ESTsoft is a long-established maker of PC utility software such as ALZip, ALYac and ALTools, and it has broadened into gaming and artificial-intelligence (AI) services on top of that base. A February 2026 filing confirmed full-year 2025 revenue of ₩106.8 billion, an operating loss of ₩19.0 billion and a net loss of ₩17.7 billion, while Q1 2026 revenue reached ₩31.0 billion (up 22.9% year over year), extending three straight years of top-line growth as the business regains momentum at the revenue line. What stands out lately is that with a recognizable software base plus new AI and gaming ventures, if revenue growth can outrun costs and turn into a profit while debt stays managed, a share price that has fallen about 71% from its 52-week high could become a springboard for recovery; on the other side, the company is still running an operating loss, so earnings-based multiples cannot be used, and a debt ratio of 391% leaves little financial headroom.
At-a-glance assessment financial health · growth · profitability · valuation
- Debt far exceeds equity (debt ratio 391.4%).
- The most recent full-year net result was a loss.
- Revenue rose 4.2% year over year, and the pace is slowing (3-year trend: rising).
- Most recent quarter (Q1 2026) revenue was 22.9% higher than a year earlier.
- ROE is -35.3% (controlling-interest basis). It is below the sector average.
- Operating margin is -17.8%.
- P/E is hard to compute here, so this is read on P/B.
Ownership & governance As of 2025-12-31
Largest shareholder Kim Jang-jung 19.77% (individual)
Controlling bloc incl. related parties 21.85%
With the controlling bloc holding 22%, control is maintained but the free float is relatively large.
🔎 In-depth analysis
- ESTsoft is classified in the gaming and software sector.
- It has long operated widely recognized PC utility software such as ALZip, ALYac and ALTools, and has expanded into gaming and artificial-intelligence (AI) services on top of that base.
- With a market capitalization of ₩83.9 billion it is not a large company, so it is worth watching not only the underlying business trend but also how a single filing can affect earnings and the share count.
- The latest close is ₩7,560 and the market cap is ₩88.9 billion.
- The price sits below both the 20-day line (₩8,137) and the 60-day line (₩11,354).
- Trading under both its short- and medium-term moving averages, the trend is on the soft side.
- The RSI (a gauge that scores upward versus downward force over the last 14 days on a 0-100 scale) is 34.8, a neutral level.
- The one-month change is -23.4%, the three-month change is -38.5%, and the price sits -67.0% from its 52-week high.
- Relative strength versus the KOSDAQ is 19 (1-99, computed from returns against the index over the past year with more weight on recent performance; higher means stronger than the market).
- That places it in roughly the top 82% of all stocks by strength.
- Over the last three months it lagged the index by 19.8%.
- Chart reading is best done alongside volume and the dates of filings.
- Full-year 2025 revenue was ₩106.8 billion, with an operating loss of ₩19.0 billion and a net loss of ₩17.7 billion.
- The operating margin was -17.8%, ROE (how much is earned in a year on equity) was -35.3%, and the debt ratio (debt relative to equity) was 391.4%.
- Because the company is not yet profitable, the P/E ratio (how many times one year's earnings the price represents) cannot be calculated, and the asset-based P/B (how many times book value the price represents) is 1.77x.
- A P/B of 1.67x is not unusually high for a lossmaking company, but what decides whether the stock is cheap or expensive right now is less the multiple itself and more whether it can swing from loss to profit.
- With a large amount of debt relative to equity, interest burden and cash conditions also need to be watched.
- Revenue rose for three consecutive years, from ₩92.5 billion in 2023 to ₩102.5 billion in 2024 and ₩106.8 billion in 2025, and Q1 2026 revenue of ₩31.0 billion was up 22.9% from the same period a year earlier.
- The recovery in the top line is a clear positive signal.
- The operating result, however, has stayed in the red at -₩8.9 billion in 2023, -₩13.5 billion in 2024 and -₩19.0 billion in 2025, so even as revenue grows the cost structure has kept it from flowing through to profit.
- The Q1 operating loss of -₩1.7 billion was narrower than the annual figure.
- The forecast-box 2026 revenue (₩132.2 billion) and Q2 revenue (₩36.0 billion) are not official company or institutional earnings forecasts but approximations of the top line only, derived from confirmed quarterly results and past quarterly weightings; operating- and net-profit forecasts are not provided.
- In short, this year's key question is whether revenue growth carries through to profit beyond the break-even point.
- The filings center on earnings materials.
- A February 25, 2026 filing on a change of 30% or more (15% for large corporations) in revenue or profit-and-loss structure confirmed full-year revenue of ₩106.8 billion, an operating loss of ₩19.0 billion and a net loss of ₩17.7 billion.
- Fair-disclosure filings of provisional operating results on a consolidated basis, dated November 11, 2025 and August 11, 2025, showed Q1 2026 revenue of ₩31.0 billion, an operating loss of ₩1.7 billion and a net loss of ₩0.7 billion.
- Earnings filings are interpreted more accurately by checking whether they point in the same direction as the annual trend and whether one-off factors are mixed in.
- Whether the revenue recovery and narrowing losses continue in the next quarter's filing is the point to confirm.
- The strengths are that the top line has grown for three straight years and rose 22.9% again in Q1 as the upper layer of the business regains momentum, and that the company pairs a recognizable software base such as ALZip and ALYac with new AI and gaming ventures.
- The share price has fallen 71% from its 52-week high, a level where expectations have already come down considerably.
- On the other side, the company is still running an operating loss, so earnings-based measures like the P/E cannot be used, and a debt ratio of 391% leaves limited financial headroom.
- In sum, if revenue growth outruns costs and turns into profit while the debt burden stays managed, today's lower share price could serve as a springboard for recovery; conversely, if the losses drag on or additional fundraising becomes necessary, the position could weaken.
🔎 Valuation vs peers Fairly valued
A peer set of gaming and software names adjacent in market capitalization.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| MDS Tech | 9.65x | 0.56x | 5.82% |
| NuriFlex | — | 1.01x | -9.23% |
| LS Tirauetec | — | 1.14x | -12.04% |
Within gaming and software, the peer set of publicly available data closest in market capitalization was looked at first. The current P/E (how many times one year's earnings the price represents) cannot be determined, and the P/B (how many times book value the price represents) is 1.77x. Because smaller-cap names are heavily affected by earnings swings and fundraising filings, no firm conclusion was drawn from last year's confirmed-results metrics alone. The basis for the forecast box is a DART seasonality approximation.
Earnings outlook company-stated · verified
| Type | Period | Revenue | Operating profit | Net profit |
|---|---|---|---|---|
| This year | 2026 | ₩132.2 billion | — | — |
| Next quarter | Q2 2026 | ₩36.0 billion | — | — |
Price history Close · MA20 · MA60
The latest close is ₩7,560 and the market capitalization is ₩88.9 billion. The price sits below its 20-day moving average (₩8,137) and below its 60-day moving average (₩11,354). 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 34.8, a neutral level. The one-month change is -23.4%, the three-month change is -38.5%, and the position relative to the 52-week high is -67.0%. Relative strength versus the KOSDAQ is 19 (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 18% of all stocks. Over the past three months it lagged the index by 19.8%. 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 -19.75% / 6M -46.68% / 12M -65.59%
Key metrics vs sector median
Valuation
A net loss makes the P/E an unreliable valuation gauge. The P/B of 1.77x is in line with the sector median (1.58x).
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 -35.3%, below the sector average (5.0%). The operating margin is -17.8%. The debt ratio is 391.4%, so the financial structure is somewhat high.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $61.3M | $67.9M | $70.8M | +4.23% ↓ slower |
| Operating profit | -$5.9M | -$8.9M | -$12.6M | — |
| Net profit | -$4.1M | -$7.7M | -$11.7M | — |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $59.4M | $58.8M | $61.3M | $67.9M | $70.8M |
| Operating profit | $6.7M | -$3.8M | -$5.9M | -$8.9M | -$12.6M |
| Net profit | $3.1M | -$4.0M | -$4.1M | -$7.7M | -$11.7M |
| Revenue CAGR | 4-yr avg 4.49% | ||||
Revenue rose 4.2% year over year (2023 ₩92.5 billion → 2024 ₩102.5 billion → 2025 ₩106.8 billion), and the three-year trend is 'rising'. That said, the pace of growth slowed from the prior year. Operating results are in the red, so a swing back to profit matters more than the growth rate here. Over the 5 years on record, revenue compound annual growth (CAGR) is 4.5%. The two-year revenue CAGR is 7.5%. In the most recent quarter (Q1 2026), revenue was 22.9% higher than the same period a year earlier.
Latest quarterly results Q1 2026 · vs year-ago
Technical indicators
What stands out
- —
Points to watch
- Debt far exceeds equity (debt ratio 391.4%).
- 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 rose 4.2% year over year, and the pace is slowing (3-year trend: rising).
Recent news & events searched · sourced
- 2026-02-25EarningsChange of 30% or more (15% for large corporations) in revenue or profit-and-loss structure: full-year revenue ₩106.8 billion, operating loss ₩19.0 billion, net loss ₩17.7 billionThis is recent confirmed or provisional earnings data. Read it alongside whether it points in the same direction as the annual trend and whether one-off factors are present. Source
- 2025-11-11EarningsFair-disclosure of provisional operating results on a consolidated basis: Q1 2026 revenue ₩31.0 billion, operating loss ₩1.7 billion, net loss ₩0.7 billionThis is recent confirmed or provisional earnings data. Read it alongside whether it points in the same direction as the annual trend and whether one-off factors are present. Source
- 2025-08-11EarningsFair-disclosure of provisional operating results on a consolidated basis: Q1 2026 revenue ₩31.0 billion, operating loss ₩1.7 billion, net loss ₩0.7 billionThis is recent confirmed or provisional earnings data. Read it alongside whether it points in the same direction as the annual trend and whether one-off factors are present. Source
Figure cross-check computed ↔ external
| Metric | Computed | External | Status | Source |
|---|---|---|---|---|
| Closing price | ₩7,560 | ₩7,560 | Confirmed | link |
| Latest quarterly results | revenue ₩31.0 billion, operating profit -₩1.7 billion | revenue ₩31.0 billion, operating profit -₩1.7 billion | Confirmed | link |
| Annual results | revenue ₩106.8 billion, operating profit -₩19.0 billion | revenue ₩106.8 billion, operating profit -₩19.0 billion | Confirmed | link |
| Earnings filing (original text) | revenue30%: revenue ₩106.8 billion · operating profit -₩19.0 billion · net profit -₩17.7 billion | revenue30%: revenue ₩106.8 billion · operating profit -₩19.0 billion · net profit -₩17.7 billion | Confirmed | link |
| Earnings filing (original text) | : 2026 1 revenue ₩31.0 billion · operating profit -₩1.7 billion · net profit -₩0.7 billion | : 2026 1 revenue ₩31.0 billion · operating profit -₩1.7 billion · net profit -₩0.7 billion | Confirmed | link |
| Earnings filing (original text) | : 2026 1 revenue ₩31.0 billion · operating profit -₩1.7 billion · net profit -₩0.7 billion | : 2026 1 revenue ₩31.0 billion · operating profit -₩1.7 billion · net profit -₩0.7 billion | Confirmed | link |
| Basis for the forecast box | DART | DART | Confirmed | link |
Recent filings
- 2026-05-14PeriodicQuarterly report
- 2026-04-09OwnershipOfficers'/major-shareholders' holdings report
- 2026-03-31Amended filing
- 2026-03-31Amended filing
- 2026-03-26Disclosure
- 2026-03-26Shareholders' meeting notice
- 2026-03-18PeriodicAnnual business report
- 2026-03-18Audit report
- 2026-03-18OwnershipOfficers'/major-shareholders' holdings report
- 2026-03-03Disclosure
- 2026-03-03Shareholders' meeting notice
- 2026-03-03Shareholders' meeting notice
📖 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.