KOSDAQElectronic Components115530

Cnplus

₩2,860▲ 0.70%2026-10-02 close

Market Cap

₩24.4B

Turnover

₩58,365,139

Volume

20,000 shares

Shares out.

8.6M

PER

21.4×

PBR

2.2×

EPS

₩151

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

Beyond Connectors: Wind and AI Expansion

Precision connector maker CNPlus has expanded through offshore wind installation and construction work, turning operating profit positive in 2025, while a net loss and weakening balance sheet persisted at the same time.

1
2025 consolidated revenue reached KRW 53.6 billion and operating profit turned positive at KRW 0.37 billion, yet the net loss attributable to owners widened to KRW 2.46 billion.
2
Quarterly results swing sharply with offshore wind construction progress, turning to a loss again in Q1 2026 and back to profit in Q2 2026.
3
Equity shrank from KRW 11.6 billion in 2022 to KRW 6.8 billion in 2025, while the debt ratio surged from 200.7% to 612.1%.
4
The offshore wind special act that took effect in March 2026 and government deployment plans stand out as an opportunity for the installation and construction business.
5
The largest shareholder converted its entire convertible bond holding into shares in July 2026, raising its stake and addressing overhang concerns.

Business structure

CNPlus was founded in 2003 and has been developing and producing connector products for electrical networks and connection devices from its base in Siheung, Gyeonggi Province.

It has secured domestic and international electronics makers as key customers, supplying connector components to global electronics firms including Samsung SDI, Samsung Electronics, LG Innotek, Hitachi, Nidec, Changhong, and Sony Optiarc.

Founded in 2003 and listed on KOSDAQ in 2011, CNPlus has been a tier-one connector supplier to Samsung Electronics and LG Electronics for more than two decades.

The company focuses on producing and selling connectors for information/communication devices, displays, and home appliances, and has run a renewable-energy transport and installation business since acquiring PK Wind Power in 2021.

To secure medium- to long-term growth drivers, the company acquired wind-related entities and expanded into offshore wind EPC, transition piece (TP) installation, wind turbine generator (WTG) top-structure installation, and pre-assembly work.

Its subsidiaries include CNPLUS VINA Co., Ltd., CN Semiconductor, CN Energy Development, and CN Mobility.

CNPlus has signed a memorandum of understanding with Chonnam National University to build and operate a modular AI data center, starting with a phase-one pilot on campus with the goal of expanding into a Honam-region AI hub platform.

Over the medium to long term, the company is pursuing a strategy of diversifying its traditional display-centric connector portfolio into mobile and IT components while expanding into new businesses such as ICT and eco-friendly energy.

Earnings trend

Quarterly revenue · Operating profit

₩18.3B-₩500M25Q2₩15.7B₩200M25Q3₩8.7B₩1B25Q4₩17.5B-₩800M26Q1₩21.5B₩900M26Q2

RevenueOperating profit

Annual revenue · Operating profit

₩43B₩1.4B2022₩36.3B₩1B2023₩47.5B-₩36,854,3092024₩53.6B₩400M2025

RevenueOperating profit

Quarterly results · Last 5 quarters
Quarter	Revenue	Operating profit	Op. margin
2025Q2	₩18.3B	-₩500M	−2.5%
2025Q3	₩15.7B	₩200M	1.3%
2025Q4	₩8.7B	₩1B	11.6%
2026Q1	₩17.5B	-₩800M	−4.5%
2026Q2	₩21.5B	₩900M	4.0%

Annual results
Year	Revenue	Operating profit	Net income (parent)	Op. margin	ROE	Debt-to-equity
2022	₩43B	₩1.4B	₩1.7B	3.2%	15.0%	200.7%
2023	₩36.3B	₩1B	₩400M	2.7%	3.5%	201.5%
2024	₩47.5B	-₩36,854,309	-₩2.2B	−0.1%	−22.9%	421.5%
2025	₩53.6B	₩400M	-₩2.5B	0.7%	−36.1%	612.1%

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

Annual revenue fell from KRW 43.0 billion in 2022 to KRW 36.3 billion in 2023, then rose to KRW 47.5 billion in 2024 and KRW 53.6 billion in 2025, marking two consecutive years of double-digit growth.

Operating profit moved from KRW 1.38 billion and KRW 0.96 billion in surplus in 2022-2023 to a small loss of KRW 0.04 billion in 2024, then back to a KRW 0.37 billion profit in 2025, lifting the operating margin from -0.1% to 0.7%.

By contrast, net income attributable to owners went from KRW +1.74 billion in 2022 and KRW +0.39 billion in 2023 to KRW -2.22 billion in 2024 and KRW -2.46 billion in 2025, posting net losses for two straight years even as operating profit recovered.

On a nine-month cumulative basis through the third quarter of 2025, revenue grew 82.5% year on year, yet operating profit turned negative and the net loss widened 241.7%, a pattern attributed to the structure in which construction costs for wind and solar plants are recognized all at once.

Quarterly figures show revenue of KRW 18.3 billion with an operating loss of KRW 0.46 billion and a net loss of KRW 3.46 billion in Q2 2025, followed by a modest improvement to KRW 15.7 billion revenue and KRW 0.20 billion operating profit in Q3, though the net loss of KRW 0.26 billion continued.

In Q4, revenue fell to KRW 8.7 billion, yet operating profit reached KRW 1.01 billion and net profit KRW 1.97 billion, the decisive quarter that flipped the full-year result into profit.

However, Q1 2026 reverted to a loss, with revenue recovering to KRW 17.5 billion but an operating loss of KRW 0.80 billion and a net loss of KRW 0.90 billion, before Q2 2026 swung back to profit with revenue of KRW 21.5 billion, operating profit of KRW 0.87 billion, and net profit of KRW 0.36 billion, continuing a pattern of alternating profit and loss over the past five quarters.

Over the same period, equity fell from KRW 11.6 billion in 2022 to KRW 6.8 billion in 2025, the debt ratio jumped from 200.7% to 612.1%, and operating cash flow shrank sharply from KRW 5.3 billion in 2024 to KRW 0.24 billion in 2025, underscoring significant volatility in earnings quality as well.

Industry analysis

Korea's offshore wind policy has been rapidly taking shape in 2026. The Special Act on the Promotion and Industrial Development of Offshore Wind Power took effect on March 26, 2026.

The government aims to reach a cumulative 10.5GW by 2030 through the introduction of a designated-site system, shortening the permitting period from ten years to 6.5 years, and operating an offshore wind promotion task force.

CNPlus has won and is overseeing the top-structure and equipment unloading and core assembly/installation work for the Yeonggwang Nakwol project, the country's largest private offshore wind farm.

Offshore wind construction requires demanding capabilities related to weather conditions, sea characteristics, and heavy equipment operation, and very few domestic contractors hold this level of reference experience.

The company has installation experience with domestic turbine makers Doosan Enerbility and Unison, as well as with overseas turbines such as Siemens Gamesa.

That said, turbines of 15MW and above reach a maximum height of 260-290 meters, which existing domestic jack-up vessels struggle to handle, making the deployment timing of the large wind turbine installation vessel (WTIV) that Hanwha Ocean is building a key variable for participation in future large-scale projects.

The connector business maintains stable demand within the Samsung and LG supply chains but, as a mature market, offers limited high growth, whereas the offshore wind installation and construction business carries both growth potential tied to policy shifts and considerable earnings volatility.

Outlook

CNPlus is expanding beyond its traditional connector manufacturing business into offshore wind engineering, procurement, and construction (EPC) as well as installation work.

A company representative said Nakwol offshore wind revenue recognition would be reflected in 2026 results in the near term, while follow-on projects exceeding 1.5GW currently in the permitting stage would support sustained growth over the medium to long term.

As a new growth pillar, the company has a memorandum of understanding with Chonnam National University to build and operate a modular AI data center, aiming to expand from a phase-one campus pilot into a Honam-region AI hub platform.

On the balance-sheet side, the company stated a plan to raise capital and resolve overhang through the largest shareholder's convertible bond conversion, followed by making tangible progress in new growth businesses such as renewable energy and automotive electronics to lift corporate value.

In practice, the largest shareholder, Ins&Co, converted its entire KRW 1.5 billion sixth-series convertible bond into shares, raising its stake to 28.42%, with the combined stake of related parties including the CEO reaching 30.71%.

In addition, the company carried out an early redemption of KRW 1 billion of its seventh-series convertible bond before maturity, reducing its financial burden.

On capital structure, the company resolved to consolidate shares by changing the par value from KRW 100 to KRW 1,000, substantially cutting the total number of outstanding shares, stating the goal was share price stabilization and value enhancement through reduced float, with the new shares listed on May 26, 2026.

Valuation

PER

21.4×

PBR

2.2×

ROE

15.1%

EPS

₩151

BPS

₩1,493

Dividend per share

₩0

The current share price trades at a premium to net asset value, suggesting the market may be weighting future growth narratives—such as the offshore wind pipeline and the AI data center business—more heavily than book value alone.

However, given that results over the past five quarters have alternated between profit and loss, earnings-based valuation metrics can be sensitive to one-off factors in any given quarter and should be interpreted with caution.

The company currently pays no dividend, so dividend-related metrics remain below the sector average. Because the 2026 share consolidation and convertible bond conversions structurally changed the number of shares outstanding, simple comparisons of historical per-share figures with current ones are not appropriate.

Overall, the valuation appears to reflect both the stable cash flow of the connector business and growth expectations tied to the offshore wind and AI ventures, a combination whose assessment could shift depending on whether the earnings recovery proves durable.

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

Offshore Wind Pipeline Riding Policy Tailwinds

The offshore wind special act and the government's 10.5GW deployment target are widening the opportunity for CNPlus to leverage the installation and construction reference it has built.

Its experience overseeing core processes at the country's largest offshore wind farm, the Yeonggwang Nakwol project, could serve as a basis for participating in follow-on projects. This remains the company's stated plan, however, and whether it translates into new orders depends on individual bidding outcomes.

Operating Profit Turnaround and a Stable Connector Base

Annual operating profit turned positive at KRW 0.37 billion in 2025, and revenue posted two consecutive years of double-digit growth. Its more than two decades as a tier-one supplier to Samsung Electronics and LG Electronics provides a stable demand base for the connector segment.

Still, net income remains in the red with large quarterly swings, so the durability of the operating turnaround needs further confirmation.

Balance-Sheet Actions and New Business Diversification

Efforts by the largest shareholder to resolve overhang via convertible bond conversion and early redemption, alongside capital-raising steps, are factors that partially reduce financial uncertainty.

The modular AI data center collaboration with Chonnam National University has been presented as a third growth pillar beyond connectors and offshore wind. These new businesses remain at an early stage, however, and the timing and scale of any revenue contribution are unconfirmed.

Bear factors

Earnings Volatility Tied to Project Completion Timing

Because revenue and cost recognition for offshore wind construction fluctuate significantly around completion milestones, quarterly results have swung between profit and loss. The fact that Q1 2026 posted an operating and net loss despite a revenue recovery illustrates this.

A structure in which revenue is concentrated in a small number of large projects could keep this volatility persistent.

Shrinking Equity and a Sharp Rise in the Debt Ratio

Equity fell from KRW 11.6 billion in 2022 to KRW 6.8 billion in 2025, while the debt ratio over the same period jumped from 200.7% to 612.1%. Even in the year operating profit turned positive, the net loss widened, keeping pressure on capital erosion.

If the balance sheet continues to weaken, further capital raising or changes in financing terms could become necessary.

Persistent Net Losses and Structural Limits as a Smaller Contractor

Net losses were recorded in both 2024 and 2025 regardless of the operating result, suggesting a substantial non-operating burden.

Compared with large EPC firms or overseas installation companies, the company is relatively disadvantaged in capital strength and construction scale, which could limit its role in large projects to subcontracting or specialized segments.

The availability and timing of large turbine installation vessels is also a variable largely outside the company's direct control.

Risk factors

Business Concentration Risk

Revenue and profit depend heavily on the progress of a small number of large offshore wind projects. Delays in project schedules or changes in contract terms could cause sharp swings in a given quarter's results. While the connector segment is relatively stable, its cushioning effect on overall results may be limited.

Financial Risk

With equity having shrunk and the debt ratio having risen sharply, if additional external funding is required, dilutive financing tools such as convertible bonds or rights offerings could be used again.

While the largest shareholder's bond conversion and early redemption eased some of the burden, the remaining bonds and future funding needs warrant ongoing monitoring.

Policy and Competition Risk

The offshore wind special act is still in its early implementation stage, and how quickly designated-site allocation and permitting procedures are actually executed will determine the pace of business expansion.

The timing of securing dedicated vessels for large turbine installation also depends on external factors such as government policy and shipbuilders. The competitive landscape could shift if large domestic construction or shipbuilding firms enter the offshore wind installation market.

What to watch next

Mid-November 2026
Check the Q3 2026 earnings disclosure to see whether the recent five-quarter pattern of alternating profit and loss continues.
Q4 2026
Monitor progress and revenue recognition status on the Yeonggwang Nakwol offshore wind project to assess whether earnings volatility is easing.
Second half of 2026
Watch for disclosures on progress under the offshore wind special act's designated-site and permitting process, and on any new project order wins.
Second half of 2026
Check for disclosures detailing the progress and investment scale of the phase-one modular AI data center pilot with Chonnam National University.
Ongoing monitoring
Continue to track disclosures on the handling of remaining convertible bonds and any additional capital raising to monitor dilution and balance-sheet changes.

Overall view

CNPlus is a company seeking to layer two new growth pillars—offshore wind installation/construction and an AI data center venture—on top of its stable core precision connector business, having confirmed a turn to operating profit and two straight years of double-digit revenue growth in 2025.

However, the fact that the net loss widened over the same period while equity shrank and the debt ratio jumped from the 200% range to the 600% range is a clear weak point in its financial structure.

Quarterly results show a recurring pattern of profit and loss tied to offshore wind project progress, meaning the durability of future earnings will likely depend heavily on the completion and revenue-recognition timing of individual projects.

Balance-sheet actions such as the largest shareholder's convertible bond conversion, early redemption, and share consolidation are factors that partly ease overhang and financial burden.

The offshore wind special act, government deployment targets, and the AI data center collaboration with Chonnam National University provide a basis for a medium- to long-term growth story, but all remain at an early stage with the timing and scale of actual revenue contribution unconfirmed.

Ongoing monitoring of future quarterly results, individual project order/completion disclosures, and balance-sheet changes is warranted before forming any investment judgment.

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.