PER, EPS, PBR and BPS are calculated in-house from the last 4 quarters (2025Q3–2026Q2) · Dividend yield is based on ₩100 per share · Prices as of the 2026-10-02 close
Starflex, after posting a large loss in 2023, returned to revenue growth and operating profit in 2025, extending a four-quarter run of profitability from Q3 2025 through Q2 2026.
2025 consolidated revenue reached KRW 98.66bn (+23.1% YoY), with operating profit of KRW 6.57bn (6.7% operating margin), marking a swing to profit.
Operating profit and owners' net income stayed positive for four consecutive quarters from Q3 2025 through Q2 2026.
The debt ratio declined from 49.0% in 2022 to 39.0% in 2025, indicating an improving balance sheet.
2025 operating cash flow was negative at KRW -0.27bn despite positive net income, warranting scrutiny of earnings quality.
The company discloses a domestic FLEX sign market share of over 60%, within an export-heavy business structure.
Starflex is a manufacturer of PVC-based advertising sign materials founded in 1985 and listed on KOSDAQ in 2010.
The company produces and sells Flex fabric used in outdoor advertising, and in 2001 it became the first in the world to succeed in producing 5-meter-wide FLEX material using a laminating process, earning recognition for its technology.
The company discloses a domestic market share of over 60% in the FLEX sign market, indicating a strong position in the home market.
Its product portfolio includes interior-lit and exterior-lit banners, double-sided printed banners, adhesive banners, sol-type flex banners, and banner cloth used for digital printing, billboards, building walls, and in-store displays.
Sales cover both the domestic market and overseas regions including Asia, North America, Latin America, Europe, the Middle East, and Africa. The company has historically exported to more than 120 countries with annual export revenue exceeding USD 50 million, reflecting an export-oriented business model.
Its manufacturing and sales base consists of production facilities in Eumseong, Chungcheongbuk-do and Gimpo, Gyeonggi-do, along with a sales office in Yangcheon-gu, Seoul.
At the time of its 2010 listing, brokerage analysis described the outdoor advertising banner market as split among domestic firms and a number of European and Chinese producers, with pricing competition from low-cost Chinese products a persistent feature — illustrating how cost, quality, and delivery reliability shape competitive positioning in this industry.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩25.9B | ₩600M | 2.3% |
| 2025Q3 | ₩24.1B | ₩3.1B | 13.0% |
| 2025Q4 | ₩25.7B | ₩1.7B | 6.5% |
| 2026Q1 | ₩24.6B | ₩1.4B | 5.7% |
| 2026Q2 | ₩25B | ₩3B | 11.8% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩104.1B | ₩4B | ₩6.5B | 3.8% | 8.4% | 49.0% |
| 2023 | ₩70.7B | -₩3.4B | -₩14.7B | −4.8% | −23.3% | 47.1% |
| 2024 | ₩80.2B | -₩200M | ₩4.6B | −0.2% | 7.0% | 45.0% |
| 2025 | ₩98.7B | ₩6.6B | ₩3.5B | 6.7% | 4.9% | 39.0% |
Consolidated basis (financial statements including subsidiaries) · Final figures from DART filings · Net income attributable to owners of the parent · Data as of 2026-08-23
Starflex's consolidated revenue fell sharply from KRW 104.07bn in 2022 to KRW 70.70bn in 2023, a period during which operating profit swung to a loss of KRW -3.41bn and owners' net income posted a large deficit of KRW -14.74bn (operating margin of -4.8%).
In 2024, revenue recovered modestly to KRW 80.15bn but operating profit remained negative at KRW -0.16bn (operating margin -0.2%), while owners' net income turned positive at KRW 4.65bn, suggesting non-operating items drove the bottom-line profit.
In 2025, revenue rose to KRW 98.66bn (+23.1% YoY) and operating profit improved markedly to KRW 6.57bn (6.7% operating margin), pulling the company out of its 2023-2024 slump.
On a quarterly basis, Q2 2025 revenue was KRW 25.86bn with operating profit of KRW 0.60bn, yet owners' net income showed a large loss of KRW -4.97bn, a divergence that appears to reflect one-off items unrelated to core operations.
The company then posted four consecutive profitable quarters: Q3 2025 (revenue KRW 24.11bn, operating profit KRW 3.14bn, net income KRW 4.24bn), Q4 2025 (revenue KRW 25.70bn, operating profit KRW 1.68bn, net income KRW 3.40bn), Q1 2026 (revenue KRW 24.56bn, operating profit KRW 1.40bn, net income KRW 4.51bn), and Q2 2026 (revenue KRW 25.04bn, operating profit KRW 2.95bn, net income KRW 3.45bn).
Combined owners' net income across the most recent four quarters (Q3 2025-Q2 2026) totaled approximately KRW 15.60bn, well above the full-year 2024 figure of KRW 4.65bn.
Consolidated equity fell from KRW 77.87bn in 2022 to KRW 63.14bn in 2023 before recovering to KRW 71.24bn at the end of 2025, while the debt ratio declined from 49.0% in 2022 to 39.0% in 2025, indicating an improving capital structure.
However, 2025 full-year operating cash flow was negative at KRW -0.27bn despite positive net income, a divergence that leaves questions about earnings quality and cash conversion that merit continued monitoring.
The outdoor advertising and sign materials industry that Starflex operates in is a niche sector that has grown steadily as digital printing technology advanced, increasing demand for printed displays, billboards, and in-store signage.
Market research firms generally expect the broader PVC materials market to continue growing on the back of infrastructure, construction, and automotive demand.
According to brokerage analysis at the time of the company's 2010 listing, the outdoor advertising banner market was split among domestic firms and a number of European and Chinese producers, with Korean products commanding a price premium over low-cost Chinese alternatives due to quality and delivery reliability.
Starflex discloses a domestic market share of over 60% in the FLEX sign segment, suggesting it maintains a dominant position domestically.
However, because a substantial portion of revenue is generated overseas, the company carries meaningful exposure to currency movements, overseas economic conditions, and logistics costs.
While the outdoor advertising market faces a substitution threat from the spread of digital signage, demand for low-cost, large-format PVC banners appears to have persisted.
Within the KOSDAQ chemicals sector, Starflex is classified as a smaller specialized player, pursuing a strategy centered on its niche position in the sign and banner market rather than competing on scale with large chemical producers.
The 2025 revenue recovery, improved operating margin, and four consecutive profitable quarters starting in Q3 2025 suggest the company has moved past its 2023-2024 downturn.
However, no specific company-level guidance on capacity expansion, major new orders, or new product launch timelines could be confirmed from publicly available sources.
The declining debt ratio is a positive for financial stability, but the negative operating cash flow recorded in 2025 raises a question of whether cash generation will recover in coming quarters.
Given the export-heavy business structure, the direction of the won-dollar exchange rate, global logistics costs, and raw material prices for PVC and plasticizers are expected to continue affecting margins.
As long as demand for printed outdoor advertising materials persists despite the broader shift toward digital advertising, the company's core business base is likely to remain intact.
With four consecutive profitable quarters now on record, whether this trend continues in upcoming quarterly disclosures, alongside improvement in cash flow and balance sheet metrics, will be an important point to monitor.
Starflex's share price stands well below its book value per share, meaning the stock trades at a discount to net assets.
Reflecting the earnings recovery that produced four consecutive profitable quarters since 2025, the price-to-earnings multiple based on recently reported results sits on the lower side relative to typical market levels.
That said, the market capitalization itself remains at a small-cap scale, which can limit trading liquidity and warrants caution when interpreting valuation metrics. The company appears to have maintained a modest annual cash dividend over the years.
Given that equity declined during the large losses of 2022-2023, whether the recent earnings recovery persists will be a key variable for future changes in net asset value.
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
After posting an operating loss of KRW -3.41bn and a net loss of KRW -14.74bn in 2023, the company achieved an operating profit of KRW 6.57bn in 2025, marking a clear swing to profitability.
Both operating profit and net income remained positive for four straight quarters from Q3 2025 through Q2 2026, sustaining the recovery. Revenue also grew alongside this, rising 23.1% year-over-year to KRW 98.66bn in 2025.
The company discloses a share of over 60% in the domestic FLEX sign market, indicating a dominant position at home. Its technological edge, including the world-first introduction of a 5-meter-wide laminating process in 2001, has historically underpinned this market leadership. This position could serve as a relative competitive advantage against new entrants.
The debt ratio fell from 49.0% in 2022 to 39.0% in 2025, reflecting improving financial stability. Equity also recovered from its 2023 trough of KRW 63.14bn to KRW 71.24bn at the end of 2025. This provides a somewhat improved buffer for absorbing potential future losses.
2025 full-year operating cash flow was negative at KRW -0.27bn, diverging from the period's owners' net income of KRW 3.47bn. This suggests profits may not be fully backed by actual cash generation. Whether cash flow improves in coming quarters warrants continued attention.
In Q2 2025, despite a positive operating profit of KRW 0.60bn, owners' net income posted a large loss of KRW -4.97bn, showing significant earnings volatility driven by non-operating factors. The outsized influence of such non-operating items may limit the predictability of quarterly results.
Revenue fell 32% from KRW 104.07bn in 2022 to KRW 70.70bn in 2023, demonstrating that the company's top line can swing sharply with external economic conditions or demand shifts. Given the export-heavy structure, similar volatility could recur in connection with exchange rates or overseas economic cycles.
Fluctuations in raw material prices such as PVC and plasticizers directly affect costs, and given the export-heavy revenue structure, won-dollar exchange rate movements also affect profitability.
If raw material costs and exchange rates move unfavorably at the same time, the recent improvement in operating margin could be disrupted.
The spread of digital signage could act as a substitution threat to traditional PVC banner materials, and price competition from low-cost overseas producers, including Chinese manufacturers, may persist. These structural factors could weigh on market share or margins over the long term.
As a small-cap KOSDAQ stock, trading liquidity may be limited, and the share price could be exposed to volatility driven by factors unrelated to fundamentals. This is a point of caution regarding information accessibility and the stability of valuation assessments.
The Q3 2026 quarterly report is expected to be filed — a key point to check whether the four-quarter run of profitability and the operating margin improvement trend continue.
The full-year 2026 annual report is expected to be filed — worth checking whether the negative operating cash flow seen in 2025 improves and whether the dividend policy is maintained.
Trends in the won-dollar exchange rate and international PVC/plasticizer raw material prices — variables that directly affect margins given the export-heavy revenue structure.
Any new disclosures related to rights offerings, convertible bonds, or other financing — if they occur, dilution and balance sheet changes would need to be examined.
Starflex, after suffering a large loss in 2023, achieved revenue growth and a return to operating profit in 2025, and appears to have entered an earnings recovery phase with four consecutive profitable quarters from Q3 2025 through Q2 2026.
Signs of an improving balance sheet, such as a declining debt ratio, are also evident, but negative operating cash flow in 2025 leaves a question mark over earnings quality that needs continued scrutiny.
The company is a niche player with a high domestic share of the FLEX sign market, but its export-heavy structure leaves it exposed to exchange rate and raw material price swings. Given the notable volatility in quarterly net income, non-operating factors need to be examined alongside the operating profit trend.
Whether the recent run of profitability and any improvement in cash flow persist will be the key points to watch in upcoming quarterly disclosures. This report contains no investment opinion or recommendation to buy or sell, and is provided 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.