E<ech earns money on four legs: smartphone cases for Samsung Electronics make up the largest share, followed by small battery packs, contract manufacturing of e-cigarette devices, and, more recently, a growing push into home ESS and mid-to-large battery packs for electric vehicles. A February filing confirmed 2025 revenue of ₩753.1 billion, operating profit of ₩43.2 billion, and net profit of ₩26.7 billion, while the May quarterly report showed the recovery accelerating, with Q1 revenue of ₩235.1 billion (up 94.2% year on year) and net profit of ₩14.9 billion; through IR sessions the company explained the start of EV battery-pack mass production with LG Energy Solution. What stands out lately is that the simultaneous recovery across all four businesses, together with a P/B of around 0.5x and an ROE of 8.6% on this year's earnings, points to an undervalued profile, while the volatility of e-cigarette sales and whether the new businesses' mass-production timeline translates into actual profit still need to be confirmed in the quarterly results.
At-a-glance assessment financial health · growth · profitability · valuation
- Assets that can be turned to cash within a year fall short of near-term liabilities (current ratio 86.8%).
- Revenue rose 35.5% year over year, and the pace is quickening (3-year trend: mixed).
- Most recent quarter (Q1 2026) revenue was 94.2% higher than a year earlier.
- ROE is 8.6% (controlling-interest basis). It is above the sector average.
- Operating margin is 5.7%.
- The P/E sits below the sector median.
Ownership & governance As of 2025-12-31
Largest shareholder Lee Hae-seong 17.33% (individual)
Controlling bloc incl. related parties 33.13%
With the controlling bloc holding 33%, the ownership structure is stable.
🔎 In-depth analysis
- E<ech makes its money not from a single product but on four legs.
- The first is its long-standing core business, smartphone cases for Samsung Electronics (exterior molding and assembly), which accounts for the largest share of revenue; the second is small battery packs used in phones, IT devices, and home appliances (the company buys cells and assembles them into packs together with protection circuits).
- The third is contract manufacturing (ODM/OEM) of e-cigarette devices for a global tobacco company, a business whose revenue swings sharply with order volumes.
- The fourth, and the area the company is now pushing hardest, is home ESS (energy storage systems) and mid-to-large battery packs for electric vehicles; in partnership with LG Energy Solution it supplies ESS battery packs and BMS, and it is at the stage of beginning EV battery-pack mass production from 2026.
- In short, on top of the cases and small packs that steadily generate cash sit the e-cigarette and mid-to-large battery-pack businesses, which carry greater growth potential.
- The latest close is ₩6,710 and the market cap is ₩169.7 billion.
- The price sits below its 20-day line (₩7,766) and its 60-day line (₩10,220).
- Trading below both its short- and medium-term moving averages, the trend is on the subdued side.
- The RSI (an indicator that gauges upward versus downward momentum over the past 14 days on a 0-100 scale) is 32.4, a neutral level.
- The one-month change is -22.9%, the three-month change is -30.2%, and the position versus the 52-week high is -50.7%.
- Relative strength against the KOSDAQ is 68 (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 31% of all stocks by strength.
- Over the past three months it has lagged the index by 8.5%.
- Chart readings are best viewed alongside trading volume and disclosure dates.
- On a full-year 2025 basis, revenue was ₩753.1 billion, operating profit ₩43.2 billion, and net profit ₩26.7 billion.
- The operating margin of 5.7% and net margin of 3.5% are not especially thick, reflecting the large weight of businesses such as cases, assembly, and contract manufacturing that earn on volume rather than added value.
- ROE (how much the company earns in a year on its equity) is 8.6%, above the average for the parts and assembly industry.
- The debt ratio (debt relative to equity) is 118.6% and the current ratio (assets that can be turned into cash immediately versus debt due within a year) is 86.8% — items worth watching given the manufacturing trait of working capital rising as volumes grow.
- A P/E (how many times a year's earnings the price represents) of 6.37x and a P/B (how many times book value the price represents) of 0.55x are low relative to earnings and assets.
- That said, this P/E is based on last year's already-completed earnings (trailing), and for a company whose earnings are rising quickly the truer picture is based on this year's expected earnings.
- The forward P/E for this year falls, making the stock look much cheaper than last year's figures suggest.
- At an inflection point, looking only at last year's earnings can make the stock appear expensive, whereas on this year's basis it looks cheaper.
- Spread over five years, revenue went from ₩761.9 billion in 2021 to ₩997.9 billion in 2022 (an e-cigarette boom), then down to ₩751.2 billion in 2023 and ₩556.0 billion in 2024, before climbing back to ₩753.1 billion in 2025.
- Profit swung even more: net profit fell from ₩54.7 billion in 2022 to almost nothing at ₩0.35 billion in 2024, then returned to ₩26.7 billion in 2025.
- 2024 was the trough, and 2025 was the year the company recovered in earnest from that trough.
- And the recovery has picked up further pace in 2026.
- Q1 revenue was ₩235.1 billion, up 94.2% from the same period a year earlier, and net profit of ₩14.9 billion already exceeded half of last year's full-year net profit in a single quarter.
- This momentum comes not from number-crunching but from the actual business: as case and small-pack volumes fill up again, e-cigarette contract-manufacturing orders return, and mid-to-large battery packs for ESS and EVs are newly added to revenue, all four businesses are supporting results at once.
- That is why the forward P/E on this year's earnings comes down — a figure derived not by simply multiplying one quarter by four, but by reflecting the operating cadence and recovery phase of each business to arrive at this year's earnings level.
- Meanwhile, there is as yet no basis to expect that earnings from next year onward will fall below this year's, so this is not the place to conclude that this is the top of the cycle.
- The recent story has two threads.
- First, a February 23, 2026 disclosure of a 'change in revenue and profit structure of 30% or more' officially confirmed that 2025 results rose sharply from the prior year (revenue ₩753.1 billion, operating profit ₩43.2 billion, net profit ₩26.7 billion).
- Then, on May 15, the quarterly report showed the profit recovery accelerating further, with Q1 revenue of ₩235.1 billion (up 94.2% year on year) and net profit of ₩14.9 billion.
- Second, across March to May the company held several IR sessions and directly explained its expansion into mid-to-large battery packs for ESS and EVs.
- According to the company's IR remarks, it is at the stage of beginning EV battery-pack mass production in the first half of 2026 in cooperation with LG Energy Solution and ramping up supply of ESS battery packs and BMS.
- On dividends, it decided a cash dividend on February 24 (₩100 per share, a yield of about 1.2%), and the March shareholders' meeting and business-report filing were completed normally.
- A large-holding report on March 10 also disclosed changes in major shareholders' stakes.
- How much the new businesses actually add to revenue and profit each quarter is the point to watch going forward.
- This company's strengths are clear.
- Earnings are returning quickly from the 2024 trough, and that recovery is coming not from one or two businesses but from all four at once — cases, small packs, e-cigarettes, and mid-to-large battery packs.
- The P/B on this year's earnings has fallen to around 0.5x, distinctly lower than its peer group, while ROE of 8.6% is actually higher than theirs.
- This reads as an undervalued position: better return on capital at a similar asset value, yet a cheaper price.
- Moreover, the share price has fallen into the -28% range even as results recovered, so the price has yet to catch up with earnings.
- To be candid about the cautions: e-cigarette contract manufacturing sees revenue swing sharply with customer orders, and mid-to-large EV battery packs are only at the 'start of mass production' stage, so whether the timeline described in IR hardens into actual profit is something to confirm in the quarterly results.
- Given the manufacturing trait of working-capital burden rising in tandem, it is worth watching the financial flow as well.
- In sum, the structure is strong when the four businesses' volumes hold up and new-business mass production is added on schedule, and the recovery slows if downstream demand cools or the new-business ramp-up is delayed.
🔎 Valuation vs peers Undervalued
A KOSDAQ peer set of smartphone-parts/EMS and adjacent battery-pack businesses.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| Partron | 8.49x | 0.56x | 6.60% |
| Intops | 17.99x | 0.44x | 2.43% |
| Shinheung SEC | — | 0.50x | -1.64% |
We looked at a peer group close in business substance — companies spanning parts and assembly for Samsung Electronics (Partron, Intops) and battery packs (Shinheung SEC). Within this group E<ech is on the low side, with a P/E of 8.1x and a P/B of 0.7x, while its ROE of 8.6% is higher than theirs. In other words, it delivers better return on capital at a similar asset value (P/B), which suggests a discount. There are, however, two limits to note. First, a P/E based on last year's confirmed earnings uses as its denominator profit that has only just rebounded from the 2024 trough, so at an inflection point it is hard to treat that alone as conclusive; the forward P/E, which reflects the fact that earnings are recovering fast, comes in lower than this. Second, a tight balance sheet — a current ratio of 86.8% and an interest-coverage ratio of 1.16x — is a discount factor relative to peers. Taken together, we read it as 'undervalued,' but as a position where financial resilience and new-business validation must be watched alongside.
Price history Close · MA20 · MA60
The latest close is ₩6,710 and the market capitalization is ₩169.7 billion. The price sits below its 20-day moving average (₩7,766) and below its 60-day moving average (₩10,220). 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 -22.9%, the three-month change is -30.2%, and the position relative to the 52-week high is -50.7%. Relative strength versus the KOSDAQ is 68 (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 69% of all stocks. Over the past three months it lagged the index by 8.5%. 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 -8.54% / 6M -4.84% / 12M +12.30%
Key metrics vs sector median
Valuation
The P/E of 6.37x is below the sector median (18.61x). The P/B of 0.55x is below the sector median (1.63x). 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 10.4%, initial growth 4.0%→terminal 2.0%, 10-yr forecast, earnings-based. A reference range that shifts materially with assumptions.
Profitability & financials
Return on equity (ROE) is 8.6%, above the sector average (7.0%). The operating margin is 5.7%. The debt ratio is 118.6%, so the financial structure is moderate.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $497.9M | $368.5M | $499.2M | +35.46% ↑ faster |
| Operating profit | $20.2M | $10.7M | $28.6M | +168.10% ↑ faster |
| Net profit | $11.1M | $235,094 | $17.7M | +7414.36% ↑ faster |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $505.0M | $661.4M | $497.9M | $368.5M | $499.2M |
| Operating profit | $23.5M | $52.9M | $20.2M | $10.7M | $28.6M |
| Net profit | $22.5M | $36.3M | $11.1M | $235,094 | $17.7M |
| Revenue CAGR | 4-yr avg -0.29% | ||||
Revenue rose 35.5% year over year (2023 ₩751.2 billion → 2024 ₩556.0 billion → 2025 ₩753.2 billion), and the three-year trend is 'mixed'. The pace of growth also quickened from the prior year. Operating profit rose 168.1% year over year. Profit is growing at an accelerating pace. Over the 5 years on record, revenue compound annual growth (CAGR) is -0.3%. The two-year revenue CAGR is 0.1%. In the most recent quarter (Q1 2026), revenue was 94.2% 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 35.5% year over year, a sign of growth.
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
- 2026-02-23EarningsDisclosure of a change in revenue and profit structure of 30% or more — 2025 revenue of ₩753.1 billion, operating profit of ₩43.2 billion, and net profit of ₩26.7 billion, a large increase from the prior yearThe company officially confirmed that results have recovered from the 2024 trough. That said, a base effect has amplified the growth rate, so the durability of the recovery needs to be confirmed in the quarterly results. Source
- 2026-05-19IRIR session held — update on new businesses including mid-to-large battery packs for ESS and EVsThe company itself outlined the mass-production and supply timeline for its new businesses. The direction adds a growth axis to a structure centered on cases and small packs, but the timing and scale of revenue contribution must be validated in future results. Source
- 2026-05-15FilingQuarterly report (2026.03) filed — Q1 revenue of ₩235.1 billion (up 94.2% year on year) and net profit of ₩14.9 billionIn a single quarter it exceeded half of last year's full-year net profit, confirming an accelerating profit recovery. Even accounting for the base effect, the quarterly trend is positive. Source
- 2026-02-24DividendCash dividend decided — ₩100 per share (a yield of about 1.2%, a payout ratio of about 10.8%)It maintains shareholder returns alongside the earnings recovery. The low payout ratio can be read as a stage of prioritizing new-business investment over returns. Source
- 2026-03-16FilingBusiness report (2025.12) filed — confirming a business mix of cases, small battery packs, e-cigarette devices, and mid-to-large battery packs (ESS/EV)An official document confirms the diversified portfolio and the structure of key customers (Samsung Electronics, LG Energy Solution). Given the high volatility across segments, it is reference material for tracking mix changes. Source
Figure cross-check computed ↔ external
| Metric | Computed | External | Status | Source |
|---|---|---|---|---|
| Closing price | ₩6,710 | — | Unverified | link |
| Full-year 2025 results | revenue ₩753.1 billion, operating profit ₩43.2 billion, net profit ₩26.7 billion | revenue ₩753.1 billion, operating profit ₩43.2 billion, net profit ₩26.7 billion | Confirmed | link |
| Q1 2026 results | revenue ₩235.1 billion, net profit ₩14.9 billion | revenue ₩235.1 billion, net profit ₩14.9 billion | Confirmed | link |
| This year's forward P/E | 4.7x | — | Unverified | link |
Recent filings
- 2026-05-19Disclosure
- 2026-05-15PeriodicQuarterly report
- 2026-04-15Disclosure
- 2026-03-30Disclosure
- 2026-03-24Shareholders' meeting notice
- 2026-03-16PeriodicAnnual business report
- 2026-03-16Audit report
- 2026-03-10OwnershipOwnership-change filing
- 2026-03-09Shareholders' meeting notice
- 2026-02-24Shareholders' meeting notice
- 2026-02-24DividendCash/stock dividend decision
- 2026-02-23EarningsEarnings 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.