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
Higher prices for refrigerants and semiconductor specialty gases, combined with a recovery in electrolyte utilization, drove a swing back to full-year operating profit in 2025 and a sharp step-up in second-quarter 2026 earnings, leaving the gap between the pace of profit recovery and market expectations as the key thing to watch.
Consolidated revenue fell from KRW 610.6bn in 2022 to KRW 437.8bn in 2024 before rebounding to KRW 471.6bn in 2025, while operating profit swung from losses of KRW 46.1bn in 2023 and KRW 9.6bn in 2024 to a KRW 25.3bn profit in 2025.
Second-quarter 2026 revenue of KRW 188.2bn and operating profit of KRW 23.4bn lifted the operating margin into the 12% range, a marked improvement from the 4-5% range in the third and fourth quarters of 2025.
In an August 18, 2026 report, Eugene Investment & Securities said second-quarter results came in far above its own estimates (revenue of KRW 148.0bn and operating profit of KRW 15.3bn) and raised its full-year operating profit forecast to KRW 76.5bn from KRW 52.7bn.
Analysts point to semiconductor specialty gases (WF6, C4F6, high-purity hydrogen fluoride) and refrigerants as the core of the profit recovery, with the battery electrolyte material lithium hexafluorophosphate narrowing its losses on higher volumes.
Offsetting factors include raw material prices (tungsten, sulfuric acid), refrigerant regulation timelines, electrolyte price swings, and the stock's designation as an investment-caution issue in June 2026.
Foosung is a fluorine-based specialty chemicals maker whose operations span four pillars - refrigerants, semiconductor specialty gases, secondary battery materials (electrolyte salts) and inorganic fluorides - plus the chemical process equipment business of subsidiary Hantech.
Its basic compound lineup covers refrigerants for home appliances and industrial uses, battery electrolyte salts and additives, inorganic fluorides, and specialty gases for semiconductor etching and deposition.
The company has been described as the only domestic producer of the battery electrolyte material lithium hexafluorophosphate (LiPF6) and of the semiconductor specialty gas hexafluorobutadiene (C4F6). Refrigerant gases are also reported to be produced on a effectively exclusive basis domestically by Foosung.
Refrigerants, battery materials, inorganic fluorides and semiconductor specialty gases are sold to appliance and chip makers including Samsung Electronics and SK hynix, as well as to electrolyte formulators.
Eugene Investment & Securities noted in August 2026 that the main semiconductor gas products are WF6 and C4F6 for deposition and etching, that capacity for higher-margin high-purity hydrogen fluoride gas is being more than doubled, and that a production line for the etch additive gas PF3 has been completed with supply set to begin the following year.
On mix, Samsung Securities estimated in a June 2026 report that refrigerants account for the mid-30% range of parent-only revenue, while semiconductor specialty gases were estimated at the mid-to-high 30% range of parent-only revenue.
A 2022 share swap brought chemical equipment maker Hantech in as a consolidated subsidiary, adding equipment for refining, petrochemical and LNG plants to group results.
Hantech cleared the Korea Exchange preliminary listing review for the KOSDAQ market in December 2024 and began its public offering process with Daishin Securities as underwriter.
Competition mixes domestic semiconductor materials and specialty gas suppliers with global fluorochemical players, and high entry barriers stemming from environmental regulation are cited as a defensive feature of the business.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩124.2B | ₩14.8B | 11.9% |
| 2025Q3 | ₩121B | ₩5.8B | 4.8% |
| 2025Q4 | ₩119.3B | ₩4.8B | 4.1% |
| 2026Q1 | ₩141.4B | ₩9.3B | 6.5% |
| 2026Q2 | ₩188.2B | ₩23.4B | 12.4% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩610.6B | ₩105.4B | ₩97B | 17.3% | 26.5% | 124.8% |
| 2023 | ₩523.2B | -₩46.1B | -₩53.9B | −8.8% | −17.3% | 157.5% |
| 2024 | ₩437.8B | -₩9.6B | -₩69.4B | −2.2% | −21.2% | 148.3% |
| 2025 | ₩471.6B | ₩25.3B | ₩5.3B | 5.4% | 1.6% | 112.5% |
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 retreated sharply over two years from the 2022 peak before turning onto a recovery path in 2025.
From consolidated revenue of KRW 610.6bn, operating profit of KRW 105.4bn (17.3% margin) and owners' net profit of KRW 97.0bn in 2022, results swung to revenue of KRW 523.2bn, an operating loss of KRW 46.1bn (-8.8%) and an owners' net loss of KRW 53.9bn in 2023, followed by revenue of KRW 437.8bn, an operating loss of KRW 9.6bn (-2.2%) and an owners' net loss of KRW 69.4bn in 2024.
In 2025 revenue reached KRW 471.6bn with operating profit of KRW 25.3bn (5.4%) and owners' net profit of KRW 5.3bn, returning both lines to positive territory, and FnGuide's company profile attributed the improvement to higher domestic distribution prices from refrigerant quota cuts, expanded domestic and overseas projects and exports in chemical equipment, and rising refrigerant prices alongside stronger demand for battery electrolyte salts and semiconductor specialty gases.
Quarterly, revenue and operating profit were KRW 121.0bn and KRW 5.8bn in the third quarter of 2025 and KRW 119.3bn and KRW 4.8bn in the fourth, keeping margins in the 4-5% range; the first quarter of 2026 then delivered KRW 141.4bn and KRW 9.3bn (6.5%), and the second quarter KRW 188.2bn and KRW 23.4bn, lifting the margin into the 12% range.
Second-quarter 2026 revenue was up roughly 51% from KRW 124.2bn a year earlier, with operating profit about 58% above the KRW 14.8bn of that quarter.
Eugene Investment & Securities said on August 18, 2026 that the quarter mattered because a meaningful operating profit was achieved even excluding consolidated subsidiary Hantech, citing revenue of KRW 141.9bn and operating profit of KRW 12.8bn on that basis versus revenue of KRW 74.9bn and an operating loss of KRW 3.4bn a year earlier.
Below the operating line, however, volatility persists: the second quarter of 2025 showed an owners' net loss of KRW 19.6bn despite KRW 14.8bn of operating profit, and the first quarter of 2026 an owners' net loss of KRW 10.0bn despite KRW 9.3bn of operating profit, with non-operating items repeatedly flipping the sign of quarterly net income.
On the balance sheet, the debt-to-equity ratio eased from 157.5% in 2023 and 148.3% in 2024 to 112.5% in 2025, while operating cash flow moved from negative KRW 5.8bn in 2023 to positive KRW 75.6bn in 2024 and KRW 39.6bn in 2025.
Summing the four quarters from the third quarter of 2025 through the second quarter of 2026 gives revenue of KRW 569.9bn, operating profit of KRW 43.4bn and owners' net profit of KRW 36.5bn, meaning recent quarterly run-rates are running ahead of the last confirmed full-year figures.
Three end markets cycling upward at once underpins the recent earnings improvement. For refrigerants, regulation tightens supply: Korea amended its ozone layer protection law in 2024 to bring hydrofluorocarbons under control, freezing import and production volumes and setting a roadmap for an 80% cut by 2045.
The European Union requires refrigerants with GWP of 150 or below for self-contained refrigeration equipment from 2025, extending the same standard to residential air conditioners and heat pumps under 12kW in 2027.
China is also moving to sub-150 GWP refrigerants, starting with household refrigerators in 2026 and air conditioners in 2027.
In semiconductor materials, Samsung Securities said in a June 2026 report that Chinese export controls on tungsten, the raw material for WF6, created supply uncertainty, compounded by announced output cuts from Japanese suppliers holding a 25% share, sending prices sharply higher.
The same report explained that a sulfur shortage tied to Middle East tensions drove sulfuric acid prices up, raising anhydrous hydrofluoric acid production costs and hydrofluoric acid prices.
On battery materials, Samsung Securities noted that lithium salt prices stood at CNY 110,000 per ton as of June 15, 2026 - 37% below the start of the year but 117% above a year earlier - and that demand for non-China supply chains, led by electrolyte makers operating in the United States, has left the roughly 2,000 tons of usable capacity estimated to be running at full utilization.
In short, regulation for refrigerants, raw material supply for semiconductor gases and supply chain realignment for electrolyte salts are overlapping drivers, and whether all three hold simultaneously is central to the industry call.
On competitive positioning, sole or near-sole domestic producer status is cited as the basis for pricing pass-through, but because prices track regulatory and raw material events, margins can retrace quickly when the cycle turns.
No official company-issued annual guidance is confirmed; published forecasts exist as brokerage estimates.
In its August 18, 2026 report, Eugene Investment & Securities projected 2026 consolidated revenue of KRW 690.8bn, up 46.5% year on year, and operating profit of KRW 76.5bn, up 201.9%, raising its operating profit estimate about 45% from KRW 52.7bn and lifting its 2027 estimate to KRW 105.7bn from KRW 70.2bn.
The same report said it maintained its Buy rating and kept its target price unchanged. Earlier, coverage citing a Samsung Securities report noted that market consensus from FnGuide stood at 2026 revenue of KRW 592.8bn and operating profit of KRW 52.7bn, so where estimates converge after August is a checkpoint.
On products, a more than doubling of high-purity hydrogen fluoride gas capacity and the start of PF3 gas supply the following year are planned, leaving room for mix improvement in semiconductor materials.
Eugene Investment & Securities expects the semiconductor gas business to keep growing as domestic chipmakers continue high levels of capacity expansion.
For electrolyte salts, utilization recovery is the swing factor, with the explanation that margins improved on higher selling prices for semiconductor gases and refrigerants while LiPF6 losses narrowed sharply on volume growth.
In chemical equipment, wider participation in domestic and overseas projects and higher export sales were cited as improvement drivers, making subsidiary order flow a key source of consolidated revenue volatility.
Ultimately, future results hinge on a combination of selling prices (refrigerants, WF6, hydrofluoric acid), electrolyte utilization and subsidiary orders - and the pricing variable depends heavily on external factors outside the company's control.
Because profits have only just turned from losses in 2023-2024 to a positive result in 2025, earnings-based multiples rest on a thin denominator and sit well above the trading bands seen in past periods of normalized profit.
With the sum of the most recent four quarters' profit exceeding the last confirmed full-year figure, the perceived multiple can differ substantially at the same share price depending on which earnings period is used.
Against book value the shares carry a premium, and reported figures can differ between screens because in-house and Korea Exchange methods for calculating net asset value per share are not identical.
No cash dividend per share was disclosed for fiscal 2025, so no dividend yield is registered - a disadvantage in comparison with materials peers that do pay dividends.
Samsung Securities said in a June 2026 report that valuation burden had increased following the sharp short-term share price rise relative to earnings improvement expectations, and it did not provide a rating or target price.
Eugene Investment & Securities, by contrast, said in an August 2026 report that while small and mid-cap names had been sidelined by concentration in large semiconductor stocks, the company's fundamentals were strengthening to record levels. The gap between these two views itself frames the current valuation debate.
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
Korea's 2024 legal amendment froze HFC volumes and set a roadmap for an 80% reduction by 2045. With quotas shrinking, prices can rise without volume growth, and FnGuide's company profile also pointed to higher domestic distribution prices from refrigerant quota cuts as a driver of the 2025 earnings improvement.
The concentration of domestic refrigerant production at this company is cited as the basis for pricing pass-through in such a phase.
Alongside core WF6 and C4F6, capacity for higher-margin high-purity hydrogen fluoride gas is being more than doubled, and the line for the etch additive PF3 has been completed with supply set to start the following year.
Eugene Investment & Securities expects semiconductor gas growth to continue as domestic chipmakers sustain high levels of line expansion. A shift toward higher-value products creates room for operating margin improvement even at the same revenue level.
Eugene Investment & Securities explained in August 2026 that LiPF6 losses were narrowing sharply on higher volumes.
Samsung Securities said demand for non-China supply chains, led by electrolyte makers operating in the United States, has left the roughly 2,000 tons of usable capacity estimated to be running at full utilization. As a long-loss-making division approaches breakeven, room for company-wide operating margin improvement widens.
The recent profit improvement leans on prices more than volumes. The very explanation that margins improved on higher selling prices for semiconductor gases and refrigerants implies a reversal risk if prices fall.
The cited drivers - Chinese export controls, Japanese output cuts and a sulfuric acid spike tied to Middle East tensions - are all temporary variables that could work in the opposite direction upon normalization.
Two consecutive years of operating losses in 2023-2024 illustrate how sensitive profits are during a downturn in the pricing cycle.
Operating profit and owners' net profit frequently diverge: the second quarter of 2025 posted an owners' net loss of KRW 19.6bn despite KRW 14.8bn of operating profit, and the first quarter of 2026 an owners' net loss of KRW 10.0bn despite KRW 9.3bn of operating profit.
On an annual basis, the 2024 owners' net loss of KRW 69.4bn was far larger than the KRW 9.6bn operating loss. With non-controlling interests rising from KRW 6.2bn to KRW 55.0bn in 2025, the share of subsidiary profits attributable to owners has also shifted.
A structure in which non-operating items and ownership composition swing net income sharply reduces earnings predictability.
Reports noted that as of June 2026 the share price was up 158% year to date to its highest level since 2022, and that after a surge in June the Korea Exchange had designated it an investment-caution issue.
Samsung Securities, in a June 17, 2026 report, analyzed that valuation burden had grown after the sharp short-term rally, and provided neither a rating nor a target price.
The same coverage said the surge was attributed in part to mentions by a particular overseas social media account; a history of non-fundamental flow factors influencing the share price remains a volatility consideration.
Chinese export controls on tungsten, the raw material for WF6, and the surge in sulfuric acid prices used to make anhydrous hydrofluoric acid are favorable for selling prices but also act as cost and volume risks on the procurement side.
If raw material sourcing is delayed, higher prices may not be captured in volume terms. Fluorochemicals has long been flagged as an industry where raw material price volatility passes straight through to profitability.
Regulation is both a near-term supply constraint and a long-term product phase-out factor. The European Union intends to phase out F-gas use by 2050 over the long run, with product-specific bans also scheduled for 2030.
Major economies are accelerating the shift to low-GWP refrigerants in line with schedules to cut HFC production and consumption by 80% by 2045. If the buildout of a low-GWP product lineup lags, the existing refrigerant revenue base could shrink.
The electrolyte business is directly exposed to the electric vehicle demand cycle, and during a past demand slowdown the company suspended LiPF6 production at its Ulsan plant for a period.
The debt-to-equity ratio eased from 157.5% in 2023 to 112.5% in 2025 but remains above 100%, and continued expansion could raise funding needs again.
The company has previously allocated rights-issue proceeds to a new electrolyte plant, a next-generation additive plant and semiconductor gas facility investment, so the choice of funding method is a matter that can affect shareholder value.
Third-quarter 2026 report filing. The key items are whether the 12%-range operating margin from the second quarter holds and whether core operating profit excluding subsidiary Hantech sustains second-quarter levels.
Progress on high-purity hydrogen fluoride gas expansion and readiness for the start of PF3 gas supply. Eugene Investment & Securities reported in August 2026 that high-purity hydrogen fluoride capacity was being more than doubled and that the PF3 line was complete with supply due to begin the following year.
Fourth-quarter 2026 results and 2027 capital expenditure plans from Samsung Electronics and SK hynix. The pace of domestic chip line expansion is the precondition for semiconductor specialty gas volumes.
Domestic HFC quota allocations and the direction of refrigerant prices as preparations proceed for the European Union's 2027 F-gas standards. From 2027 the GWP 150 threshold also applies to residential air conditioners and heat pumps under 12kW.
Disclosure of confirmed full-year 2026 results and any dividend decision. As no cash dividend per share was disclosed for fiscal 2025, this is the point to check whether profit recovery translates into a change in shareholder return policy.
Foosung's earnings moved from a 2022 peak through two consecutive years of operating losses in 2023-2024 to a return to profit in 2025 with revenue of KRW 471.6bn and operating profit of KRW 25.3bn, and quarterly profit scaled up quickly in 2026 with KRW 141.4bn and KRW 9.3bn in the first quarter and KRW 188.2bn and KRW 23.4bn in the second.
The improvement rests on three legs - higher refrigerant prices following quota cuts, higher prices for semiconductor materials such as WF6 and hydrofluoric acid, and recovering electrolyte volumes - with project revenue from chemical equipment subsidiary Hantech adding scale to consolidated figures.
Financially, the debt-to-equity ratio fell from 157.5% in 2023 to 112.5% in 2025 and operating cash flow stayed positive in 2024 and 2025.
On the other side sit an income structure in which operating profit and owners' net profit frequently diverge, the temporary nature of the external events behind the price increases, and long-term regulatory pressure from the transition to low-GWP refrigerants.
On valuation, two views coexist: Samsung Securities flagged the burden from the sharp short-term rally in a June 2026 report and offered neither a rating nor a target price, while Eugene Investment & Securities maintained a Buy rating and a KRW 20,000 target price in an August 2026 report, saying fundamentals were strengthening to record levels.
The next checkpoints are whether second-quarter margins persist in third-quarter 2026 results and whether the high-purity hydrogen fluoride expansion and PF3 supply start proceed on schedule. This report is for informational purposes and contains no buy or sell recommendation.
Report written 2026-09-05 · Data as of 2026-09-04
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