933	558,997	14,597		574,527
Private placement, shares	866,675
Foreign exchange translation gain			(14,919)		(14,919)
Remeasurement of pension liabilities			(7,785)		(7,785)
Net loss				(456,346)	(456,346)
Balance at Jun. 30, 2018	₩ 26,198	7,136,826	(64,700)	(10,948,884)	(3,850,560)
Balance, shares at Jun. 30, 2018	22,927,992
Balance at Dec. 31, 2018	₩ 26,198	7,221,876	(215,614)	(11,631,198)	(4,598,738)
Balance, shares at Dec. 31, 2018	22,927,992
Foreign exchange translation gain		2,538	(11,341)		(8,803)
Remeasurement of pension liabilities			(31,002)		(31,002)
Warrants exercised	₩ 262	20,683			20,945
Warrants exercised, shares	231,113
Net loss				(512,399)	(512,399)
Balance at Jun. 30, 2019	₩ 26,460	₩ 7,618,923	₩ (257,957)	₩ (12,143,597)	₩ (4,756,171)
Balance, shares at Jun. 30, 2019	23,159,105

Description of Business and Org

Description of Business and Organization	6 Months Ended
	Jun. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Description of Business and Organization	NOTE 1 – DESCRIPTION OF BUSINESS AND ORGANIZATION eMarine Global Inc. is a Nevada corporation (the “Company”) formed under the name of Web Views Corporation on November 2, 2001. On October 20, 2008, the Company changed its name to Pollex, Inc. (“Pollex”) On July 25, 2017, the Company entered into a share exchange agreement (the “Exchange Agreement”) with e-Marine Co., Ltd., a corporation organized under the laws of the Republic of Korea (“e-Marine”), and the shareholders of e-Marine (the “e-Marine Shareholders”), pursuant to which the e-Marine Shareholders assigned, transferred and delivered, free and clear of all liens, 100% of the issued and outstanding shares of common stock of e-Marine, representing 100% of the equity interest in e-Marine (the “e-Marine Shares”) in exchange for 14,975,000 restricted shares of its common stock (the “Share Exchange”). As a result of the Share Exchange, e-Marine became the Company’s wholly-owned subsidiary, and the e-Marine Shareholders acquired a controlling interest in the Company.

Liquidity Financial Condition a

Liquidity Financial Condition and Management Plans	6 Months Ended
	Jun. 30, 2019
Liquidity Financial Condition And Management Plans
Liquidity Financial Condition and Management Plans	NOTE 2 – LIQUIDITY FINANCIAL CONDITION AND MANAGEMENT PLANS These consolidated financial statements have been prepared on the basis of a going concern which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. As of June 30, 2019, the Company had cash of ￦84,339 thousand. Historically, the Company had net losses and negative cash flows from operations. The Company continues to experience liquidity constraints due to the continuing losses. These factors contributed to the Company’s substantial doubt of its ability to continue as a going concern. During the six months ended June 30, 2019 and the year ended December 31, 2018, management has addressed going concern remediation through funding through the private placement and is continuing initiatives to raise capital to meet future working capital requirements. However, additional capital is required to reduce the risk of going concern uncertainties for the Company beyond the next twelve months as of the reporting date. There is no certainty that the Company will be able to arrange sufficient funding to continue its operations.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with the accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and pursuant to the instructions to Form 10-Q and Article 8 of Regulation S-X of the Securities and Exchange Commission (“SEC”) and on the same basis as the Company prepares its annual audited consolidated financial statements. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments, consisting of normal recurring adjustments, considered necessary for a fair presentation of such interim results. The results for the condensed consolidated statements of operations are not necessarily indicative of results to be expected for the year ending December 31, 2019 or for any future interim period. The condensed consolidated balance sheet at June 30, 2019 has been derived from unaudited financial statements; however, it does not include all of the information and notes required by U.S. GAAP for complete financial statements. The accompanying condensed consolidated financial statements should be read in conjunction with the consolidated financial statements for the year ended December 31, 2018, and notes thereto included in the Company’s annual report on Form 10-K filed on April 15, 2019. There have been no material changes in the Company’s significant accounting policies to those previously disclosed in the Company’s annual report on Form 10-K, which was filed with the Securities and Exchange Commission on April 15, 2019. Earnings (Loss) Per Share Earnings (loss) per share are calculated in accordance with ASC 260 “Earnings Per Share,” which provides for the calculation of “basic” and “diluted” earnings (loss) per share. Basic earnings (loss) per share includes no dilution and is computed by dividing net earnings by the weighted average number of common shares outstanding for the period. Diluted earnings (loss) per share reflect, in periods in which they have a dilutive effect, the effect of common shares issuable upon exercise of stock options. The following securities were not included in the diluted net loss per share calculation because their effect was anti-dilutive for the periods presented. June 30, 2019 June 30, 2018 Common stock warrants 12,916,688 12,916,688 Potential dilutive shares 12,916,688 12,916,688 These shares were excluded due to their antidilutive effect. Recent Accounting Pronouncements In February 2016, Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-02, Leases (Topic 842), which requires lessees to recognize leases on-balance sheet and disclose key information about leasing arrangements. Topic 842 was subsequently amended by ASU No. 2018-01, Land Easement Practical Expedient for Transition to Topic 842; ASU No. 2018-10, Codification Improvements to Topic 842, Leases; and ASU No. 2018-11, Targeted Improvements. The new standard establishes a right-of-use model (ROU) that requires a lessee to recognize a ROU asset and lease liability on the balance sheet for all leases with a term longer than 12 months. Leases will be classified as finance or operating, with classification affecting the pattern and classification of expense recognition in the income statement. These ASUs are effective for fiscal years and interim periods within those years beginning after December 15, 2018, with early adoption permitted. On January 1, 2019, the Company adopted these ASUs, using modified retrospective transition approach. A modified retrospective transition approach is required, applying the new standard to all leases existing at the date of initial application. An entity may choose to use either (1) its effective date or (2) the beginning of the earliest comparative period presented in the financial statements as its date of initial application. The adopted the effective date as the date of initial application. Consequently, financial information will not be updated and the disclosures required under the new standard will not be provided for dates and periods before January 1, 2019. On adoption, the Company recognized additional operating liabilities of $￦109,138 thousand, with corresponding ROU assets of the same amount based on the present value of the remaining minimum rental payments under current leasing standards for existing operating leases. In January 2017, the FASB issued ASU 2017-04, Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment. This ASU eliminates Step 2 along with amending other parts of the goodwill impairment test. Under ASU 2017-04, an entity should perform its annual or interim goodwill impairment test by comparing the fair value of the reporting unit with its carrying amount, and should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value with the loss not exceeding the total amount of goodwill allocated to that reporting unit. This ASU is effective for annual periods beginning after December 15, 2019, and interim periods therein with early adoption permitted for interim or annual goodwill impairment tests performed after January 1, 2017. At adoption, this update will require a prospective approach. The Company is currently evaluating this ASU to determine its impact on the Company’s operations, financial position, cash flows and disclosures. Other accounting standards that have been issued or proposed by FASB that do not require adoption until a future date are not expected to have a material impact on the consolidated financial statements upon adoption. The Company does not discuss recent pronouncements that are not anticipated to have an impact on or are unrelated to its financial condition, results of operations, cash flows or disclosures.

Inventories

Inventories	6 Months Ended
	Jun. 30, 2019
Inventory Disclosure [Abstract]
Inventories	NOTE 4 — INVENTORIES The components of inventories are as follows (in thousands of Korean Won): June 30, 2019 December 31, 2018 Finished goods ￦ - ￦ - Raw materials 143,295 7,217 143,295 7,217 Less: Inventory reserve - - Total, net ￦ 143,295 ￦ 7,217

Property and Equipment

Property and Equipment	6 Months Ended
	Jun. 30, 2019
Property, Plant and Equipment [Abstract]
Property and Equipment	NOTE 5 — PROPERTY AND EQUIPMENT The components of property and equipment are as follows (in thousands of Korean Won): June 30, 2019 December 31, 2018 Office equipment ￦ 219,980 ￦ 219,980 Fixtures and furniture 48,520 48,520 Other 285,113 285,112 Total, at cost 553,613 553,612 Less: Accumulated depreciation (517,023 ) (509,388 ) 36,590 44,224 Right-of-use lease assets - operating 438,885 - Less: Accumulated depreciation (206,636 ) - Right-of-use lease assets - operating, net 232,249 - Total, net ￦ 268,839 ￦ 44,224 Depreciation expense amounted to ￦7,635 thousand and ￦7,882 thousand for the periods ended June 30, 2019 and 2018, respectively. Amortization expense on right-of-use lease assets amounted to ￦58,647 and nil for the periods ended June 30, 2019 and 2018, respectively.

Goodwill

Goodwill	6 Months Ended
	Jun. 30, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill	NOTE 6 – GOODWILL In 2011, the Company acquired Intra-Ship Integrated Gateway business from Hyundai BS&C Co., Ltd. and recognized the goodwill of ￦1,430,625 thousand along with the other identifiable assets and liabilities. The Company assessed relevant events and circumstances in evaluating whether it was more likely than not that its fair value of the reporting unit was less than reporting unit’s carrying amount. The Company concluded that it is more likely than not that the fair value of a reporting unit is not less than its carrying amount and did not perform the two–step impairment test.

Debt

Debt	6 Months Ended
	Jun. 30, 2019
Debt Disclosure [Abstract]
Debt	NOTE 7 — DEBT Short-term Borrowings The Company borrowed ￦260,000 thousand from Kookmin Bank at October 8, 2015 with the maturity of October 2, 2019. The borrowings bear an interest at 6.09% and 4.70% per annum for 2018 and 2017, respectively. The Company paid ￦26,000 thousand and entered into a refinancing agreement at October 2, 2018. At June 30, 2019 and December 31, 2018, the balance for the borrowings was ￦234,000 thousand and ￦234,000 thousand, respectively. The borrowings are guaranteed by Korea Technology Finance Corporation, a government-funded institution. The Company borrowed ￦260,000 thousand from Kookmin Bank at November 4, 2015 with the maturity of November 4, 2019. The borrowings bear an interest at 6.13% and 5.05% per annum for 2018 and 2017, respectively. The Company paid ￦26,000 thousand and entered into a refinancing agreement at November 2, 2018. At June 30, 2019 and December 31, 2018, the balance for the borrowings was ￦234,000 thousand and ￦234,000 thousand, respectively. The borrowings are guaranteed by Korea Technology Finance Corporation, a government-funded institution. The Company borrowed ￦1,000,000 thousand from Woori Bank at June 2, 2015 with the maturity of June 1, 2018. The borrowings bear an interest at 4.79% and 4.27% per annum for 2018 and 2017. The Company paid ￦1,000,000 thousand and entered into an extension agreement at May 1, 2019 through which the maturity was extended through 2020. At June 30, 2019 and December 31, 2018, the balance for the borrowings was ￦900,000 thousand and ￦900,000 thousand, respectively. The borrowings are guaranteed by Korea Technology Finance Corporation, a government-funded institution. The Company borrowed ￦500,000 thousand from Suhyup Bank at July 18, 2016 with the original maturity of July 18, 2018. The maturity was extended 1 year, which is July 18, 2019. The borrowings bear an interest at 2.50 % per annum for 2018 and 2017. At June 30, 2019 and December 31, 2018, the balance for the borrowings was ￦428,000 thousand and ￦428,000 thousand, respectively. The borrowings are collateralized by the savings account of ￦3,000 thousand and guaranteed by Hyundai BS&C Co., Ltd., a nonaffiliated company. The Company borrowed ￦550,000 thousand from GMT Co., Ltd. at April 19, 2017 with the maturity of November 30, 2017. The borrowings bear an interest at 6.00 % per annum for 2017. At June 30, 2019 and December 31, 2018, the balance for the borrowings was ￦195,000 thousand. The Company is in negotiation with the lender to extend the maturity. The balance is currently in default. The Company borrowed ￦300,000 thousand from GNC Co., Ltd. at April 18, 2017 with the maturity of November 30, 2017. The borrowings bear an interest at 6.00 % per annum for 2017. At June 30, 2019 and December 31, 2018, the balance for the borrowings was ￦300,000 thousand. The Company is in negotiation with the lender to extend the maturity. The balance is currently in default. The Company borrowed ￦130,000 thousand from Kwangju Bank at September 27, 2018 with the maturity of August 24, 2019. The borrowings bear an interest at 5.65 % per annum for 2018 and 2019. At June 30, 2019 and December 31, 2018, the balance for the borrowings was ￦23,636 thousand and ￦94,545 thousand, respectively. The borrowings are guaranteed by Ung Gyu Kim, President and CEO. As of June 30, 2019 and December 31, 2018, the estimated fair value of the short-term borrowings approximate their carrying values. Long-term Debt The components of the long-term debt, including the current portion, are as follows (in thousands of Korean Won): June 30, 2019 December 31, 2018 Loans from Small & medium Business Corporation borrowed at March 23, 2016 with the maturity of March 22, 2021 and at an interest of 4.22% and 4.22% per annum for 2019 and 2018, respectively, guaranteed by Ung Gyu Kim, President and CEO ￦ 333,120 ￦ 374,760 Loans from Small & medium Business Corporation borrowed at February 28, 2017 with the maturity of February 28, 2022 and at an interest of 2.65% per annum, guaranteed by Ung Gyu Kim, President and CEO 177,600 200,000 Loans from Small & medium Business Corporation borrowed at August 13, 2018 with the maturity of August 14, 2023 and at an interest of 2.43% per annum, guaranteed by Ung Gyu Kim, President and CEO 100,000 100,000 Total 610,720 674,760 Less: current portion (256,980 ) (222,260 ) Total long-term debt less current portion ￦ 353,740 ￦ 452,500 As of June 30, 2019 and December 31, 2018, the estimated fair value of the long-term debt, including the current portion, were ￦610,720 and ￦674,760, respectively. As of June 30, 2019 and December 31, 2018, respectively, the Company was in compliance with the financial covenant in credit agreements as defined in the credit agreements.

Pension Plans

Pension Plans	6 Months Ended
	Jun. 30, 2019
Retirement Benefits [Abstract]
Pension Plans	NOTE 8 – PENSION PLANS The Company has a defined benefit plan covering all full time employees who met certain requirements of age, length of service and hours worked per year. Benefits paid to retirees are based upon age at retirement and years of credited service. The components of benefit expense are as follows (in thousands of Korean Won): June 30, 2019 June 30, 2018 Service cost ￦ 103,665 ￦ 102,871 Interest cost 7,089 5,587 Prior service cost - - Total ￦ 110,754 ￦ 108,458

Stockholders' Deficit

Stockholders' Deficit	6 Months Ended
	Jun. 30, 2019
Equity [Abstract]
Stockholders' Deficit	NOTE 9 – STOCKHOLDERS’ DEFICIT Authorized and Outstanding Capital Stock The Company authorized 300,000,000 shares of common stock, par value $0.001, of which 23,159,105 are currently issued and outstanding. The Company also has 10,000,000 shares of “blank check” preferred stock, par value $0.001 per share. There are currently no shares of preferred stock outstanding. Common Stock The shareholders of common stock (the “Shareholders”) have equal ratable rights to dividends from funds legally available therefore, when, as and if declared by the Board of Directors and are entitled to share ratably in all of the Company’s assets available for distribution to the Shareholders upon the liquidation, dissolution or winding up of business. The Shareholders do not have preemptive, subscription or conversion rights. The Shareholders are entitled to one vote per share on all matters which they are entitled to vote upon at all meetings of the Shareholders. The Shareholders do not have cumulative voting rights, which would allow the Shareholders of more than 50% of outstanding voting securities to elect all of directors. The payment of dividends, if any, in the future rests within the sole discretion of the Board of Directors and will depend, among other things, upon earnings, capital requirements and financial condition, as well as other relevant factors. The Company has not paid any dividends since its inception and do not intend to pay any cash dividends in the foreseeable future, but intend to retain all earnings, if any, for use in its business. Blank Check Preferred Stock The Board of Directors will be authorized, subject to any limitations prescribed by law, without further vote or action by the Shareholders, to issue from time to time preferred stock in one or more series. Each series of preferred stock will have the number of shares, designations, preferences, voting powers, qualifications and special or relative rights or privileges as shall be determined by the Board of Directors, which may include, among other things, dividend rights, voting rights, liquidation preferences, conversion rights and preemptive rights. Warrants As of June 30, 2019, the Company has outstanding warrants to purchase up to an aggregate of 12,916,688 shares of common stock, par value $0.001 per share, for a period of three years from the date of issuance, July 25, 2017, at an exercise price of $0.60 per share, subject to adjustments as set forth in the warrant. The Company also has outstanding warrants to purchase up to an aggregate of 1,100,000 shares of common stock, par value $0.001 per share, for a period of three years from the date of issuance, July 25, 2017, at an exercise price of $0.08 per share, subject to adjustments as set forth in the warrant. On April 17, 2019, the Company issued 231,133 warrants to purchase up to an aggregate of 231,133 shares of common stock, par value $0.001 per share, for a period of three years from the date of issuance, April 17, 2022, at an exercise price of $0.08 per share, subject to adjustments as set forth in the warrant. The Company may issue warrants to non-employees in capital raising transactions or for services. In accordance with ASC 718, “Compensation—Stock Compensation”, the cost of warrants issued to non-employees is measured on the grant date based on the fair value. The fair value is determined using the Black-Scholes option pricing model. The resulting amount is charged to expense on the straight-line basis over the period in which the Company expects to receive the benefit, which is generally the vesting period.

Related Party Transactions

Related Party Transactions	6 Months Ended
	Jun. 30, 2019
Related Party Transactions [Abstract]
Related Party Transactions	NOTE 10 – RELATED PARTY TRANSACTIONS The Company borrowed ￦141,216 thousand from Ung Gyu Kim, President, at February 25, 2018 with the maturity of June 25, 2020. The borrowings bear an interest at 4.60 % per annum. At June 30, 2019 and December 31, 2018, the balance for the borrowings was ￦52,240 thousand and ￦45,980, respectively.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	NOTE 11 – COMMITMENTS AND CONTINGENCIES Operating leases The Company entered into noncancelable operating leases for office facilities and vehicles. The leases do not include renewal options and, in the normal course of business, it is expected that these leases will be renewed. Rent expense under the operating leases totaled ￦67,906 thousand for the six month period ended June 30, 2019. Short-term leases are leases having a term of twelve months or less. The Company recognizes short-term leases on a straight-line basis and does not record a related lease asset or liability for such leases. The following is a maturity analysis of the annual undiscounted cash flows of the operating lease liabilities as of June 30, 2019 (in thousands of Korean Won): Year Ending June 30, 2020 ￦ 100,897 2021 88,451 2022 47,363 2023 14,440 Total ￦ 251,151 June 30, 2019 Lease cost: Operating lease cost ￦ 65,506 Short-term lease cost 2,400 Total lease cost ￦ 67,906 Other information Cash paid for amounts included in the measurement of lease liabilities ￦ 67,906 Operating cash flows from operating leases ￦ 67,906 Weighted-average remaining lease term - operating leases 2.7 years Weighted-average discount rate - operating leases 5.74 % Maintenance Bond In connection with service agreements with certain customers, the Company is required to provide a maintenance bond to guarantee the maintenance for a specified period of time following completion of service. The Company purchases maintenance bonds from third-party guarantors and is not exposed to contingent liabilities. Legal Proceedings From time to time the Company may be named in claims arising in the ordinary course of business. Currently, no legal proceedings, government actions, administrative actions, investigations or claims are pending against the Company or involve the Company that, in the opinion of management, could reasonably be expected to have a material adverse effect on its business and financial condition except for the lawsuit against Shinwoo E&D Co., Ltd. (“Shinwoo”). There was an unpaid amount due ￦84,095,000 from Shinwoo in dispute as of June 30, 2019. The Company filed a lawsuit and the ruling by the district court at January 18, 2018 was in favor of the Company. Shinwoo appealed against the court decision at February 1, 2018. The Company believes it is probable that it will not suffer from an adverse outcome related to the case. The Company has not recorded any reserve related to this dispute as of June 30, 2019.

Concentration of Credit Risk

Concentration of Credit Risk	6 Months Ended
	Jun. 30, 2019
Risks and Uncertainties [Abstract]
Concentration of Credit Risk	NOTE 12 — CONCENTRATION OF CREDIT RISK Financial instruments that potentially subject the Company to significant concentrations of credit risk consist principally of accounts receivable. Credit risk with respect to trade accounts receivable was concentrated with four and four of the Company’s customers in June 30, 2019 and December 31, 2018, respectively. At June 30, 2019, G2 ICT Co., Ltd., Hyundai Electric & Systems Co., Ltd., Shinwoo E&D Co., Ltd. and Hanjin Heavy Industries & Construction Co., Ltd. represented 45%, 17%, 15% and 12% of accounts receivable outstanding. At December 31, 2018, G2 ICT Co., Ltd., Shinwoo E&D Co., Ltd., Hyundai Heavy Industries Co., Ltd. and Hanjin Heavy Industries & Construction Co., Ltd. represented 44%, 15%, 13% and 11% of accounts receivable outstanding. The Company performs ongoing credit evaluations of its customers’ financial condition to mitigate its credit risk. The deterioration of the financial condition of its major customers could adversely impact the Company’s operations. From time to time where the Company determines that circumstances warrant, the Company extends payment terms beyond its standard payment terms. During the six month period ended June 30, 2019, Naval Logistics Command and Hyundai Global Service Co., Ltd. represented 41% and 10% of the Company’s net sales. During the period ended June 30, 2018, Naval Logistics Command and Research Institute of Medium & small Shipbuilding represented 25% and 10% of the Company’s net sales.

Revenue Classes

Revenue Classes	6 Months Ended
	Jun. 30, 2019
Revenue Recognition and Deferred Revenue [Abstract]
Revenue Classes	NOTE 13 — REVENUE CLASSES Revenue from the sale of products and services is recorded when the performance obligation is fulfilled, usually at the time of shipment or when the service is provided, at the net sales price (transaction price). The Company elected to present revenue net of value added tax and other similar taxes and account for shipping and handling activities as fulfillment costs rather than separate performance obligations. The Company recognizes revenue in accordance with the following five-step model: ● identify arrangements with customers; ● identify performance obligations; ● determine transaction price; ● allocate transaction price to the separate performance obligations in the arrangement, if more than one exists; and ● recognize revenue as performance obligations are satisfied. Accounting Policy Revenue for sale of goods is recognized when the significant risks and rewards of ownership have been transferred to the customer, recovery of the consideration is probable, the associated costs and possible return of the goods can be estimated reliably, there is no continuing involvement with goods, and the amount of revenue can be measured reliably. If it is probable that discounts will be granted and the amount can be measured reliably, then the discount is recognized as a reduction of revenue as the sales are recognized. Revenue from services is recognized by reference to the stage of performance of the services when the Company can reliably measure the amount of revenue and the recovery of the consideration is considered probable. Disaggregation of Revenue Selected financial information for the Company’s operating revenue for disaggregated revenue purposes by revenue source are as follows (in thousands of Korean Won): For the Six Months Ended June 30, 2019 June 30, 2018 Products e-Navigation ￦ 637,182 ￦ 953,243 Smart Ship 486,806 65,190 Projects e-Navigation 801,194 745,245 Smart Ship 22,070 595,007 Total ￦ 1,947,252 ￦ 2,358,685

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2019
Subsequent Events [Abstract]
Subsequent Events	NOTE 14 — SUBSEQUENT EVENTS The Company has evaluated events that have occurred after the balance sheet date but before the consolidated financial statements are issued and determined that there were no subsequent events or transactions that required recognition or disclosure in the consolidated financial statements.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Earnings (Loss) Per Share	Earnings (Loss) Per Share Earnings (loss) per share are calculated in accordance with ASC 260 “Earnings Per Share,” which provides for the calculation of “basic” and “diluted” earnings (loss) per share. Basic earnings (loss) per share includes no dilution and is computed by dividing net earnings by the weighted average number of common shares outstanding for the period. Diluted earnings (loss) per share reflect, in periods in which they have a dilutive effect, the effect of common shares issuable upon exercise of stock options. The following securities were not included in the diluted net loss per share calculation because their effect was anti-dilutive for the periods presented. June 30, 2019 June 30, 2018 Common stock warrants 12,916,688 12,916,688 Potential dilutive shares 12,916,688 12,916,688 These shares were excluded due to their antidilutive effect.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In February 2016, Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-02, Leases (Topic 842), which requires lessees to recognize leases on-balance sheet and disclose key information about leasing arrangements. Topic 842 was subsequently amended by ASU No. 2018-01, Land Easement Practical Expedient for Transition to Topic 842; ASU No. 2018-10, Codification Improvements to Topic 842, Leases; and ASU No. 2018-11, Targeted Improvements. The new standard establishes a right-of-use model (ROU) that requires a lessee to recognize a ROU asset and lease liability on the balance sheet for all leases with a term longer than 12 months. Leases will be classified as finance or operating, with classification affecting the pattern and classification of expense recognition in the income statement. These ASUs are effective for fiscal years and interim periods within those years beginning after December 15, 2018, with early adoption permitted. On January 1, 2019, the Company adopted these ASUs, using modified retrospective transition approach. A modified retrospective transition approach is required, applying the new standard to all leases existing at the date of initial application. An entity may choose to use either (1) its effective date or (2) the beginning of the earliest comparative period presented in the financial statements as its date of initial application. The adopted the effective date as the date of initial application. Consequently, financial information will not be updated and the disclosures required under the new standard will not be provided for dates and periods before January 1, 2019. On adoption, the Company recognized additional operating liabilities of $￦109,138 thousand, with corresponding ROU assets of the same amount based on the present value of the remaining minimum rental payments under current leasing standards for existing operating leases. In January 2017, the FASB issued ASU 2017-04, Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment. This ASU eliminates Step 2 along with amending other parts of the goodwill impairment test. Under ASU 2017-04, an entity should perform its annual or interim goodwill impairment test by comparing the fair value of the reporting unit with its carrying amount, and should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value with the loss not exceeding the total amount of goodwill allocated to that reporting unit. This ASU is effective for annual periods beginning after December 15, 2019, and interim periods therein with early adoption permitted for interim or annual goodwill impairment tests performed after January 1, 2017. At adoption, this update will require a prospective approach. The Company is currently evaluating this ASU to determine its impact on the Company’s operations, financial position, cash flows and disclosures. Other accounting standards that have been issued or proposed by FASB that do not require adoption until a future date are not expected to have a material impact on the consolidated financial statements upon adoption. The Company does not discuss recent pronouncements that are not anticipated to have an impact on or are unrelated to its financial condition, results of operations, cash flows or disclosures.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share	June 30, 2019 June 30, 2018 Common stock warrants 12,916,688 12,916,688 Potential dilutive shares 12,916,688 12,916,688

Inventories (Tables)

Inventories (Tables)	6 Months Ended
	Jun. 30, 2019
Inventory Disclosure [Abstract]
Schedule of Inventories	The components of inventories are as follows (in thousands of Korean Won): June 30, 2019 December 31, 2018 Finished goods ￦ - ￦ - Raw materials 143,295 7,217 143,295 7,217 Less: Inventory reserve - - Total, net ￦ 143,295 ￦ 7,217

Property and Equipment (Tables)

Property and Equipment (Tables)	6 Months Ended
	Jun. 30, 2019
Property, Plant and Equipment [Abstract]
Schedule of Property and Equipment	The components of property and equipment are as follows (in thousands of Korean Won): June 30, 2019 December 31, 2018 Office equipment ￦ 219,980 ￦ 219,980 Fixtures and furniture 48,520 48,520 Other 285,113 285,112 Total, at cost 553,613 553,612 Less: Accumulated depreciation (517,023 ) (509,388 ) 36,590 44,224
Schedule of Components of Lease Property	Right-of-use lease assets - operating 438,885 - Less: Accumulated depreciation (206,636 ) - Right-of-use lease assets - operating, net 232,249 - Total, net ￦ 268,839 ￦ 44,224

Debt (Tables)

Debt (Tables)	6 Months Ended
	Jun. 30, 2019
Debt Disclosure [Abstract]
Schedule of Long-Term Debt	The components of the long-term debt, including the current portion, are as follows (in thousands of Korean Won): June 30, 2019 December 31, 2018 Loans from Small & medium Business Corporation borrowed at March 23, 2016 with the maturity of March 22, 2021 and at an interest of 4.22% and 4.22% per annum for 2019 and 2018, respectively, guaranteed by Ung Gyu Kim, President and CEO ￦ 333,120 ￦ 374,760 Loans from Small & medium Business Corporation borrowed at February 28, 2017 with the maturity of February 28, 2022 and at an interest of 2.65% per annum, guaranteed by Ung Gyu Kim, President and CEO 177,600 200,000 Loans from Small & medium Business Corporation borrowed at August 13, 2018 with the maturity of August 14, 2023 and at an interest of 2.43% per annum, guaranteed by Ung Gyu Kim, President and CEO 100,000 100,000 Total 610,720 674,760 Less: current portion (256,980 ) (222,260 ) Total long-term debt less current portion ￦ 353,740 ￦ 452,500

Pension Plans (Tables)

Pension Plans (Tables)	6 Months Ended
	Jun. 30, 2019
Retirement Benefits [Abstract]
Schedule of Components of Benefit Expense	The components of benefit expense are as follows (in thousands of Korean Won): June 30, 2019 June 30, 2018 Service cost ￦ 103,665 ￦ 102,871 Interest cost 7,089 5,587 Prior service cost - - Total ￦ 110,754 ￦ 108,458

Commitments and Contingencies (

Commitments and Contingencies (Tables)	6 Months Ended
	Jun. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Schedule of Maturity Operating Lease Liabilities	The following is a maturity analysis of the annual undiscounted cash flows of the operating lease liabilities as of June 30, 2019 (in thousands of Korean Won): Year Ending June 30, 2020 ￦ 100,897 2021 88,451 2022 47,363 2023 14,440 Total ￦ 251,151
Schedule of Lease Cost and Other Information	June 30, 2019 Lease cost: Operating lease cost ￦ 65,506 Short-term lease cost 2,400 Total lease cost ￦ 67,906 Other information Cash paid for amounts included in the measurement of lease liabilities ￦ 67,906 Operating cash flows from operating leases ￦ 67,906 Weighted-average remaining lease term - operating leases 2.7 years Weighted-average discount rate - operating leases 5.74 %

Revenue Classes (Tables)

Revenue Classes (Tables)	6 Months Ended
	Jun. 30, 2019
Revenue Recognition and Deferred Revenue [Abstract]
Schedule of Disaggregation of Revenue	Selected financial information for the Company’s operating revenue for disaggregated revenue purposes by revenue source are as follows (in thousands of Korean Won): For the Six Months Ended June 30, 2019 June 30, 2018 Products e-Navigation ￦ 637,182 ￦ 953,243 Smart Ship 486,806 65,190 Projects e-Navigation 801,194 745,245 Smart Ship 22,070 595,007 Total ￦ 1,947,252 ￦ 2,358,685

Description of Business and O_2

Description of Business and Organization (Details Narrative) - Share Exchange Agreement [Member] - e-Marine Co., Ltd [Member]	Jul. 25, 2017shares
Equity interest, percentage	100.00%
Restricted Stock [Member]
Equity interest shares exchange during the period	14,975,000

Liquidity Financial Condition_2

Liquidity Financial Condition and Management Plans (Details Narrative) - KRW (₩) ₩ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Liquidity Financial Condition And Management Plans
Cash	₩ 84,339	₩ 126,406

Summary of Significant Accoun_4

Summary of Significant Accounting Policies (Details Narrative) ₩ in Thousands	Jun. 30, 2019KRW (₩)
ASU Leases (Topic 842) [Member]
Operating liability	₩ 109,138

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share (Details) - shares	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Potential dilutive shares	12,916,688	12,916,688
Common Stock Warrants [Member]
Potential dilutive shares	12,916,688	12,916,688

Inventories - Schedule of Inven

Inventories - Schedule of Inventories (Details) - KRW (₩) ₩ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Inventory Disclosure [Abstract]
Finished goods
Raw materials	143,295	7,217
Inventory, gross	143,295	7,217
Less: Inventory reserve
Total, net	₩ 143,295	₩ 7,217

Property and Equipment (Details

Property and Equipment (Details Narrative) - KRW (₩) ₩ in Thousands	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Property, Plant and Equipment [Abstract]
Depreciation expense	₩ 7,635	₩ 7,882
Amortization expense	₩ 58,647

Property and Equipment - Schedu

Property and Equipment - Schedule of Property and Equipment (Details) - KRW (₩) ₩ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Property, Plant and Equipment [Abstract]
Office equipment	₩ 219,980	₩ 219,980
Fixtures and furniture	48,520	48,520
Other	285,113	285,112
Total, at cost	553,613	553,612
Less: Accumulated depreciation	(517,023)	(509,388)
Total, net	₩ 268,839	₩ 44,224

Property and Equipment - Sche_2

Property and Equipment - Schedule of Components of Lease Property (Details) - KRW (₩) ₩ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Property, Plant and Equipment [Abstract]
Right-of-use lease assets - operating	₩ 438,885
Less: Accumulated depreciation	(206,636)
Right-of-use lease assets - operating, net	232,249
Total, net	₩ 268,839	₩ 44,224

Goodwill (Details Narrative)

Goodwill (Details Narrative) - KRW (₩) ₩ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill	₩ 1,430,625	₩ 1,430,625

Debt (Details Narrative)

Debt (Details Narrative) - KRW (₩) ₩ in Thousands

Oct. 02, 2018

Sep. 27, 2018

May 25, 2018

Nov. 02, 2017

Apr. 19, 2017

Apr. 18, 2017

Jul. 18, 2016

Nov. 04, 2015

Oct. 08, 2015

Jun. 02, 2015

Jun. 30, 2019

Jun. 30, 2018

Dec. 31, 2018

Dec. 31, 2017

Short-term borrowings

₩ 122,113

Repayments of short term borrowings

70,909

₩ 518,508

Long term debt

610,720

₩ 674,760

Short Term Borrowings One [Member] | Refinancing Agreement [Member]

Repayments of short term borrowings

₩ 26,000

Short Term Borrowings One [Member] | Kookmin Bank [Member]

Short-term borrowings

₩ 260,000

234,000

₩ 234,000

Debt instrument maturity date

Oct. 2, 2019

Debt instrument, rate of interest

6.09%

4.70%

Short Term Borrowings Two [Member] | Refinancing Agreement [Member]

Repayments of short term borrowings

₩ 26,000

Short Term Borrowings Two [Member] | Kookmin Bank [Member]

Short-term borrowings

₩ 260,000

234,000

₩ 234,000

Debt instrument maturity date

Nov. 2, 2018

Debt instrument, rate of interest

6.13%

5.05%

Short Term Borrowings Three [Member] | Extension Agreement [Member] | May 1, 2019 [Member]

Repayments of short term borrowings

₩ 1,000,000

Short Term Borrowings Three [Member] | Woori Bank [Member]

Short-term borrowings

₩ 1,000,000

900,000

₩ 900,000

Debt instrument maturity date

Jun. 1, 2019

Debt instrument, rate of interest

4.79%

4.27%

Short Term Borrowings Three [Member] | Woori Bank [Member] | Extension Agreement [Member]

Debt instrument extended maturity date

May 1, 2019

Short Term Borrowings Five [Member] | Suhyup Bank [Member]

Short-term borrowings

₩ 500,000

428,000

₩ 428,000

Debt instrument maturity date

Jul. 18, 2018

Debt instrument, rate of interest

2.50%

2.50%

Debt instrument extended maturity date

Jul. 18, 2019

Debt collateralized in savings account

₩ 3,000

Short Term Borrowings Seven [Member] | GMT Co., Ltd. [Member]

Short-term borrowings

₩ 550,000

195,000

195,000

Debt instrument maturity date

Nov. 30, 2017

Debt instrument, rate of interest

6.00%

Short Term Borrowings Eight [Member] | GNC Co., Ltd. [Member]

Short-term borrowings

₩ 300,000

300,000

300,000

Debt instrument maturity date

Nov. 30, 2017

Debt instrument, rate of interest

6.00%

Short Term Borrowings Nine [Member] | Kwangju Bank [Member]

Short-term borrowings

₩ 130,000

₩ 23,636

₩ 94,545

Debt instrument maturity date

Aug. 24, 2019

Debt instrument, rate of interest

5.65%

Short Term Borrowings Nine [Member] | Kwangju Bank [Member] | 2019 [Member]

Debt instrument, rate of interest

5.65%

Debt - Schedule of Long-Term De

Debt - Schedule of Long-Term Debt (Details) - KRW (₩) ₩ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Total	₩ 610,720	₩ 674,760
Less: current portion	(256,980)	(222,260)
Total long-term debt less current portion	353,740	452,500
Long Term Debt One [Member]
Total	333,120	374,760
Long Term Debt Two [Member]
Total	177,600	200,000
Long Term Debt Three [Member]
Total	₩ 100,000	₩ 100,000

Debt - Schedule of Long-Term _2

Debt - Schedule of Long-Term Debt (Details) (Parenthetical)	Aug. 13, 2018	Feb. 28, 2017	Mar. 23, 2016	Jun. 30, 2019	Dec. 31, 2018
Long Term Debt One [Member]
Debt instrument maturity date			Mar. 22, 2021
Debt instrument interest rate				4.22%	4.22%
Long Term Debt Two [Member]
Debt instrument maturity date		Feb. 28, 2022
Debt instrument interest rate		2.65%
Long Term Debt Three [Member]
Debt instrument maturity date	Aug. 14, 2023
Debt instrument interest rate	2.43%

Pension Plans - Schedule of Com

Pension Plans - Schedule of Components of Benefit Expense (Details) - KRW (₩) ₩ in Thousands	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Retirement Benefits [Abstract]
Service cost	₩ 103,665	₩ 102,871
Interest cost	7,089	5,587
Prior service cost
Total	₩ 110,754	₩ 108,458

Stockholders' Deficit (Details

Stockholders' Deficit (Details Narrative) - $ / shares	Apr. 17, 2019	Jun. 30, 2019	Dec. 31, 2018	Jul. 25, 2017
Common stock, shares authorized		300,000,000	300,000,000
Common stock, par value		$ 0.001	$ 0.001
Common stock, shares issued		23,159,105	22,927,992
Common stock, shares outstanding		23,159,105	22,927,992
Common stock voting rights		The Shareholders are entitled to one vote per share on all matters which they are entitled to vote upon at all meetings of the Shareholders. The Shareholders do not have cumulative voting rights, which would allow the Shareholders of more than 50% of outstanding voting securities to elect all of directors.
Capital Stock [Member]
Common stock, shares authorized		300,000,000
Common stock, par value		$ 0.001
Common stock, shares issued		23,159,105
Common stock, shares outstanding		23,159,105
Blank Check Preferred Stock [Member]
Preferred stock, shares authorized		10,000,000
Preferred stock, par value		$ 0.001
Preferred stock, shares outstanding
Warrants [Member]
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares issued	231,133
Number of outstanding warrants to purchase common stock	231,133	12,916,688
Warrants, term	3 years	3 years
Date of warrant issuance	Apr. 17, 2022
Warrant exercise price	$ 0.08			$ 0.60
Warrants One [Member]
Common stock, par value		$ 0.001
Number of outstanding warrants to purchase common stock		1,100,000
Warrants, term		3 years
Warrant exercise price		$ 0.08

Related Party Transactions (Det

Related Party Transactions (Details Narrative) - KRW (₩) ₩ in Thousands	Feb. 25, 2018	Jun. 30, 2019	Dec. 31, 2018
Due to related party		₩ 52,240	₩ 45,980
Ung Gyu Kim [Member]
Due to related party	₩ 141,216	₩ 52,240	₩ 45,980
Debt instrument maturity date	Feb. 25, 2020
Debt instrument, interest rate	4.60%

Commitments and Contingencies_2

Commitments and Contingencies (Details Narrative) ₩ in Thousands	6 Months Ended
	Jun. 30, 2019KRW (₩)
Operating leases, rent expense	₩ 67,906
Shinwoo E&D Co., Ltd [Member]
Due from related parties	₩ 84,095

Commitments and Contingencies -

Commitments and Contingencies - Schedule of Maturity Operating Lease Liabilities (Details)	Jun. 30, 2019KRW (₩)
Commitments and Contingencies Disclosure [Abstract]
2020	₩ 100,897
2021	88,451
2022	47,363
2023	14,440
Total	₩ 251,151

Commitments and Contingencies_3

Commitments and Contingencies - Schedule of Lease Cost and Other Information (Details)	6 Months Ended
	Jun. 30, 2019KRW (₩)
Commitments and Contingencies Disclosure [Abstract]
Operating lease cost	₩ 65,506
Short-term lease cost	2,400
Total lease cost	67,906
Cash paid for amounts included in the measurement of lease liabilities	67,906
Operating cash flows from operating leases	₩ 67,906
Weighted-average remaining lease term - operating leases	2 years 8 months 12 days
Weighted-average discount rate - operating leases	5.74%

Concentration of Credit Risk (D

Concentration of Credit Risk (Details Narrative) - Accounts Receivable [Member]	6 Months Ended		12 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
G2 ICT Co., Ltd [Member]
Concentration risk percentage	45.00%		44.00%
Hyundai Electric & Systems Co., Ltd [Member]
Concentration risk percentage	17.00%
Shinwoo E&D Co., Ltd [Member]
Concentration risk percentage	15.00%		15.00%
Hanjin Heavy Industries & Construction Co., Ltd [Member]
Concentration risk percentage	12.00%		11.00%
Hyundai Heavy Industries Co., Ltd., [Member]
Concentration risk percentage			13.00%
Naval Logistics Command [Member]
Concentration risk percentage	41.00%	25.00%
Hyundai Global Service Co., Ltd. [Member]
Concentration risk percentage	10.00%
Research Institute of Medium & Small Shipbuilding [Member]
Concentration risk percentage		10.00%

Revenue Classes - Schedule of D

Revenue Classes - Schedule of Disaggregation of Revenue (Details) - KRW (₩) ₩ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Total	₩ 666,921	₩ 1,049,202	₩ 1,947,252	₩ 2,358,685
Products [Member] | E- Navigation [Member]
Total			637,182	953,243
Products [Member] | Smart Ship [Member]
Total			486,806	65,190
Projects [Member] | E- Navigation [Member]
Total			801,194	745,245
Projects [Member] | Smart Ship [Member]
Total			₩ 22,070	₩ 595,007