SK D&D is a real-estate developer that buys land and directly plans, builds, operates, and manages offices, residential and commercial buildings, and logistics centers. After spinning off its renewable-energy business into SK Eternix in 2024, the company became a more focused real-estate operation. Its revenue and profit tend to land all at once when projects are completed and sold, so quarterly results swing widely. In Q1 2026, revenue was ₩70.3 billion (down 22%), with an operating loss of ₩9.3 billion and a net loss of ₩20.6 billion, confirming a swing into the red; in May, the company also disclosed a debt-guarantee decision covering borrowings by a development SPC. The notable point is that a P/B of 0.38x reflects a clear asset discount and the business structure has been simplified, but with an interest-coverage ratio below 1x, a debt-to-equity ratio of 177%, and recurring debt guarantees pointing to project-financing (PF) exposure, the key metrics to watch are a quarterly return to profit and the management of guarantee and borrowing levels.
At-a-glance assessment financial health · growth · profitability · valuation
- Operating profit barely covers the interest bill (interest coverage below 1x).
- Revenue fell 48.8% year over year (3-year trend: mixed).
- Most recent quarter (Q1 2026) revenue was 22.4% lower than a year earlier.
- ROE is 1.2% (controlling-interest basis). It is below the sector average.
- Operating margin is 8.5%.
- The P/E sits above the sector median, reflecting elevated expectations.
Ownership & governance As of 2025-12-31
Largest shareholder Hahn & Co. Development Holdings 47.42% (corporate)
Controlling bloc incl. related parties 78.69%
With the controlling bloc holding 79%, control is very secure but the free float is thin.
🔎 In-depth analysis
- SK D&D is a real-estate developer that buys land and directly plans and develops buildings such as offices, residential and commercial facilities, knowledge-industry centers, hotels, and logistics centers, then earns money by operating them or managing them as assets.
- The company describes its business in four segments: (1) space development, its core business covering everything from land acquisition through design, construction, and sales; (2) space operation, asset management handled through its subsidiary D&D Property Solution (DDPS); (3) investment management, real-estate fund and asset-value management through its subsidiary D&D Investment (DDI); and (4) living solutions, a platform business tied to residential and workspace needs.
- In the past, renewables such as wind power and fuel cells made up around 30% of revenue, but the 2024 spin-off transferred that business to the newly created SK Eternix, leaving today's SK D&D focused on real estate.
- Because revenue and profit are recognized all at once when a given project is completed and sold, the large swings in quarterly and annual results are the starting point for reading this company's numbers.
- The latest close was ₩11,240 and the market cap is ₩209.3 billion.
- The price sits below both the 20-day line (₩11,406) and the 60-day line (₩12,098).
- Trading below both its short- and mid-term moving averages, the trend is on the soft side.
- The RSI (a gauge comparing recent upward and downward strength over the past 14 days on a 0-100 scale) is 40.1, a neutral level.
- The one-month change is -1.1%, the three-month change is -12.6%, and the position versus the 52-week high is -17.2%.
- Relative strength against the KOSPI is 28 (on a 1-99 scale, computed from returns versus the index over the past year with more weight on recent performance; higher means stronger than the market), placing it in roughly the top 72% of all stocks by strength.
- Over the past three months it lagged the index by 29.6%.
- It is best to read the chart alongside trading volume and disclosure dates.
- The P/B (how many times book equity the share price is) is 0.38x, meaning the market cap is less than half of book shareholders' equity (about ₩570 billion).
- On an asset basis this is clearly a heavily discounted price range, and the discount is wide even compared with other asset-intensive names.
- The P/E (how many times one year of net profit the share price is) is 29.49x, which looks high at face value, but that reflects a 2025 net profit that fell 84% year on year, temporarily shrinking the denominator.
- For a company like this, where profit clusters at the point of project settlement, a P/E based on already-completed prior-year results can distort the company's real strength, so the 30x figure alone does not make the stock 'expensive.' That said, with ROE (how much is earned on shareholders' equity in a year) at just 1.2%, whether the P/B discount actually amounts to being undervalued depends on a confirmed recovery in profit.
- On the financial side, the debt-to-equity ratio is 177%, high as is typical for the development business, and the interest-coverage ratio (how many times operating profit covers interest) is 0.71x, meaning 2025 operating profit alone did not fully cover interest.
- The dividend yield is being maintained at around 1.7% (₩200 per share).
- Five-year revenue (₩881.8B → ₩563.4B → ₩385.1B → ₩870.9B → ₩445.8B) does not move in one direction but swings sharply with the timing of project recognition.
- Net profit also fell from ₩133.6 billion in 2021 to ₩7.1 billion in 2025, but this is less a structural decline than the difference between years when large projects settled all at once and years when they did not.
- In other words, this company's growth is cyclical rather than steadily rising, with profit landing heavily in years when completions and sales cluster.
- The start of 2026 is weak, however: Q1 revenue fell 22% year on year, and operating profit of -₩9.3 billion and net profit of -₩20.6 billion both turned negative.
- With no company guidance for this year's results and Q1 opening in the red, there is not yet enough basis to confidently gauge full-year profit.
- This year's picture therefore hinges on how much profit newly starting projects generate through completions and sales in the second half; if that schedule recovers, profit could once again land heavily as it did last year.
- Recent disclosures show the company's funding and governance flows.
- The Q1 2026 report filed on May 14 confirmed revenue of ₩70.3 billion (down 22% year on year), an operating loss of ₩9.3 billion, and a net loss of ₩20.6 billion, marking a swing into the red.
- On May 20, a 'debt-guarantee decision for a third party' was filed; this is a common funding method in real-estate development in which the parent guarantees borrowings by the SPC (special-purpose company) running a development project.
- Although it is a normal procedure for advancing a project, in a climate where real-estate PF (project-financing) burdens are in focus it can also be read as a contingent liability, so it is best to watch the guarantee and borrowing levels together.
- This was followed by a corporate-governance report and large-business-group status disclosure on May 29, and a shareholder-meeting convocation and shareholder-registry closing disclosure on June 5, all part of routine governance procedures.
- The strengths are clear: a P/B of 0.38x reflecting an asset discount, with the market cap below half of book shareholders' equity; a simplified business focused on real estate following the 2024 SK Eternix spin-off; and a real-asset base of owned and managed properties.
- Points to weigh alongside these include the swing into both operating and net losses in Q1 2026, an interest-coverage ratio below 1x, a debt-to-equity ratio of 177%, and the development-PF exposure implied by recurring debt guarantees.
- In short, asset value is cheaply priced, but for that discount to close, profit has to land again.
- If ongoing projects are completed and sold on schedule, quarterly results turn positive, and guarantee and borrowing levels are managed, the asset discount can be recognized as value and the stock strengthens; conversely, if project delays and unsold inventory combine with interest and contingent-liability burdens, it weakens.
- The timing of a quarterly return to profit and the management of PF guarantee size are the key metrics to watch for this company.
🔎 Valuation vs peers Inconclusive
Compared against asset-intensive names such as construction/developers and real-estate trusts, based on its character as a real-estate development, operation, and asset-based developer.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| DL E&C | 6.47x | 0.46x | 7.06% |
| Korea Land Trust | 13.27x | 0.27x | 2.02% |
| Hyundai Engineering & Construction | 29.51x | 1.33x | 4.51% |
Among its peer set, its P/B of 0.38x is the lowest, placing it at a wide asset-based discount. However, because this company's profit clusters at the timing of project completions and sales, the trailing P/E (based on already-completed prior-year results) tends to distort its real strength, and with 2025 net profit down 84% at an inflection point, the 30.6x figure alone does not make it expensive. On the other hand, with ROE at just 1.2%, it is also hard to conclude that the P/B discount amounts to being undervalued. This year there is no company guidance, and with Q1 opening in the red it is difficult to fix a forward-based value. With the asset discount (a strength) and the profitability weakness of a swing into losses evenly balanced, Inconclusive is appropriate at this point.
Price history Close · MA20 · MA60
The latest close is ₩11,240 and the market capitalization is ₩209.3 billion. The price sits below its 20-day moving average (₩11,406) and below its 60-day moving average (₩12,098). 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 40.1, a neutral level. The one-month change is -1.1%, the three-month change is -12.6%, and the position relative to the 52-week high is -17.2%. Relative strength versus the KOSPI is 28 (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 28% of all stocks. Over the past three months it lagged the index by 29.6%. 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 -29.56% / 6M -47.67% / 12M -52.39%
Key metrics vs whole-market median
Valuation
The P/E of 29.49x is above the whole-market median (13.81x). The P/B of 0.37x is below the whole-market median (1.15x).
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 8.0%, 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 1.2%, below the whole-market average (5.0%). The operating margin is 8.5%. The debt ratio is 176.8%, so the financial structure is moderate.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $255.2M | $577.2M | $295.5M | -48.81% ↓ slower |
| Operating profit | $117.7M | $35.6M | $25.0M | -29.58% ↑ faster |
| Net profit | $68.3M | $29.3M | $4.7M | -83.94% ↓ slower |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $584.5M | $373.4M | $255.2M | $577.2M | $295.5M |
| Operating profit | $139.1M | $42.6M | $117.7M | $35.6M | $25.0M |
| Net profit | $88.6M | $50.5M | $68.3M | $29.3M | $4.7M |
| Revenue CAGR | 4-yr avg -15.68% | ||||
Revenue fell 48.8% year over year (2023 ₩385.1 billion → 2024 ₩870.9 billion → 2025 ₩445.8 billion), and the three-year trend is 'mixed'. The rate of decline widened from the prior year. Operating profit fell 29.6% year over year. That said, the decline narrowed. Over the 5 years on record, revenue compound annual growth (CAGR) is -15.7%. The two-year revenue CAGR is 7.6%. In the most recent quarter (Q1 2026), revenue was 22.4% lower than the same period a year earlier.
Latest quarterly results Q1 2026 · vs year-ago
Technical indicators
What stands out
- —
Points to watch
- Revenue fell 48.8% year over year (3-year trend: mixed).
- The price is high versus peers, so expectations already appear priced in.
Recent news & events searched · sourced
- 2026-05-14EarningsFiled Q1 2026 quarterly report — revenue ₩70.3 billion (down 22% year on year), operating profit -₩9.3 billion and net profit -₩20.6 billion, a swing into the redA short-term burden. The single-quarter loss exceeds the full-year 2025 net profit of ₩7.1 billion, making for a weak starting point for this year's results. Source
- 2026-05-20FilingDebt-guarantee decision for a third party — parent guarantee of borrowings by a development SPC (a common funding structure in the real-estate development business)Mid-term two-sided. A normal procedure for advancing a project, but it can also be read as a PF contingent-liability burden. Source
- 2026-06-05FilingResolution to convene a shareholder meeting and setting of the shareholder-registry closing period and record dateNeutral. A routine governance procedure. Source
- 2026-05-29FilingCorporate-governance report disclosure and large-business-group status disclosure (individual company)Neutral. A routine disclosure related to governance transparency. Source
Figure cross-check computed ↔ external
Recent filings
- 2026-06-05Disclosure
- 2026-06-05Shareholders' meeting notice
- 2026-06-04Amended filing
- 2026-06-04Amended filing
- 2026-06-04Amended filing
- 2026-05-29Large-business-group status disclosure
- 2026-05-29Corporate governance report
- 2026-05-20Amended filing
- 2026-05-20Amended filing
- 2026-05-20Disclosure
- 2026-05-14PeriodicQuarterly report
- 2026-04-29Amended 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.