Maeil Dairies sells dairy products such as market milk, fermented milk, and powdered milk, adding cup coffee (Barista Rules), juice, grain drinks, and the protein brand Selex; dairy products make up about 60% of revenue and non-dairy products about 40%. With strengths in organic and lactose-free milk and a shift of gravity toward B2B, protein, and convenience meals, it has lowered its dependence on plain white milk (the holding company Maeil Holdings is a separate stock). In May 2026 it absorbed its protein subsidiary Maeil Health Nutrition into the main entity through a no-new-share small-scale merger (total assets of about ₩19.2 billion), and the FY2025 dividend was confirmed at ₩1,300 per share (dividend yield about 3.9%, payout ratio about 17%). What stands out lately is that peers trade at P/Es of 10.6x (Binggrae), 11.8x (Lotte Wellfood), and 12.9x (Orion), while Maeil's P/E and P/B are roughly a quarter of those, backed by higher ROE, light debt, and an about 3.9% dividend that support its undervaluation appeal. On the other hand, shrinking white-milk demand from population decline and a thin operating margin in the 3% range mean earnings can waver if raw-milk prices spike.
At-a-glance assessment financial health · growth · profitability · valuation
- Debt ratio, current ratio and interest burden all look healthy.
- Revenue rose 1.8% year over year, and the pace is quickening (3-year trend: rising).
- Most recent quarter (Q1 2026) revenue was 2.4% higher than a year earlier.
- ROE is 8.9% (controlling-interest basis). It is above the sector average.
- Operating margin is 3.3%.
- The forward P/E sits below the sector median.
Ownership & governance As of 2025-12-31
Largest shareholder Maeil Holdings 31.79% (corporate)
Controlling bloc incl. related parties 57.5%
With the controlling bloc holding 58%, control is very secure but the free float is thin.
🔎 In-depth analysis
- Maeil Dairies is a company that processes and sells milk.
- At its core are traditional dairy products such as market milk (white milk), fermented milk (yogurt-type products), and powdered milk, and on top of these it generates revenue from cup coffee (such as Barista Rules), juice, grain drinks, and the adult protein brand Selex.
- Dairy products make up about 60% of revenue and non-dairy products -- coffee, protein, convenience meals, and the like -- about 40%, as the company has steadily diversified to reduce its dependence on white milk, whose demand is falling with population decline.
- The white-milk market itself is shrinking as birth rates fall, but the company has strengths in organic and lactose-free (lactose-removed, gentler-on-the-stomach) milk and is shifting its gravity toward B2B (business-to-business) supply and new growth items such as protein and convenience meals.
- For reference, the listed company 267980 is the operating business, while the holding company at the top of the group's governance structure (Maeil Holdings) is a separate stock.
- The latest close is ₩33,100 and the market cap is ₩253.7 billion.
- The price sits above the 20-day line (₩32,958) and below the 60-day line (₩34,338).
- With the short- and medium-term trends diverging, direction should be read separately.
- The RSI (an indicator that gauges the balance of upward versus downward momentum over the last 14 days on a 0-100 scale) is 48.8, a neutral level.
- The 1-month change is +0.8%, the 3-month change is -5.2%, and the price stands -18.9% below its 52-week high.
- Relative strength versus the KOSDAQ is 76 (on a 1-99 scale that converts return relative to the index over the past year, weighting recent performance more heavily; higher means stronger than the market), placing it in roughly the top 24% of all stocks by strength.
- Over the past three months it outpaced the index by 29.6%.
- Chart readings are best considered alongside trading volume and disclosure dates.
- The P/E ratio (how many times one year's earnings the price represents) is 4.52x and the P/B (how many times net assets the price represents) is 0.40x.
- A P/B below 0.4 means the company trades at less than half the net assets on its books.
- Profitability supports this.
- ROE (how much is earned on equity in a year) is 8.9%, near the top among milk companies, and the balance sheet is firm with a debt ratio (debt relative to equity) of 69%, a current ratio (assets convertible to cash against debt due within a year) of 227%, and interest coverage (how many times operating profit can cover interest) of 8.6x.
- The operating margin is meager at 3.3%, but that is a structural feature of dairy processing, where the cost share of raw milk and packaging is large, not a company-specific problem.
- One important point: the displayed P/E of 4.3x is on last year's (2025) confirmed-earnings basis (trailing).
- The forward P/E reflecting this year's expected earnings is 3.5x, even lower.
- In a phase of rising earnings, the same share price comes out cheaper on a forward basis, and Maeil Dairies is exactly that case, so there is no reason to view the trailing figure as a 'burden.'
- Over the last five years, revenue rose gently from ₩1.55 trillion to ₩1.84 trillion, about 4% a year.
- Operating profit fell from ₩87.8 billion in 2021 to ₩60.0 billion in 2025, with profitability pressed relative to the top line (operating profit -14.7% in 2025), but net profit recovered +23.5% from the prior year to ₩56.1 billion in 2025.
- And in Q1 2026 the trend clearly changed.
- With revenue up only +2.4%, operating profit rose +44.6% and net profit +80.9%, with earnings far outpacing revenue growth.
- That earnings surged while revenue was nearly flat means that as cost and promotion burdens eased and the share of higher-margin items such as protein and convenience meals rose, more profit was retained from the same revenue -- showing that the company's business structure is genuinely improving.
- That the forward P/E on this year's expected earnings is set at 3.5x, lower than last year's confirmed basis (4.3x), also reflects this earnings improvement.
- The structural decline in white-milk demand from population decline is a clear limit, but the picture of filling that gap with new growth axes such as protein, B2B, and convenience meals while lifting margins is being confirmed in the Q1 figures.
- The biggest event of 2026 is the absorption of the protein subsidiary Maeil Health Nutrition.
- As a 100% subsidiary, it was a no-new-share, small-scale merger, with a merger date of May 1 and the closing report completed on May 8.
- The aim is to bring the adult protein business represented by Selex into the main entity to coordinate on channels and product development, and at total assets of about ₩19.2 billion it is not something that places a large burden on the main entity's finances.
- Separately, the FY2025 year-end dividend was confirmed at ₩1,300 per share (dividend yield about 3.9% at the current price, payout ratio about 17%) and handled at the March general meeting.
- A payout ratio as low as 17% also means there is still room to raise the dividend relative to earnings.
- In June, the convening of an extraordinary general meeting and a record-date-setting disclosure followed.
- Starting with the strengths, compared with peer dairy and food companies, its P/E and P/B are distinctly lower even though its ROE is actually higher and its debt is light.
- Given peer P/Es of 10.6x (Binggrae), 11.8x (Lotte Wellfood), and 12.9x (Orion), Maeil at around 4x is clearly in undervalued territory, and reflecting this year's expected earnings widens that gap.
- An about 3.9% dividend is added to this.
- There are also clear cautions.
- White-milk demand is structurally shrinking with population decline, and with an operating margin in the 3% range, earnings can waver if the cost of raw milk or packaging rises.
- In sum, when costs stay stable and higher-margin new growth items such as protein and convenience meals keep adding to earnings, this company's undervaluation appeal shows strongly; conversely, in a phase where raw-milk prices spike or white-milk consumption shrinks rapidly, it is relatively weaker given the thin margin.
🔎 Valuation vs peers Undervalued
Among listed dairy and food peers (white milk, fermented milk, ice cream, general food), those closest in business character were selected as the peer set.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| Binggrae | 10.91x | 0.82x | 7.47% |
| Namyang Dairy Products | 34.65x | 0.26x | 0.75% |
| Lotte Wellfood | 12.97x | 0.43x | 3.30% |
| Orion | 14.00x | 1.41x | 10.05% |
By any measure -- the closest milk and fermented-milk companies (Binggrae, Namyang Dairy) or general food (Lotte Wellfood, Orion) -- Maeil Dairies' P/E and P/B sit on the low side. Given that Binggrae and Lotte Wellfood, with lower ROE, command double-digit P/Es, the discount relative to profitability is large. However, the trailing P/E of 4.55x is a figure that leans on a single year, since 2025 was a year in which net profit recovered, and in an earnings-inflection phase it is hard to judge on one year's confirmed profit alone. This year, viewing the Q1 earnings surge together with a seasonality approximation, the discount widens further on a forward (expected-earnings) basis; but with the operating margin thin in the 3% range and earnings sensitive to cost swings remaining a discount factor, rather than concluding it is unconditionally cheap, the durability of the recovery should be watched together.
Price history Close · MA20 · MA60
The latest close is ₩33,100 and the market capitalization is ₩253.7 billion. The price sits above its 20-day moving average (₩32,958) and below its 60-day moving average (₩34,338). Short-term and medium-term trends are diverging, so the direction is best read separately. The RSI (a supplementary indicator that gauges the strength of gains versus losses over the past 14 days on a 0-100 scale) is 48.8, a neutral level. The one-month change is +0.8%, the three-month change is -5.2%, and the position relative to the 52-week high is -18.9%. Relative strength versus the KOSDAQ is 76 (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 76% of all stocks. Over the past three months it outpaced 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 +29.62% / 6M +16.53% / 12M -15.42%
Key metrics vs sector median
Valuation
The P/E of 4.52x is below the sector median (8.80x). The P/B of 0.40x is below the sector median (0.51x). Both metrics are low versus peers, so the price is not expensive relative to earnings and assets. That said, this P/E is based on last year's (trailing) results. With recent quarterly earnings up sharply, the trailing P/E can look higher than it really is, so a precise read is best done on this year's expected (forward) earnings.
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 8.9%, above the sector average (4.0%). The operating margin is 3.3%. The debt ratio is 69.0%, so the financial structure is stable.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $1.2B | $1.2B | $1.2B | +1.77% ↑ faster |
| Operating profit | $47.9M | $46.6M | $39.8M | -14.65% ↓ slower |
| Net profit | $36.5M | $30.1M | $37.2M | +23.46% ↑ faster |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $1.0B | $1.1B | $1.2B | $1.2B | $1.2B |
| Operating profit | $58.2M | $40.2M | $47.9M | $46.6M | $39.8M |
| Net profit | $49.2M | $9.5M | $36.5M | $30.1M | $37.2M |
| Revenue CAGR | 4-yr avg 4.40% | ||||
Revenue rose 1.8% year over year (2023 ₩1.8 trillion → 2024 ₩1.8 trillion → 2025 ₩1.8 trillion), and the three-year trend is 'rising'. The pace of growth also quickened from the prior year. Operating profit fell 14.6% year over year. The decline widened. Over the 5 years on record, revenue compound annual growth (CAGR) is 4.4%. The two-year revenue CAGR is 1.7%. In the most recent quarter (Q1 2026), revenue was 2.4% 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.
- The dividend yield, at 3.9%, is on the high side.
- The balance sheet is stable in terms of debt and liquidity.
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
- 2026-05-08FilingClosing report on the absorption of the 100% subsidiary Maeil Health Nutrition (Selex protein business). A no-new-share, small-scale merger with a merger date of May 1 and merger registration on May 4.No short-term change in shareholding or capital (no new shares), but over the medium term it integrates the protein business into the main entity to seek channel and product synergies. As the merged subsidiary was still at a net-loss stage in 2024, the short-term earnings contribution is limited. Source
- 2026-04-14FilingDecision on the corporate merger in which Maeil Dairies absorbs Maeil Health Nutrition (correction). Surviving = Maeil Dairies, dissolving = Maeil Health Nutrition, merger ratio 1:0 (no new shares); the purpose is the nutrition unit's global growth and management efficiency.Internalizes a medium-term growth segment. No change to the largest shareholder or ownership structure. With the merged subsidiary's total assets of about ₩19.2 billion, no large impact on the main entity's finances. Source
- 2026-05-15EarningsQ1 2026 quarterly report. Revenue ₩469.9 billion (+2.4%), operating profit ₩18.8 billion (+44.6%), net profit ₩18.9 billion (+80.9%), a large improvement in earnings.Strengthens short-term earnings momentum. Since a low base effect is included, whether it continues in the second half needs further confirmation. Source
- 2026-03-27DividendThe FY2025 year-end dividend of ₩1,300 per share (payout ratio about 17%) was handled at the annual general meeting.A stable cash flow with a dividend yield of about 3.9% at the current price. With a payout ratio as low as 17%, room remains to expand it going forward. Source
- 2026-03-19FilingFY2025 business report filed (revenue ₩1.84 trillion, operating profit ₩60.0 billion, net profit ₩56.1 billion).Finalizes the annual results. Revenue grew gently but operating profit fell from the prior year, confirming a slowdown in profitability. Source
Figure cross-check computed ↔ external
| Metric | Computed | External | Status | Source |
|---|---|---|---|---|
| Dividend per share (DPS, FY2025) | ₩1,300 | ₩1,300 | Confirmed | link |
| Absorption-merger structure (surviving/dissolving, merger date) | base 4 | =, =, , 2026-05-01 | Confirmed | link |
| Cumulative Q1 2026 results | revenue 4,699, operating profit 188, net profit 189 | DART (2026.03) | Confirmed | link |
| 2026 full-year net profit (seasonality approximation) | approx. 690(self-estimate) | — | Unverified | link |
Recent filings
- 2026-06-05Shareholders' meeting notice
- 2026-06-05Disclosure
- 2026-05-15PeriodicQuarterly report
- 2026-05-08Merger decision
- 2026-04-24OwnershipOwnership-change filing
- 2026-04-17Disclosure
- 2026-04-14Material-fact report (amended)
- 2026-04-14Material-fact report (amended)
- 2026-03-27Disclosure
- 2026-03-27Shareholders' meeting notice
- 2026-03-19PeriodicAnnual business report
- 2026-03-19Audit report
📖 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.