KOSPIConstruction & Materials014580

Taekyung Bk

₩3,870▲ 2.79%2026-10-02 close

Market Cap

₩107.6B

Turnover

₩500M

Volume

120,000 shares

Shares out.

27.6M

PER

3.8×

PBR

0.4×

EPS

₩1,006

Dividend Yield

3.92%

PER, EPS, PBR and BPS are calculated in-house from the last 4 quarters (2025Q3–2026Q2) · Dividend yield is based on ₩150 per share · Prices as of the 2026-10-02 close

Report overview

Revenue Growth, Shrinking Owner Profit Share

The March 2025 consolidation of Lion Chemtech sharply expanded Taekyung BK's revenue base, but changes in ownership structure left owner-attributable net income lower than the prior year.

1
The March 2025 consolidation of Lion Chemtech (artificial marble, synthetic wax) expanded the company from a lime/carbon gas/coke core into a five-segment structure.
2
2025 consolidated revenue rose more than 25% year-on-year to KRW385.9 billion, yet owner-attributable net income fell to KRW23.9 billion.
3
With only a 55.58% stake in Lion Chemtech, non-controlling interests roughly doubled to KRW184.4 billion and the debt ratio rose from 23.6% to 49.1%.
4
Operating cash flow improved markedly to KRW64.5 billion from KRW38.9 billion a year earlier.
5
The oligopolistic position in petroleum coke supply and rising carbon-gas demand from the shipbuilding upcycle remain intact.

Business structure

Taekyung BK is Korea's largest limestone producer, holding multiple mining rights including the Yeongcheon mine in Danyang, Chungbuk and the Hwaam mine in Jeongseon, Gangwon, with lime manufacturing and sales as its core business.

Through subsidiary Taekyung Chemical, the company produces liquid carbon dioxide, dry ice and magnesium hydroxide; liquid carbon dioxide is supplied for beverage uses such as beer and soft drinks as well as industrial uses including shipbuilding welding and refrigerants.

Its petroleum coke business holds an exclusive domestic supply agreement with Oxbow, the world's largest producer, giving it a near-monopoly position, and the material also serves as an essential input for artificial-graphite battery anode materials.

In March 2025, Taekyung BK and affiliate Taekyung Chemical acquired 34.26% and 21.32% stakes respectively, bringing artificial marble and synthetic wax maker Lion Chemtech into the consolidated group.

This expanded the business portfolio to five segments: lime manufacturing, carbon gas, highway rest-stop and gas station operations, artificial marble, and synthetic wax.

Lion Chemtech ranks fourth globally in artificial marble for architectural interior/exterior finishes and is Korea's No.1 and world's fourth-largest synthetic wax producer, generating more than 70% of its sales from overseas exports.

In the domestic artificial marble market, competitors include LG Hausys, Hanwha L&C and DuPont. The group further diversifies its materials portfolio through affiliates such as lighting maker Namyoung Jeongu (55.28% stake) and cosmetics-material maker KPT.

Earnings trend

Quarterly revenue · Operating profit

₩111.9B₩12B25Q2₩102.2B₩12.2B25Q3₩102.2B₩9.4B25Q4₩103.3B₩10.8B26Q1₩119.5B₩9.9B26Q2

RevenueOperating profit

Annual revenue · Operating profit

₩345.1B₩31.9B2022₩294.2B₩40.1B2023₩308.6B₩42.2B2024₩385.9B₩40.8B2025

RevenueOperating profit

Quarterly results · Last 5 quarters
Quarter	Revenue	Operating profit	Op. margin
2025Q2	₩111.9B	₩12B	10.7%
2025Q3	₩102.2B	₩12.2B	11.9%
2025Q4	₩102.2B	₩9.4B	9.2%
2026Q1	₩103.3B	₩10.8B	10.5%
2026Q2	₩119.5B	₩9.9B	8.3%

Annual results
Year	Revenue	Operating profit	Net income (parent)	Op. margin	ROE	Debt-to-equity
2022	₩345.1B	₩31.9B	₩23.5B	9.3%	13.2%	36.3%
2023	₩294.2B	₩40.1B	₩24B	13.6%	12.2%	29.1%
2024	₩308.6B	₩42.2B	₩27.3B	13.7%	12.7%	23.6%
2025	₩385.9B	₩40.8B	₩23.9B	10.6%	10.1%	49.1%

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

Earnings analysis

2025 consolidated revenue rose 25.1% year-on-year to KRW385.9 billion from KRW308.6 billion in 2024, while operating profit fell 3.4% to KRW40.8 billion from KRW42.2 billion, pulling the operating margin down from 13.7% to 10.6%.

Owner-attributable net income also declined, from KRW27.3 billion in 2024 to KRW23.9 billion in 2025, reflecting a larger share of profit allocated to non-controlling interests after the March 2025 consolidation of Lion Chemtech, in which the combined stake was only 55.58%.

Owner's equity rose from KRW215.2 billion in 2024 to KRW235.5 billion in 2025, while non-controlling interests nearly doubled from KRW96.7 billion to KRW184.4 billion, and total liabilities rose from KRW73.7 billion to KRW206.1 billion, lifting the debt ratio from 23.6% to 49.1%.

In contrast, operating cash flow improved substantially, rising to KRW64.5 billion in 2025 from KRW38.9 billion in 2024, showing stronger cash generation relative to reported earnings.

On a quarterly basis, operating profit peaked at KRW12.2 billion in the third quarter of 2025, the highest of the recent five quarters, before easing to KRW9.4 billion in the fourth quarter.

Into 2026, operating profit came in at KRW10.8 billion in the first quarter and KRW9.9 billion in the second, while owner-attributable net income reached KRW9.9 billion in the first quarter — the highest of the five-quarter window — before falling to KRW6.5 billion in the second quarter, a divergence between the operating-profit and owner-profit trends.

Over the most recent four quarters (Q3 2025 through Q2 2026), revenue totaled roughly KRW427.3 billion, operating profit about KRW42.3 billion, and owner-attributable net income about KRW27.7 billion.

These figures indicate that while revenue expansion has continued, growth in profit attributable to controlling shareholders has been comparatively muted.

Industry analysis

The lime manufacturing segment is influenced by steel and construction-material demand as well as environmental improvement projects, while the carbon gas segment has seen rising usage on the back of a shipbuilding upcycle and growing dry-ice demand.

In the first half of 2026, the lime business improved on stronger demand from the steel and environmental-pollution-prevention sectors alongside a stable supply system, while the artificial marble business expanded sharply on the Lion Chemtech consolidation effect and rising demand for premium products, and the wax business also grew on increased demand for high-function products.

The global acrylic artificial marble market continues to grow, and the industrial wax market is also trending positively on rising demand for personal care, cosmetics, ink and adhesives in the Asia-Pacific region.

The global calcined petroleum coke (CPC) market is estimated at roughly USD9.86 billion in 2026, with a projected annual growth rate of about 3.3% driven by aluminum and steel smelting demand.

In terms of competitive positioning, Taekyung BK holds a near-monopoly on domestic coke supply, while in artificial marble it competes with larger materials companies through Lion Chemtech.

Outlook

The company is pursuing overseas exports of specialty precipitated calcium carbonate (PCC) products for paper applications and is building a stable business base through a planned long-term contract with Hansol Paper's Janghang plant, alongside ongoing research into calcium carbonate as a clay substitute.

Lion Chemtech is pursuing European market expansion and a stronger high-value-added lineup through new exterior-grade artificial marble products, as well as new market entry for synthetic wax.

The greenhouse-gas-based eco-friendly calcium carbonate commercialization MOU signed with Hyundai Oilbank in 2020 was still described as being under development as of early-2023 reporting, and a concrete launch timeline has not yet been disclosed.

With domestic technology having succeeded in localizing artificial-graphite anode materials for batteries, expectations for expanded coke supply persist.

A recently filed business report noted that certain production facilities had been suspended and were tentatively scheduled to resume operations on August 6, 2026, adding that the actual restart timeline could change depending on domestic and external economic conditions.

How fully the synergies from the newly consolidated businesses materialize in earnings going forward remains a point to watch.

Valuation

PER

3.8×

PBR

0.4×

ROE

12.4%

EPS

₩1,006

BPS

₩8,899

Dividend per share

₩150

The share price trades at a level below per-share net asset value, placing it in a discount range relative to book value. With owner-attributable net income lower in 2025 than a year earlier, profitability-related metrics softened even as revenue expanded.

The enlargement of non-controlling interests following the Lion Chemtech consolidation acts as a dilutive factor on owner-attributable profit, so changes in ownership structure need to be considered alongside any valuation reading.

The company has maintained cash dividends through its most recent fiscal year, though the payout appears modest relative to the size of earnings. As with peers in the sector, movements in raw material and energy prices as well as foreign exchange rates can affect margins and valuation.

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

Bull factors

Broader Revenue Base Through Diversification

The March 2025 consolidation of Lion Chemtech added artificial marble and synthetic wax businesses, expanding consolidated revenue from KRW308.6 billion in 2024 to KRW385.9 billion in 2025.

Lion Chemtech ranks fourth globally in artificial marble and is Korea's No.1, world's No.4 synthetic wax maker, deriving over 70% of sales from exports, giving the group a growth axis distinct from its lime and carbon-gas core. This could help reduce dependence on any single end-market.

Oligopolistic Position in Petroleum Coke and Carbon Gas

Taekyung BK holds an exclusive domestic supply agreement with Oxbow, the world's largest petroleum coke producer, and coke also serves as a key material for artificial-graphite battery anodes. The carbon gas business has seen rising usage amid a shipbuilding upcycle and growing dry-ice demand. This oligopolistic supply-chain position could be favorable for pricing power.

Improved Cash Generation

Consolidated operating cash flow rose to KRW64.5 billion in 2025 from KRW38.9 billion in 2024. Cash generation improved even as net income growth slowed. This supports funding capacity for new business investment and balance-sheet management.

Bear factors

Dilution of Owner-Attributable Profit

Lion Chemtech is a subsidiary in which Taekyung BK and Taekyung Chemical together hold only 55.58%, and non-controlling interests expanded from KRW96.7 billion to KRW184.4 billion in 2025.

As a result, even as consolidated revenue grew more than 25%, owner-attributable net income fell from KRW27.3 billion in 2024 to KRW23.9 billion in 2025. The ownership structure means revenue growth does not automatically translate into higher owner-attributable profit.

Declining Operating Margin

Consolidated operating margin fell from 13.7% in 2024 to 10.6% in 2025, and remained around the 10% level over the most recent four quarters (Q3 2025 to Q2 2026). This appears to reflect a combination of raw material and energy costs and differing profitability across newly consolidated businesses. Margin recovery has lagged behind revenue growth.

Balance-Sheet Strain from Structural Change

Following the Lion Chemtech consolidation, total liabilities rose from KRW73.7 billion in 2024 to KRW206.1 billion in 2025, lifting the debt ratio from 23.6% to 49.1%. Because this balance-sheet shift occurred over a short period following an acquisition, the stability of the integration process warrants monitoring.

The larger non-controlling interest base has also made the group's internal profit-allocation structure more complex.

Risk factors

Ownership and Balance-Sheet Structure Risk

Acquisitions of Lion Chemtech and other affiliates have increased the number of consolidated subsidiaries, simultaneously raising the debt ratio and non-controlling interests. With the ownership stake at only 55.58%, financial burden could increase if additional stake purchases or capital injections become necessary. Ongoing mergers among subsidiaries also make the governance structure relatively complex.

Sensitivity to End-Market Cycles

The lime and carbon gas businesses are tied to steel, shipbuilding and construction cycles, exposing them to demand swings in those industries. Lion Chemtech's export-heavy artificial marble and synthetic wax businesses can also be affected by foreign exchange rates and overseas construction conditions. The coke business is likewise dependent on supply-contract terms and global energy prices.

New Business Uncertainty

The eco-friendly calcium carbonate commercialization project with Hyundai Oilbank, underway since 2020, has faced repeated schedule delays, and a concrete commercialization date has yet to be confirmed.

Certain production facilities remain suspended with only a tentative restart schedule, which the company itself has said may change depending on conditions. Whether the newly consolidated businesses fully realize expected synergies also remains to be seen.

What to watch next

Mid-November 2026
Timing of the Q3 2026 earnings disclosure, when the profit-allocation ratio to controlling shareholders and any recovery in operating margin after the Lion Chemtech consolidation should be checked.
Second half of 2026
Whether the long-term PCC supply contract with Hansol Paper's Janghang plant is finalized, and progress on clay-substitute calcium carbonate development, should be monitored.
Fourth quarter of 2026
Whether the launch of Lion Chemtech's new exterior-grade artificial marble products for Europe and export expansion begin to show up in results should be verified.
Timing of the Q3 2026 quarterly report filing
The actual normalization status and utilization changes of the production facility whose restart had been tentatively planned for August 6 should be verified through the filing.

Overall view

Taekyung BK has significantly broadened its footprint by adding artificial marble and synthetic wax businesses through the March 2025 consolidation of Lion Chemtech, on top of its existing lime, carbon gas and coke operations.

As a result, 2025 consolidated revenue grew more than 25% year-on-year to KRW385.9 billion, but with the Lion Chemtech stake at only 55.58%, the larger non-controlling interest share meant owner-attributable net income actually fell from KRW27.3 billion to KRW23.9 billion.

The operating margin also declined from 13.7% to 10.6%, and this divergence between revenue growth and profit metrics has continued into recent quarters. On the other hand, operating cash flow improved substantially, and the oligopolistic supply-chain position in coke and carbon gas remains intact.

The near-doubling of the debt ratio over a short period, along with continued uncertainty over the commercialization timeline for new businesses such as eco-friendly calcium carbonate, are variables that warrant ongoing attention.

Assessing the investment case appears to require continued tracking of how much the results of business diversification flow through to owner-attributable profit, and whether the changes in balance-sheet structure are managed stably.

Sources

Korea Exchange (KRX) — Prices · Market Cap · Volume
FSS electronic disclosure system (DART) — Financial statements · Dividend filings

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Report written 2026-09-05 · Data as of 2026-09-04

This content is AI analysis of market data and web search results, provided for information only. It is not a solicitation or recommendation to invest. Investment decisions and their consequences are the investor's own responsibility. Data may be delayed or contain errors.