KOSDAQFinance038540

Sangsangin

₩1,965▲ 4.97%2026-10-02 close

Market Cap

₩104.6B

Turnover

₩73,361,340

Volume

40,000 shares

Shares out.

55.3M

PER

—

PBR

0.3×

EPS

-₩2,091

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

Sangsangin at a Crossroads on Financial Unit Sales

Sangsangin is simultaneously pursuing the sale of its two savings banks and its securities unit, passing through the final phase of a group-wide restructuring amid four straight years of net losses.

1
The sale of Sangsangin Savings Bank to KBI Group has had its closing deadline pushed back three times—from March to April to August—due to delayed regulatory approval.
2
Sangsangin Securities has also disclosed stake-sale talks with Sh Suhyup Bank, putting the entire financial subsidiary lineup on a divestiture track.
3
2025 consolidated revenue fell to KRW 418.6 billion, less than half of the prior year's KRW 870.3 billion, with a net loss to owners of KRW 120.6 billion.
4
The savings bank segment showed recovery signs with a combined net profit of KRW 35.5 billion in Q1 2026, but consolidated results have alternated between profit and loss quarter to quarter.
5
The stock trades at a level below net asset value, and no dividend has been paid amid accumulated deficits.

Business structure

Sangsangin acquired a securities firm (now Sangsangin Securities) in 2018 and a shipbuilding equipment company in 2019, aiming to build a conglomerate spanning IT, finance, and shipbuilding.

However, its shipbuilding subsidiary, Sangsangin Industry, was divested in March 2024, with Sangsangin transferring its stake to five investment partnerships including Spearpower Partnership for roughly KRW 24.4 billion.

The group's remaining financial arm consists of Sangsangin Savings Bank, Sangsangin Plus Savings Bank, and Sangsangin Securities.

The two savings banks became subject to a major-shareholder eligibility issue after CEO Yoo Jun-won received a three-month suspension of duties over illegal lending in 2019, leading the Financial Services Commission to order the sale of over 90% of both banks' shares in October 2023.

After negotiations with OK Financial Group collapsed, Sangsangin Savings Bank signed a deal in October 2025 to sell a 90.01% stake (12.241 million shares) to KBI Group for KRW 110.7 billion. Sangsangin Plus Savings Bank has yet to secure a confirmed buyer.

In August 2026, Sangsangin Securities also disclosed stake-sale discussions with Sh Suhyup Bank, putting the group's entire financial business on the divestiture track.

If all these sales are completed, Sangsangin's structure could shift toward its remaining non-financial operations, with the financial arm effectively dissolved.

Earnings trend

Quarterly revenue · Operating profit

₩188.7B-₩14.7B25Q2₩153.5B-₩59.1B25Q3₩22.5B25Q4₩126.9B₩14.7B26Q1₩126B-₩4.5B26Q2

RevenueOperating profit

Annual revenue · Operating profit

₩764.6B₩64.9B2022₩937B-₩64.7B2023₩870.3B-₩214.8B2024₩418.6B-₩48.2B2025

RevenueOperating profit

Quarterly results · Last 5 quarters
Quarter	Revenue	Operating profit	Op. margin
2025Q2	₩188.7B	-₩14.7B	−7.8%
2025Q3	₩153.5B	-₩59.1B	−38.5%
2025Q4	—	₩22.5B	—
2026Q1	₩126.9B	₩14.7B	11.6%
2026Q2	₩126B	-₩4.5B	−3.6%

Annual results
Year	Revenue	Operating profit	Net income (parent)	Op. margin	ROE	Debt-to-equity
2022	₩764.6B	₩64.9B	₩47.4B	8.5%	6.3%	642.2%
2023	₩937B	-₩64.7B	-₩64.3B	−6.9%	−9.3%	741.5%
2024	₩870.3B	-₩214.8B	-₩193.6B	−24.7%	−39.3%	795.1%
2025	₩418.6B	-₩48.2B	-₩120.6B	−11.5%	−31.5%	867.2%

Consolidated basis (financial statements including subsidiaries) · Final figures from DART filings · Net income attributable to owners of the parent · Data as of 2026-09-04

Earnings analysis

Consolidated revenue rose from KRW 764.6 billion in 2022 to KRW 936.9 billion in 2023, then declined to KRW 870.3 billion in 2024 and sharply to KRW 418.6 billion in 2025.

Operating profit swung from a KRW 64.9 billion gain in 2022 to losses of KRW 64.7 billion in 2023 and KRW 214.8 billion in 2024, before narrowing to a KRW 48.2 billion loss in 2025.

Net income attributable to owners moved from a KRW 47.4 billion profit in 2022 to losses of KRW 64.3 billion in 2023 and KRW 193.6 billion in 2024, then a KRW 120.6 billion loss in 2025—a fourth consecutive year of net losses.

As a result, equity attributable to owners steadily declined from KRW 747.8 billion in 2022 to KRW 382.8 billion in 2025. The debt-to-equity ratio rose from 642.2% in 2022 to 867.2% in 2025, reflecting the structurally large liabilities typical of deposit-taking savings bank operations.

On a quarterly basis, losses were concentrated in Q3 2025 with an operating loss of KRW 59.1 billion and a net loss of KRW 49.5 billion, while Q4 2025 posted an operating profit of KRW 22.5 billion yet an even wider net loss of KRW 65.6 billion, suggesting a significant impact from below-the-line items.

Q1 2026 turned profitable on a quarterly basis with operating income of KRW 14.7 billion and net income to owners of KRW 8.1 billion, but Q2 2026 reverted to an operating loss of KRW 4.5 billion and a net loss of KRW 7.5 billion, continuing the pattern of quarter-to-quarter swings.

Over the trailing four quarters (Q3 2025–Q2 2026), the cumulative net loss to owners totaled KRW 114.4 billion, indicating that a clear annual improvement trend has not yet firmly taken hold.

Industry analysis

The savings bank industry has been grappling with the fallout from real estate project-financing (PF) bad debt amid a high-rate, slowing-growth environment, with industry observers noting that the overall savings bank M&A market has cooled considerably.

Sangsangin Savings Bank's delinquency ratio stood at 14.23% in H1 2026, more than double the industry average of 6.26%, while its non-performing loan ratio of 18.51% also far exceeded the industry average of 8.16%.

Sangsangin Plus Savings Bank has likewise posted losses for three consecutive years, with both assets and capital shrinking, reflecting the regional footprint limitations and profitability challenges common among smaller regional savings banks.

By contrast, cases such as SBI Savings Bank's smoother sale process—built on higher-quality assets—highlight that the prolonged sale of Sangsangin's savings banks is a distinctive case combining a forced-sale origin (major-shareholder eligibility) with deteriorating asset quality.

Sangsangin Securities remains a small brokerage with roughly a 0.2% market share by net operating revenue, a limited retail base, and reliance on investment banking and proprietary trading.

Given its limited scale competitiveness relative to larger and mid-sized peers, a completed restructuring of the group's financial subsidiaries could effectively end Sangsangin's exposure to the financial business altogether.

Outlook

The nearest inflection point is whether financial regulators approve KBI Group's acquisition of Sangsangin Savings Bank shares.

As of end-August 2026, the Financial Supervisory Service was reviewing the share acquisition approval, and given statutory processing times and possible requests for supplementary data, the review could extend into September or October.

Still, industry observers note the review is likely to proceed without major obstacles, given that KBI Gukin Industry has already secured approval for a prior savings bank acquisition (Raon Savings Bank).

Sangsangin Plus Savings Bank has yet to reveal a concrete buyer, and while rumors have circulated about a sale to second-largest shareholder Synergy Group, no further progress has been confirmed.

Discussions between Sangsangin Securities and Sh Suhyup Bank were first formalized through an August 2026 disclosure, with specific deal terms and whether a definitive share purchase agreement will be signed still undetermined.

The recovery in the savings bank segment's performance—improving delinquency and NPL ratios, and a combined profit in Q1 2026—is viewed as a positive signal for the sale negotiations, though continued delays would mean Sangsangin keeps incurring enforcement penalties, a structure that observers say could increasingly weaken its negotiating position over time.

Valuation

PER

—

PBR

0.3×

ROE

-26.3%

EPS

-₩2,091

BPS

₩7,196

Dividend per share

₩0

The current share price trades at a level below the company's net asset value, a pattern consistent with a financial trajectory marked by four consecutive years of net losses to owners and a steadily shrinking equity base.

During periods of continued net losses, conventional earnings-based valuation metrics are difficult to apply, leading the market to lean more on net-asset-value comparisons. No dividend has been paid amid the accumulated deficit, limiting any income-oriented appeal.

The recent quarterly return to profit in the savings bank segment and the progress of the asset sales are factors that could influence the future capital structure and valuation, but these have not yet translated into a confirmed annual earnings turnaround.

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 2026-09-04

Bull factors

Signs of Recovery in the Savings Bank Segment

Sangsangin Savings Bank and Sangsangin Plus Savings Bank both turned profitable, posting a combined net profit of KRW 35.5 billion in Q1 2026. The delinquency ratio improved from 18.7% at end-2024 to 16.9% at end-2025, with further improvement in related metrics observed through H1 2026.

Profitability gains are attributed to a combination of distressed-asset cleanup and reduced credit-cost burden. This has also been interpreted as a positive signal for the ongoing savings bank sale negotiations.

Potential Simplification via Divestiture of the Financial Arm

Sangsangin is moving toward a comprehensive wind-down of its heavily regulated financial arm, discussing the sale of Sangsangin Securities in addition to its two savings banks. Completing these sales would remove the regulatory risk and enforcement-penalty burden stemming from the major-shareholder eligibility issue. This could free up group capital and management resources to be reallocated to non-financial operations.

Share Price Below Net Asset Value

The current share price trades at a level below the company's net asset value. This is cited as a metric that could factor into how the market reassesses the stock if the asset sales are completed and capital structure improves, or if the savings bank segment's earnings stabilize. This is presented as a factual observation, not a prediction of future price direction.

Bear factors

Four Straight Years of Net Losses and Eroding Capital

After a profit in 2022, net income to owners posted losses for three straight years from 2023 through 2025, and equity attributable to owners nearly halved from KRW 747.8 billion in 2022 to KRW 382.8 billion in 2025.

Even into 2026, quarterly results have alternated between profit and loss without a clearly established improvement trend. Continued capital erosion could keep market concerns about financial soundness in place.

Deal Execution Risk

The sale of Sangsangin Savings Bank—rebuilt with KBI Group after talks with OK Financial Group collapsed—has had its closing date pushed back three times, and as of end-August 2026 regulatory approval was still pending.

Because the acquirer must meet detailed conditions such as debt-ratio requirements and capital-injection plans, further delay or even termination of the agreement cannot be ruled out. Sangsangin Plus Savings Bank, meanwhile, has yet to secure even a confirmed buyer.

Prolonged Legal and Regulatory Overhang

The origin of the sale order lies in CEO Yoo Jun-won's disqualification over an illegal-lending case, and the related criminal appeal is still pending at the second-instance court.

The size of the fine and forfeiture handed down to Sangsangin Savings Bank at the first-instance trial will be finalized based on the appellate ruling, which could affect the post-closing price adjustment clause built into the KBI Group deal. The longer the sale is delayed, the more enforcement penalties accumulate.

Risk factors

Regulatory / Legal Risk

The forced-sale order stemming from the major-shareholder eligibility issue has persisted for three years, and the second-instance ruling in the related criminal case has not yet been finalized.

The timing and outcome of the regulator's share-acquisition approval remain uncertain, exposing the deal schedule itself to risk. Continued enforcement penalties could add further financial strain.

Asset Quality Risk

As of H1 2026, Sangsangin Savings Bank's delinquency ratio (14.23%) and NPL ratio (18.51%) remain well above the industry average.

Real estate PF-related bad debt continues to weigh on the business, and Sangsangin Plus Savings Bank has also posted losses for three straight years, indicating asset quality improvement has not yet fully taken hold. Additional capital-injection conditions demanded by the acquirer could shape final deal terms.

Earnings Volatility Risk

Consolidated results have alternated between profit and loss on a quarterly basis, with some quarters (such as Q4 2025) showing a wide gap between operating profit and net income.

The cumulative net loss to owners over the trailing four quarters reached KRW 114.4 billion, indicating no clear annual improvement trend has yet been established. One-off gains or losses tied to subsidiary sales could add further volatility to future results.

What to watch next

September–October 2026
Watch for the FSS's decision on KBI Group's share-acquisition approval for Sangsangin Savings Bank—the outcome and timing will determine whether the sale is completed.
H2 2026 (specific timing unconfirmed)
Check for disclosure of a definitive share purchase agreement (SPA) between Sangsangin Securities and Sh Suhyup Bank and the associated deal terms.
Around November 2026 (expected Q3 earnings release)
The Q3 2026 consolidated earnings disclosure will show whether the savings bank segment's profitability persists and clarify the direction of consolidated net income.
Timing to be confirmed via future disclosure
Monitor for disclosures confirming a new buyer and sale progress for Sangsangin Plus Savings Bank.
After the second-instance court ruling (date unconfirmed)
Track the outcome of the second-instance criminal ruling involving CEO Yoo Jun-won—the finalized fine and forfeiture amount could affect the post-closing settlement of the KBI Group deal.

Overall view

Sangsangin is passing through the final phase of a group-wide restructuring, simultaneously pursuing the sale of its two savings banks and its securities unit.

Consolidated results posted net losses for three straight years following a 2022 profit, with a KRW 120.6 billion net loss to owners continuing in 2025, alongside a steadily shrinking equity base.

Still, the savings bank segment showed recovery signs—posting a combined net profit of KRW 35.5 billion in Q1 2026 alongside improving delinquency and NPL ratios—which is being read as a positive signal for the sale negotiations.

KBI Group's acquisition of Sangsangin Savings Bank remains under regulatory review, and discussions between Sangsangin Securities and Suhyup Bank have yet to reach firm terms. Sangsangin Plus Savings Bank faces the greatest uncertainty, as it still lacks a confirmed buyer.

Regulatory and legal risks—including the enforcement-penalty burden from delays and the pending second-instance criminal ruling—remain unresolved and stand as the key variables that will shape the company's future capital structure and business direction.

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.