PER, EPS, PBR and BPS are calculated in-house from the last 4 quarters (2025Q3–2026Q2) · Dividend yield is based on ₩475 per share · Prices as of the 2026-10-02 close
Daejung Chemicals & Metals posted a rebound in both revenue and operating profit in 2025, emerging from the margin compression seen over 2022-2024.
2025 consolidated revenue reached KRW 108.1bn (+17.1% YoY) and operating profit KRW 11.2bn (+31.9%), breaking out of 2024's growth stall.
Over the latest four quarters (2025Q3-2026Q2), operating margin trended higher, reaching 16.3% in 2026Q2, well above the year-earlier level.
The reagent business appears to be sustaining growth momentum, supported by expanded government R&D budgets and rising bio/diagnostics research demand.
In electronic materials, the company is jointly developing next-generation OLED emissive materials with display material makers, aiming toward eventual commercialization.
The debt ratio stood at a low 14.7%, and 2025 operating cash flow of KRW 10.0bn pointed to stable cash generation.
Founded in 1968 and listed on KOSDAQ in 2010, Daejung Chemicals & Metals produces and sells a range of chemical products including laboratory reagents, electronic-grade solvents, active pharmaceutical ingredients, veterinary drugs, and food additives.
Its core reagent business supplies general, analytical, diagnostic, and specialty-grade reagents domestically and abroad, having built a long-standing market position after becoming the first in Korea's reagent industry to obtain ISO quality certification.
In electronic materials, the company develops and supplies electronic-grade solvents and photoresist monomers/additives used in semiconductors, LCD, and OLED, alongside OEM/ODM production for client requirements.
In active pharmaceutical ingredients, it collaborates with leading domestic pharmaceutical companies on raw reagent synthesis for new drug research and pharmaceutical intermediate development.
Key products include alcohols and acetonitrile, with major customers including LG Chem, Hanmi Fine Chemical, Hyosung, and multiple pharmaceutical companies.
In electronic materials, the company is jointly synthesizing samples of next-generation OLED emissive materials with display material makers, targeting eventual commercialization.
It also maintains specialty product lines such as palladium catalysts, rare earth/rare metal compounds, and bio-reagents, operating a low-volume, high-variety production system to serve diverse industrial demand. As a small-cap KOSDAQ name, it also carries the characteristic of limited free float.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩27B | ₩2.6B | 9.5% |
| 2025Q3 | ₩29.1B | ₩3.7B | 12.5% |
| 2025Q4 | ₩28.4B | ₩3B | 10.7% |
| 2026Q1 | ₩29.5B | ₩4B | 13.5% |
| 2026Q2 | ₩32.3B | ₩5.3B | 16.3% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩96.6B | ₩11.6B | ₩13.7B | 12.0% | 9.4% | 18.5% |
| 2023 | ₩93.3B | ₩11B | ₩13B | 11.8% | 7.8% | 17.8% |
| 2024 | ₩92.3B | ₩8.5B | ₩9.7B | 9.2% | 5.6% | 16.8% |
| 2025 | ₩108.1B | ₩11.2B | ₩13.5B | 10.3% | 7.4% | 14.7% |
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
2025 consolidated revenue came to KRW 108.1bn, up 17.1% from KRW 92.3bn in 2024, while operating profit rose 31.9% to KRW 11.2bn from KRW 8.5bn. Operating margin improved to 10.3% in 2025 from 9.2% in 2024, partially reversing the margin decline that ran from 12.0% in 2022 through 2024.
Net income attributable to owners rose 40.0% to KRW 13.5bn in 2025 from KRW 9.7bn in 2024. Over 2022-2024, revenue was roughly flat to slightly down (KRW 96.6bn to KRW 93.3bn to KRW 92.3bn) while operating profit declined from KRW 11.6bn to KRW 11.0bn to KRW 8.5bn; 2025's results represent a break from that trend.
On a quarterly basis, revenue expanded from KRW 27.0bn with KRW 2.6bn operating profit in 2025Q2 to KRW 32.3bn with KRW 5.3bn operating profit in 2026Q2, with operating margin rising sharply from 9.5% to 16.3%.
In 2025Q4, revenue of KRW 28.4bn and operating profit of KRW 3.0bn were accompanied by owners' net income of KRW 5.4bn, exceeding operating profit—suggesting a meaningful non-operating contribution whose persistence would need to be confirmed through further disclosure.
Owners' net income summed over the latest four quarters (2025Q3-2026Q2) reached KRW 17.0bn, already surpassing full-year 2025 net income of KRW 13.5bn. 2025 operating cash flow of KRW 10.0bn was lower than KRW 14.4bn in 2023 and KRW 13.2bn in 2024, but still represented solid cash generation relative to net income.
The reagent industry appears to be in a structural growth phase, driven by rising life science, diagnostics, and pharmaceutical research demand since the pandemic, alongside tightening global regulations on environmental analysis and food safety.
Increased government R&D budgets are also cited as a factor boosting reagent demand by giving momentum to basic science research.
The electronic materials segment is tied to the investment cycle of the semiconductor and display industries, with capital spending and new-product development pace at downstream customers directly affecting demand.
In OLED materials, competition continues around developing next-generation materials that improve luminous efficiency and lifetime, and Daejung Chemicals & Metals sits within a collaborative structure as a supplier of base materials and intermediates rather than finished products.
Korea's reagent and fine chemicals market includes numerous small and mid-sized competitors, making quality certification, delivery reliability, and low-volume, high-variety production capability ongoing competitive factors.
Because a large share of raw materials is imported, exchange rates and global commodity price swings are an industry-wide cost factor as well.
The company appears to be pursuing an expansion of its business scope by continuing to address the biopharmaceutical and electronic materials markets while leveraging its established position in reagents.
In electronic materials, it is jointly participating with OLED material companies in developing next-generation emissive materials, with sample synthesis underway and eventual mass-production commercialization as the stated goal.
If the trend of expanding government R&D budgets continues, this could translate into further reagent demand growth as the biopharmaceutical and diagnostics markets move toward higher value-added segments.
Whether the revenue growth and margin expansion seen in recent quarters continues into subsequent quarters will be a key point to monitor. Whether the surge in 2025Q4 net income stemmed from a one-off factor will need to be confirmed through future disclosures.
The company's low debt ratio (14.7%) can be read as financial capacity to respond to further R&D investment or production capacity expansion.
The stock trades at a discount to net asset value, sitting below its per-share book value. In terms of earnings multiples, the 2025 profit recovery has translated into a lower multiple range than during the earlier stagnation period.
The company has a track record of paying consistent cash dividends over multiple years, and the recent improvement in quarterly results could be viewed as a factor supporting dividend continuity.
That said, as a small-cap KOSDAQ name, trading volume is limited and short-term volatility tied to news flow or thematic interest can be relatively pronounced, which should also be weighed.
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
Operating margin improved from 9.2% in 2024 to 10.3% in 2025, and expanded further to 16.3% in the most recent quarter (2026Q2). This can be read as a signal of exiting the margin-decline phase of 2022-2024. The fact that margin improvement accompanied revenue growth is also a qualitative point worth noting.
The company is jointly participating with OLED material makers in developing next-generation emissive materials, with sample synthesis underway toward a stated goal of mass-production commercialization. Successful commercialization could diversify the electronic materials product lineup. However, the timing and scale of any commercialization remain unconfirmed.
The 2025 debt ratio remained low at 14.7%, with operating cash flow of KRW 10.0bn also stable. This can be read as financial capacity to respond to further R&D or capital investment. Continued expansion of government R&D budgets could also act as a structural driver of reagent demand.
Revenue declined from KRW 96.6bn in 2022 to KRW 92.3bn in 2024, and operating profit fell from KRW 11.6bn to KRW 8.5bn over the same period. Whether the 2025 rebound reflects a structural improvement or a temporary upswing in a specific segment requires further confirmation. A recurrence of the earlier stagnation phase cannot be ruled out.
2025Q4 owners' net income of KRW 5.4bn significantly exceeded the same quarter's operating profit of KRW 3.0bn, suggesting a substantial non-operating contribution. Such non-operating factors may not repeat every quarter, warranting caution when assessing the sustainability of future net income.
As a small-cap KOSDAQ stock with limited free float, trading volume is thin, and short-term swings tied to news or thematic interest can occur. This characteristic can amplify price volatility unrelated to underlying earnings.
A significant portion of raw materials needed for reagent and electronic-grade solvent production is understood to be import-dependent. Exchange rate fluctuations or rising global commodity prices could add to cost burdens, potentially increasing quarter-to-quarter operating margin volatility.
Demand in the electronic materials segment fluctuates in line with the capital spending and production plans of semiconductor and display makers. A slowdown in downstream investment or industry conditions could affect related revenue.
The OLED new-material development project's timeline and scale could also shift depending on partner companies' business decisions.
As a small-cap KOSDAQ stock with a small market capitalization and limited free float, supply-demand dynamics can be significantly swayed by particular issues or themes. There have reportedly been past instances where the share price moved sharply in connection with certain materials-related themes. Such volatility can occur independent of underlying fundamentals.
The 2026Q3 quarterly report disclosure will be worth checking to see whether the revenue growth and margin expansion trend continues, and whether the 2025Q4 net income surge was indeed a one-off.
Confirmation of the government's 2027 R&D budget plan is a policy variable tied to reagent demand, worth checking for continued budget expansion.
The annual general shareholders' meeting and 2026 year-end dividend decision disclosure will allow confirmation of dividend policy continuity and scale.
Ongoing monitoring is needed for any follow-up disclosures or contracts related to the joint development of next-generation OLED emissive materials with display material partners.
Daejung Chemicals & Metals saw consolidated revenue and operating profit grow 17.1% and 31.9%, respectively, in 2025, breaking from the margin-decline phase of 2022-2024.
Over the latest four quarters (2025Q3-2026Q2), revenue growth was accompanied by expanding operating margin, with 2026Q2 operating margin reaching 16.3%, well above the year-earlier level.
However, the 2025Q4 net income surge exceeded operating profit, suggesting a large non-operating contribution whose persistence needs to be confirmed through further disclosure.
Business-wise, structural demand growth in the reagent segment and joint development of next-generation OLED materials in electronic materials are cited as growth drivers, while the investment cycle of downstream semiconductor and display industries and raw material/FX fluctuations remain downside factors.
On financial soundness, the low 14.7% debt ratio suggests capacity to respond to further investment. Overall, this report presents a summary of confirmed financial figures and verified business developments.
Report written 2026-09-05 · Data as of 2026-09-04
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