Daesang earns money across two pillars: a food segment built on strong brands such as Chungjungone, Jongga, and Miwon, and a materials and bio segment of corn-based starch sugars and fermented amino acids. Food is stable and less cyclical, while materials swing sharply with global grain prices, exchange rates, and the world amino acid market. The March annual report finalized revenue of ₩4.4 trillion, operating profit of ₩169.3 billion, and a net loss of ₩304.2 billion, yet despite the net loss the company resolved a dividend of ₩850 per share (a 4.8% yield), and the May Q1 report confirmed a swing back to profit, supporting the reading that last year's loss was a one-off. The notable point of late is that its strengths lie in strong food brands, a 4.8% dividend yield, a P/B of 0.57x, a 7.7% FCF yield, and a return to profit in Q1, while a debt ratio of 222% means somewhat heavy borrowing and the materials segment's profit recovery may be slow due to a global oversupply of amino acids such as lysine.
At-a-glance assessment financial health · growth · profitability · valuation
- Debt is somewhat higher than equity (debt ratio 222.4%).
- The most recent full-year net result was a loss.
- Revenue rose 3.4% year over year, and the pace is slowing (3-year trend: rising).
- Most recent quarter (Q1 2026) revenue was 1.8% lower than a year earlier.
- ROE is -28.4% (controlling-interest basis). It is below the sector average.
- Operating margin is 3.9%.
Ownership & governance As of 2025-12-31
Largest shareholder Daesang Holdings 39.28% (corporate)
Controlling bloc incl. related parties 50.22%
With the controlling bloc holding 50%, control is very secure but the free float is thin.
🔎 In-depth analysis
- Daesang earns money across two main pillars.
- The first is the food segment.
- Chungjungone (sauces, condiments, seasonings, and home meal replacements), Jongga (packaged kimchi), and Miwon, the leading domestic fermented seasoning, are the face of this company.
- These brands, commonly seen in supermarkets, carry a large share of revenue.
- The second is the materials and bio segment.
- This covers the starch-sugar business, which processes corn into corn syrup, glucose, and starch, and the business that uses fermentation technology to make amino acids (feed and food additives such as lysine) and seasoning materials.
- Food is stable and less cyclical, while materials swing sharply with global grain prices, exchange rates, and the world amino acid market.
- The latest close is ₩17,520 and market cap is ₩607.0 billion.
- The price sits above its 20-day line (₩17,476) and below its 60-day line (₩19,134).
- With the short- and mid-term trends crossed, the direction should be read in parts.
- The RSI (a supplementary gauge that weighs the strength of gains against losses over the past 14 days on a 0-100 scale) is 46.5, a neutral level.
- The one-month change is -2.2%, the three-month change is -11.2%, and the price stands -28.8% below its 52-week high.
- Relative strength versus the KOSPI is 13 (on a 1-99 scale, computed from returns against the index over the past year with recent performance weighted more heavily; higher means stronger than the market).
- That places it in roughly the top 87% of all stocks by strength.
- Over the past three months it lagged the index by 29.3%.
- Chart interpretation is best done alongside trading volume and the dates of disclosures.
- The P/B (price divided by net assets per share) is 0.57x.
- The price sits at about half of book net assets per share (₩30,909).
- The dividend yield is 4.8%, on the high side, with a dividend per share of ₩850.
- Because 2025 was a net loss, the P/E ratio cannot be calculated.
- That net loss, however, was not from poor operations.
- Operating profit was a ₩169.3 billion positive, and the net loss came from a large one-off loss related to the materials segment.
- Borrowing is somewhat heavy.
- The debt ratio (debt to equity) is 222% and net debt (total borrowings minus cash) is about ₩721.0 billion.
- Cash generation, on the other hand, is solid.
- The FCF yield (the ratio of cash actually earned to market cap) is 7.7%.
- EV/EBIT (enterprise value divided by operating profit, a P/E that accounts for debt), a debt-inclusive multiple, is 7.9x, a level that is not burdensome when viewed on operating profit.
- Revenue is rising gently.
- 2025 revenue of ₩4,401.3 billion was up 3.4% versus the prior year, and it has grown at around 6% annually over the past five years.
- That said, the pace of increase is gradually slowing.
- Operating profit fell 4.3% versus the prior year to ₩169.3 billion but held positive.
- The 2025 net loss was due to a one-off loss related to the materials segment, not a collapse in the operating flow.
- Indeed, in Q1 2026 net profit swung back to positive at ₩32.6 billion, up 14.8% versus the same period last year.
- Operating profit also held at the prior-year level at ₩57.0 billion.
- As the one-off loss clears, profit is returning to a normal track.
- So rather than judging by last year's loss alone, viewing it on a normalized profit basis stripped of one-offs is closer to the company's actual picture.
- On a normalized profit basis, the price is on the low side relative to this year's profit.
- Since there is no confirmed basis for next year being lower than this year, viewing this year's profit as a normalization phase after the loss, rather than a temporary peak, is closer to the facts.
- Recent disclosures center on routine reporting, results, and shareholder returns.
- A January 2026 earnings-structure change disclosure flagged the 2025 net loss, and the March annual report finalized revenue of ₩4.4 trillion, operating profit of ₩169.3 billion, and a net loss of ₩304.2 billion.
- At the March annual shareholders' meeting, a cash dividend of ₩850 per share was resolved despite the net loss, continuing shareholder returns.
- It supports the 4.8% dividend yield.
- In March there was also a disclosure of a decision to acquire shares in another company, showing that portfolio adjustment is underway.
- The May Q1 report confirmed the swing back to profit and rising net profit, supporting the reading that last year's loss was a one-off.
- Start with the strengths.
- Strong food brands such as Chungjungone, Jongga, and Miwon provide a stable profit base.
- With a dividend yield of 4.8%, shareholder returns are steady too.
- At a P/B of 0.57x the price is low relative to book net assets, and with a 7.7% FCF yield cash generation is solid.
- The 2025 net loss was due to a one-off loss in the materials segment rather than a collapse in operations, and it had already returned to profit in Q1 2026.
- On a normalized profit basis stripped of one-offs, the valuation is on the low side versus large food peers (a P/E of about 13x).
- The cautions are clear too.
- A debt ratio of 222% means somewhat heavy borrowing.
- The materials segment's profit recovery may be slow due to a global oversupply of amino acids such as lysine.
- In conclusion, the stability of the food segment and the return to normalized profit are strengths, while the weak materials market and high debt are weaknesses.
- It is strong under conditions where the amino acid market bottoms and food profit holds, and weak under conditions where the materials oversupply drags on and grain prices rise.
🔎 Valuation vs peers Undervalued
Leading food companies that make both comprehensive food products such as sauces, condiments, and seasonings and food materials were taken as the peer group; all are close in business substance in that they are built on domestic food brands.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| Nongshim | 12.50x | 0.75x | 6.01% |
| Lotte Wellfood | 12.97x | 0.43x | 3.30% |
| CJ CheilJedang | — | 0.41x | -8.10% |
In 2025 the net loss from a large one-off loss related to the materials segment meant the P/E cannot be calculated, and it is hard to judge valuation on last year's results alone. But this is a common illusion at a profit inflection point. Operating profit was a ₩169.3 billion positive, and in Q1 2026 net profit turned positive, up 14.8% versus the prior year. On a normalized profit basis stripped of one-offs, the price is on the low side relative to profit, a substantial discount versus Nongshim and Lotte Wellfood (a P/E of about 13x). The P/B of 0.57x is also low compared with peer food companies, and the 4.8% dividend yield is higher than the peer group's (about 1.6-3.2%). That said, a debt ratio of 222% is a financial burden and the materials market recovery may be slow, so part of the discount can be seen as reflecting these risks. On balance, given the strong food brands, high dividend, and solid cash flow, the valuation on a normalized profit basis is judged to be on the low side.
Price history Close · MA20 · MA60
The latest close is ₩17,520 and the market capitalization is ₩607.0 billion. The price sits above its 20-day moving average (₩17,476) and below its 60-day moving average (₩19,134). Short-term and medium-term trends are diverging, so the direction is best read separately. The RSI (a supplementary indicator that gauges the strength of gains versus losses over the past 14 days on a 0-100 scale) is 46.5, a neutral level. The one-month change is -2.2%, the three-month change is -11.2%, and the position relative to the 52-week high is -28.8%. Relative strength versus the KOSPI is 13 (on a 1-99 scale, converted from returns against the index over the past year with more weight on recent performance; higher means stronger than the market). It is stronger than roughly 13% of all stocks. Over the past three months it lagged the index by 29.3%. Chart interpretation is best done alongside trading volume and the dates on which disclosures occur.
Relative performance stock vs index · start = 100
Excess return vs index · 3M -29.35% / 6M -46.96% / 12M -67.80%
Key metrics vs sector median
Valuation
A net loss makes the P/E an unreliable valuation gauge. The P/B of 0.57x is in line with the sector median (0.51x).
Enterprise value (EV)
EV = market cap + net debt. It reflects cash and debt, so it captures the real cost of the whole business that market cap alone misses; lower multiples are cheaper relative to earnings or sales.
Profitability & financials
Return on equity (ROE) is -28.4%, below the sector average (4.0%). The operating margin is 3.9%. The debt ratio is 222.4%, so the financial structure is somewhat high.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $2.7B | $2.8B | $2.9B | +3.44% ↓ slower |
| Operating profit | $82.0M | $117.3M | $112.2M | -4.33% ↓ slower |
| Net profit | $44.5M | $63.1M | -$201.6M | -419.64% ↓ slower |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $2.3B | $2.7B | $2.7B | $2.8B | $2.9B |
| Operating profit | $101.6M | $92.8M | $82.0M | $117.3M | $112.2M |
| Net profit | $95.5M | $55.1M | $44.5M | $63.1M | -$201.6M |
| Revenue CAGR | 4-yr avg 6.12% | ||||
Revenue rose 3.4% year over year (2023 ₩4.1 trillion → 2024 ₩4.3 trillion → 2025 ₩4.4 trillion), and the three-year trend is 'rising'. That said, the pace of growth slowed from the prior year. Operating profit fell 4.3% year over year. The decline widened. Over the 5 years on record, revenue compound annual growth (CAGR) is 6.1%. The two-year revenue CAGR is 3.5%. In the most recent quarter (Q1 2026), revenue was 1.8% lower than the same period a year earlier.
Latest quarterly results Q1 2026 · vs year-ago
Technical indicators
What stands out
- The dividend yield, at 4.9%, is on the high side.
Points to watch
- The most recent full year was a loss, so it is worth checking whether profitability recovers.
- Revenue rose 3.4% year over year, and the pace is slowing (3-year trend: rising).
Recent news & events searched · sourced
- 2026-01-29EarningsDisclosure of a 30%-plus change in the 2025 earnings structure - revenue rose but a large loss related to the materials segment turned the full year to a net loss (operating profit stayed positive).Short-term: the swing to a net loss is a burden. Mid-term: with operating profit positive and the loss one-off in nature, there is room to return to normalized profit. Source
- 2026-03-18Filing2025 annual report (consolidated) filed - finalized at revenue of ₩4.4 trillion, operating profit of ₩169.3 billion, and a net loss of ₩304.2 billion.Short-term: finalizing the loss size clears some uncertainty. Mid-term: a starting point for changes in the financial structure such as lower equity and a higher debt ratio. Source
- 2026-03-26DividendAt the annual shareholders' meeting, the financial statements were approved and a cash dividend (₩850 per share) resolved - dividend maintained despite the net loss.Short-term: supports a dividend yield of about 4.8%. Mid-term: the capacity to maintain the dividend during a loss phase needs checking. Source
- 2026-03-17FilingDecision to acquire shares and equity securities in another company - portfolio adjustment underway.Short-term: possible funding needs and stake changes. Mid-term: the direction of the business restructuring and its future profit contribution should be watched. Source
- 2026-05-15EarningsQ1 2026 report - revenue of ₩1.11 trillion (-1.8%), operating profit of ₩57.0 billion (+0.4%), net profit of ₩32.6 billion (+14.8%), a swing back to profit.Short-term: rising net profit supports the reading that last year's loss was a one-off. Mid-term: whether the profit improvement carries through the full year is the key. Source
Figure cross-check computed ↔ external
| Metric | Computed | External | Status | Source |
|---|---|---|---|---|
| 2025 full-year revenue, operating profit, and net result | revenue ₩4.4 trillion / operating profit ₩169.3 billion / ₩304.2 billion | revenue 4 ₩401.3 billion / operating profit ₩169.3 billion / ₩304.2 billion | Confirmed | link |
| Q1 2026 net profit | ₩32.6 billion | (2026.03) net profit | Confirmed | link |
| Dividend yield (DPS ₩850 / price ₩17,740) | 4.79% | ₩850 | Confirmed | link |
| 2026 full-year estimated net profit | approx. ₩100.0 billion(self-estimate) | — | Unverified | link |
Recent filings
- 2026-06-01Corporate governance report
- 2026-05-15PeriodicQuarterly report
- 2026-04-02OwnershipOfficers'/major-shareholders' holdings report
- 2026-03-27PeriodicAnnual business report (amended)
- 2026-03-26Disclosure
- 2026-03-26Shareholders' meeting notice
- 2026-03-18PeriodicAnnual business report
- 2026-03-18Audit report
- 2026-03-17Amended filing
- 2026-03-13Amended filing
- 2026-03-13Amended filing
- 2026-03-13EarningsAmended filing
📖 Plain-language glossary — expand if you are new to this
- P/E
- How many times a year's net profit the price is worth (lower is cheaper relative to earnings). The P/E here is on trailing (last full-year) results; for companies whose earnings swing fast (memory chips and other cyclicals/high-growth), a forward P/E on this year's expected earnings is more accurate.
- P/B
- Price relative to net assets (equity). Around 1x means it trades near book value; below 1x means below book.
- P/S
- Price relative to a year's revenue — useful for growth companies with thin earnings.
- Net debt / EV
- Net debt = interest-bearing debt − cash. Negative means more cash than debt (net cash). EV (enterprise value) = market cap + net debt, closer to what it would cost to buy the whole business.
- EV/EBIT · EV/EBITDA · EV/Sales
- Enterprise value against operating profit (EBIT), EBITDA, or revenue. Unlike P/E these reflect debt and cash; lower is cheaper relative to earnings power or sales.
- FCF / FCF yield
- Free cash flow = operating cash − capex, the cash actually left over. FCF yield = FCF ÷ market cap; higher means more cash generated per unit of market value.
- Intrinsic value (DCF)
- Future free cash flow (or, for some capex-heavy but profitable names, forecast earnings) discounted to today to estimate per-share value. Because it shifts a lot with the discount-rate and growth assumptions, it is shown as a bear/base/bull range, and the basis and assumptions are disclosed in one line beneath it.
- ROE
- How much profit the company earns in a year on its equity (%). Higher means better returns on capital.
- EPS / BPS
- Earnings per share / net assets (book value) per share.
- Operating / net margin
- Profit left from the core business / final profit after tax and interest, per unit of revenue.
- Debt ratio
- Debt relative to equity (%). Higher means more reliance on borrowing (norms vary by sector).
- Current ratio
- Assets convertible to cash within a year against debt due within a year. Above 100% leaves some short-term headroom.
- Interest coverage
- How many times operating profit covers the interest owed. Below 1x means operating profit alone struggles to cover interest.
- Dividend yield / payout ratio
- The year's dividend as a % of today's price / the share of earnings paid out as dividends.
- Revenue CAGR
- Multi-year growth expressed as a single yearly average (compound annual growth rate).
- RSI (short-term signal)
- Whether recent price action is overheated or beaten down. Above 70 is overbought, below 30 oversold.
- MA20 / MA60 (moving averages)
- The 20- and 60-day average price. Price above them signals a firmer short-term trend.
- vs 52-week high
- How far below the past year's peak the price sits now (%).
All figures are for reference only; how they read varies by sector and over time.
Sources: Korea FSC market-price API (data.go.kr), OpenDART, KRX/KIND — public data only.
Bong Stocks presents public-data-based information for reference only. It is not investment advice and contains no target prices, ratings, or buy/sell recommendations. Verify independently before making any decision.