SungEel HiTech is a recycling company that collects end-of-life lithium-ion batteries and factory scrap and, through crushing and wet metallurgy, recovers compounds such as nickel sulfate, cobalt sulfate and lithium carbonate to sell to cathode-material makers, so its results move with metal prices and recovery volumes. Revenue rebounded, rising 42.9% year over year in 2025 and 82.5% in the first quarter of 2026, as utilization recovered and operating profit and loss climbed from a deficit toward around breakeven; in May a disclosure of a derivative trading loss showed that its hedging trades also saw swings. What stands out lately is that if metal prices recover and recovery volumes rise so the loss narrows or turns to profit, its exposure to a structurally growing recycling market becomes a strength; on the other hand, net profit and loss is still in deficit, and with a debt ratio of 446% and a current ratio of 40.6%, funding capacity is tight.
At-a-glance assessment financial health · growth · profitability · valuation
- Debt far exceeds equity (debt ratio 446.0%).
- Assets that can be turned to cash within a year fall short of near-term liabilities (current ratio 40.6%).
- The most recent full-year net result was a loss.
- Revenue rose 42.9% year over year, and the pace is quickening (3-year trend: mixed).
- Most recent quarter (Q1 2026) revenue was 82.5% higher than a year earlier.
- ROE is -61.1% (controlling-interest basis). It is below the sector average.
- Operating margin is -28.0%.
- P/E is hard to compute here, so this is read on P/B.
Ownership & governance As of 2025-12-31
Largest shareholder Lee Kang-myung 19.04% (individual)
Controlling bloc incl. related parties 32.26%
With the controlling bloc holding 32%, the ownership structure is stable.
🔎 In-depth analysis
- SungEel HiTech is a recycling company that collects end-of-life lithium-ion batteries and the defects and scrap that come out of battery factories to recover metals.
- The business earns money in two broad stages.
- First it crushes and sorts batteries to make "black powder" (an intermediate feedstock in which metals are concentrated) in the form of a black powder, and then through wet metallurgy (a process that dissolves, separates and refines metals with water and chemicals) it makes compounds such as nickel sulfate, cobalt sulfate and lithium carbonate to sell to cathode-material makers.
- In other words, the essence of revenue is selling recovered metals such as nickel, cobalt and lithium, so results move with metal prices and recovery volumes.
- Headquarters and production are in the Saemangeum area of Gunsan, North Jeolla, and lately it is expanding into recycling LFP (lithium iron phosphate) batteries.
- The latest closing price is ₩34,150 and market capitalization is ₩441.3 billion.
- The price sits below both the 20-day line (₩43,488) and the 60-day line (₩60,048).
- Trading below both the short- and mid-term moving averages, the trend is on the subdued side.
- The RSI (an auxiliary gauge that weighs upward versus downward force over the past 14 days on a 0-100 scale) is 21.9, close to oversold territory.
- The one-month change is -33.3%, the three-month change is -48.6%, and the position versus the 52-week high is -59.6%.
- Relative strength versus the KOSDAQ is 70 (1-99, computed from returns against the index over the past year with more recent weighting; higher means stronger than the market).
- That places it in roughly the top 29% of all stocks by strength.
- Over the past three months it lagged the index by 29.0%.
- Chart interpretation is best done alongside trading volume and disclosure dates.
- Because net profit is in deficit, the P/E ratio (how many times one year's earnings the price represents) cannot be calculated.
- The P/B (how many times equity the price represents) is 3.47x, higher than the sector median, but this must be viewed together with the fact that many fellow battery-recycling firms are loss-making, making it a phase where lining companies up by P/E is difficult.
- ROE (how much is earned in a year on equity) is -61.1% and the operating margin is -28.0%, so profitability is still in a loss zone, and with a debt ratio (debt versus equity) of 446% and a current ratio (assets to be converted to cash right away versus debt due within a year) of 40.6%, financial capacity is tight.
- One important point is that trailing figures like P/B look at "past results," so in an inflection phase where revenue is rising fast and profit and loss are moving from deficit toward breakeven, they do not fully mirror current business strength.
- For that reason, confirmed figures must always be viewed together with the latest quarterly profit-and-loss trend.
- Revenue moved from ₩147.3 billion in 2021 to ₩269.9 billion in 2022, ₩247.4 billion in 2023, ₩136.2 billion in 2024 and ₩194.6 billion in 2025.
- It fell sharply in 2024 as metal prices turned down, then rebounded 42.9% in 2025, and Q1 2026 revenue of ₩60.9 billion rose 82.5% year over year, making the recovery clear on a quarterly basis too.
- This revenue rebound stems from electric-vehicle and battery waste growing structurally so the volume of material to recover and process itself grows, together with metal unit prices and utilization recovering from their 2024 trough, so it is hard to view purely as a temporary base effect.
- That said, over the same period operating profit swung from a ₩48.3 billion profit in 2022 to deficits in 2024-2025 (-₩71.4 billion, then -₩54.5 billion), and Q1 2026 operating profit and loss climbed to around breakeven (about -₩4.14 million).
- The loss narrowing quickly on a quarterly basis is the key recovery signal, but a swing to profit is not yet confirmed.
- Because no official numeric company outlook for future results is confirmed, this site does not assert future earnings and instead gauges by the pace of revenue recovery and the trend of loss reduction.
- Recent disclosures mix results, funding and shareholder issues.
- On June 2 an [amended] business report organized the confirmed 2025 annual results (revenue up 42.9%, profit and loss in deficit), and on May 15 the quarterly report confirmed the Q1 2026 results (revenue up 82.5%, operating profit and loss around breakeven).
- The May 15 disclosure of a "derivative trading loss" reported a loss on hedging trades put in place against metal-price swings, showing the characteristic of a recycling business whose results are directly tied to metal prices.
- The May 12 "decision to acquire another company's shares and equity securities" and the May 15 "decision on a loan of money" are fund outlays for business expansion and affiliate support, and in a phase of high debt ratio they are best viewed together with cash flow.
- On June 8, disclosures on convening an extraordinary general meeting and setting a record date appeared.
- The strengths are clear.
- It is positioned in a recycling market where processing volume grows structurally as electric-vehicle and battery waste rises, and revenue rebounded 42.9% in 2025 and 82.5% in Q1 2026, with utilization reviving.
- Operating profit and loss climbing quickly from deficit to around breakeven also supports the recovery direction.
- There are points to examine together as well: operating and net profit and loss are still in deficit so a swing to profit is not yet confirmed, funding capacity is tight with a debt ratio of 446% and a current ratio of 40.6%, and results are heavily swayed by metal prices such as nickel and lithium, with swings even in hedging, as the derivative loss shows.
- In sum, this company is strong "in a phase where metal prices recover and recovery volumes and utilization rise so the loss narrows or turns to profit," and weak "in a phase where metal prices turn down again or expansion and interest burdens grow." It is therefore appropriate to confirm, alongside the revenue growth rate, the pace of quarterly loss reduction and swing to profit, and cash flow together.
🔎 Valuation vs peers Inconclusive
Rather than a simple KSIC "chemicals" code, the peer set was drawn from firms whose actual business is the same, "battery recycling and cathode materials." Figures on the site were confirmed with tools/peers.py.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| Savitchem | — | 1.56x | -39.79% |
| Cosmo Chemical | — | 1.66x | -13.80% |
| Ecopro BM | 277.09x | 6.31x | 2.28% |
(a) Position versus the true peer set: its P/B is more than double that of fellow battery recyclers SangBit Chem (P/B 2.29x) and Cosmo Chemical (2.14x), so on an asset basis a premium is attached. (b) Premium/discount: however, all three are loss-making so they cannot be lined up by P/E, and SungEel's faster revenue recovery (up 82.5%) versus peers explains part of the premium. (c) Trailing limitation: since last year's confirmed results were loss-making there is no P/E, and P/B reflects equity shrunk by losses, so past numbers alone make it hard to judge business value. Going forward, one must view together the DART seasonality approximation (2026 revenue of about ₩244.1 billion), rather than an official company outlook, and whether the quarterly loss narrows; in such an inflection phase, asserting "cheap versus expensive" is difficult, so we withhold judgment.
Earnings outlook company-stated · verified
| Type | Period | Revenue | Operating profit | Net profit |
|---|---|---|---|---|
| Next quarter | Q2 2026 | approx. ₩69.5 billion | — | — |
Price history Close · MA20 · MA60
The latest close is ₩34,150 and the market capitalization is ₩441.3 billion. The price sits below its 20-day moving average (₩43,488) and below its 60-day moving average (₩60,048). 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 21.9, near oversold territory. The one-month change is -33.3%, the three-month change is -48.6%, and the position relative to the 52-week high is -59.6%. Relative strength versus the KOSDAQ is 70 (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 71% of all stocks. Over the past three months it lagged the index by 29.0%. 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 -28.98% / 6M +0.28% / 12M -3.34%
Key metrics vs sector median
Valuation
A net loss makes the P/E an unreliable valuation gauge. The P/B of 3.47x is above the sector median (0.97x).
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 -61.1%, below the sector average (4.0%). The operating margin is -28.0%. The debt ratio is 446.0%, so the financial structure is somewhat high.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $163.9M | $90.3M | $129.0M | +42.88% ↑ faster |
| Operating profit | -$5.5M | -$47.3M | -$36.1M | — |
| Net profit | $16.4M | -$73.0M | -$51.4M | — |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $97.6M | $178.9M | $163.9M | $90.3M | $129.0M |
| Operating profit | $11.2M | $32.0M | -$5.5M | -$47.3M | -$36.1M |
| Net profit | -$5.8M | $26.0M | $16.4M | -$73.0M | -$51.4M |
| Revenue CAGR | 4-yr avg 7.22% | ||||
Revenue rose 42.9% year over year (2023 ₩247.4 billion → 2024 ₩136.2 billion → 2025 ₩194.6 billion), and the three-year trend is 'mixed'. The pace of growth also quickened from the prior year. Operating results are in the red, so a swing back to profit matters more than the growth rate here. Over the 5 years on record, revenue compound annual growth (CAGR) is 7.2%. The two-year revenue CAGR is -11.3%. In the most recent quarter (Q1 2026), revenue was 82.5% higher than the same period a year earlier.
Latest quarterly results Q1 2026 · vs year-ago
Technical indicators
What stands out
- Revenue grew 42.9% year over year, a sign of growth.
Points to watch
- Debt far exceeds equity (debt ratio 446.0%).
- Assets that can be turned to cash within a year fall short of near-term liabilities (current ratio 40.6%).
- The most recent full year was a loss, so it is worth checking whether profitability recovers.
- The price is high versus peers, so expectations already appear priced in.
Recent news & events searched · sourced
- 2026-06-02FilingFiled the 2025 annual business report (amended) — revenue of ₩194.6 billion (up 42.9%), operating and net profit and loss remaining in deficitShort term: confirming the deficit weighs on profitability. Mid term: a reference for gauging the extent of the revenue rebound and the cost structure. Source
- 2026-05-15EarningsQ1 2026 quarterly report — revenue of ₩60.9 billion (up 82.5% year over year), operating profit and loss around breakevenShort term: confirming the revenue recovery is positive. Mid term: whether it connects through to profit is the key question. Source
- 2026-05-15UpdateDerivative trading loss incurred — loss recognized on metal-price hedging-related tradesShort term: negative for profit and loss. Mid term: reconfirms the business characteristic of results being tied to metal prices. Source
- 2026-05-12FilingDecision to acquire another company's shares and equity securities — outlay for business expansion and equity investmentShort term: a cash outflow. Mid term: an intent to expand the business scope, but in a phase of financial strain the fund flow needs checking. Source
- 2026-06-08FilingResolution to convene an extraordinary general meeting and set a shareholder-register record dateShort term: impact depends on the agenda contents. Mid term: possible changes to governance and capital depending on the resolutions. Source
Figure cross-check computed ↔ external
Recent filings
- 2026-06-08Disclosure
- 2026-06-08Shareholders' meeting notice
- 2026-06-02PeriodicAnnual business report (amended)
- 2026-05-18Disclosure
- 2026-05-15Disclosure
- 2026-05-15Amended filing
- 2026-05-15PeriodicQuarterly report
- 2026-05-14OwnershipOwnership-change filing
- 2026-05-12Disclosure
- 2026-05-11OwnershipOfficers'/major-shareholders' holdings report
- 2026-05-11OwnershipOfficers'/major-shareholders' holdings report
- 2026-05-11OwnershipOwnership-change 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.