Sungshin Cement, founded in 1967, is a cement maker that produces cement at its Danyang plant and, through subsidiaries such as Sungshin Remicon, extends into ready-mix concrete in a vertically integrated structure, earning money by selling cement and ready-mix concrete into construction sites. In 2025, standalone cement revenue fell to ₩623.5 billion, but consolidated revenue including subsidiaries rose to ₩1.2163 trillion, with the subsidiaries propping up the parent; a February preliminary-results disclosure cited a drop in sales volume amid a construction slump yet maintained a ₩350-per-share dividend, though the company swung to a net loss in Q1. What stands out most recently is that a P/B of 0.33x, a dividend yield in the 4% range, and a fifth straight year of revenue growth are strengths, while falling cement volume at the parent, a second consecutive year of declining earnings and a Q1 swing to a net loss, and a debt ratio of 222.7% with a current ratio of 73.5% mean earnings hinge on where the industry sits in its cycle.
At-a-glance assessment financial health · growth · profitability · valuation
- Debt is somewhat higher than equity (debt ratio 222.7%).
- Assets that can be turned to cash within a year fall short of near-term liabilities (current ratio 73.5%).
- Revenue rose 4.6% year over year, and the pace is quickening (3-year trend: rising).
- Most recent quarter (Q1 2026) revenue was 24.7% higher than a year earlier.
- ROE is 4.4% (controlling-interest basis). It is above the sector average.
- Operating margin is 3.6%.
- The P/E sits below the sector median.
Ownership & governance As of 2025-12-31
Largest shareholder Kim Tae-hyun 13.75% (individual)
Controlling bloc incl. related parties 35.7%
With the controlling bloc holding 36%, the ownership structure is stable.
🔎 In-depth analysis
- Sungshin Cement, founded in 1967 and listed in 1976, is a cement maker whose core (standalone) business is producing and selling cement at its plant in Danyang, North Chungcheong Province.
- On top of that, it consolidates domestic subsidiaries including Sungshin Remicon (93.4% stake), which makes ready-mix concrete (concrete supplied to construction sites in a liquid state before it sets), as well as Sungshin CM and Sungshin L&S, plus overseas entities in Vietnam, Myanmar, Bangladesh, and Singapore.
- In other words, it is a vertical structure that makes cement (the raw material) and carries it through to ready-mix concrete (the finished product), earning money from cement and ready-mix concrete sold into construction sites.
- In 2025, standalone (cement parent) revenue fell to ₩623.5 billion from ₩715.6 billion the prior year, but consolidated revenue including subsidiaries such as ready-mix concrete actually rose to ₩1.2163 trillion — a year in which the subsidiaries propped up the ground the core cement business had ceded.
- The latest close is ₩8,820 and the market cap is ₩216.2 billion.
- The price sits above its 20-day line (₩8,520) and below its 60-day line (₩9,656).
- With the short- and mid-term trends diverging, the direction has to be read separately.
- The RSI (a gauge comparing upward and downward momentum over the past 14 days on a 0-100 scale) is 50.7, a neutral level.
- The one-month change is +10.0%, the three-month change is -4.8%, and the price is -33.3% from its 52-week high.
- Relative strength versus the KOSPI is 24 (on a 1-99 scale that weights recent returns against the index over the past year more heavily; higher means stronger than the market), placing it in roughly the top 77% for strength among all stocks.
- Over the past three months it has trailed the index by 27.5%.
- Chart signals are best read alongside trading volume and disclosure dates.
- The P/B (how many times net assets the price represents) is 0.33x, meaning the stock trades at one-third the value of its net assets — a low price band relative to assets.
- The dividend yield is 4.0% (₩350 per share, a 33.6% payout ratio), and notably the dividend was held even in a year of lower earnings.
- The P/E (how many times one year of earnings the price represents) based on last year's reported earnings looks low at 8.32x, but rather than taking that number at face value it is worth looking one step deeper.
- A company passing through an inflection in earnings is hard to judge on a P/E built from last year's figures alone, and the P/E based on this year's expected earnings is closer to the real picture.
- That is, a low trailing P/E does not automatically mean cheap; once this year's earnings level is reflected, the price band carries a degree of embedded expectation.
- On profitability, the ROE (annual return on shareholders' equity) of 4.4% is above the peer average and the operating margin is 3.6%.
- On the balance sheet, a debt ratio (debt to equity) of 222.7% and a current ratio of 73.5% mean liquidity is on the tight side — a point to keep in view.
- The top line has grown for five straight years, from ₩833.5 billion in 2021 to ₩1.2163 trillion in 2025, and last year it grew 4.6% year on year — with the pace actually quickening.
- Q1 2026 revenue also rose 24.7% from the same period a year earlier, so the top-line growth trend itself is intact.
- Earnings, however, tell a different story.
- Net profit fell for a second year, from ₩66.7 billion in 2023 to ₩45.2 billion in 2024 and ₩26.0 billion in 2025, and in Q1 the company swung to a net loss of ₩5.88 billion despite higher revenue.
- The reason revenue rises while earnings fall is clear: a domestic construction slump cut cement sales volume at the parent, and cost pressures such as electricity and freight squeezed margins.
- That the P/E based on this year's expected earnings comes out at about 16x — higher than last year's reported P/E of 7.47x — likewise reflects a year in which earnings fall further than in the prior year.
- The key to a recovery lies in when construction starts and cement shipments find a floor, and how quickly electricity and freight costs settle.
- Because the underlying strength of revenue is holding, earnings could follow quickly once those two turn.
- Recent developments are best tracked through disclosures.
- In a February 2026 preliminary-results disclosure, the company directly attributed the 2025 drop in net profit to 'a decline in cement sales volume caused by a domestic construction slump,' and on the same day declared a cash dividend of ₩350 per share, continuing shareholder returns even in a year of lower earnings.
- In March, the business report, audit report, and results of the annual general meeting followed in sequence, confirming the cement-to-ready-mix vertical structure and the overseas entities held.
- In May, the Q1 2026 quarterly report (a swing to a net loss) and a large-holding report followed.
- Rather than large new orders or investment disclosures, the core narrative of this period is the industry downturn itself and the company's response of maintaining the dividend.
- Starting with the strong side: the stock trades at one-third the value of its net assets (a P/B of 0.33x), a dividend yield in the 4% range was maintained even in a year of lower earnings, and revenue has grown for five straight years as subsidiaries prop up the top line within the cement-to-ready-mix vertical structure — clear strengths.
- Among cement peers, it leads on both revenue growth and ROE.
- On the cautious side: falling cement sales volume at the parent, a second consecutive year of declining earnings and a Q1 swing to a net loss, and tight liquidity with a 222.7% debt ratio and a 73.5% current ratio.
- In sum, if construction activity and cement shipments find a floor and electricity and freight costs ease, the low P/B and dividend support give it strong recovery elasticity on the upside; conversely, if weak starts and entrenched costs drag on, earnings could linger near breakeven on the downside.
- It is best viewed as a classic cyclical, with a firm floor from asset value and dividends but earnings that depend on where the industry sits in its cycle.
🔎 Valuation vs peers Inconclusive
Same-industry listed cement (and ready-mix concrete) makers; compared with Hanil Cement and Asia Cement, which share the same business substance.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| Hanil Cement | 14.53x | 0.58x | 3.97% |
| Asia Cement | 19.93x | 0.31x | 1.55% |
Against cement peers, Sungshin Cement's P/E of 8.2x is clearly below Hanil Cement (13.9x) and Asia Cement (21.5x), and its P/B of 0.36x also sits in an undervalued zone relative to assets. On both revenue growth and ROE it leads the three. On the surface, it is at a discount to its comparables. But this P/E is computed from last year's reported earnings, which fell 42.5% year on year, and in Q1 2026 it swung to a net loss. At an earnings inflection point where profits are turning down, a low P/E based on last year's figures easily understates this year's real burden, so the same 8.2x means something different in a recovery than in a downturn. If construction activity and cement shipments find a floor the discount is justified and there is ample recovery upside, but if the slump drags on, falling earnings could make what 'looked cheap' expensive again. At this point, rather than concluding undervalued or overvalued, inconclusive is appropriate.
Price history Close · MA20 · MA60
The latest close is ₩8,820 and the market capitalization is ₩216.2 billion. The price sits above its 20-day moving average (₩8,520) and below its 60-day moving average (₩9,656). 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 50.7, a neutral level. The one-month change is +10.0%, the three-month change is -4.8%, and the position relative to the 52-week high is -33.3%. Relative strength versus the KOSPI is 24 (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 23% of all stocks. Over the past three months it lagged the index by 27.5%. 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 -27.45% / 6M -42.14% / 12M -60.70%
Key metrics vs sector median
Valuation
The P/E of 8.32x is below the sector median (19.93x). The P/B of 0.37x is below the sector median (0.45x). 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.
Profitability & financials
Return on equity (ROE) is 4.4%, above the sector average (2.0%). The operating margin is 3.6%. The debt ratio is 222.7%, so the financial structure is somewhat high.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $737.9M | $770.6M | $806.1M | +4.61% ↑ faster |
| Operating profit | $48.6M | $35.3M | $28.9M | -18.00% ↑ faster |
| Net profit | $44.2M | $30.0M | $17.2M | -42.52% ↓ slower |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $552.5M | $682.9M | $737.9M | $770.6M | $806.1M |
| Operating profit | $19.9M | $1.2M | $48.6M | $35.3M | $28.9M |
| Net profit | $4.3M | -$17.6M | $44.2M | $30.0M | $17.2M |
| Revenue CAGR | 4-yr avg 9.91% | ||||
Revenue rose 4.6% year over year (2023 ₩1.1 trillion → 2024 ₩1.2 trillion → 2025 ₩1.2 trillion), and the three-year trend is 'rising'. The pace of growth also quickened from the prior year. Operating profit fell 18.0% year over year. That said, the decline narrowed. Over the 5 years on record, revenue compound annual growth (CAGR) is 9.9%. The two-year revenue CAGR is 4.5%. In the most recent quarter (Q1 2026), revenue was 24.7% 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.
Points to watch
- The figures shown are based on the last annual report as of the writing date, so it is best to review the latest quarterly results and filings alongside them.
Recent news & events searched · sourced
- 2026-02-25Earnings2025 consolidated preliminary-results disclosure — revenue of ₩1.2163 trillion (+4.6%), operating profit of ₩43.7 billion (-18.0%), net profit of ₩29.8 billion (consolidated, -34.4%). The decline was attributed to 'a drop in cement sales volume caused by a domestic construction slump.'Near term: confirmation of the earnings slowdown is a bearish factor. Medium term: it lays bare a structure of a weak core cement business versus subsidiaries holding up the top line. Source
- 2026-02-25DividendCash-and-in-kind dividend declared — ₩350 per share, a dividend yield of about 4.0%, a payout ratio of about 33.6%. The dividend was held even in a year of lower earnings.Near and medium term: continued shareholder returns partly support the price floor. Source
- 2026-03-18Filing2025 business report filed — confirming a cement-to-ready-mix vertical structure that consolidates ready-mix subsidiaries such as Sungshin Remicon (93.4%) and overseas entities in Vietnam, Myanmar, Bangladesh, and Singapore, beyond the standalone cement parent.Medium term: useful for grasping a structure in which subsidiaries drive the consolidated top line while the cement parent drives earnings volatility. Source
- 2026-05-15EarningsQ1 2026 quarterly report — revenue of ₩285.0 billion (+24.7% YoY) yet a swing to a net loss of ₩5.88 billion. Revenue rose but a drop in cement volume and cost pressure produced the deficit.Near term: the quarterly swing to a loss is a bearish factor. Medium term: a watershed for whether earnings recover this year. Source
Figure cross-check computed ↔ external
Recent filings
- 2026-05-28Corporate governance report
- 2026-05-15PeriodicQuarterly report
- 2026-05-11OwnershipOwnership-change filing
- 2026-03-26Shareholders' meeting notice
- 2026-03-26Disclosure
- 2026-03-18PeriodicAnnual business report
- 2026-03-18Audit report
- 2026-03-06Disclosure
- 2026-03-06Shareholders' meeting notice
- 2026-02-25Shareholders' meeting notice
- 2026-02-25EarningsEarnings filing
- 2026-02-25DividendCash/stock dividend decision
📖 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.