KOSDAQChemicals025320

Synopex

₩4,000▲ 1.65%2026-10-02 close

Market Cap

₩367.5B

Turnover

₩1.7B

Volume

410,000 shares

Shares out.

92.2M

PER

—

PBR

2.0×

EPS

₩0

Dividend Yield

0.00%

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

Report overview

Expanding New Businesses, Rising Earnings Volatility

Synopex is expanding new businesses such as blood dialysis filters and EV battery FPCB, but recent quarterly operating results have swung between profit and loss as related investment costs are recognized.

1
Consolidated operating margin fell sharply to 2.6% in 2025 from 8.9% a year earlier, with sample and marketing costs tied to new businesses cited as the main factor.
2
Quarterly operating results alternated between profit and loss from Q3 2025 through Q2 2026.
3
Its blood filtration device for artificial kidneys received Korea's first domestic regulatory approval of its kind and is expanding into tertiary hospitals, with a first overseas export shipment in April 2026.
4
A dedicated plant has been built to supply EV battery FPCB to a global automaker, with field tests in 2026 and mass production targeted by year-end, according to a brokerage note.
5
The debt ratio rose to 51.1% in 2025 from 40.4% in 2024, and operating cash flow, while still positive, has trended down since 2023.

Business structure

Synopex was established in 1985 and listed on KOSDAQ in 1995; a 2006 merger with an industrial filter specialist gave the company its current structure spanning electronic components (FPCB) and filter materials.

The SE (electronics) division produces SMT and PBA products using flexible printed circuit board (FPCB) technology, supplying smartphones and tablets, and has recently expanded into large-format FPCB for EV batteries.

The AMFS (advanced materials filtration & separation) division processes materials such as PP, PTFE, PVDF and PES into nano-grade membranes to develop and produce filters.

This division supplies CMP filters for semiconductors, MF/UF/NF filters for water treatment, chemical filters, and HEPA/ULPA filters across semiconductor, biosimilar, water treatment and medical applications.

The FPCB unit has supplied roughly KRW 200 billion worth of PBA modules annually, historically mostly to mobile-device customers, and is now broadening into the EV market.

Building on its filtration and electronics know-how, the company has also moved into medical devices such as artificial kidney systems and blood analyzers, positioned as a new growth axis distinct from its legacy electronics and industrial filter businesses.

The controlling shareholder is Sinodynamics, which holds a stake including affiliated parties. Competitively, the FPCB business faces numerous domestic and overseas component makers, while the filter business competes with imported filters and other membrane manufacturers.

Earnings trend

Quarterly revenue · Operating profit

₩67.7B₩5.7B25Q2₩70.8B₩800M25Q3₩55.8B-₩6.5B25Q4₩57.2B₩1.3B26Q1₩53.8B-₩1.9B26Q2

RevenueOperating profit

Annual revenue · Operating profit

₩244.8B₩12.9B2022₩262.2B₩24.2B2023₩238.3B₩21.2B2024₩261.5B₩6.8B2025

RevenueOperating profit

Quarterly results · Last 5 quarters
Quarter	Revenue	Operating profit	Op. margin
2025Q2	₩67.7B	₩5.7B	8.4%
2025Q3	₩70.8B	₩800M	1.2%
2025Q4	₩55.8B	-₩6.5B	−11.7%
2026Q1	₩57.2B	₩1.3B	2.3%
2026Q2	₩53.8B	-₩1.9B	−3.5%

Annual results
Year	Revenue	Operating profit	Net income (parent)	Op. margin	ROE	Debt-to-equity
2022	₩244.8B	₩12.9B	₩8.5B	5.3%	8.1%	104.8%
2023	₩262.2B	₩24.2B	₩14.6B	9.2%	10.9%	50.1%
2024	₩238.3B	₩21.2B	₩28.1B	8.9%	16.7%	40.4%
2025	₩261.5B	₩6.8B	₩7.4B	2.6%	4.3%	51.1%

Consolidated basis (financial statements including subsidiaries) · Final figures from DART filings · Net income attributable to owners of the parent · Data as of 2026-08-24

Earnings analysis

Consolidated revenue in 2025 was KRW 261.5 billion, modestly up from KRW 238.3 billion in 2024, but operating profit fell sharply to KRW 6.76 billion (2.6% margin) from KRW 21.2 billion (8.9%) in 2024. The margin improvement seen from 5.3% in 2022 to 9.2% in 2023 and 8.9% in 2024 reversed in 2025.

On a quarterly basis, Q3 2025 revenue rose to KRW 70.8 billion from KRW 67.7 billion in the prior quarter, but operating profit was only KRW 0.83 billion, while net profit attributable to owners came in much higher at KRW 6.26 billion, suggesting a meaningful non-operating contribution.

Q4 2025 revenue declined to KRW 55.8 billion, and both operating profit and net profit swung to losses of KRW 6.51 billion and KRW 7.32 billion, respectively.

Q1 2026 saw a return to profit with revenue of KRW 57.2 billion, operating profit of KRW 1.32 billion, and net profit attributable to owners of KRW 3.02 billion, before Q2 2026 reverted to losses with revenue of KRW 53.8 billion, an operating loss of KRW 1.90 billion, and a net loss of KRW 1.99 billion.

Across the most recent five quarters (Q2 2025 through Q2 2026), operating results have repeatedly alternated between profit and loss.

Annual net profit attributable to owners also moved from KRW 8.47 billion in 2022 to KRW 14.6 billion in 2023 and KRW 28.05 billion in 2024, before falling back to KRW 7.38 billion in 2025, reflecting swings tied to the timing of new-segment investment rather than a clear trend.

Operating cash flow peaked at KRW 48.1 billion in 2023 and has declined for three straight years to KRW 37.4 billion in 2024 and KRW 22.2 billion in 2025, pointing to a slowdown in cash generation alongside earnings volatility.

Industry analysis

Korea's dialysis-related market is estimated at roughly KRW 1.4 trillion annually, and the backdrop for localization is that around 20 million dialysis filters have been used each year domestically while being fully imported.

Synopex entered this market as the first Korean company to obtain regulatory approval for the product and is now in the process of expanding supply to tertiary hospitals such as Seoul National University Hospital.

In semiconductors, the shift to finer process nodes is driving demand for ultra-high-purity chemical filters, and Synopex has unveiled a chemical filter developed for 5-nanometer processes at Semicon Korea, positioning it as an area with potential for import substitution.

In the EV market, demand for large-format FPCB used in battery modules is growing, and Synopex has been selected as a supply partner for a global automaker, for which it has built a dedicated production plant.

In water treatment, demand continues for industrial wastewater facilities such as seawater desalination and mine drainage purification, with the business expanding into public and industrial infrastructure projects including cooperation with a state mine reclamation agency.

However, all of these new businesses remain at an early market-entry stage, and certification, quality evaluation and customer approval processes still need to be completed before revenue contribution becomes substantial, so it is premature to say the company has secured a firmly established position relative to existing filter and electronics component competitors.

Outlook

In its Q3 2025 earnings release, the company said market entry for its artificial-kidney blood filter, quality evaluation of semiconductor chemical filters, and EV sample development were entering final stages, and that full-scale growth in new business areas was expected from 2026.

EV FPCB is targeted to enter field testing during 2026 with mass production supply from year-end, a move interpreted as diversifying an FPCB revenue base that has historically centered on mobile customers.

The dialysis filter business achieved its first overseas export shipment in April 2026 and has signed a supply agreement with medical device distributor B. Braun Korea, indicating expanding domestic and overseas sales channels.

A mobile artificial kidney device (HD) had a regulatory approval application filed in January 2026, while a companion mobile water purifier for the device has already received approval and is being prepared for market launch.

Sangsangin Securities stated in a December 2025 report that cost ratios rose due to new product development and sample expenses, temporarily depressing Q3 2025 profitability, but that operating profit is expected to recover from 2026 as sample costs decline and revenue grows (the report did not provide a target price or investment rating).

NH Investment & Securities forecast in a January 2026 report that FPCB and industrial filter business results would expand while the artificial-kidney business would show its growth potential during the year.

These views represent each brokerage's opinion at the time of publication, and the actual timing and scale of revenue contribution may vary depending on progress in certification and customer approval processes.

Valuation

PER

—

PBR

2.0×

ROE

0.0%

EPS

₩0

BPS

₩1,900

Dividend per share

₩0

With operating and net results alternating between profit and loss over the past five quarters, the sum of net profit over the most recent four quarters (Q3 2025 through Q2 2026) came out negative, which limits how net-income-based valuation measures can be interpreted.

The share price appears to trade at a certain premium to net asset value, which can be read as partly reflecting expectations for the expansion of new businesses such as dialysis filters, EV FPCB, and semiconductor chemical filters.

There has been no dividend payment in the most recent fiscal year, limiting any approach based on dividend appeal.

That said, the pattern of an earnings recovery from 2022 through 2024 followed by a pullback in 2025, along with increased quarter-to-quarter volatility since Q3 2025, are relevant background for valuation assessment.

Brokerage reports point to potential profitability recovery once new-business revenue contribution becomes more substantial, but these are each firm's own forecasts, and whether they materialize needs to be confirmed by subsequent results.

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 2026-08-24

Bull factors

Localization and Export Launch of Dialysis Filters

Synopex is the first Korean company to obtain regulatory approval for an artificial-kidney blood filtration device, and it is expanding supply to multiple tertiary hospitals including Seoul National University Hospital.

It made its first overseas export shipment in April 2026 and has signed a supply agreement with medical device distributor B. Braun Korea.

Given that Korea's dialysis filter market, using roughly 20 million units annually, has historically been fully import-dependent, successful localization represents a long-term import-substitution opportunity.

New EV Customer Win in FPCB

Synopex has been selected as a supply partner for a global automaker's EV battery FPCB and has already built a dedicated production plant.

With field tests in 2026 and mass production targeted by year-end, this could diversify an FPCB revenue base that has been centered on mobile customers, potentially improving customer concentration and structural stability.

Semiconductor Chemical Filter for Advanced Nodes

Synopex unveiled a chemical filter developed for 5-nanometer semiconductor processes at Semicon Korea.

As semiconductor processes become finer, the requirements for ultra-high-purity filters rise, and with relatively few domestic firms holding the relevant technology, this is viewed as an area with import-substitution potential. Actual mass-production supply, however, still requires further steps such as customer quality evaluation.

Bear factors

Sharp Contraction in Operating Margin

Consolidated operating margin fell to 2.6% in 2025, down sharply from 9.2% in 2023 and 8.9% in 2024. The company attributed this to increased new-product development, sample costs, and initial market-entry marketing expenses, but when these costs will be absorbed by revenue growth remains unconfirmed.

Operating profit has also alternated between gains and losses on a quarterly basis, suggesting a stable profitability base has not yet been established.

Early-Stage Nature of New Businesses

The dialysis filter, EV FPCB, and semiconductor chemical filter businesses are all still at an early market-entry stage with ongoing certification, quality evaluation, and customer approval processes.

Segment-level revenue contributions are not separately disclosed, making it difficult to gauge how much these new businesses currently contribute to overall results. The timing and pace at which brokerage growth scenarios materialize will need to be confirmed through future quarterly results.

Balance Sheet and Slowing Cash Generation

The debt ratio rose again to 51.1% in 2025 from 40.4% in 2024. Operating cash flow peaked at KRW 48.1 billion in 2023 and has declined for three consecutive years to KRW 37.4 billion in 2024 and KRW 22.2 billion in 2025.

If this slowdown in cash generation continues amid ongoing new-business investment, funding pressure could increase.

Risk factors

Customer and End-Market Concentration Risk

The FPCB business has historically been centered on mobile customers, and the new EV customer relationship is still at a pre-mass-production stage. A slowdown in demand from end markets such as smartphones could directly affect the core segment's revenue.

This concentration risk may persist until diversification into new customers and applications becomes substantial.

Certification and Regulatory Approval Delay Risk

Medical devices (dialysis filters and the mobile artificial kidney device) and semiconductor chemical filters must each go through regulatory certification and customer quality-evaluation processes.

The mobile artificial kidney device had its approval application filed in January 2026, with the outcome and timing not yet finalized. Delays in certification or requests for re-review could push back revenue recognition for these businesses.

Uncertainty Over Investment Payback Timing

The company and brokerages have characterized the recent profitability decline as temporary investment for new businesses, but the actual payback timing depends on the pace of revenue growth.

Given that operating losses occurred in both Q4 2025 and Q2 2026, the possibility of repeated losses cannot be ruled out unless cost control and revenue expansion proceed together.

What to watch next

Mid-November 2026
Q3 2026 preliminary results are expected around this time, when it will be important to check whether the company returns to operating profit after the Q2 loss and whether new businesses are contributing to revenue.
Q4 2026
A key point to watch is whether EV FPCB field testing is completed and mass production begins, confirming whether the year-end production target cited by a brokerage is realized.
Second half of 2026
It is worth checking whether the regulatory approval outcome for the mobile artificial kidney device, applied for in January 2026, is announced, as the approval timing affects the schedule for monetizing this new medical device.
Second half of 2026 to early 2027
Following the first overseas export shipment in April 2026, it is worth monitoring for follow-up news such as expansion into additional export markets or growth in the number of supplying tertiary hospitals.

Overall view

Synopex is simultaneously pursuing several new businesses—dialysis filters, EV battery FPCB, and semiconductor chemical filters—built on its existing FPCB and industrial filter operations.

Full-year 2025 revenue rose slightly, but operating margin fell sharply, and quarterly operating results have continued to alternate between profit and loss since Q3 2025.

The successful localization and first overseas export of dialysis filters, along with the new EV customer win in FPCB, are facts that could support future customer and revenue diversification.

On the other hand, all of these new businesses remain at an early stage involving certification and quality evaluation, so the timing and scale of their revenue contribution remain uncertain, and a rising debt ratio and slowing operating cash flow have also been observed.

Brokerage reports suggest profitability could recover from 2026 as cost burdens ease and revenue grows, but these are individual forecasts whose realization needs to be confirmed through future quarterly disclosures.

Before forming an investment view, it would be useful to monitor the certification progress of each new business alongside whether quarter-to-quarter earnings volatility eases.

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.