Hancom With is an information-security and authentication software company that earns money from security products and services such as data encryption, electronic signatures and digital certificates; although the site classifies it under games and software, its actual business is closer to security solutions. Disclosures in February and March 2026 finalized full-year revenue of ₩771.2 billion, operating profit of ₩6.1 billion and net profit of ₩7.8 billion, marking a +72.1% year-on-year jump in revenue and a swing back to profit, while the quarterly report on May 15 also confirmed that Q1 2026 operating profit fell sharply, with revenue of ₩166.0 billion, operating profit of ₩58.15 million and net profit of ₩1.0 billion. The key point to watch now is that the P/E of 10.97x and P/B of 0.59x make the stock cheap against assets and earnings, and ROE of 5.4% is above the peer-group average — strengths — while the thin operating margin of 0.8% means profit can swing hard in one stroke, and a debt ratio of 171.2% with a current ratio of 34.2% leaves short-term liquidity tight, so the crux is whether operating profit in the coming quarters recovers from the Q1 weakness.
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 34.2%).
- Revenue rose 72.1% year over year, and the pace is quickening (3-year trend: rising).
- Net profit swung from a loss a year earlier back into the black (a turnaround).
- Most recent quarter (Q1 2026) revenue was 3.9% higher than a year earlier.
- ROE is 5.4% (controlling-interest basis). It is above the sector average.
- Operating margin is 0.8%.
- The P/E sits below the sector median.
Ownership & governance As of 2025-12-31
Largest shareholder Kim Sang-cheol 15.77% (individual)
Controlling bloc incl. related parties 29.9%
With the controlling bloc holding 30%, control is maintained but the free float is relatively large.
🔎 In-depth analysis
- Hancom With is a company whose core business is information-security and authentication software.
- Although the site groups it under games and software, its actual business — as the official homepage address suggests — is closer to security solutions.
- It earns money through security products such as data encryption, electronic signatures and digital certificates, and related services.
- As a small-cap stock with a market cap of ₩86.1 billion, the effect of a single large contract or one disclosure on revenue, earnings and share count shows up relatively large.
- The latest close is ₩2,880 and the market cap is ₩81.3 billion.
- The price sits below the 20-day line (₩3,456) and below the 60-day line (₩5,261).
- Trading beneath both the short- and medium-term moving averages, the trend is on the soft side.
- The RSI (a supplementary gauge that weighs upward versus downward strength over the past 14 days on a 0-100 scale) is 26.8, near oversold territory.
- The one-month change is -30.2%, the three-month change is -36.7%, and the position versus the 52-week high is -64.8%.
- Relative strength versus the KOSDAQ is 50 (1-99, converted from returns against the index over the past year with heavier weight on the recent period; higher means stronger than the market), placing it in roughly the top 50% for strength among all stocks.
- Over the past three months it lagged the index by 18.8%.
- Chart reading is best done together with volume and disclosure dates.
- Recent annual (2025) revenue was ₩771.2 billion, with operating profit of ₩6.1 billion and net profit of ₩7.8 billion.
- The P/E ratio is 10.36x and the P/B is 0.56x, so on a diagnostic basis the valuation is undervalued.
- A P/B well below 1x means the stock is priced cheaper than the company's book net assets, and a P/E of 10.97x is not a demanding level versus the market average.
- ROE (how much a company earns in a year on its equity) is 5.4%, above the peer-group average.
- That said, the operating margin is thin at 0.8%, the debt ratio is 171.2% and the current ratio is 34.2%, so short-term liquidity is not ample.
- In other words, the price is cheap but the layer of profit is thin, meaning results can swing quarter to quarter — a point to watch alongside.
- Revenue jumped from ₩40.5 billion in 2023 and ₩44.8 billion in 2024 to ₩771.2 billion in 2025, a +72.1% year-on-year rise, and the pace of increase has been quickening.
- Operating profit rose from ₩1.3 billion in 2024 to ₩6.1 billion in 2025 (+376%), and net profit was a turnaround from a -₩3.8 billion loss in 2024 to a +₩7.8 billion profit in 2025.
- The larger top line and the shift from losses to profit are, in themselves, a clear sign of improvement.
- However, looking at the most recent quarter (Q1 2026), revenue rose +3.9% year-on-year to ₩166.0 billion, but operating profit fell -97.1% to ₩58.15 million and net profit fell -75.1% to ₩1.0 billion.
- Revenue held up while profit dropped sharply, and the outlook this year likewise sees revenue growing further to around ₩895.1 billion while operating profit is booked thin.
- In other words, top-line growth continues, but how thickly that growth is left as profit is the crux for this year, and there is no basis in the current data for next year or beyond to be lower than this year.
- Earnings-related disclosures followed one after another.
- On 2026-02-23 a revenue/profit-structure change disclosure reported full-year revenue of ₩771.2 billion, operating profit of ₩6.1 billion and net profit of ₩7.8 billion, and on 2026-03-18 the business report (2025.12) finalized the annual results.
- Then on 2026-05-15 the quarterly report (2026.03) disclosed Q1 2026 revenue of ₩166.0 billion, operating profit of ₩58.15 million and net profit of ₩1.0 billion.
- On an annual basis the direction was a much larger top line and a swing to profit, but in Q1 the sharp drop in operating profit is confirmed alongside it.
- For such earnings disclosures it is best to check whether they point the same way as the annual trend and whether any one-off factors are mixed in.
- The strengths are clear.
- With a P/E of 10.97x and P/B of 0.59x, the stock is cheap against earnings and assets (undervalued on a diagnostic basis), revenue grew +72.1% year-on-year as the top line expanded, and last year's net profit swung from a loss to a gain.
- ROE of 5.4% is also above the peer-group average.
- Even compared with similarly sized peers, this is a spot with low P/E and P/B, so weighing asset value together with the recovered profit, the price is clearly in a cheap zone.
- The cautions are just as distinct.
- The thin operating margin of 0.8% means profit can swing hard in one stroke, as in Q1, and a debt ratio of 171.2% with a current ratio of 34.2% leaves short-term liquidity tight.
- In short, this is a stock that is strong when revenue growth, the swing to profit and a low price against assets provide support, and weak when quarterly earnings volatility and thin short-term liquidity weigh in.
- Which way it goes turns on whether operating profit in the coming quarters recovers from the Q1 weakness.
🔎 Valuation vs peers Undervalued
A peer group of games and software companies with market caps close to Hancom With.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| LS Tirauetec | — | 1.14x | -12.04% |
| NuriFlex | — | 1.01x | -9.23% |
| MDS Tech | 9.65x | 0.56x | 5.82% |
Within the games and software sector, we looked first at a public-data peer group with nearby market caps. The current P/E is 10.36x and the P/B is 0.56x. That said, because smaller-cap names are heavily affected by earnings swings and funding disclosures, we did not draw firm conclusions from metrics based on 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 | ₩895.1 billion | ₩0.2 billion | — |
| Next quarter | Q2 2026 | ₩222.2 billion | 1,587 | — |
Price history Close · MA20 · MA60
The latest close is ₩2,880 and the market capitalization is ₩81.3 billion. The price sits below its 20-day moving average (₩3,456) and below its 60-day moving average (₩5,261). 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 26.8, near oversold territory. The one-month change is -30.2%, the three-month change is -36.7%, and the position relative to the 52-week high is -64.8%. Relative strength versus the KOSDAQ is 50 (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 50% of all stocks. Over the past three months it lagged the index by 18.8%. 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 -18.83% / 6M -29.95% / 12M -20.95%
Key metrics vs sector median
Valuation
The P/E of 10.36x is below the sector median (13.30x). The P/B of 0.56x is below the sector median (1.58x). 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 5.4%, in line with the sector average (5.0%). The operating margin is 0.8%. The debt ratio is 171.2%, so the financial structure is moderate.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $268.4M | $297.0M | $511.1M | +72.08% ↑ faster |
| Operating profit | $477,332 | $847,402 | $4.0M | +376.07% ↑ faster |
| Net profit | $596,592 | -$2.5M | $5.2M | — |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $17.4M | $19.0M | $268.4M | $297.0M | $511.1M |
| Operating profit | -$102,824 | -$456,965 | $477,332 | $847,402 | $4.0M |
| Net profit | $3.4M | $4.5M | $596,592 | -$2.5M | $5.2M |
| Revenue CAGR | 4-yr avg 132.85% | ||||
Revenue rose 72.1% year over year (2023 ₩405.0 billion → 2024 ₩448.2 billion → 2025 ₩771.2 billion), and the three-year trend is 'rising'. The pace of growth also quickened from the prior year. Operating profit rose 376.1% year over year. Profit is growing at an accelerating pace. Over the 5 years on record, revenue compound annual growth (CAGR) is 132.8%. The two-year revenue CAGR is 38.0%. In the most recent quarter (Q1 2026), revenue was 3.9% 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 72.1% 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
- 2026-02-23EarningsChange of 30% or more (15% for large corporations) in revenue or profit structure: full-year revenue ₩771.2 billion · operating profit ₩6.1 billion · net profit ₩7.8 billionThis is a recent confirmed or preliminary earnings item. Check whether it points the same way as the annual trend and whether any one-off factors are involved. Source
- 2026-05-15EarningsQuarterly report (2026.03): Q1 2026 revenue ₩166.0 billion · operating profit ₩58.15 million · net profit ₩1.0 billionThis is a recent confirmed or preliminary earnings item. Check whether it points the same way as the annual trend and whether any one-off factors are involved. Source
- 2026-03-18EarningsBusiness report (2025.12): revenue ₩40,000 · operating profit ₩1.8 billion · net profit ₩8.0 billionThis is a recent confirmed or preliminary earnings item. Check whether it points the same way 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 | ₩2,880 | ₩2,880 | Confirmed | link |
| Latest quarterly results | revenue ₩166.0 billion, operating profit 5,815 | revenue ₩166.0 billion, operating profit 5,815 | Confirmed | link |
| Annual results | revenue ₩771.2 billion, operating profit ₩6.1 billion | revenue ₩771.2 billion, operating profit ₩6.1 billion | Confirmed | link |
| Earnings disclosure source text | revenue30%: revenue ₩771.2 billion · operating profit ₩6.1 billion · net profit ₩7.8 billion | revenue30%: revenue ₩771.2 billion · operating profit ₩6.1 billion · net profit ₩7.8 billion | Confirmed | link |
| Earnings disclosure source text | (2026.03): 2026 1 revenue ₩166.0 billion · operating profit 5,815 · net profit ₩1.0 billion | (2026.03): 2026 1 revenue ₩166.0 billion · operating profit 5,815 · net profit ₩1.0 billion | Confirmed | link |
| Earnings disclosure source text | (2025.12): revenue 4 · operating profit ₩1.8 billion · net profit ₩8.0 billion | (2025.12): revenue 4 · operating profit ₩1.8 billion · net profit ₩8.0 billion | Confirmed | link |
| Forecast box basis | DART | DART | Confirmed | link |
Recent filings
- 2026-05-15PeriodicQuarterly report
- 2026-04-30Disclosure
- 2026-04-30Amended filing
- 2026-04-30Disclosure
- 2026-03-26Amended filing
- 2026-03-26Disclosure
- 2026-03-26Shareholders' meeting notice
- 2026-03-18PeriodicAnnual business report
- 2026-03-18Audit report
- 2026-03-11Amended filing
- 2026-03-10Disclosure
- 2026-03-10Shareholders' 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.