PER, EPS, PBR and BPS are calculated in-house from the last 4 quarters (2025Q3–2026Q2) · Dividend yield is based on ₩50 per share · Prices as of the 2026-10-02 close
Revenue kept rising but operating profit slipped again in 2025, before quarterly earnings showed a clear recovery through the first half of 2026.
2025 consolidated revenue rose slightly to KRW 379.7 billion, but operating profit fell to KRW 16.3 billion and net income attributable to owners was only KRW 5.6 billion.
Operating profit improved sequentially to KRW 6.5 billion and KRW 13.3 billion in Q1 and Q2 2026, lifting owner net income over the latest four quarters (Q3 2025-Q2 2026) to roughly KRW 20.2 billion.
The dye segment saw export improvement from demand recovery in North America and Europe, while the chemical and electronic materials segment is expanding around saccharin, BCMB, and photosensitive materials.
The founding family and related parties hold a combined 33.91% stake, giving stable control but drawing comments about relatively weak minority shareholder checks.
Repeated impairment losses tied to subsidiary investments have raised questions about the reliability of the firm's financial structure and investment decisions.
Kyungin Synthetic (KISCO), listed on the KOSPI since 1977, manufactures dyes, functional chemical products, and electronic materials.
Its core businesses are textile dyes such as reactive dyes, along with fine chemical products like saccharin and BCMB, and it has recently expanded into semiconductor and display electronic materials.
Its subsidiary JMC is the sole domestic producer of saccharin and also makes BCMB, a key raw material for semiconductor encapsulant resins.
Another affiliate, Daito-KISCO, produces photoactive compound (PAC), a core material used in display and semiconductor photolithography, while WiseChem supplies electronic-material pigments to manufacturers in Korea, Japan, China, and Taiwan.
The group comprises nine affiliates domestically and abroad, with Kyungin Synthetic being the only listed entity. Governance is centered on the founding family: Chairman Kim Heung-jun holds a 20.44% stake, and related parties together hold 33.91%.
Production facilities span Korea and Turkey, supporting a global sales network across many countries. The company's strategy leans on stable cash flow from its legacy textile dye business while gradually increasing the weight of new semiconductor and display material businesses.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩100.3B | ₩5.4B | 5.4% |
| 2025Q3 | ₩90.7B | ₩1.2B | 1.4% |
| 2025Q4 | ₩89.2B | ₩4.3B | 4.8% |
| 2026Q1 | ₩107.9B | ₩6.5B | 6.1% |
| 2026Q2 | ₩119B | ₩13.3B | 11.2% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩402.6B | ₩28.1B | ₩14.3B | 7.0% | 5.9% | 106.0% |
| 2023 | ₩345.4B | -₩2.2B | -₩10.7B | −0.7% | −4.7% | 114.1% |
| 2024 | ₩374.2B | ₩24.2B | ₩15.3B | 6.5% | 6.4% | 105.3% |
| 2025 | ₩379.7B | ₩16.3B | ₩5.6B | 4.3% | 2.3% | 98.8% |
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 results show revenue peaked at KRW 402.6 billion with operating profit of KRW 28.1 billion in 2022, before revenue plunged to KRW 345.4 billion in 2023, producing an operating loss of KRW 2.2 billion and an owner net loss of KRW 10.7 billion.
In 2024 the company returned to profit with revenue of KRW 374.2 billion, operating profit of KRW 24.2 billion, and owner net income of KRW 15.3 billion, but in 2025 operating profit fell again to KRW 16.3 billion and owner net income to KRW 5.6 billion even as revenue edged up to KRW 379.7 billion.
On a quarterly basis, Q2 2025 revenue was KRW 100.3 billion with operating profit of KRW 5.4 billion but an owner net loss of KRW 1.9 billion, and Q3 revenue slipped to KRW 90.7 billion with operating profit down to KRW 1.2 billion.
Q4 marked a turn with revenue of KRW 89.2 billion, operating profit of KRW 4.3 billion, and net income of KRW 3.5 billion, followed by two consecutive quarters of clear improvement in 2026: Q1 revenue of KRW 107.9 billion, operating profit of KRW 6.5 billion, net income of KRW 5.2 billion, and Q2 revenue of KRW 119.0 billion, operating profit of KRW 13.3 billion, net income of KRW 10.0 billion.
As a result, cumulative owner net income over the latest four quarters (Q3 2025-Q2 2026) reached about KRW 20.2 billion, well above the full-year 2025 figure of KRW 5.6 billion.
This pattern suggests operating margins have gradually recovered since the temporary weakness in the first half of 2025, which included a net loss in Q2. Still, the swing into loss in 2023 and the profit slowdown in 2025 underscore continued year-to-year volatility that warrants ongoing attention.
The dye industry is heavily tied to the global textile consumption cycle; recent research notes that export performance improved in the dye segment on demand recovery in North America and Europe, while the chemical segment completed capacity expansion but saw limited profitability due to added costs.
Other consensus data similarly points out that demand stabilization since Q2 2024 has driven a sales recovery in dyes, while pricing tactics from BCMB competitors and unstable raw material supply have constrained profitability. This suggests the industry is in a phase combining topline recovery with margin pressure.
One analysis also observed that although revenue recovered to the high-KRW-300-billion range in both 2024 and 2025, the 2025 increase was partly attributable to a currency translation effect from a weaker won, highlighting the need to look beyond headline revenue growth.
In the electronic materials segment, demand for BCMB used in semiconductor encapsulants and photoactive compounds used in display and semiconductor processes is said to be broadening in line with 5G and high-performance device proliferation, though this segment's contribution to overall revenue remains limited according to some assessments.
Competitively, pricing behavior from rivals in specific items such as BCMB directly affects profitability, making raw material sourcing and pricing power key variables for results.
The company continues a region-by-region market strategy. Specifically, it is described as strengthening technical support at nearshoring hubs in Latin America to expand its response to U.S. market demand, while stabilizing its business base in South Asia through cooperation with local brands.
On the electronic materials side, the company is said to be expanding new plant capacity to meet rising BCMB demand and reinforcing R&D staffing and its push into the Chinese market to grow the electronic materials business.
This points toward a gradual shift from a dye-centric revenue mix toward a higher share of higher-value chemical and electronic materials.
However, the actual revenue contribution and profitability impact of these new businesses are still considered early-stage, and further quarters of results will be needed to confirm the trend.
The two consecutive quarters of operating profit improvement in the first half of 2026 can be seen as a positive signal, but whether this stems from seasonal demand recovery in dyes or a structural contribution from new electronic materials businesses requires confirmation through additional quarterly results.
The frequency of impairment recognition tied to subsidiary investments also remains an important variable for judging the quality of future annual earnings.
The shares trade at a discount to net asset value, with the price-to-book ratio sitting below one. Given the historically large swings in earnings, profit-based multiples have also varied widely by quarter, and incorporating the latest four quarters places the multiple toward the lower end of its historical band.
The company has a track record of paying cash dividends, though its payout ratio and yield level are not particularly distinctive within the sector.
Following the swing from a loss in 2023 to a profit in 2024, a renewed earnings decline in 2025, and a recovery through the first half of 2026, valuation metrics have moved in tandem with this earnings cycle.
Whether this earnings recovery proves durable is seen as the key variable shaping the direction of valuation metrics going forward.
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
Operating profit rose for two straight quarters to KRW 6.5 billion and KRW 13.3 billion in Q1 and Q2 2026, lifting owner net income over the latest four quarters to about KRW 20.2 billion.
This marks a clear recovery from the trough in the second half of 2025, offering evidence of a shifting earnings trajectory, though continuation needs confirmation in coming quarters.
Export performance in the dye segment has improved on the back of demand recovery in North America and Europe. A long operating history, a global sales network, and core reactive dye products underpin this recovery, though as a cyclical rebound, its durability needs to be watched.
Beyond fine chemical products like saccharin and BCMB, the company is broadening into photoactive compounds and electronic-material pigments, expanding its entry into semiconductor and display material markets. New plant expansion, a push into the Chinese market, and R&D staffing increases are proceeding in parallel.
However, the revenue contribution to date has been described as limited, requiring further confirmation of results.
Annual operating profit swung sharply from KRW 28.1 billion in 2022 to an operating loss of KRW 2.2 billion in 2023, recovered to KRW 24.2 billion in 2024, then fell again to KRW 16.3 billion in 2025, showing large year-to-year variance.
This volatility reflects high sensitivity to raw material costs, currency, and demand cycles. Additional quarters are needed to determine whether the recent recovery is structural or a temporary rebound.
Repeated impairment losses on subsidiary investments have raised questions about the reliability of the financial structure and investment decisions. In some cases, book value has been written down to zero, prompting calls for conservative review. This is a factor that must be weighed alongside the performance of new business investments.
With the founding family and related parties holding a combined 33.91% stake, management control is stable, but minority shareholder checks are seen as relatively weak. This is directly tied to market trust regarding governance matters such as subsidiary investment decisions. Transparency in future disclosures and decision-making will be an important point to watch.
In items like BCMB, pricing tactics from competitors and unstable raw material supply directly constrain profitability. Disruptions in raw material sourcing costs or supply could reignite margin pressure. This is a structural risk across the chemical segment requiring ongoing monitoring.
A significant portion of the 2025 revenue increase has been attributed to a currency translation effect from a weaker won, meaning a shift toward won strength could again pressure revenue and profit metrics.
Given the export-heavy business structure, currency movements remain a key variable for results, warranting attention to hedging policy and exposure size.
The electronic materials and semiconductor materials new businesses are still assessed as having a limited revenue contribution. While new plant expansion and R&D investment continue, translating this into actual profitability improvement may take time. If returns on investment are delayed, financial burden could increase.
Expected Q3 2026 earnings release — check whether the operating profit improvement seen in H1 continues into Q3, and how the contribution splits between the dye and electronic materials segments.
Watch whether additional impairment losses on subsidiary investments are recognized during year-end closing — a recurring issue in the past that is important for assessing financial reliability.
Filing of the 2026 annual business report — a point to confirm finalized annual results, the performance of new plant capacity in electronic materials and chemicals, and any changes in dividend policy.
Check for follow-up news on the China market push and the new BCMB plant, such as customer acquisition and utilization rates.
Kyungin Synthetic is a dye specialist with nearly five decades of history that has recently diversified into fine chemicals such as saccharin and BCMB, and into semiconductor and display electronic materials.
After swinging from a loss in 2023 to profit in 2024 and a renewed profit decline in 2025, the company posted two consecutive quarters of operating profit improvement in the first half of 2026, lifting owner net income over the latest four quarters to the KRW 20 billion range.
On the other hand, large year-to-year earnings volatility, recurring impairment losses tied to subsidiary investments, and family-centered governance remain variables requiring continued attention.
The dye segment is benefiting from a favorable environment of demand recovery in North America and Europe, while the electronic materials segment is preparing growth drivers through new plant expansion and a China market push, though its revenue contribution remains at an early stage.
In terms of valuation, the shares show characteristics such as a discount to net asset value and a dividend level that is not distinctive within the sector, with the durability of the earnings recovery seen as the key variable shaping the future direction of these metrics.
Upcoming quarterly results, whether further impairments are recognized, and the revenue contribution of new businesses will likely serve as key evidence for future assessment.
Report written 2026-09-05 · Data as of 2026-09-04
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