Yeon Pharmaceutical is a pharmaceutical company that makes and sells medicines, split into two lines — active pharmaceutical ingredients supplied to other drugmakers or used as raw materials for its own finished products, and finished medicines prescribed and sold to patients — and is a small-to-mid-cap pharma stock with a market capitalization in the ₩182.5 billion range. A February disclosure of a change in the profit structure confirmed a swing to a loss, with annual revenue of ₩145.9 billion, operating profit of -₩30.3 billion and net profit of -₩29.6 billion, and second-half 2025 notices on adjustments to conversion, warrant and exchange prices signaled the possibility of changes in the share count. What stands out lately is that the underlying strength of revenue holding in the ₩145 billion range and an asset-based undervaluation at a P/B of 0.83x are strengths, while continuing losses and thin financial headroom — a debt ratio of 211.2% and a current ratio of 55.6% — mean that whether profitability returns is what drives this stock.
At-a-glance assessment financial health · growth · profitability · valuation
- Debt is somewhat higher than equity (debt ratio 211.2%).
- Assets that can be turned to cash within a year fall short of near-term liabilities (current ratio 55.6%).
- The most recent full-year net result was a loss.
- Revenue fell 1.6% year over year (3-year trend: falling).
- Most recent quarter (Q1 2026) revenue was 1.9% lower than a year earlier.
- ROE is -13.5% (controlling-interest basis). It is below the sector average.
- Operating margin is -20.7%.
- P/E is hard to compute here, so this is read on P/B.
Ownership & governance As of 2025-12-31
Largest shareholder Yoo Yong-hwan 28.4% (individual)
Controlling bloc incl. related parties 54.37%
With the controlling bloc holding 54%, control is very secure but the free float is thin.
🔎 In-depth analysis
- Yeon Pharmaceutical is a pharmaceutical company that makes and sells medicines.
- Its business splits broadly into two lines: active pharmaceutical ingredients (the core chemical and biological materials used to make drugs) supplied to other drugmakers or used as raw materials for its own finished products, and finished medicines prescribed and sold to patients.
- As a small-to-mid-cap pharma stock with a market capitalization in the ₩182.5 billion range, one must watch not only the flow of the business itself but also the impact each disclosure — such as financing or a results revision — has on its finances and share count.
- The latest closing price is ₩9,860 and market capitalization is ₩183.3 billion.
- The price is below the 20-day line (₩9,928) and below the 60-day line (₩10,542).
- Sitting under both the short- and medium-term moving averages, the trend is on the subdued side.
- The RSI (a supplementary gauge that scores the strength of gains versus declines over the past 14 days on a 0-100 scale) is 43.1, a neutral level.
- The one-month change is -0.2%, the three-month change is -1.2%, and the position versus the 52-week high is -21.6%.
- Relative strength versus the KOSPI is 21 (1-99, computed from returns against the index over the past year with more weight on recent performance; higher means stronger than the market).
- It sits in roughly the top 80% of all stocks by strength.
- Over the past three months it lagged the index by 20.2%.
- It is best to read the chart together with trading volume and the dates of disclosures.
- Recent annual revenue was ₩145.9 billion, operating profit -₩30.3 billion and net profit -₩29.6 billion, so last year was a loss-making year.
- The operating margin was -20.7% and ROE (how much is earned in a year per unit of equity) was -13.5%, so profitability was weak.
- The debt ratio (debt against equity) was 211.2% and the current ratio (assets that can be turned into cash right away against debt due within a year) was 55.6%, so the financial buffer is not thick.
- Valuation, however, is a different story.
- Because of the loss, the P/E ratio (how many times one year's profit the share price represents) is not calculable, but the P/B (how many times book value the price represents) is 0.83x, so it trades below the value of the company's net assets.
- In other words, profitability is weak but on an asset basis it is a cheap zone, and the picture for this stock hinges on 'whether profit returns to the black.'
- Revenue was ₩151.1 billion in 2023, ₩148.3 billion in 2024 and ₩145.9 billion in 2025 — declining gently by 1-2% each year but holding the ₩145 billion range without much upheaval.
- Profit, by contrast, swung from an operating profit of ₩4.0 billion in 2023 to a loss of -₩30.3 billion last year, and the latest quarter (first-quarter 2026) also continued in the red, with revenue of ₩36.1 billion, operating profit of -₩6.7 billion and net profit of -₩10.7 billion.
- Revenue strength is being maintained, but profit collapsed on cost and one-off factors.
- Reflecting the quarterly flow, this year's revenue is expected to come in around ₩144.9 billion, similar to last year.
- The key point to watch is whether, with revenue holding at this level, the cost factors that widened the loss subside so that profit turns back toward the black.
- It is not yet at the stage of confirming a return to profit, so it is best to start by checking whether the loss narrows in the quarterly results.
- In the disclosure of a change in revenue or profit structure of 30% or more (15% for large corporations) on 2026-02-10, a swing to a loss was confirmed, with annual revenue of ₩145.9 billion, operating profit of -₩30.3 billion and net profit of -₩29.6 billion.
- It is best to check together whether this is in the same direction as the annual trend and whether one-off costs are mixed in.
- On 2025-10-27 and 2025-07-25 there were notices on adjustments to the conversion price, warrant exercise price and exchange price.
- These are disclosures where the purpose of the incoming funds and the resulting change in share count must be viewed together, and where facilities or operating purposes are specified, whether the investment actually gets executed and flows into revenue is the key.
- This is a stock with clearly divided strengths and weaknesses.
- There are two strengths.
- First, revenue holds in the ₩145 billion range without much variation, so the underlying strength of the business is alive.
- Second, at a P/B of 0.83x it trades below net-asset value, so on an asset basis it is clearly a cheap zone.
- The weaknesses are also clear.
- Last year's operating and net profit were in the red, the latest quarter continued in the red, and with a debt ratio of 211.2% and a current ratio of 55.6% the financial headroom is tight.
- In sum, if the costs that widened the loss subside while revenue strength holds, so that profit returns to the black and the funding situation improves, the asset-based undervaluation appeal can come to the fore; conversely, if losses drag on and the share count grows through conversion exercises and the like, book value itself is diluted and the undervaluation appeal can weaken.
- Ultimately, more than whether the price is cheap or expensive, 'whether profitability returns' is what drives this stock.
🔎 Valuation vs peers Undervalued
A peer group with adjacent market capitalization within pharmaceuticals and biotech.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| JW Life Science | 6.18x | 0.80x | 12.97% |
| Duchembio | 26.25x | 3.45x | 13.16% |
| Whan In Pharmaceutical | 13.39x | 0.43x | 3.23% |
We looked first at a public-data peer group with adjacent market capitalization within pharmaceuticals and biotech. The current P/E ratio (how many times one year's profit the share price represents) is not available, and the P/B (how many times book value the price represents) is 0.83x. That said, since lower-market-cap names are heavily affected by profit swings and financing disclosures, we did not draw firm conclusions from metrics based only on last year's confirmed results. The basis for the outlook box is a DART seasonality approximation.
Earnings outlook company-stated · verified
| Type | Period | Revenue | Operating profit | Net profit |
|---|---|---|---|---|
| This year | 2026 | ₩144.9 billion | — | — |
| Next quarter | Q2 2026 | ₩36.2 billion | — | — |
Price history Close · MA20 · MA60
The latest close is ₩9,860 and the market capitalization is ₩183.3 billion. The price sits below its 20-day moving average (₩9,928) and below its 60-day moving average (₩10,542). 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 43.1, a neutral level. The one-month change is -0.2%, the three-month change is -1.2%, and the position relative to the 52-week high is -21.6%. Relative strength versus the KOSPI is 21 (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 20% of all stocks. Over the past three months it lagged the index by 20.2%. 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 -20.20% / 6M -44.12% / 12M -65.00%
Key metrics vs sector median
Valuation
A net loss makes the P/E an unreliable valuation gauge. The P/B of 0.83x is below the sector median (1.37x).
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 -13.5%, below the sector average (3.0%). The operating margin is -20.7%. The debt ratio is 211.2%, so the financial structure is somewhat high.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $100.1M | $98.3M | $96.7M | -1.60% ↑ faster |
| Operating profit | $2.7M | $52,531 | -$20.1M | -38289.35% ↓ slower |
| Net profit | $2.4M | $2.8M | -$19.6M | -813.84% ↓ slower |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $94.6M | $102.1M | $100.1M | $98.3M | $96.7M |
| Operating profit | $2.5M | $6.4M | $2.7M | $52,531 | -$20.1M |
| Net profit | $3.7M | $4.9M | $2.4M | $2.8M | -$19.6M |
| Revenue CAGR | 4-yr avg 0.54% | ||||
Revenue fell 1.6% year over year (2023 ₩151.1 billion → 2024 ₩148.3 billion → 2025 ₩145.9 billion), and the three-year trend is 'falling'. That said, the rate of decline narrowed from the prior year. Operating profit fell 38289.3% year over year. The decline widened. Over the 5 years on record, revenue compound annual growth (CAGR) is 0.5%. The two-year revenue CAGR is -1.7%. In the most recent quarter (Q1 2026), revenue was 1.9% 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
- Debt is somewhat higher than equity (debt ratio 211.2%).
- Assets that can be turned to cash within a year fall short of near-term liabilities (current ratio 55.6%).
- The most recent full year was a loss, so it is worth checking whether profitability recovers.
- Revenue fell 1.6% year over year (3-year trend: falling).
Recent news & events searched · sourced
- 2025-10-27UpdateAdjustment of the conversion price, warrant exercise price and exchange price (informational disclosure): confirm the detailed terms in the original filingA disclosure where the purpose of incoming funds and the change in share count must be viewed together. Where facilities or operating purposes are specified, the key is whether the investment is actually executed and connects to revenue. Source
- 2025-07-25UpdateAdjustment of the conversion price, warrant exercise price and exchange price (informational disclosure): confirm the detailed terms in the original filingA disclosure where the purpose of incoming funds and the change in share count must be viewed together. Where facilities or operating purposes are specified, the key is whether the investment is actually executed and connects to revenue. Source
- 2026-02-10EarningsChange in revenue or profit structure of 30% or more (15% for large corporations): annual revenue ₩145.9 billion · operating profit -₩30.3 billion · net profit -₩29.6 billionRecent confirmed or preliminary results material. Check together whether it is in the same direction as the annual trend and whether there are one-off factors. Source
Figure cross-check computed ↔ external
| Metric | Computed | External | Status | Source |
|---|---|---|---|---|
| Closing price | ₩9,860 | ₩9,860 | Confirmed | link |
| Latest quarterly results | revenue ₩36.1 billion, operating profit -₩6.7 billion | revenue ₩36.1 billion, operating profit -₩6.7 billion | Confirmed | link |
| Annual results | revenue ₩145.9 billion, operating profit -₩30.3 billion | revenue ₩145.9 billion, operating profit -₩30.3 billion | Confirmed | link |
| Financing disclosure original text | ㆍㆍ: | ㆍㆍ: | Confirmed | link |
| Financing disclosure original text | ㆍㆍ: | ㆍㆍ: | Confirmed | link |
| Results disclosure original text | revenue30%: revenue ₩145.9 billion · operating profit -₩30.3 billion · net profit -₩29.6 billion | revenue30%: revenue ₩145.9 billion · operating profit -₩30.3 billion · net profit -₩29.6 billion | Confirmed | link |
| Outlook box basis | DART | DART | Confirmed | link |
Recent filings
- 2026-06-01Corporate governance report
- 2026-05-15PeriodicQuarterly report
- 2026-03-30Disclosure
- 2026-03-30Shareholders' meeting notice
- 2026-03-20PeriodicAnnual business report
- 2026-03-20Audit report
- 2026-03-12Shareholders' meeting notice
- 2026-03-12Disclosure
- 2026-03-12Shareholders' meeting notice
- 2026-03-12Shareholders' meeting notice
- 2026-02-10EarningsEarnings 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.