PER, EPS, PBR and BPS are calculated in-house from the last 4 quarters (2025Q3–2026Q2) · Dividend yield is based on ₩80 per share · Prices as of the 2026-10-02 close
Kooksoondang continues to post operating losses, yet owner net income has turned positive for two straight years, while the business mix keeps shifting toward makgeolli-led rice wine.
2025 revenue fell to KRW 67.5bn, a fourth straight annual decline, while the operating loss narrowed from KRW -2.28bn to KRW -0.83bn
Owner net income moved from KRW -3.9bn in 2023 to KRW 1.37bn in 2024 and KRW 6.24bn in 2025, expanding for a second straight year
Revenue mix is led by rice wine/makgeolli at 44.43%, followed by other products at 22.11%, yakju including Baeksaeju at 19.74%, and wine at 13.73%
In Q2 2026, revenue was KRW 14.70bn and the operating loss widened to KRW -1.43bn, yet net income stayed positive at KRW 0.75bn
The debt ratio remains low at 8.0%, but 2025 operating cash flow was KRW -1.35bn, diverging from the positive net income
Founded in 1983 and renamed to its current title in 1992, Kooksoondang is a beverage-alcohol specialist centered on its Hoengseong, Gangwon-do plant, producing yakju (refined rice wine), makgeolli, and wine.
By recent revenue mix, rice-wine/makgeolli products led by Kooksoondang Saeng Makgeolli account for 44.43% of sales, other products 22.11%, yakju including Baeksaeju 19.74%, and wine such as Carpineto 13.73%.
Baeksaeju, launched in 1992, once drove the bulk of revenue, but as the yakju category itself has shrunk, first-half yakju sales fell from KRW 8.7bn in 2022 to KRW 7.1bn in 2023 and KRW 6.3bn in 2024, prompting the company to overhaul the product's quality and bottle design in an attempt to reverse the decline.
In contrast, the rice-wine/makgeolli segment has fared comparatively well both at home and abroad, with first-half 2024 sales up 10.6% from two years earlier to KRW 16.7bn and its revenue share rising from 39.6% to 47.7%.
The company entered the wine business in 2019 through its acquisition of Haitai & Company (formerly Haitai Industrial), and the wine unit accounted for about 14.4% of total sales in the first half of 2024.
Beyond alcohol, it has broadened its F&B portfolio via distribution of Kendall Jenner's 818 Tequila, an exclusive domestic launch of the UK premium sparkling tea brand Saicho, and a collaboration with a specialty coffee brand.
Distribution runs through its own sales network, the Baeksaeju Village directly operated outlets, the Bakbongdam cultural complex, and the Juhyangno heritage experience space, alongside raw-material sourcing via contract farming and ongoing export activity.
Competitively, it faces Seoul Jangsoo Makgeolli and Jipyeong Brewery in the makgeolli market, and Hite Jinro, Muhak, Jinro Fermentation, and Bohae Brewery across the broader liquor market.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩16.9B | ₩60,683,172 | 0.4% |
| 2025Q3 | ₩18.8B | ₩200M | 1.0% |
| 2025Q4 | ₩14.6B | -₩1.2B | −8.1% |
| 2026Q1 | ₩17.5B | ₩35,387,351 | 0.2% |
| 2026Q2 | ₩14.7B | -₩1.4B | −9.7% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩74.6B | ₩9.1B | -₩4.6B | 12.3% | −2.0% | 8.3% |
| 2023 | ₩70.5B | ₩4.5B | -₩3.9B | 6.3% | −1.7% | 7.8% |
| 2024 | ₩68.8B | -₩2.3B | ₩1.4B | −3.3% | 0.6% | 9.4% |
| 2025 | ₩67.5B | -₩800M | ₩6.2B | −1.2% | 2.6% | 8.0% |
Consolidated basis (financial statements including subsidiaries) · Final figures from DART filings · Net income attributable to owners of the parent · Data as of 2026-08-21
Annual revenue declined for a fourth straight year, from KRW 74.6bn in 2022 to KRW 70.5bn in 2023, KRW 68.8bn in 2024, and KRW 67.5bn in 2025.
Operating profit was positive in 2022 (KRW 9.15bn) and 2023 (KRW 4.46bn) but swung to losses in 2024 (KRW -2.28bn) and 2025 (KRW -0.83bn), though the 2025 loss was smaller than the prior year's.
Owner net income, by contrast, moved in the opposite direction to operating profit: from losses of KRW -4.64bn in 2022 and KRW -3.90bn in 2023 to gains of KRW 1.37bn in 2024 and KRW 6.24bn in 2025, a two-year streak of expanding profitability that suggests non-operating items drove much of the recovery.
Quarterly results show clear seasonality. Q3 2025 (revenue KRW 18.76bn, operating profit KRW 1.97bn, owner net income KRW 3.18bn) was the strongest of the last five quarters, while Q4 2025 (revenue KRW 14.61bn, operating loss KRW -1.19bn, net loss KRW -0.80bn) was notably weak.
Q1 2026 saw a modest recovery to a small profit (revenue KRW 17.46bn, operating profit KRW 0.35bn, net income KRW 1.07bn), but in Q2 2026 revenue fell to KRW 14.70bn and the operating loss widened to KRW -1.43bn, even as net income stayed positive at KRW 0.75bn.
Summed over the trailing four quarters (Q3 2025 through Q2 2026), owner net income totaled KRW 4.19bn. Balance-sheet health remains solid, with a debt ratio of just 8.0% at end-2025, though operating cash flow that year was KRW -1.35bn, a gap between the accounting profit and actual cash generation.
Some observers argue the domestic liquor market has entered a phase of structural contraction driven by a broader shift in drinking habits.
As lower-alcohol preferences take hold, soju has moved down from around 20 percent alcohol to the high-teens, while makgeolli, traditionally near 6 percent, has recently come down to about 5 percent, reflecting an alcohol-content downshift across categories.
Against this backdrop, Kooksoondang has adopted 'modernizing tradition' as a core strategy, seeking to redefine its brand as a premium fermented beverage.
Competitively, it must contend with established makgeolli players such as Seoul Jangsoo Makgeolli and Jipyeong Brewery, as well as larger diversified rivals like Hite Jinro, Muhak, Jinro Fermentation, and Bohae Brewery across soju and beer.
On product quality, however, Kooksoondang had all three of its entered products—the mass-market Kooksoondang Rice Makgeolli, the semi-premium probiotic makgeolli, and the premium Bakbongdam Ssalssal Makgeolli—win grand prizes across separate rice-wine categories at the 2026 Korea Liquor Awards, underscoring lineup-wide quality recognition.
On the demand side, seasonal gift-set demand around holidays and low-alcohol/functional (e.g., probiotic) trends are key swing factors, while overseas there are export opportunities tied to the spread of K-food and K-culture, offset by simultaneous pressures from a slowing economy, softer demand for premium liquor, and tightening regulation.
Ahead of the 2026 Chuseok holiday (falling on September 25, with the holiday period running September 24-26), Kooksoondang rolled out gift sets spanning price points from budget items in the low tens of thousands of won to premium products priced around KRW 300,000.
Among them, Baeksaego is a high-end distilled spirit blending distilled rice soju with distillate from five-year-aged Baeksaeju lees, a scarce item sold in small quantities each holiday since its limited-edition debut marking Baeksaeju's 30th anniversary in 2022.
Given the company's pronounced seasonality, how well these holiday gift sets perform is a variable that could directly affect third-quarter results.
Under its 'modernizing tradition' theme, the company has said it will continue renewing flagship products and repositioning its brand image, while expanding consumer experiences through spaces like the Bakbongdam cultural complex and the Juhyangno heritage venue, alongside a phased overseas expansion strategy.
On the portfolio side, it is diversifying revenue sources by extending collaborations beyond its core yakju, makgeolli, and wine lines into non-alcohol F&B areas such as tequila, sparkling tea, and specialty coffee.
A company representative has stated plans to introduce a wider range of products differentiated by taste and volume in addition to premium, higher-value offerings.
Whether these efforts translate into a reversal of the multi-year revenue decline and an improvement in operating profitability will need to be confirmed through upcoming quarterly results and segment-level disclosures.
Kooksoondang's price-to-book level, whether measured on a self-calculated or KRX official basis, sits below 1x, placing the stock in a range where its market price is lower than its recorded net asset value.
On the earnings side, the recent pattern—operating losses persisting for two straight years even as owner net income turned from loss to profit and has kept expanding—can be a relevant input into how the market assigns an earnings multiple.
On dividends, it is worth noting that Kooksoondang has a history of maintaining its dividend policy even during periods of operating losses, suggesting a relatively consistent stance on shareholder returns.
That said, given that recent years combined an operating loss with negative operating cash flow, it is worth watching whether the net income recovery is accompanied by an actual improvement in the core business's cash-generating ability. Any specific valuation judgment or directional call is best left to individual investors.
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 2026-08-21
Owner net income improved markedly from KRW -3.90bn in 2023 to KRW 1.37bn in 2024 and KRW 6.24bn in 2025. Both quarters of the first half of 2026 stayed in the black, with KRW 1.07bn in Q1 and KRW 0.75bn in Q2.
The continued net income improvement despite an ongoing operating loss can be read as a positive signal on the financial structure.
The rice-wine and makgeolli segment, at 44.43% of revenue, has shown comparatively stable growth on the back of domestic and overseas sales gains.
At the 2026 Korea Liquor Awards, three makgeolli products spanning mass-market, semi-premium, and premium tiers all won grand prizes in the rice-wine category, reaffirming product quality. A structural shift away from dependence on the yakju category is underway.
The debt ratio stood at a very low 8.0% at end-2025, leaving the company with financial flexibility. It continues to broaden its business scope into wine, tequila, sparkling tea, and specialty coffee, reducing reliance on a single alcohol category. It has also been strengthening its premium lineup around seasonal events such as holiday gift sets.
Annual revenue fell for a fourth consecutive year, from KRW 74.6bn in 2022 to KRW 67.5bn in 2025. Operating profit was also negative for a second straight year, at KRW -2.28bn in 2024 and KRW -0.83bn in 2025. In Q2 2026, the operating loss widened to KRW -1.43bn, worse than the prior quarter.
The yakju category containing Baeksaeju, the company's signature product, has shrunk quickly, with first-half sales falling from KRW 8.7bn in 2022 to KRW 6.3bn in 2024. How much of a rebound the post-rebranding effort has produced has not yet been confirmed in segment-level sales disclosures.
Changes in competing categories, such as smoother, lower-proof soju, are also contributing to the shrinking yakju market.
2025 owner net income was a positive KRW 6.24bn, but the same year's operating cash flow was negative at KRW -1.35bn. This suggests the net income improvement leans on non-operating factors and that the core business's actual cash generation has yet to catch up. Whether cash flow improves is an important variable for assessing future financial stability.
The overall liquor market is said to be in a phase of structural contraction due to a declining drinking population and a preference for lower alcohol content. Kooksoondang's core categories, including yakju and traditional rice spirits, are directly affected by this trend.
In an environment where the overall market pie is shrinking, product-level renewals alone may not be enough to reverse the trend.
In the makgeolli market, the company must compete with established players such as Seoul Jangsoo Makgeolli and Jipyeong Brewery, while across the broader liquor market it faces the capital strength and distribution networks of larger firms like Hite Jinro and Muhak.
New F&B collaborations in tequila, sparkling tea, and coffee can contribute to revenue diversification, but each of these areas also has its own set of competitors. Maintaining brand strength and successfully launching new products remain ongoing challenges.
Quarterly results show pronounced seasonality, with a recurring pattern of operating losses concentrated in specific quarters such as the fourth and second quarters. In years when an operating loss coincided with negative operating cash flow, actual cash availability warrants attention even when net income is positive.
Raw material costs (such as rice) and policy variables like liquor tax are additional factors that can affect costs.
Check how holiday gift set sales (Baeksaego, Beopgochangsin, and others) feed through into the seasonally significant third-quarter results.
Review the confirmed Q3 2026 revenue, operating result, net income, and segment-level sales mix (yakju, rice wine/makgeolli, wine) to assess the effect of the Baeksaeju renewal and whether rice-wine growth continues.
Check disclosures for whether the operating loss pattern repeats in the fourth quarter and whether the year-end dividend policy is maintained.
Continue to monitor whether operating cash flow improves alongside positive net income, that is, whether the gap between reported profit and actual cash generation narrows.
Kooksoondang faces a challenging stretch, with revenue down for a fourth straight year and operating losses persisting for a second year, yet owner net income improved in both 2024 and 2025, turning from loss to a growing profit.
Its business mix shows a clear contrast between the contraction of its traditional yakju (Baeksaeju) core and the relative strength of the rice-wine/makgeolli segment, alongside expanding diversification into non-alcohol F&B areas such as wine, tequila, and sparkling tea.
Financial health remains fairly stable given a low debt ratio of 8.0%, though negative operating cash flow despite positive net income is a point warranting further scrutiny regarding actual cash generation.
On the industry side, product quality has held up—evidenced by grand prizes across three categories at the 2026 Korea Liquor Awards—even amid pressure from a low-alcohol, structurally contracting market.
Upcoming Chuseok-season gift set sales, third-quarter results, and shifts in segment revenue mix will likely serve as important indicators for gauging future direction. This report offers no investment opinion or target price and is intended for informational purposes only.
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.