Poongwon Precision is a precision-components maker within the electronic-parts and display sector. With a market cap of around ₩145 billion, it is a small-cap stock, so a single funding or earnings disclosure can move its balance sheet and share count materially. A February 2026 disclosure confirmed a full-year loss, with revenue of ₩32.4 billion, an operating loss of ₩19.9 billion and a net loss of ₩23.6 billion. In the most recent quarter, revenue jumped 96.7% year-on-year, a sign that the top line may be recovering, while a debt-to-equity ratio of 651.5% and a current ratio of 21.9% leave little financial headroom. The key point to watch is that in a phase where revenue keeps rising and utilization climbs so the loss narrows quickly, the recovery story stays alive; but if the revenue rebound proves temporary or cost pressure delays a return to profit, the thin equity base (reflected in a P/B of 11.76x) and funding burden become the weak points.
At-a-glance assessment financial health · growth · profitability · valuation
- Debt far exceeds equity (debt ratio 651.5%).
- Assets that can be turned to cash within a year fall short of near-term liabilities (current ratio 21.9%).
- The most recent full-year net result was a loss.
- Revenue fell 34.3% year over year (3-year trend: mixed).
- Most recent quarter (Q1 2026) revenue was 96.7% higher than a year earlier.
- ROE is -191.2% (total-net basis). It is below the sector average.
- Operating margin is -61.6%.
- P/E is hard to compute here, so this is read on P/B.
Ownership & governance As of 2025-12-31
Largest shareholder Yoo Myung-hoon 41.54% (individual)
Controlling bloc incl. related parties 69.8%
With the controlling bloc holding 70%, control is very secure but the free float is thin.
🔎 In-depth analysis
- Poongwon Precision is a precision-components maker within the electronic-parts and display sector.
- Because it is a small-cap stock with a market cap of around ₩145 billion, individual disclosures on funding or earnings changes tend to have a relatively large effect on its balance sheet and share count, on top of the business itself.
- It is therefore worth watching both which product demand translates into revenue and whether newly issued disclosures actually feed through into results.
- The latest close is ₩5,630 and the market cap is ₩127.6 billion.
- The price sits below the 20-day line (₩6,905) and below the 60-day line (₩8,592).
- Trading under both the short- and mid-term moving averages, the trend is subdued.
- The RSI (an indicator comparing the strength of gains and losses over the past 14 days on a 0-100 scale) is 28.7, close to depressed territory.
- The one-month change is -18.9%, the three-month change is -48.8%, and the position versus the 52-week high is -70.7%.
- Relative strength against the KOSDAQ is 37 (1-99, converted 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 63% of all stocks by strength.
- Over the past three months it lagged the index by 34.0%.
- Chart reading is best done alongside volume and disclosure dates.
- Recent annual (2025) revenue was ₩32.4 billion, with an operating loss of ₩19.9 billion and a net loss of ₩23.6 billion.
- The operating margin was -61.6% and ROE (how much is earned in a year on shareholders' equity) was -191.2%, meaning the company currently is not generating profit from its core business.
- The P/E ratio cannot be calculated because earnings are in the red, and the P/B is 10.35x.
- A large part of why the P/B looks high is that accumulated losses have thinned shareholders' equity (₩12.3 billion).
- The debt-to-equity ratio is 651.5% and the current ratio (assets that can be turned to cash immediately versus debt due within a year) is 21.9%, leaving financial headroom rather tight, so the key items to check are whether a return to profit and an improvement in cash flow show up together.
- Annual revenue slipped once, from ₩43.1 billion in 2023 and ₩49.3 billion in 2024 to ₩32.4 billion in 2025, a one-year drop of 34.3%.
- In the most recent period, however, first-quarter 2026 revenue rose to ₩9.0 billion, up 96.7% from the same period a year earlier, a sign that the top line is turning back up.
- The quarterly operating loss (₩3.0 billion) and net loss (₩4.0 billion) are still in the red, so the revenue recovery has not yet flowed straight through to profit.
- Full-year 2026 revenue is now in sight at around ₩39.3 billion, higher than last year, reflecting the sharp first-quarter rebound.
- The key to growth, then, is less whether revenue keeps rising and more whether the added revenue converts into profit, that is, the timing of higher utilization and fixed-cost recovery.
- Recent disclosures center on funding and earnings changes.
- On 2026-06-01, the designation of a party exercising conversion rights on convertible bonds (conversion price ₩10,634) and, on 2025-06-26, a rights-offering decision (₩1.0 billion for operating funds) both bring in cash while also changing the share count, so it is worth watching where the incoming funds go and whether they connect to actual revenue.
- The 2026-02-13 disclosure on changes in revenue and profit/loss structure (annual revenue ₩32.4 billion, operating loss ₩19.9 billion, net loss ₩23.6 billion) confirmed last year's loss and serves as the reference point for comparing whether the first-quarter revenue recovery carries through to the full-year trend.
- Poongwon Precision's strength is that revenue in the most recent quarter rose 96.7% year-on-year, a clear sign of a top-line recovery; the burden is that operating and net profit are still in the red and that a debt-to-equity ratio of 651.5% and a current ratio of 21.9% leave little financial headroom.
- In other words, in a phase where revenue keeps rising and utilization climbs so the loss narrows quickly, the recovery story stays alive, but in a phase where the revenue rebound is temporary or cost pressure delays a return to profit, the thin equity base and funding burden become the weak points.
- The P/B of 11.76x is a figure driven by thinned equity, so rather than the number itself, the crux of any judgment is confirming through quarterly results whether earnings swing back to profit and rebuild the equity base.
🔎 Valuation vs peers Overvalued
A peer set of adjacent market-cap names within the electronic-parts and display sector.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| MDevice | 11.73x | 2.66x | 22.67% |
| RS Automation | — | 1.98x | -6.83% |
| Elansys | 26.50x | 2.08x | 7.86% |
We first looked at a public-data peer set with adjacent market caps within the electronic-parts and display sector. The current P/E (how many times a year's earnings the price is) cannot be confirmed, and the P/B (how many times book value the price is) is 10.35x. That said, for smaller market-cap names, earnings swings and funding disclosures have a large effect, so we did not draw firm conclusions from trailing-year figures alone. The basis for the forecast box is a DART seasonality approximation.
Earnings outlook company-stated · verified
| Type | Period | Revenue | Operating profit | Net profit |
|---|---|---|---|---|
| This year | 2026 | ₩39.3 billion | — | — |
| Next quarter | Q2 2026 | ₩12.7 billion | — | — |
Price history Close · MA20 · MA60
The latest close is ₩5,630 and the market capitalization is ₩127.6 billion. The price sits below its 20-day moving average (₩6,905) and below its 60-day moving average (₩8,592). 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 28.7, near oversold territory. The one-month change is -18.9%, the three-month change is -48.8%, and the position relative to the 52-week high is -70.7%. Relative strength versus the KOSDAQ is 37 (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 37% of all stocks. Over the past three months it lagged the index by 34.0%. 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 -34.01% / 6M -40.70% / 12M -44.19%
Key metrics vs sector median
Valuation
A net loss makes the P/E an unreliable valuation gauge. The P/B of 10.35x is above the sector median (1.63x).
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 -191.2%, below the sector average (7.0%). The operating margin is -61.6%. The debt ratio is 651.5%, so the financial structure is somewhat high.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $28.5M | $32.7M | $21.4M | -34.31% ↓ slower |
| Operating profit | -$14.5M | -$12.1M | -$13.2M | — |
| Net profit | -$14.5M | -$23.0M | -$15.6M | — |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $27.8M | $29.8M | $28.5M | $32.7M | $21.4M |
| Operating profit | $2.0M | $497,972 | -$14.5M | -$12.1M | -$13.2M |
| Net profit | $1.9M | $4.3M | -$14.5M | -$23.0M | -$15.6M |
| Revenue CAGR | 4-yr avg -6.28% | ||||
Revenue fell 34.3% year over year (2023 ₩43.1 billion → 2024 ₩49.3 billion → 2025 ₩32.4 billion), and the three-year trend is 'mixed'. The rate of decline widened 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 -6.3%. The two-year revenue CAGR is -13.3%. In the most recent quarter (Q1 2026), revenue was 96.7% higher than the same period a year earlier.
Latest quarterly results Q1 2026 · vs year-ago
Technical indicators
What stands out
- —
Points to watch
- Debt far exceeds equity (debt ratio 651.5%).
- Assets that can be turned to cash within a year fall short of near-term liabilities (current ratio 21.9%).
- The most recent full year was a loss, so it is worth checking whether profitability recovers.
- Revenue fell 34.3% year over year (3-year trend: mixed).
- The price is high versus peers, so expectations already appear priced in.
Recent news & events searched · sourced
- 2026-06-01UpdateMaterial fact report (designation of party exercising convertible-bond option): conversion price ₩10,634A disclosure to read together with the purpose of the incoming funds and the change in share count. Where a facility or operating purpose is stated, the key is whether the investment is actually executed and connects to revenue. Source
- 2025-06-26Update[Amended] Material fact report (rights-offering decision): ₩1.0 billion for operating fundsA disclosure to read together with the purpose of the incoming funds and the change in share count. Where a facility or operating purpose is stated, the key is whether the investment is actually executed and connects to revenue. Source
- 2026-02-13EarningsChange of 30% or more in revenue or profit/loss structure (15% for large corporations): annual revenue ₩32.4 billion, operating loss ₩19.9 billion, net loss ₩23.6 billionThe most recent confirmed or preliminary earnings data. 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 | ₩5,630 | ₩5,630 | Confirmed | link |
| Latest quarterly results | revenue ₩9.0 billion, operating profit -₩3.0 billion | revenue ₩9.0 billion, operating profit -₩3.0 billion | Confirmed | link |
| Annual results | revenue ₩32.4 billion, operating profit -₩19.9 billion | revenue ₩32.4 billion, operating profit -₩19.9 billion | Confirmed | link |
| Funding disclosure (original text) | : ₩10,634 | : ₩10,634 | Confirmed | link |
| Funding disclosure (original text) | []: ₩1.0 billion | []: ₩1.0 billion | Confirmed | link |
| Earnings disclosure (original text) | revenue30%: revenue ₩32.4 billion · operating profit -₩19.9 billion · net profit -₩23.6 billion | revenue30%: revenue ₩32.4 billion · operating profit -₩19.9 billion · net profit -₩23.6 billion | Confirmed | link |
| Forecast box basis | DART | DART | Confirmed | link |
Recent filings
- 2026-06-10Disclosure
- 2026-06-10Amended filing
- 2026-06-08OwnershipOfficers'/major-shareholders' holdings report (amended)
- 2026-06-08OwnershipOfficers'/major-shareholders' holdings report
- 2026-06-04Disclosure
- 2026-06-01Material-fact report
- 2026-05-29OwnershipOwnership-change filing
- 2026-05-15PeriodicQuarterly report
- 2026-04-14OwnershipOwnership-change filing
- 2026-03-31Disclosure
- 2026-03-31Shareholders' meeting notice
- 2026-03-23PeriodicAnnual business 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.