Powernet is an electrical-equipment company whose core product is the switched-mode power supply (SMPS), which converts the alternating current from a wall socket into the direct current a device uses; it supplies power components to set makers of home appliances, displays and electronics, so the output volumes and prices of those downstream industries drive its revenue. A March 2026 filing confirmed annual revenue of ₩447.0 billion, operating profit of ₩24.6 billion and net profit of ₩15.2 billion, verifying substantial top-line growth, while there were disclosures of a pre-maturity buyback of convertible bonds in January 2026 (₩1.1 billion bond-related, conversion price ₩2,715) and an exercise of a convertible-bond option in July 2025 (conversion price ₩2,298). The strengths to note are that revenue has more than doubled over three years, that a P/E of 6.73x and P/B of 0.67x plus a forecast P/E below the peer median make it cheap, and that an ROE of 10.0% puts profitability ahead of peers; the cautions are that a debt ratio of 383.6% and a current ratio of 91.7% leave a thin financial cushion, and that first-quarter profit fell year over year, with growth pausing for a beat.
At-a-glance assessment financial health · growth · profitability · valuation
- Debt far exceeds equity (debt ratio 383.6%).
- Assets that can be turned to cash within a year fall short of near-term liabilities (current ratio 91.7%).
- Revenue rose 38.5% year over year, and the pace is slowing (3-year trend: rising).
- Most recent quarter (Q1 2026) revenue was 0.5% higher than a year earlier.
- ROE is 10.0% (controlling-interest basis). It is above the sector average.
- Operating margin is 5.5%.
- The P/E sits below the sector median.
Ownership & governance As of 2025-12-31
Largest shareholder Wizit 38.18% (corporate)
Controlling bloc incl. related parties 38.2%
With the controlling bloc holding 38%, the ownership structure is stable.
🔎 In-depth analysis
- Powernet is an electrical-equipment company whose core product is the switched-mode power supply (SMPS), the component that converts the alternating current from a wall socket into the direct current a device uses.
- It supplies power components to set makers of finished goods such as home appliances, displays and electronics, so the output volumes and unit prices of those downstream industries drive its revenue.
- As a small-to-mid-cap name with a market cap of about ₩102.3 billion, it is worth watching not just the business itself but also how each funding or earnings-change disclosure affects its financials and share count.
- The latest close is ₩3,735 and the market cap is ₩95.3 billion.
- The price sits below its 20-day line (₩4,554) and below its 60-day line (₩6,180).
- Trading under both its short- and medium-term moving averages, the trend looks subdued.
- The RSI (an auxiliary gauge that compares upward and downward force over the past 14 days on a 0-100 scale) is 32.4, a neutral level.
- The one-month change is -27.2%, the three-month change is -34.2%, and the position versus the 52-week high is -61.4%.
- Relative strength versus the KOSDAQ is 88 (1-99, computed from the past year's return against the index with heavier weight on recent performance; higher means stronger than the market), placing it in roughly the top 11% of all stocks by strength.
- Over the past three months it lagged the index by 15.7%.
- When reading the chart, it helps to look at volume and disclosure dates together.
- For the most recent year (2025), revenue was ₩447.0 billion, operating profit ₩24.6 billion and net profit ₩15.2 billion.
- The operating margin is 5.5% and the ROE (how much is earned in a year on equity) is 10.0%, above the peer average.
- On last year's confirmed results, the P/E ratio (how many times a year's profit the share price is) is 6.27x and the P/B (how many times book value the share price is) is 0.63x.
- These figures are not high; if anything, the share price is on the cheap side relative to profit and assets, and the assessment classifies it as undervalued.
- That said, the debt ratio (debt versus equity) of 383.6% means debt exceeds equity, and the current ratio (assets that can be turned into cash against debt due within a year) of 91.7% is below 100%, so the financial cushion is not thick.
- Reading this company accurately means holding the cheap valuation and the financial strain side by side.
- Revenue rose sharply two years running, from ₩186.2 billion in 2023 to ₩322.7 billion in 2024 to ₩447.0 billion in 2025 (a two-year average of +55%).
- Operating profit also grew steadily over the same span, from ₩7.1 billion to ₩13.3 billion to ₩24.6 billion, so not just the top line but earnings strength expanded as well.
- That said, Q1 2026 revenue of ₩106.6 billion was up just +0.5% year over year, operating profit of ₩3.6 billion was -17.6% and net profit of ₩1.6 billion was down -53.8%, a picture of growth pausing for a beat.
- Given how strong last year was, this year reads as earnings normalizing somewhat, but the top line still holds in the ₩490 billion range, keeping the broad thrust of revenue growth intact.
- If downstream electronics demand and delivery prices recover, profit could open back up.
- In the change-of-30%-or-more in revenue or earnings-structure filing disclosed on March 11, 2026, annual revenue of ₩447.0 billion, operating profit of ₩24.6 billion and net profit of ₩15.2 billion were confirmed and tallied, verifying substantial top-line growth in figures.
- The key thing to watch is whether this carries through on a quarterly basis.
- Separately, there were disclosures of a pre-maturity buyback of convertible bonds on January 19, 2026 (bond-related amount ₩1.1 billion, conversion price ₩2,715) and an exercise of a convertible-bond option on July 17, 2025 (conversion price ₩2,298).
- Because convertible bonds bring in funds but can later convert into shares and raise the share count, it helps to watch both the use of the funds and the change in the share count.
- Powernet is a stock where a cheap valuation and financial strain are both clearly visible together.
- The strengths are plain: revenue has more than doubled over three years and operating profit has grown alongside it, and with a P/E of 6.73x and P/B of 0.67x on last year's results plus a forecast P/E below the peer median on this year's outlook, the share price is cheap relative to profit and assets.
- An ROE of 10.0% also puts profitability above the peer average.
- The points to watch are that a debt ratio of 383.6% and a current ratio of 91.7% leave a thin financial cushion, and that first-quarter 2026 profit fell year over year, with growth pausing for a beat.
- The possibility of a change in the share count from convertible bonds also bears watching.
- In short, in a phase where the top line holds and downstream demand and delivery prices recover so that quarterly profit grows again, the cheap valuation gains traction; conversely, if the earnings slowdown drags on or the financial strain comes to the fore, it can weaken.
🔎 Valuation vs peers Undervalued
A comparison set of electrical-equipment names close in market cap.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| Power Logics | — | 0.56x | -6.25% |
| THN | 1.50x | 0.46x | 30.56% |
| Sungwoo | 25.32x | 0.54x | 2.14% |
Within electrical equipment, we prioritized a public-data comparison set close in market cap. The current P/E ratio (how many times a year's profit the share price is) is 6.27x and the P/B (how many times book value the share price is) is 0.63x. That said, for smaller-cap names, swings in profit and funding disclosures carry a large effect, so we did not draw firm conclusions from last year's confirmed results alone. The forecast box is based on a DART seasonality approximation.
Earnings outlook company-stated · verified
| Type | Period | Revenue | Operating profit | Net profit |
|---|---|---|---|---|
| This year | 2026 | ₩495.3 billion | ₩21.9 billion | ₩10.1 billion |
| Next quarter | Q2 2026 | ₩122.3 billion | ₩7.6 billion | ₩3.5 billion |
Price history Close · MA20 · MA60
The latest close is ₩3,735 and the market capitalization is ₩95.3 billion. The price sits below its 20-day moving average (₩4,554) and below its 60-day moving average (₩6,180). 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 32.4, a neutral level. The one-month change is -27.2%, the three-month change is -34.2%, and the position relative to the 52-week high is -61.4%. Relative strength versus the KOSDAQ is 88 (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 89% of all stocks. Over the past three months it lagged the index by 15.7%. 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 -15.68% / 6M +62.64% / 12M +33.76%
Key metrics vs sector median
Valuation
The P/E of 6.27x is below the sector median (19.17x). The P/B of 0.63x is below the sector median (2.15x). 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 10.1%, 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 10.0%, above the sector average (2.0%). The operating margin is 5.5%. The debt ratio is 383.6%, so the financial structure is somewhat high.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $123.4M | $213.9M | $296.3M | +38.54% ↓ slower |
| Operating profit | $4.7M | $8.8M | $16.3M | +84.95% ↓ slower |
| Net profit | -$130,408 | $19.1M | $10.1M | -47.20% |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $137.8M | $139.9M | $123.4M | $213.9M | $296.3M |
| Operating profit | $3.6M | $3.8M | $4.7M | $8.8M | $16.3M |
| Net profit | $1.6M | $1.1M | -$130,408 | $19.1M | $10.1M |
| Revenue CAGR | 4-yr avg 21.10% | ||||
Revenue rose 38.5% year over year (2023 ₩186.2 billion → 2024 ₩322.7 billion → 2025 ₩447.0 billion), and the three-year trend is 'rising'. That said, the pace of growth slowed from the prior year. Operating profit rose 85.0% year over year. The pace of that profit growth is gradually easing. Over the 5 years on record, revenue compound annual growth (CAGR) is 21.1%. The two-year revenue CAGR is 55.0%. In the most recent quarter (Q1 2026), revenue was 0.5% 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.
- Revenue grew 38.5% year over year, a sign of growth.
Points to watch
- Debt far exceeds equity (debt ratio 383.6%).
- Assets that can be turned to cash within a year fall short of near-term liabilities (current ratio 91.7%).
Recent news & events searched · sourced
- 2026-01-19UpdateBuyback of convertible bonds before maturity (including overseas CBs): bond-related amount ₩1.1 billion, conversion price ₩2,715A disclosure where the purpose of the incoming funds and the change in the share count must be viewed together. When a facility or operating purpose is stated, the key is whether the investment is actually executed and connects to revenue. Source
- 2025-07-17UpdateReport on material matters (third party's exercise of convertible-bond option): conversion price ₩2,298A disclosure where the purpose of the incoming funds and the change in the share count must be viewed together. When a facility or operating purpose is stated, the key is whether the investment is actually executed and connects to revenue. Source
- 2026-03-11EarningsChange of 30% or more in revenue or earnings structure (15% for large corporations): annual revenue ₩447.0 billion, operating profit ₩24.6 billion, net profit ₩15.2 billionRecently confirmed or preliminary results. Check whether they point in the same direction as the annual trend and whether any one-off factors are involved. Source
Figure cross-check computed ↔ external
| Metric | Computed | External | Status | Source |
|---|---|---|---|---|
| Closing price | ₩3,735 | ₩3,735 | Confirmed | link |
| Latest quarterly results | revenue ₩106.6 billion, operating profit ₩3.6 billion | revenue ₩106.6 billion, operating profit ₩3.6 billion | Confirmed | link |
| Annual results | revenue ₩447.0 billion, operating profit ₩24.6 billion | revenue ₩447.0 billion, operating profit ₩24.6 billion | Confirmed | link |
| Funding disclosure text | : ₩1.1 billion · ₩2,715 | : ₩1.1 billion · ₩2,715 | Confirmed | link |
| Funding disclosure text | : ₩2,298 | : ₩2,298 | Confirmed | link |
| Earnings disclosure text | revenue30%: revenue ₩447.0 billion · operating profit ₩24.6 billion · net profit ₩15.2 billion | revenue30%: revenue ₩447.0 billion · operating profit ₩24.6 billion · net profit ₩15.2 billion | Confirmed | link |
| Forecast box basis | DART | DART | Confirmed | link |
Recent filings
- 2026-05-27Shareholders' meeting notice
- 2026-05-27Disclosure
- 2026-05-15PeriodicQuarterly report
- 2026-03-26Disclosure
- 2026-03-26Shareholders' meeting notice
- 2026-03-18PeriodicAnnual business report
- 2026-03-18Audit report
- 2026-03-11Shareholders' meeting notice
- 2026-03-11EarningsEarnings filing
- 2026-03-04Shareholders' meeting notice
- 2026-02-13Disclosure
- 2026-02-12PeriodicAnnual business report (amended)
📖 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.