KOSDAQIT & Software040160

NuriFlex

₩6,430▲ 3.04%2026-10-02 close

Market Cap

₩74B

Turnover

₩51,903,000

Volume

8,382 shares

Shares out.

11.9M

PER

20.1×

PBR

1.0×

EPS

₩338

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

Guinea AMI Order Tests an Earnings Inflection

NuriFlex has secured a major AMI order from Guinea's power utility to bolster overseas growth momentum, yet annual revenue is still declining and operating losses persist, making the durability of any profit turnaround the key watch item.

1
In January 2026 the company signed a KRW 99.7 billion smart prepaid AMI supply contract with Guinea's power utility EDG, equal to 77.1% of 2024 revenue and the largest single order in its history
2
FY2025 revenue was KRW 101.6 billion (down 21.5%), with an operating loss of KRW 6.1 billion and an owners' net loss of KRW 6.5 billion, marking a third straight year of revenue decline and a second straight year of losses
3
Over the trailing four quarters (2025Q3-2026Q2) owners' net profit turned positive in aggregate, but operating profit stayed negative through 2026Q1 before narrowing to roughly -KRW 0.09 billion in 2026Q2
4
The debt ratio rose from 93.5% in 2022 to 117.3% in 2025, and 2024 operating cash flow was negative at about KRW 17.3 billion, signaling liquidity pressure
5
Memorandums of understanding on smart-energy cooperation were signed with the Uzbek government and ECO Energy, but these have not yet converted into firm supply contracts

Business structure

NuriFlex was founded in 1992 as a telecom software company, listed on KOSDAQ in 2000, and rebranded from NuriTelecom to NuriFlex in 2021 as it repositioned as an energy platform specialist.

Its core business is Advanced Metering Infrastructure (AMI), supplying remote metering systems for electricity, water, gas and heat to Korea Electric Power Corporation (KEPCO) and 46 overseas utilities.

The company also offers factory, building and home Energy Management Systems (EMS), barcode/RFID-based Auto-ID solutions, and intelligent disaster-prevention systems as part of an IoT-convergence product line.

Its business spans smart metering, energy service platforms, integrated energy management, energy efficiency, VoIP solutions and electronic notification services, alongside newer ventures in nanomaterials and online medical consulting.

NuriFlex currently operates eight subsidiaries and maintains overseas bases in Japan and Vietnam in addition to its Naju manufacturing center.

The company is pursuing a strategy to expand smart metering into a data-driven platform business and to build microgrid offerings that combine solar power, energy storage systems (ESS) and digital energy platforms as a new growth engine.

Its overseas footprint spans Europe, Africa, Asia, the Middle East and South America, targeting grid-modernization demand in emerging markets built on its domestic AMI track record.

Competitively, it faces domestic smart-grid and metering infrastructure rivals, but its installed base across 46 overseas utilities functions as a barrier to entry.

Earnings trend

Quarterly revenue · Operating profit

₩20.4B-₩900M25Q2₩22.1B-₩2.4B25Q3₩40.4B-₩3.1B25Q4₩15B-₩3.2B26Q1₩25.3B-₩88,624,72726Q2

RevenueOperating profit

Annual revenue · Operating profit

₩124.7B₩10.4B2022₩132.7B₩2B2023₩129.3B-₩8.2B2024₩101.6B-₩6.1B2025

RevenueOperating profit

Quarterly results · Last 5 quarters
Quarter	Revenue	Operating profit	Op. margin
2025Q2	₩20.4B	-₩900M	−4.4%
2025Q3	₩22.1B	-₩2.4B	−10.9%
2025Q4	₩40.4B	-₩3.1B	−7.6%
2026Q1	₩15B	-₩3.2B	−21.5%
2026Q2	₩25.3B	-₩88,624,727	−0.4%

Annual results
Year	Revenue	Operating profit	Net income (parent)	Op. margin	ROE	Debt-to-equity
2022	₩124.7B	₩10.4B	₩600M	8.3%	0.8%	93.5%
2023	₩132.7B	₩2B	₩2.9B	1.5%	3.6%	84.8%
2024	₩129.3B	-₩8.2B	-₩4.2B	−6.3%	−5.4%	108.2%
2025	₩101.6B	-₩6.1B	-₩6.5B	−6.0%	−9.2%	117.3%

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

On an annual basis, revenue peaked at KRW 132.7 billion in 2023 after rising from KRW 124.7 billion in 2022, then declined for two straight years to KRW 129.3 billion in 2024 and KRW 101.6 billion in 2025.

Operating profit fell sharply from a solid KRW 10.4 billion (an 8.3% margin) in 2022 to KRW 2.0 billion (1.5%) in 2023, before swinging to losses of KRW 8.2 billion (-6.3%) in 2024 and KRW 6.1 billion (-6.0%) in 2025.

Owners' net income mirrored this pattern, moving from profits of KRW 0.6 billion in 2022 and KRW 2.9 billion in 2023 to losses of KRW 4.2 billion in 2024 and KRW 6.5 billion in 2025.

Quarterly, revenue was KRW 20.4 billion with an operating loss of KRW 0.9 billion and a net loss of KRW 4.7 billion in 2025Q2, followed by KRW 22.1 billion in revenue and a KRW 2.4 billion operating loss in Q3, and a jump to KRW 40.4 billion in revenue in Q4 alongside a wider operating loss of KRW 3.1 billion.

In 2026Q1 revenue fell 19.8% year-on-year to KRW 15.0 billion and the operating loss widened to KRW 3.2 billion, yet net income turned positive at KRW 0.6 billion.

In 2026Q2, revenue reached KRW 25.3 billion while the operating loss narrowed to roughly KRW 0.09 billion, near breakeven, and owners' net income jumped to KRW 4.9 billion.

The trailing four-quarter (2025Q3-2026Q2) sum of owners' net income came to KRW 3.9 billion, marking a shift away from the annual loss pattern, though this improvement appears more attributable to non-operating contributions than to a comparable recovery in operating profit.

On the cash flow side, operating cash flow swung from a strong KRW 25.1 billion in 2023 to negative KRW 17.3 billion in 2024 and negative KRW 0.5 billion in 2025, suggesting a shift in collections or payment structure.

Industry analysis

The smart grid and AMI industry is growing on the back of expanding demand for metering and data infrastructure tied to grid digitalization and the spread of renewable energy.

Market forecasts show the smart metering market growing at a compound annual rate of 7.23% through 2032 to reach USD 65.2 billion, with the smart meter segment specifically projected to grow 16.3%.

In Korea, KEPCO continues to expand its AMI rollout, and NuriFlex is leveraging its domestic adoption track record to expand into emerging markets in Africa, the Middle East and Latin America that require grid modernization.

Developing-country grids in Africa and Latin America tend to have relatively strong demand for smart prepaid AMI given needs around prepaid metering, theft prevention, and improved collection of electricity sales proceeds.

These markets, however, carry a different risk profile than the domestic market, including currency and political risk and more complex payment-collection structures.

On the competitive front, numerous domestic and international metering and communications infrastructure vendors participate in the market, but NuriFlex points to its KEPCO adoption history and track record supplying 46 overseas utilities as competitive advantages.

In terms of industry cycle positioning, the company's results had been in a downturn phase following a 2023 revenue peak, making it a key point of observation whether the large overseas order marks a cyclical inflection.

Outlook

In January 2026, the company signed a KRW 99.7 billion contract with Guinea's power utility EDG to build a smart prepaid AMI system, with a contract term running from January 28, 2026 to January 28, 2032.

The supply area includes the capital Conakry, and payment terms call for 30% of the sale amount to be received via usance letter of credit over a two-year construction period, with the remaining 70% split 50-50 between the two parties through an escrow arrangement tied to electricity sales revenue generated by the smart meters over the operating period.

This contract equates to 77.1% of 2024 revenue and is likely to affect revenue recognition and profit distribution over the coming years.

The company has also signed memorandums of understanding with the government of Uzbekistan's Republic of Karakalpakstan and local energy firm ECO Energy covering EMS, AMI, distributed energy, and community energy management system (CEMS) cooperation, though these remain at a pre-contract stage.

Strategically, management has outlined plans to expand smart metering into a data-driven energy platform business and to cultivate a microgrid business combining solar power, ESS and digital energy platforms as a core growth driver. The company has also opened an online IR channel, "IR Center,

Valuation

PER

20.1×

PBR

1.0×

ROE

5.2%

EPS

₩338

BPS

₩6,705

Dividend per share

₩0

Because NuriFlex's operating results have swung from profit to loss and back toward breakeven between 2022 and 2025, the valuation the market assigns to the stock has tended to move sharply around specific events rather than settling into a stable band.

The price-to-book ratio has traded at a level not far from net asset value, sitting in a range where neither a large premium nor a large discount to book value is evident.

On the price-to-earnings side, since the trailing four-quarter sum of profit only recently turned positive after a loss period during which the multiple was not meaningfully calculable, this metric has only recently begun to carry renewed significance.

On the dividend front, the company has not paid a cash dividend in recent years, so dividend-related metrics have not been established.

Taken together, the valuation appears structurally sensitive to event-driven factors such as the Guinea order and to quarter-to-quarter swings in profit and loss, making the persistence of any operating-profit improvement, rather than the valuation level at a given point in time, the central item to monitor.

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

Large Overseas AMI Order Expands the Revenue Base

The KRW 99.7 billion AMI contract signed with Guinea's power utility in January 2026 equals 77.1% of 2024 revenue, the largest single order in the company's history.

With a contract term extending to 2032, the deal is structured to contribute to revenue and profit over a long horizon through both system construction and subsequent electricity sales revenue sharing. It also marks a step toward diversifying a historically domestic-heavy revenue base into emerging African markets.

Recent Quarters Show a Net Income Turnaround

Owners' net income was positive in both 2026Q1 and 2026Q2, and the trailing four-quarter total turned to a profit of KRW 3.9 billion. The operating loss also narrowed to roughly negative KRW 0.09 billion in 2026Q2, close to breakeven. This can be read as a signal of moving away from the pattern of two consecutive annual losses.

Positioning in a Growing Smart Metering Market

The global smart metering market is projected to grow at a 7.23% compound annual rate through 2032 to reach USD 65.2 billion, with the smart meter segment expected to grow 16.3%.

NuriFlex's track record supplying AMI to 46 overseas utilities in addition to KEPCO gives it a potential edge in entering emerging markets that need grid modernization.

Bear factors

Revenue Down for Three Straight Years, Operating Losses Persist

Revenue peaked at KRW 132.7 billion in 2023 before declining to KRW 129.3 billion in 2024 and KRW 101.6 billion in 2025. Operating profit posted losses of KRW 8.2 billion in 2024 and KRW 6.1 billion in 2025, and the operating loss actually widened to KRW 3.2 billion in 2026Q1.

It is worth noting that the recent turn to net profit has not always been accompanied by a comparable improvement in operating profit.

Rising Debt Ratio and Weaker Cash Flow

The debt ratio rose from 93.5% in 2022 to 108.2% in 2024 and 117.3% in 2025. Operating cash flow deteriorated sharply from a KRW 25.1 billion inflow in 2023 to negative KRW 17.3 billion in 2024 and negative KRW 0.5 billion in 2025.

The two-tier payment structure of the large order, split between letters of credit and long-term revenue sharing, could affect the pace of near-term cash inflows.

Rising Uncertainty from Reliance on Emerging-Market Revenue

Seventy percent of the Guinea contract's payment depends on revenue sharing from electricity sales generated through the smart meters, meaning actual collection timing and amounts could vary depending on local billing collection rates and political and currency conditions.

The memorandums of understanding with Uzbekistan also remain at an early stage and have not yet converted into firm contracts.

Risk factors

Overseas Collection Risk

Seventy percent of the Guinea contract payment is to be received over the coming years through an escrow-based revenue-sharing arrangement tied to electricity sales generated by the smart meters.

Local billing collection conditions, currency fluctuations, and political stability could all affect the timing and scale of actual revenue realization.

Earnings Volatility and Quality of Profit

The recent turn to quarterly net profit has not always coincided with a comparable improvement in operating profit. There were periods where net income rose sharply even as the operating loss persisted, so ongoing scrutiny of the composition of non-operating items is needed to assess the sustainability of profit.

Small-Cap Liquidity and Balance Sheet Risk

As a relatively small-cap KOSDAQ stock, liquidity may be comparatively limited. The rise in the debt ratio from 93.5% in 2022 to 117.3% in 2025, along with the volatility in operating cash flow, are balance sheet items that warrant ongoing monitoring.

What to watch next

Mid-November 2026
The 2026Q3 earnings disclosure is expected around this time, and it will be important to check whether the shift toward operating profit continues and whether the revenue base is recovering.
From Q4 2026 onward
This is the period to watch for progress on the initial construction phase of the Guinea AMI project and whether letter-of-credit payments begin to flow in.
Second half of 2026 through 2027
It will be worth checking whether the MOUs signed with the Uzbek government and ECO Energy convert into firm supply contracts, and whether additional overseas order disclosures emerge.
Early 2027
The FY2026 annual business and audit reports will provide the confirmed full-year figures for revenue, operating profit and cash flow.

Overall view

NuriFlex reached an inflection point with its KRW 99.7 billion AMI contract with Guinea's power utility in January 2026, but it simultaneously carries the structural burden of three consecutive years of revenue decline and two consecutive years of operating losses through 2025.

While owners' net income turned positive over the trailing four quarters, the operating result remained in loss through 2026Q1 and only approached breakeven in Q2, meaning continued monitoring is needed to see how closely the net income improvement tracks a genuine recovery in core operating profitability.

The Guinea contract's structure, with 70% of payment tied to long-term electricity sales revenue sharing, means the actual timing of cash realization bears watching, and the Uzbekistan MOUs remain at a pre-contract stage.

The rising debt ratio and the deterioration in operating cash flow during 2024-2025 are also balance sheet items to track.

Overall, the company sits at a juncture where a growth narrative built on a large overseas order coexists with an ongoing earnings-recovery challenge, and the trajectory of quarterly operating results together with the pace of cash realization from overseas projects are likely to be the key variables going forward.

Sources

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

Show 18 more articles and sources

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.