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
ITCen Entec, a public-sector focused system integrator, posted 2025 revenue of KRW 572.0 billion and operating profit of KRW 20.9 billion, marking a sixth consecutive year of double-digit revenue growth alongside a recovery in profitability.
2025 consolidated revenue reached KRW 572.0 billion (+29.5% year-on-year) and operating profit KRW 20.9 billion (+121.2% year-on-year), while net income attributable to owners rose to KRW 23.0 billion.
Net income attributable to owners over the latest four quarters (Q3 2025 through Q2 2026) totaled roughly KRW 42.5 billion, though the company posted a net loss of KRW 4.6 billion in Q2 2025, underscoring quarter-to-quarter volatility.
On a standalone basis, the first-half 2026 operating margin improved to 8.5% from 5.6% a year earlier, staying above 8% for four consecutive quarters.
In April 2026 the company completed a 5-for-1 reverse stock split, reducing total shares outstanding from roughly 65.12 million to about 13.02 million.
The company has continued to win AI-based learning diagnostics and next-generation information system projects from public agencies such as the Ministry of Education and HUG, expanding its footprint in AI transformation (AX).
ITCen Entec is described as Korea's first IT service company, founded in 1981. The company changed its name from Ssangyong Information & Communications Corp. to ITCen Entec in February 2025, and its largest shareholder is Comtec Systems, holding a 39.08% stake.
It serves as the core IT-services affiliate within the ITCen Group, which is controlled by parent company ITCEN Global. Its consolidated subsidiaries include ITCen Cloit (cloud infrastructure), ITCEN Japan, and Widsen.
Business lines span system integration (SI), IT outsourcing (ITO), and an expanding AI-transformation (AX) segment serving public, defense, finance, manufacturing, logistics and services clients.
The company maintains a leading market share in public-sector projects valued at KRW 4 billion or more, and provides system-build and ITO services to large private-sector clients such as Samsung Electronics, Hyundai Glovis and Hyundai Mobis.
Flagship projects include the next-generation information system for the Housing & Urban Guarantee Corporation (HUG), disaster-recovery maintenance for local governments, and the fifth-generation Donghaeng Lottery system build.
More recently, it won a KRW 18.5 billion first-phase project with the Ministry of Education and the Korea Institute for Curriculum and Evaluation (KICE) to build an AI-based learning-diagnostics system and a national basic-competency support portal.
In the domestic SI market it competes against larger conglomerate-affiliated IT service providers such as Samsung SDS, Lotte Data Communication and Hyundai Autoever, positioning ITCen Entec as a smaller-scale SI operator relative to these peers.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩127.8B | ₩1.5B | 1.1% |
| 2025Q3 | ₩137.2B | ₩9.8B | 7.1% |
| 2025Q4 | ₩195.1B | ₩10.2B | 5.2% |
| 2026Q1 | ₩135.9B | ₩7B | 5.2% |
| 2026Q2 | ₩138.8B | ₩8.3B | 6.0% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩325.2B | ₩9.7B | ₩12B | 3.0% | 21.1% | 329.2% |
| 2023 | ₩392.5B | ₩8.4B | ₩5.4B | 2.1% | 8.5% | 209.4% |
| 2024 | ₩441.8B | ₩9.4B | ₩11.7B | 2.1% | 15.3% | 249.9% |
| 2025 | ₩572B | ₩20.9B | ₩23B | 3.6% | 23.2% | 222.4% |
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
2025 consolidated revenue rose 29.5% year-on-year to KRW 572.0 billion from KRW 441.8 billion, while operating profit jumped 121.2% to KRW 20.9 billion from KRW 9.4 billion, lifting the operating margin from 2.1% to 3.6%.
Net income attributable to owners expanded sharply to KRW 23.0 billion from KRW 11.7 billion a year earlier. Company data show revenue has grown at a double-digit rate for six consecutive years.
On a quarterly basis, Q2 2025 was weak, with revenue of KRW 127.8 billion, operating profit of only KRW 1.5 billion, and a net loss attributable to owners of KRW 4.6 billion, before improving to revenue of KRW 137.2 billion and operating profit of KRW 9.8 billion in Q3.
Analysts attributed this margin improvement to a decline in the cost-of-sales ratio from 89.1% in Q3 2024 to 83.3% in Q3 2025, driven by workforce-efficiency restructuring.
Q4 2025 delivered the year's largest quarterly revenue at KRW 195.1 billion and operating profit of KRW 10.2 billion, though profitability was cited as having declined from weaker results at subsidiaries including ITCen Cloit, ITCen Japan and Widsen despite the revenue increase.
The improving profit trend continued into 2026, with Q1 revenue of KRW 135.9 billion and operating profit of KRW 7.0 billion, followed by Q2 revenue of KRW 138.8 billion and operating profit of KRW 8.3 billion.
The company reported that first-half 2026 standalone revenue grew 17.38% year-on-year to KRW 157.2 billion and operating profit rose 78.65% to KRW 13.3 billion, with the standalone operating margin climbing from 5.6% to 8.5% and staying above 8% for four consecutive quarters.
The domestic public-sector and SI market is in a phase of structurally rising demand, driven by the government's national AI strategy and expanding public-sector AI-transformation (AX) investment.
Market research cited in industry reports projects Korea's cloud computing market to grow at a compound annual rate of 15.4%, from KRW 12 trillion in 2023 to KRW 24.6 trillion by 2028.
Within this trend, ITCen Entec is building visible cloud-business momentum through expansion of its Public Cloud MSP service and its Google Cloud partnership.
In the competitive landscape, larger conglomerate-affiliated SI firms such as Samsung SDS, Lotte Data Communication and Hyundai Autoever lead in revenue scale and client base, while ITCen Entec is positioned as a smaller SI operator that maintains a leading market share in large public-sector projects valued at KRW 4 billion or more.
In specialized areas such as education, defense and finance, the company's long track record supports a stable base of maintenance and operations (ITO) revenue.
Parent company ITCEN Global operates across three segments—management/investment, Web3, and IT services—meaning group-level business diversification remains a variable that could affect the profit-and-loss structure of affiliates.
The company stated it will continue advancing its Intelligsen Code development-productivity tool and leverage subsidiary synergies in the second half to build out its AI and AX business foundation while pursuing stable growth and margin improvement.
It won a first-phase KRW 18.5 billion project with the Ministry of Education and KICE to build an AI-based learning-diagnostics system, aiming to link assessment-management systems and create a precise diagnostic and feedback environment; this follows a KRW 34.1 billion AI-based personalized teaching-and-learning platform project won in 2024, extending its public-education AX business.
At the group level, ITCen signed a memorandum of understanding with Korea Quantum Computing (KQC) for GPU-as-a-Service (GPUaaS) cooperation, seeking to participate in AI infrastructure business.
Parent company ITCEN Global said it plans to pursue Web3-related businesses such as security tokens (STO) and real-world asset (RWA) tokenization in the second half, which serves as a reference point for the broader group's business direction.
The company also said it established long-term cooperation frameworks through memoranda of understanding with Tunib, NHN, Vessl AI and Sionic AI. However, many of these new initiatives are still at an early stage, and the timing and scale of their revenue contribution have not yet been determined.
The shares are currently trading after an April 2026 five-for-one reverse stock split that significantly reduced the number of shares outstanding, making direct comparison with pre-split figures difficult.
The share price relative to net assets appears to be gradually moving away from the low range established during the earlier period of weak earnings, a shift that coincides with the profit recovery seen since 2023.
No dividend has been paid based on the most recent fiscal year, suggesting the company is prioritizing business reinvestment and cost-structure reform over shareholder returns for now.
Relative valuation comparisons with peer SI and AX companies can vary depending on the peer group chosen and the timing of the assessment, warranting caution in interpretation.
The debt ratio has fluctuated in the mid-200% range, which is relatively elevated within the industry and remains a capital-structure item warranting ongoing observation.
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
Profitability improvement through workforce efficiency and cost management has been confirmed across multiple quarters, with the 2025 operating margin rising to 3.6% and the first-half 2026 standalone operating margin jumping to 8.5%.
Revenue has also sustained double-digit growth for six straight years, suggesting emerging economies of scale. Whether this trend persists will need to be reconfirmed in coming quarterly results.
The company continues to win large-scale information system projects from public agencies such as the Ministry of Education and HUG, broadening its AI-transformation (AX) revenue base.
It maintains a leading market share in large public-sector projects worth KRW 4 billion or more, meaning expanded government AI and digital-transformation budgets could serve as a favorable backdrop.
However, public-sector projects can cause revenue recognition to swing considerably between quarters depending on budget allocation and order timing.
Through the April 2026 five-for-one reverse stock split, the company reduced shares outstanding to about 13.02 million, stating the goal was price stabilization and enhanced corporate value.
With largest shareholder Comtec Systems maintaining roughly a 39% stake, governance-related control issues appear relatively limited.
Quarter-to-quarter results have varied considerably—the company posted a net loss attributable to owners of KRW 4.6 billion in Q2 2025—making it difficult to judge business stability from annual figures alone.
There is also a seasonal pattern in which Q4 revenue is the largest of the year, which should be factored in when interpreting other quarters' results.
The debt ratio fell from 329.2% in 2022 to 209.4% in 2023, then rose again to 249.9% in 2024 and 222.4% in 2025, remaining elevated in the mid-200% range. In 2023, operating cash flow was negative at KRW -19.7 billion.
The decline in Q4 2025 operating profit was attributed to weaker profitability at subsidiaries including ITCen Cloit, ITCen Japan and Widsen, illustrating how much subsidiary performance affects consolidated earnings.
Non-controlling interest equity was negative (roughly KRW -0.3 billion) at year-end 2025, another sign of the complexity in the subsidiary equity structure worth monitoring.
A significant portion of revenue depends on public-agency orders, so changes in the timing or scale of government AI and digital-transformation budgets could affect revenue-recognition schedules. Annual results could also become more volatile depending on the outcome of large project awards.
As an affiliate of the ITCEN Global group, the performance of dissimilar businesses the group pursues together—such as Web3 and gold distribution—could affect group-wide credit standing or investor sentiment.
Discussions surrounding the equity structure and potential listing of subsidiary ITCen Cloit continue, warranting monitoring of any changes in equity value.
Since the April 2026 stock consolidation sharply reduced total shares outstanding, future changes in float and trading volume could affect price volatility.
Should disclosures emerge regarding changes in the largest shareholder's or other major shareholders' stakes, these should be watched from a supply-and-demand perspective.
Check whether the standalone operating margin holds in the 8% range and whether subsidiaries such as ITCen Cloit show improved earnings.
Monitor Q4 revenue and order announcements tied to year-end public-sector budget execution, comparing against the prior-year quarter's KRW 195.1 billion.
Track progress on parent company ITCEN Global's announced stablecoin and RWA-related Web3 initiatives, and how these affect resource allocation across group affiliates.
If disclosures emerge on subsidiary equity sales, equity-method gains or losses, or IPO plans, assess the impact on net income attributable to owners and equity value.
ITCen Entec is a public-sector-focused SI company that posted 2025 revenue of KRW 572.0 billion and operating profit of KRW 20.9 billion, marking a sixth consecutive year of double-digit revenue growth alongside a profit recovery.
The improving profitability trend continued into first-half 2026, with the standalone operating margin rising to 8.5%, though the large quarter-to-quarter swings—such as the Q2 2025 net loss—should be weighed alongside this.
Seasonal concentration of revenue in Q4, a debt ratio in the mid-200% range, and the impact of subsidiary performance on consolidated results are variables that warrant continued observation.
Expanded public AX project wins from agencies such as the Ministry of Education and HUG, together with the share-structure realignment through the five-for-one reverse split, are notable developments on the business and shareholder-composition fronts, respectively.
Parent company ITCEN Global's expansion into Web3 and gold-distribution businesses illustrates group-wide diversification while also raising the need for affiliate-risk management. Going forward, tracking Q3 and Q4 results together with any subsidiary-related disclosures will be important.
Report written 2026-09-05 · Data as of 2026-09-04
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