PER, EPS, PBR and BPS are calculated in-house from the last 4 quarters (2025Q3–2026Q2) · Dividend yield is based on ₩0 per share · Prices as of the 2026-10-02 close
Silla Textile relies on leasing space in Daegu's Banyawol used-car complex and mobile phone retailing, and while attributable net profit turned positive in 2025, revenue has declined for four straight years.
Core operations are leasing 57 storefronts in Daegu's Banyawol used-car complex and mobile phone retail through an SK Telecom agency, while the legacy polyester fabric business is being wound down.
Full-year 2025 attributable net profit turned positive at KRW 71.7 million, but quarterly results show marked volatility, with large operating losses recurring in Q2 of both 2025 and 2026.
Revenue has fallen for four consecutive years, from KRW 4.43 billion in 2022 to KRW 3.59 billion in 2025, while the debt ratio has stayed largely steady in the 107-112% range.
Recent media commentary has flagged the company's revenue level as close to the KOSDAQ listing-maintenance threshold, raising the risk of designation as an administrative issue.
The ownership structure involving the controlling shareholder and related parties, along with a history of inheritance-related litigation within the founding family, also warrants attention.
Silla Textile was established in 1976 and listed on KOSDAQ in 1994, and it belongs to the Silla Group, whose holding company Silla Holdings oversees a group structure of 17 domestic and 8 overseas affiliates, with the group's core business centered on deep-sea fishing.
The company's current core operations are real estate leasing and mobile phone retail, operating 57 leased storefronts within the Banyawol used-car trading complex in Daegu.
This complex utilizes company-owned land in the Gaksan-dong area of Daegu's Dong-gu district, providing specialized local infrastructure and representing the largest contributor to the company's revenue and operating profit.
The second business pillar, mobile phone retail, is conducted through an SK Telecom mobile agency.
Rooted in the former Myeonghwa Textile business, the company once built its growth on polyester fabric manufacturing and processing, but it has effectively wound down that operation while focusing on clearing remaining inventory.
On governance, Silla Trading is the largest shareholder, while Park Jae-heung, the eldest son of the founder, serves as the second-largest shareholder with a 19.52% stake and runs the company independently; combined with relatives, affiliated companies, and foundations, the founding family's controlling stake reaches 41.48%.
However, there has been a family dispute over inherited shares belonging to the founder's wife, with the youngest daughter and other relatives filing a forced-heirship claim against the CEO, resulting in a court ruling that returned 12.7% of the bequeathed stake.
Competitively, the company operates as a small, regionally focused real estate and retail business built around specialized leasing assets, rather than competing directly with nationwide used-car complexes or large mobile carrier distribution networks.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩700M | -₩500M | −69.6% |
| 2025Q3 | ₩1B | ₩300M | 33.3% |
| 2025Q4 | ₩900M | ₩400M | 37.4% |
| 2026Q1 | ₩800M | ₩300M | 36.4% |
| 2026Q2 | ₩900M | -₩500M | −57.3% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩4.4B | ₩500M | -₩35,839,884 | 10.5% | −0.2% | 107.5% |
| 2023 | ₩3.8B | ₩400M | -₩700M | 10.4% | −4.6% | 110.2% |
| 2024 | ₩3.7B | ₩400M | -₩300M | 11.4% | −2.1% | 112.8% |
| 2025 | ₩3.6B | ₩500M | ₩71,723,902 | 13.6% | 0.5% | 112.4% |
Consolidated basis (financial statements including subsidiaries) · Final figures from DART filings · Net income attributable to owners of the parent · Data as of 2026-08-23
Annual revenue came to KRW 3.5906 billion in 2025, down from KRW 3.6695 billion in 2024, KRW 3.7775 billion in 2023, and KRW 4.4296 billion in 2022, marking four consecutive years of decline.
Operating profit, however, rose to KRW 487.8 million in 2025 from KRW 416.9 million in 2024, and the operating margin improved to 13.6% in 2025 from 11.4% in 2024 and 10.4% in 2023.
On the bottom line, the company posted losses of KRW -35.8 million in 2022, KRW -671.6 million in 2023, and KRW -301.8 million in 2024, before swinging to an attributable net profit of KRW 71.7 million in 2025.
Looking at the quarterly pattern, a large operating loss of KRW 506.2 million and an attributable net loss of KRW 664.8 million in the second quarter of 2025 were followed by two consecutive profitable quarters -- Q3 (operating profit KRW 323.6 million, net profit KRW 267.2 million) and Q4 (operating profit KRW 353.9 million, net profit KRW 317.8 million) -- which turned the full year into a profit.
A similar pattern reappeared in 2026: Q1 delivered an operating profit of KRW 302.7 million and net profit of KRW 149.7 million, but Q2 swung back into a large loss, with operating profit of KRW -531.1 million and net profit of KRW -683.4 million.
The recurrence of large second-quarter losses in both years, against quarterly revenue of only KRW 700-900 million, suggests swings that are disproportionately large relative to the revenue base, raising the possibility of asset-related valuation effects or one-off items being recognized at specific points in the year.
Operating cash flow rose to KRW 719.6 million in 2025 from KRW 620.0 million in 2024 and KRW 476.0 million in 2023, though it remains below the KRW 915.1 million recorded in 2022.
Total equity declined from KRW 15.392 billion in 2022 to KRW 14.474 billion in 2025, while the debt ratio edged up from 107.5% in 2022 to 112.4% in 2025, remaining relatively stable in the low 110% range.
Both of the company's business pillars -- real estate leasing and mobile phone retail -- are said to be experiencing continued weak performance amid a difficult economic environment marked by slowdown and interest rate volatility.
That said, the used-car market is expected to expand as large corporations enter the space, a trend seen as likely to increase leasing demand for spaces like the Banyawol complex.
The mobile phone retail business is also described as evolving beyond simple handset distribution toward convergence with AI and IoT, forming a new retail ecosystem.
This dynamic aligns with the company's strategy of securing stable tenant demand through regionally specialized infrastructure rather than competing directly with large distribution networks or nationwide used-car complexes.
However, given that total company revenue remains in the KRW 3-4 billion range, it may take time for any industry-wide improvement to be fully reflected in the financial statements.
Compared with similarly small real estate leasing and retail conglomerates, Silla Textile's business is concentrated on assets in a single region, leaving it relatively limited in terms of portfolio diversification.
Despite the ongoing revenue decline of recent years, the company achieved a return to profit in 2025 driven by improved profitability in its leasing business, and the key question going forward is whether this trend can be sustained.
However, some media outlets have noted that the company's annual revenue has remained in the KRW 3 billion range for the past three years, close to the KOSDAQ listing revenue threshold, and warned that failing to reach KRW 5 billion in annual revenue could trigger the risk of being designated an administrative issue.
This suggests the company faces pressure to improve its financial metrics through revenue growth or business diversification.
As large corporations are expected to expand their presence in the used-car market and boost leasing demand, the stability of tenancy and the ability to secure new tenants at the Banyawol complex are likely to be key variables for future results.
In the mobile phone retail business, changes in carrier policy or handset distribution structures remain factors that could affect performance.
On the governance front, while some of the share disputes within the founding family appear to have been settled, further ownership-related disclosures cannot be ruled out and should continue to be monitored.
Silla Textile's share price appears to trade at a discount relative to net asset value, while the earnings-based valuation multiple sits well above the upper end of its multi-year historical trading band, reflecting the company's small absolute profit base.
Net profit summed over the most recent four quarters has returned to positive territory, but its small scale is part of why the earnings-based valuation multiple remains elevated. The company has not been paying dividends recently, so there is no shareholder return component from dividend yield at present.
Given the small market capitalization and limited free float typical of a micro-cap stock, price volatility driven by supply-demand dynamics or news flow unrelated to fundamentals should also be kept in mind.
PER, EPS, PBR and BPS are all calculated in-house (the same method as Naver and Toss) · Dividend yield = cash dividend per share from DART filings (supplemented by KRX) ÷ current price · As of 2026-08-23
After three consecutive years of net losses from 2022 through 2024, the company returned to profit in 2025 with an attributable net profit of KRW 71.7 million. The operating margin also reached 13.6% in 2025, the highest level of the past four years, indicating improving profitability centered on the leasing business.
The company also posted operating and net profit in three consecutive quarters from Q3 2025 through Q1 2026, which can be read as a positive signal.
The company holds a range of regionally specialized real estate assets, including the land underlying the Banyawol used-car complex in Daegu, and total equity stood at roughly KRW 14.4 billion at the end of 2025.
The share price trades at a discount to this net asset value, leaving room for the asset value to be reassessed depending on how the holdings are revalued or utilized. This reflects market pricing dynamics, however, and neither the timing nor the method of any asset value realization has been determined.
As large corporations enter the used-car market and expand its overall size, some observers expect this to translate into greater demand for leasing infrastructure such as the Banyawol complex.
Since most of the company's revenue and operating profit come from this leasing business, an increase in occupancy or new tenant contracts could widen the scope for earnings improvement.
The mobile phone retail business may also regain distribution channel competitiveness if it successfully rides the shift toward AI- and IoT-converged products.
Revenue has declined every year, from roughly KRW 4.4 billion in 2022 to roughly KRW 3.6 billion in 2025, marking four consecutive years of decline.
With commentary suggesting that both the real estate leasing and mobile phone retail businesses continue to face weak performance amid a difficult economic environment, no clear catalyst for a revenue rebound has yet been confirmed. A prolonged revenue stagnation could also increase pressure related to listing-maintenance requirements.
In both Q2 2025 and Q2 2026, operating and net losses exceeded the scale of quarterly revenue, only to swing back to profit in other quarters -- a pattern that has now repeated. This volatility suggests the influence of one-off items and reduces the predictability of future results.
It should also be considered that no single quarter's results can reliably indicate the full-year trend given this structure.
Some media outlets have noted that the company's revenue has remained in the roughly KRW 3 billion range for the past three years, and warned that failing to meet the KRW 5 billion annual revenue threshold could trigger the risk of an administrative issue designation.
This suggests that uncertainty related to listing maintenance could persist unless revenue expands or the business diversifies. It underscores the need to continue monitoring disclosed revenue trends and how the relevant rules are applied.
Media reports have pointed out that the company's annual revenue has remained in the roughly KRW 3 billion range for the past three years, close to the KOSDAQ revenue threshold.
If revenue does not expand, there is a possibility of regulatory issues related to listing maintenance, such as administrative issue designation. This increases the need for the company to diversify its business or expand its revenue sources.
Governance-related issues have arisen within the founding family, including a forced-heirship lawsuit over inherited shares that resulted in the return of a portion of the stake.
Additional ownership-related disclosures could emerge as this family share settlement process continues, which is a variable that could affect the composition of major shareholders or the stability of management control. It is necessary to continue monitoring related large-holding disclosure reports.
Given the company's small market capitalization and limited free float, media reports have documented cases of the share price moving sharply over short periods due to political or thematic trading flows unrelated to fundamentals.
Such volatility has low correlation with the company's intrinsic value and can create periods where earnings metrics alone cannot explain price movements. Investors need to distinguish between such supply-demand factors and fundamental earnings factors.
This is the expected filing time for the Q3 2026 report, when it will be important to check whether the leasing and mobile phone retail businesses recover after the large Q2 loss.
This is a point at which to assess whether annual revenue approaches the KRW 5 billion threshold and whether risks related to administrative-issue designation ease.
It is necessary to continue monitoring for any additional large-holding disclosure reports or changes to the largest shareholder following the founding family's share settlement.
This is when the fiscal year 2026 results will be finalized, allowing confirmation of full-year revenue and profit figures as well as any changes to dividend policy.
Silla Textile is a small real estate and retail conglomerate built around two pillars -- leasing space in Daegu's Banyawol used-car complex and mobile phone retail -- and it emerged from three years of losses when attributable net profit turned positive in 2025.
However, revenue has declined for four consecutive years since 2022, and quarterly results show extreme volatility, with losses exceeding the scale of quarterly revenue occurring in the second quarter of both 2025 and 2026.
Media reports have flagged the company's annual revenue as being close to the KOSDAQ revenue threshold, raising listing-maintenance risk, while a history of litigation over inherited shares within the founding family remains a governance variable.
The share price trades at a discount to net asset value, yet the earnings-based valuation multiple is elevated given the small absolute profit base, and with a small market capitalization and limited free float, the stock remains exposed to theme-driven trading volatility unrelated to fundamentals.
Overall, the company sits at a juncture where early signs of profit recovery coexist with revenue decline and listing-maintenance pressure, making it important to continue monitoring the direction of quarterly results, any revenue expansion, and related disclosures going forward.
Report written 2026-09-05 · Data as of 2026-09-04
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