Husteel is a specialist maker of steel pipe (steel tubes) rolled and welded from steel plate, producing piping and structural pipe, industrial pipe, and energy pipe such as oil-country tubular goods (OCTG) that lift oil and gas from wells and line pipe, with the key to its margins and results being the energy pipe shipped to the United States, its largest export market. A February 2026 disclosure of a 30%-plus change in the profit-and-loss structure reflected that 2025 results swung from the prior year's profit to a net loss, and per company IR it completed a Texas OCTG plant (about ₩100 billion, 72,000 tons a year) at the end of 2024 and is pursuing a Gunsan line-pipe plant (about ₩190 billion) alongside it, an expansion of roughly ₩300 billion. What stands out lately is that a deep discount to book at a P/B of 0.21x is paired with assets aimed at a recovery, such as the U.S. local plant and the Gunsan expansion, which is a strength; on the other hand, revenue has fallen for three straight years, losses continued through 2025 and into Q1 2026, an interest coverage ratio of 0.22x makes it tight to cover interest from operating profit alone, and results swing heavily with U.S. drilling conditions and trade policy.
At-a-glance assessment financial health · growth · profitability · valuation
- Operating profit barely covers the interest bill (interest coverage below 1x).
- The most recent full-year net result was a loss.
- Revenue fell 15.3% year over year (3-year trend: falling).
- Most recent quarter (Q1 2026) revenue was 4.0% lower than a year earlier.
- ROE is -1.4% (controlling-interest basis). It is below the sector average.
- Operating margin is 0.6%.
- P/E is hard to compute here, so this is read on P/B.
Ownership & governance As of 2025-12-31
Largest shareholder Park Soon-suk 23.8% (individual)
Controlling bloc incl. related parties 48.06%
With the controlling bloc holding 48%, the ownership structure is stable.
🔎 In-depth analysis
- Husteel is a specialist maker of steel pipe (steel tubes) rolled and welded from steel plate.
- Its products fall into roughly four groups.
- (1) Piping and structural pipe (ordinary pipe and square tube used in construction, civil engineering, and general plumbing), (2) industrial pipe such as mechanical-structural, boiler, and steel piling pipe, and (3) energy pipe, that is, oil-country tubular goods (OCTG, the casing that lifts oil and gas from wells) and line pipe.
- Among these, the key to margins and results is the energy pipe shipped to the United States.
- The U.S. is the company's largest export market, and to work around trade barriers such as tariffs and anti-dumping duties it built an OCTG plant with 72,000 tons of annual capacity near Houston, Texas, completed at the end of 2024.
- Put simply, it is a steel-pipe company whose revenue moves heavily with 'U.S. oil prices and drilling conditions' and 'U.S. trade policy.'
- The latest close is ₩3,680 and the market cap is ₩206.8 billion.
- The price sits below both the 20-day line (₩4,168) and the 60-day line (₩5,052).
- Trading beneath both the short- and mid-term moving averages, the trend is on the soft side.
- The RSI (a gauge comparing recent up-strength and down-strength over the past 14 days on a 0-100 scale) is 28.6, close to the depressed zone.
- The one-month change is -20.9%, the three-month change is -33.0%, and it sits -48.3% from its 52-week high.
- Relative strength versus the KOSPI is 21 (1-99, recent one-year return versus the index weighted toward the most recent period; higher means stronger than the market), placing it in roughly the top 79% of all stocks by strength.
- Over the past three months it lagged the index by 47.4%.
- Chart reading is best done alongside volume and the dates of disclosures.
- On an asset basis the valuation is very cheap.
- The P/B (how many times the company's net asset value the price represents) is 0.21x, so it trades at roughly a fifth of net asset value.
- Given that other steel stocks used for comparison sit at 0.2-0.6x, it is clearly in discounted territory on assets.
- The confirmed P/E for last year cannot be calculated because of the 2025 net loss.
- At such a profit inflection, the forward P/E based on this year's expected earnings is closer to the real picture than a trailing measure built from past results.
- In other words, assets are deeply discounted, but on an earnings basis it is still at a stage before a full recovery is confirmed.
- On the balance sheet, the debt ratio (debt against equity) is 129.8% and the interest coverage ratio is 0.22x, so a single year's operating profit is tight for covering all interest, but the current ratio is 225.7%, so short-term solvency is sound.
- The top line has shrunk over the past three years.
- Revenue came down from ₩764.8 billion in 2023 to ₩723.1 billion in 2024 and ₩612.5 billion in 2025 (down 15.3% in 2025), and operating profit thinned from ₩123.2 billion in 2023 to ₩17.1 billion in 2024 and ₩3.5 billion in 2025.
- Net profit swung from ₩72.2 billion in 2023 and a ₩22.3 billion profit in 2024 to a ₩15.0 billion loss in 2025.
- The key point is that this flow is a cycle tracking the U.S. energy-pipe market.
- In 2022, strong U.S. drilling conditions produced a boom of ₩1 trillion in revenue and ₩289.2 billion in operating profit, and results came down as the market cooled thereafter.
- In Q1 2026 cumulative revenue was ₩147.9 billion (-3.95%), narrowing the top-line decline to single digits, and while the loss continued with operating profit at -₩5.3 billion and net at -₩4.3 billion, the revenue drop is settling down.
- The speed and scale of recovery depend on U.S.
- OCTG demand (drilling activity), steel-pipe prices, and the utilization of the new Texas plant, and the strength of that recovery decides how far this year's profit rises.
- The disclosure flow centers on results changes and capital spending.
- In February 2026 a disclosure of a 30%-plus change in the revenue and profit-and-loss structure appeared, reflecting the fact that 2025 results swung from the prior year's profit to a net loss.
- In March there was a corrected disclosure on a subsidiary's acquisition of tangible assets (capital spending), and around the same time the business report, audit report, and annual general meeting results were disclosed.
- In May the corporate governance report and the Q1 2026 report were filed.
- Per company IR, it completed the Texas OCTG plant (about ₩100 billion, 72,000 tons a year) at the end of 2024 and is pursuing the Gunsan SAW (line-pipe) plant (about ₩190 billion, 170,000 tons a year) alongside it, an expansion of roughly ₩300 billion combined.
- The disclosure narrative can be summed up as 'results at a cyclical trough, with facilities readied for the next recovery.'
- Husteel's strengths are clear.
- It trades very cheaply against net asset value (P/B 0.21x), has fallen sharply in the short term, and already holds assets aimed at a recovery, namely the U.S. local OCTG plant and the Gunsan line-pipe expansion.
- Since margins attach quickly when the U.S. energy-pipe market revives, as in 2022, it is a company whose cheap asset value can shine in a recovery.
- At the same time, the cautions are clear.
- Revenue has fallen for three straight years, losses continued through 2025 and into Q1 2026, an interest coverage ratio of 0.22x makes it tight to cover all interest from operating profit alone, and results move heavily with external variables such as U.S. drilling conditions and trade policy.
- In short, it is 'a recovery-type stock whose deeply discounted asset value revives when the U.S. energy-pipe market recovers, and a stock whose losses and interest burden linger if that recovery is delayed.' The key variables are ultimately U.S.
- OCTG demand and new-plant utilization, and strength or weakness turns on that direction.
🔎 Valuation vs peers Inconclusive
A peer set of steel pipe (especially energy pipe) and steel processing. SeAH Besteel Holdings, Kiswire, and Hyundai Steel are in the same steel and primary-metals sector, but their business characters (special steel/wire rod/plate/pipe) differ in part, so they are used only to compare position against assets and earnings.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| Kiswire | 48.55x | 0.26x | 0.53% |
| SeAH Besteel Holdings | 19.37x | 0.56x | 2.89% |
| Hyundai Steel | 0.00x | 0.19x | -0.04% |
(a) Position versus peers: the P/B of 0.20x is a low-P/B zone similar to Kiswire (0.29) and Hyundai Steel (0.23), and on assets it is clearly cheap territory. (b) Premium/discount: the discount to assets is large, but it partly reflects the loss and weak ROE (-1.4%), so it is hard to declare 'cheap.' (c) Last year's trailing P/E cannot even be calculated because of the net loss, and being at an inflection where profit moves from loss to gain, the trailing measure is quite limited. Forward rests only on an internal approximation dependent on a recovery in the U.S. OCTG market, since no official annual company target is published. Thus assets are cheap but the earnings recovery is not confirmed, so the overall valuation is left inconclusive.
Price history Close · MA20 · MA60
The latest close is ₩3,680 and the market capitalization is ₩206.8 billion. The price sits below its 20-day moving average (₩4,168) and below its 60-day moving average (₩5,052). 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 28.6, near oversold territory. The one-month change is -20.9%, the three-month change is -33.0%, and the position relative to the 52-week high is -48.3%. 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 21% of all stocks. Over the past three months it lagged the index by 47.4%. 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 -47.36% / 6M -43.47% / 12M -67.44%
Key metrics vs sector median
Valuation
A net loss makes the P/E an unreliable valuation gauge. The P/B of 0.20x is below the sector median (0.50x).
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 -1.4%, below the sector average (2.0%). The operating margin is 0.6%. The debt ratio is 129.8%, so the financial structure is moderate.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $506.9M | $479.2M | $405.9M | -15.29% ↓ slower |
| Operating profit | $81.7M | $11.3M | $2.3M | -79.57% ↑ faster |
| Net profit | $47.9M | $14.8M | -$10.0M | -167.37% ↓ slower |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $408.6M | $683.3M | $506.9M | $479.2M | $405.9M |
| Operating profit | $41.9M | $191.7M | $81.7M | $11.3M | $2.3M |
| Net profit | $25.2M | $150.6M | $47.9M | $14.8M | -$10.0M |
| Revenue CAGR | 4-yr avg -0.16% | ||||
Revenue fell 15.3% year over year (2023 ₩764.8 billion → 2024 ₩723.1 billion → 2025 ₩612.5 billion), and the three-year trend is 'falling'. The rate of decline widened from the prior year. Operating profit fell 79.6% year over year. That said, the decline narrowed. Over the 5 years on record, revenue compound annual growth (CAGR) is -0.2%. The two-year revenue CAGR is -10.5%. In the most recent quarter (Q1 2026), revenue was 4.0% lower 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.
Points to watch
- Operating profit barely covers the interest bill (interest coverage below 1x).
- The most recent full-year net result was a loss.
- The most recent full year was a loss, so it is worth checking whether profitability recovers.
- Revenue fell 15.3% year over year (3-year trend: falling).
Recent news & events searched · sourced
- 2026-02-11EarningsDisclosure of a 30%-plus change in 2025 revenue or profit-and-loss structure. Reflects the results change from the prior year's profit to an annual net loss.In the short term it officially confirms weak results. Operating profit was thinly positive but net profit swung to a loss, so the timing of a profitability recovery is the key point. Source
- 2026-03-27FilingCorrected disclosure of a subsidiary's decision to acquire tangible assets (material management matter). A capital-spending item.In the mid term, an investment tied to expanding U.S. and domestic steel-pipe facilities. It affects production capacity in the next market recovery. Source
- 2026-05-15FilingFiling of the Q1 2026 report (as of March 2026). Q1 cumulative revenue of ₩147.9 billion with operating and net losses continuing.In the short term it confirms the continued loss. The top-line decline (-3.95%) eased, but operating-level losses persisted, so whether the trough has passed needs checking. Source
- 2026-06-02FilingCorrected filing of the business report (December 2025). Reflects 2025 confirmed annual financials.In the mid term, reference material for reviewing financials on a confirmed annual basis. A basis for tracking financial soundness such as the debt ratio and interest coverage ratio. Source
Figure cross-check computed ↔ external
Recent filings
- 2026-06-02PeriodicAnnual business report (amended)
- 2026-05-29Corporate governance report
- 2026-05-15PeriodicQuarterly report
- 2026-03-31Disclosure
- 2026-03-31Shareholders' meeting notice
- 2026-03-27Amended filing
- 2026-03-23PeriodicAnnual business report (amended)
- 2026-03-23PeriodicAnnual business report
- 2026-03-23Audit report
- 2026-03-16Shareholders' meeting notice
- 2026-02-27Shareholders' meeting notice
- 2026-02-11EarningsEarnings 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.