Ilshin Spinning's core business is spinning, making cotton yarn, blended yarn, and yarn-dyed yarn. Of Q1 2026 revenue of ₩140.5 billion, cotton yarn and spinning accounted for ₩73.8 billion (about 53%), joined by cosmetics (₩22.5 billion), liquor distribution (₩9.6 billion), and real-estate leasing and investment (₩19.5 billion) in a complex structure, and it is widening its supply chain with production bases in Vietnam and Guatemala. This year it signaled a commitment to returns with a corporate value-up plan (March 26) and a ₩400 per-share dividend, followed by a string of purchases and disposals of shares in other companies in April and May, while the Q1 report showed a structure in which the core business held firm but net profit fell on a non-operating base effect. The strengths worth noting are a solid balance sheet with a debt ratio of 18.5% and a current ratio of 3.65x, a deep net-asset discount at a P/B of 0.24x, and a dividend of around 4%; on the other hand, revenue has been declining gently for a third year, and a large share of net profit comes from dividends and investments, so it swings widely year to year.
At-a-glance assessment financial health · growth · profitability · valuation
- Debt ratio, current ratio and interest burden all look healthy.
- Revenue fell 1.2% year over year (3-year trend: falling).
- Most recent quarter (Q1 2026) revenue was 3.0% higher than a year earlier.
- ROE is 3.6% (controlling-interest basis). It is below the sector average.
- Operating margin is 2.4%.
- The P/E sits below the sector median.
Ownership & governance As of 2020-12-31
Largest shareholder Kim Young-ho 20.68% (individual)
Controlling bloc incl. related parties 50.35%
With the controlling bloc holding 50%, control is very secure but the free float is thin.
🔎 In-depth analysis
- Ilshin Spinning's core business is spinning, making cotton yarn, blended yarn, and yarn-dyed yarn.
- Of Q1 2026 revenue of ₩140.5 billion, cotton yarn and spinning is the largest at ₩73.8 billion (about 53%), joined via subsidiaries by cosmetics (BSK Corporation) at ₩22.5 billion (16%), liquor import and distribution (Dongsung Liquor) at ₩9.6 billion (7%), and real-estate leasing and investment at ₩19.5 billion (14%).
- It is a structure that turns on one axis of textiles and another of consumer goods, leasing, and investment.
- In the core spinning business, profitability swings with cotton prices and demand, and the company is firming up the core's competitiveness by widening its supply chain with a Vietnam entity (a 100% subsidiary) and a Latin American (Guatemala) production base in line with U.S. buyers' nearshoring (the trend of moving production bases closer to home).
- The latest close is ₩10,100 and the market cap is ₩231.9 billion.
- The price sits below the 20-day line (₩10,588) and the 60-day line (₩11,360).
- Trading below both the short- and mid-term moving averages, the trend is on the soft side.
- The RSI (a supplementary gauge comparing upward and downward strength over the past 14 days on a 0-100 scale) is 45.7, a neutral reading.
- The one-month change is -5.0%, the three-month change is -13.8%, and the position versus the 52-week high is -36.9%.
- Relative strength against the KOSPI is 22 (1-99, a weighting of the past year's return versus the index that gives more weight to recent performance; higher means stronger than the market), placing it in roughly the top 78% of all stocks by strength.
- Over the past three months it lagged the index by 31.3%.
- Chart reading is best done alongside trading volume and disclosure dates.
- The P/B (how many times net asset value per share the price represents) is 0.25x.
- Net asset value per share is about ₩40,000 while the price is ₩9,500, so it trades at about one-quarter of book net assets.
- The debt ratio (debt to equity) is very low at 18.5%, and the current ratio (cash readily available against debt due within a year) is 3.65x, so the balance sheet is solid.
- One point to flag here is the P/E (how many times a year's net profit the price represents).
- The trailing P/E on the last 12 months' confirmed earnings looks low at 6.57x, but this value came out 'low' because a one-off investment gain last year inflated net profit, so it is hard to apply as is to the future.
- In sum, on an earnings basis it is around average, and on an asset basis it is clearly cheap versus peers, with the deep net-asset discount being the heart of this stock's valuation.
- Revenue was ₩517.2 billion, down -1.2% from the prior year, a gentle decline for a third year; but operating profit rose to ₩12.4 billion, up +36.9%, and profitability clearly improved after turning from an operating loss in 2023 to a profit.
- Net profit was ₩33.2 billion (+18.1%).
- Looking at Q1 2026, the core business held firm with revenue up +3.0% and operating profit up +6.5%, while net profit alone fell to ₩4.0 billion (-78.6%); this was due to a base effect, as a one-off investment gain in Q1 last year was absent this year.
- This is precisely why this year's expected earnings are set lower than trailing (i.e., a forward P/E).
- It is a process in which, as last year's one-off gain disappears, earnings settle at their true normal level, underpinned by the establishment and improvement of the core operating profit into the black, dividend income coming in steadily each quarter (₩5.8 billion in Q1), and stable cash flow from asset management.
- In other words, the forward earnings are not simply one quarter multiplied by four, but a figure reflecting the normal earnings power with one-offs stripped out.
- This year's disclosures read along two lines.
- First is the corporate value-up plan (March 26) that carries the direction of shareholder returns, together with the regular dividend (₩400 per share), revealing an intent to return capital conscious of the low P/B and thick equity.
- Second is the string of disclosures on purchases and disposals of shares in other companies in April and May, showing that the company keeps trimming its portfolio of investment and associate holdings.
- Since this very investment activity is the fundamental reason net profit swings year to year, movements in the investment portfolio are as important a variable for net profit as the core-business disclosures.
- The May Q1 report again confirmed a structure in which the core business (revenue and operating profit) held firm while net profit fell on a non-operating base effect.
- This stock's strengths are clear: a solid balance sheet with a debt ratio of 18.5% and a current ratio of 3.65x, a deep net-asset discount at a P/B of 0.24x, a dividend of around 4%, and the establishment and improvement of the core operating profit into the black.
- Against equity of ₩925.3 billion, the market cap of ₩218.1 billion sits at a steep discount, in a discount zone similar to or deeper than that of fellow asset-type textile maker Kyungbang (P/B 0.26x).
- Points to watch together are that revenue has been declining gently for a third year and that a large share of net profit comes not from the core business but from dividends and investments, so it swings widely year to year.
- Accordingly, this stock is strong from the perspective of a long approach valuing net asset value, dividends, and financial stability, and it is a volatile stock from the perspective of expecting core-business revenue growth or a smooth quarter-to-quarter earnings stream.
- How much the value of its holdings and investment portfolio is reflected in the price, and whether the intent to return capital carries through to actual execution, are the conditions that divide the assessment.
🔎 Valuation vs peers Inconclusive
The comparison was made among asset-type companies that have textiles/spinning as their core business while also holding thick net assets such as real estate and investment assets, giving them a P/B well below 1x.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| Kyungbang | 4.63x | 0.27x | 5.84% |
| Chokwang Leather | 36.29x | 0.72x | 2.00% |
(a) The closest peer, Kyungbang (an asset-type textile maker), has a P/B of 0.29x while Ilshin Spinning is at 0.27x, a similar net-asset discount zone. (b) Against equity of ₩925.3 billion, the market cap of ₩245.7 billion is a steep discount, but this is because the core-business ROE is low at 3.6% and there is no guarantee the holdings translate directly into cash or returns. (c) Last year's confirmed P/E of 7.4x came out low because a one-off investment gain was mixed in, so it is hard to call it 'cheap' as is, and this year that base drops out and earnings normalize. In the end the assessment turns on how much the value of the held net assets and investment portfolio is recognized in the price rather than the core-business value, so rather than concluding, it is left as inconclusive.
Price history Close · MA20 · MA60
The latest close is ₩10,100 and the market capitalization is ₩231.9 billion. The price sits below its 20-day moving average (₩10,588) and below its 60-day moving average (₩11,360). It is under both its short- and medium-term moving averages, so the trend looks subdued. The RSI (a supplementary indicator that gauges the strength of gains versus losses over the past 14 days on a 0-100 scale) is 45.7, a neutral level. The one-month change is -5.0%, the three-month change is -13.8%, and the position relative to the 52-week high is -36.9%. Relative strength versus the KOSPI is 22 (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 22% of all stocks. Over the past three months it lagged the index by 31.3%. 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 -31.30% / 6M -46.79% / 12M -61.11%
Key metrics vs whole-market median
Valuation
The P/E of 6.99x is below the whole-market median (13.81x). The P/B of 0.25x is below the whole-market median (1.15x). Both metrics are low versus peers, so the price is not expensive relative to earnings and assets.
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.
Intrinsic value (DCF estimate)
DCF (discounted cash flow) estimate — discount rate 9.2%, initial growth 4.0%→terminal 2.0%, 10-yr forecast, free-cash-flow basis. A reference range that shifts materially with assumptions.
Profitability & financials
Return on equity (ROE) is 3.6%, below the whole-market average (5.0%). The operating margin is 2.4%. The debt ratio is 18.5%, so the financial structure is stable.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $357.5M | $347.1M | $342.8M | -1.24% ↑ faster |
| Operating profit | -$676,694 | $6.0M | $8.2M | +36.88% |
| Net profit | $5.2M | $18.6M | $22.0M | +18.08% ↓ slower |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $398.3M | $393.1M | $357.5M | $347.1M | $342.8M |
| Operating profit | $40.4M | -$10.6M | -$676,694 | $6.0M | $8.2M |
| Net profit | $41.7M | $75.7M | $5.2M | $18.6M | $22.0M |
| Revenue CAGR | 4-yr avg -3.69% | ||||
Revenue fell 1.2% year over year (2023 ₩539.4 billion → 2024 ₩523.7 billion → 2025 ₩517.2 billion), and the three-year trend is 'falling'. That said, the rate of decline narrowed from the prior year. Operating profit rose 36.9% year over year. Over the 5 years on record, revenue compound annual growth (CAGR) is -3.7%. The two-year revenue CAGR is -2.1%. In the most recent quarter (Q1 2026), revenue was 3.0% higher than the same period a year earlier.
Latest quarterly results Q1 2026 · vs year-ago
Technical indicators
What stands out
- P/E and P/B are both low versus peers, so the price looks inexpensive relative to earnings and assets.
- The dividend yield, at 4.0%, is on the high side.
- The balance sheet is stable in terms of debt and liquidity.
Points to watch
- Revenue fell 1.2% year over year (3-year trend: falling).
Recent news & events searched · sourced
- 2026-03-26FilingCorporate value-up plan (fair disclosure) announced - presenting the asset picture and the direction for enhancing shareholder valueOver the medium term, a factor supporting expectations of shareholder returns to unwind the low P/B (0.27x). That said, specific target ROE and payout figures were not stated, so the intensity of execution needs future confirmation. Source
- 2026-05-15EarningsQ1 2026 report - revenue ₩140.5 billion (+3.0%), operating profit ₩3.0 billion (+6.5%), net profit ₩4.0 billion (-78.6% as the prior-year one-off investment gain disappeared)The core business (revenue and operating profit) held firm, but net profit plunged on the non-operating investment-gain base effect. It reconfirms the structural cause of net-profit volatility. Source
- 2026-05-29FilingDecision to acquire and dispose of shares in other companies - continued adjustment of the investment and associate portfolio (multiple instances in April-May)In the short term it directly affects investment gains and losses. As the key variable behind net profit swinging year to year, portfolio trimming steers the direction of future gains and losses. Source
- 2026-03-18DividendFY2025 business report and dividend confirmed - dividend per share ₩400 (dividend yield about 3.7%, payout about 25.6%)A stable dividend backed by thick equity and low debt. A factor supporting the downside of the share price. Source
Figure cross-check computed ↔ external
| Metric | Computed | External | Status | Source |
|---|---|---|---|---|
| P/B (price to net asset value per share) | 0.27x | ₩925.3 billion ÷ 22,960,000 = BPS ₩40,300 | Confirmed | link |
| Revenue mix by segment (Q1) | approx. 53% | 1 revenue ₩140.5 billion / ₩73.8 billion, ₩22.5 billion, ₩9.6 billion, / ₩19.5 billion | Confirmed | link |
| This year's net profit estimate (forward) | approx. ₩20.0 billion | — | Unverified | link |
Recent filings
- 2026-05-29Amended filing
- 2026-05-27Corporate governance report
- 2026-05-15PeriodicQuarterly report
- 2026-05-14Amended filing
- 2026-05-06Amended filing
- 2026-04-14Amended filing
- 2026-04-01Disclosure
- 2026-03-26Disclosure
- 2026-03-26Shareholders' meeting notice
- 2026-03-26Disclosure
- 2026-03-18PeriodicAnnual business report
- 2026-03-18Audit report
📖 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.