Hallacast

Halla Cast traces its roots to Halla Diecast, founded in 1996, and specializes in precision diecasting parts made from aluminum, magnesium and zinc.

After a sharp revenue drop in 2016, the company entered a court-supervised workout program in 2017, restructured away from smartphone and appliance parts toward automotive electronics, and exited the workout program in 2018. Following this turnaround, it listed on KOSDAQ in August 2025.

Its key customers are large domestic manufacturers such as LG Electronics, Hyundai Mobis and Samsung Electro-Mechanics, which act as tier-1 buyers supplying parts onward to global automakers.

According to a Daishin Securities report, the third-quarter 2025 revenue mix consisted of autonomous-driving parts at 22%, display parts at 34%, mold and appliance parts at 33%, battery parts at 5% and other at 6%, meaning electronics and display components account for more than half of sales.

In February 2026 the company was registered as a first-tier vendor to a global AI-linked automaker, followed by a parts supply agreement in May, adding power-conversion, autonomous-driving and humanoid-robot components as a new growth axis.

Production is centered at its headquarters in Incheon's Namdong industrial complex, alongside overseas manufacturing operations including in Vietnam. The diecasting industry itself does not have an absolute barrier to entry, so numerous domestic and global competitors exist.

Consolidated revenue for 2025 came to KRW 155.88 billion, up from KRW 144.44 billion in 2024, while operating profit fell to KRW 10.29 billion (a 6.6% margin) from KRW 12.28 billion (8.5% margin) in 2024. Net income attributable to owners dropped sharply, from KRW 10.30 billion in 2024 to KRW 3.66 billion in 2025.

According to a Bloter report, after swinging to profit in 2024 the company's net income declined again in 2025, a pattern attributed to one-off listing-related costs and shifts in the timing of new-model mass production.

On a quarterly basis, revenue and operating profit expanded through the recent quarters: KRW 41.02 billion in revenue and KRW 1.09 billion in operating profit in the fourth quarter of 2025, KRW 40.55 billion and KRW 1.50 billion in the first quarter of 2026, and KRW 49.04 billion and KRW 3.26 billion in the second quarter of 2026.

A Samsung Securities corporate-day note assessed that the first-quarter 2026 operating margin fell to 3.6% due to new investment and raw-material cost pressure, but should gradually recover as raw material prices stabilize and new-plant utilization rises, potentially reaching high-single-digit profitability by year-end; the actual second-quarter 2026 margin had already risen into the 6% range.

Korea Economic TV reported on August 13 that second-quarter operating profit was expected to reach only about KRW 2.4 billion due to expansion costs, but the figure that was ultimately disclosed exceeded that preview, suggesting the margin recovery progressed faster than anticipated.

On the net-income side, figures of KRW 1.56 billion in the first quarter and KRW 1.97 billion in the second quarter of 2026 also point to an improving trend relative to operating profit.

The diecasting industry is entering a phase where automotive electrification, autonomous driving and rising in-vehicle electronics content are simultaneously demanding lightweight parts with strong heat dissipation and shielding performance.

Magnesium diecasting, lighter and stronger than aluminum but harder to process and tool, is considered accessible to only a limited number of domestic players, and Halla Cast positions its two-decade-plus magnesium diecasting experience as a key strength.

On the competitive front, domestic aluminum diecasting makers such as Samkee (formerly Samkee Automotive) and Seojin System compete in the EV parts market, while globally, large diecasting players such as Dynacast of the United States and Ryobi of Japan hold significant positions.

More recently, expanding autonomous-driving sensor adoption and the early growth of the humanoid robotics industry have emerged as a new axis of demand for lightweight structural parts, with some observers noting that US discussions around restricting Chinese robots and components could open opportunities for alternative suppliers.

That said, diecasting itself does not have an absolute entry barrier, so rising demand could also draw expanded capacity investment from competitors.

Prices for raw materials such as aluminum, magnesium and zinc directly affect cost of goods sold, creating a structure in which quarterly margins can fluctuate with commodity price swings.

The company has presented a 2026 revenue growth target of about 15%, consistent with its recent multi-year growth trend.

On capacity, the Plant 1 Building C expansion was completed in February, while the second plant, originally targeted for a July completion, appears to be heading toward a September start-up; once complete, capacity is expected to expand to roughly 2.5 times the prior level.

According to a Samsung Securities corporate-day note, an automated line for autonomous-driving and display modules is targeted to begin mass production in the third quarter of 2026, with a moving-display automated line targeted for the third quarter of 2027.

In the robotics segment, mass production of parts for the global AI-linked automaker is expected to begin in stages from the second half of the year, and Korea Economic TV reported on August 13 that Halla Cast secured an additional order for robot thermal-management parts from a US technology company, with supply set to begin in the second half of this year.

The same report indicated that revenue exposure to that customer could rise to the mid-teens percentage range within the year.

Order backlog, roughly KRW 1.1 trillion at the end of 2025, stood at about KRW 920.7 billion as of the second quarter of 2026, and Korea Economic TV reported that this backlog corresponds to volume to be supplied through 2028.

NH Investment & Securities analyst Kang Kyung-geun assessed that the humanoid robot parts business is progressing alongside diversification of both products and customers, while Korea Investment & Securities analyst Yoon Cheol-hwan noted that diecasting parts are expanding into serving, delivery, collaborative and industrial robots.