PER, EPS, PBR and BPS are calculated in-house from the last 4 quarters (2025Q1–2025Q4) · Dividend yield is based on ₩60 per share · Prices as of the 2026-10-02 close
Megamd, a Megastudy Group affiliate focused on professional exam and license test-prep, has seen revenue and operating profit swing between loss and profit over the past four years amid shifting government policy variables.
2025 revenue of KRW 34.59bn and operating profit of KRW 1.81bn, down 5.2% and 18.9% year-on-year respectively
The company swung to an operating loss of KRW 3.94bn in 2023 after the PEET pharmacy-school entrance exam was discontinued in 2022, before returning to profit in 2024
Q1 2026 operating profit of KRW 150mn diverged sharply from net profit of KRW 1.89bn, while Q2 2026 operating profit recovered to KRW 995mn
The debt ratio steadily declined from 42.3% in 2022 to 25.4% in 2025, indicating improving financial structure
In 2025 the company absorbed subsidiary Megaland, which was in complete capital impairment, streamlining its business structure
Founded in 2004 and listed on KOSDAQ in 2015, Megamd is a comprehensive education company and Megastudy Group affiliate that provides educational content to university students and adults.
The company operates two main segments: professional exam preparation, covering the LEET law-school admission test, bar exam, and patent attorney exam, and license acquisition, covering real estate broker and social worker certification courses among others.
In the past, lecture content related to the MEET/DEET medical and dental school admission tests was also a major revenue source, but as the graduate medical school system was scaled back, related demand shifted toward the transfer-admission (undergraduate-to-medical) preparation market.
The company sells online and offline lectures, books, and mock exams through level-differentiated curricula and instructor lineups. In 2025 the company absorbed its real estate education subsidiary Megaland, which was in complete capital impairment, through a no-new-share small-scale merger.
The professional and license exam test-prep market is competitive, with large education groups such as Megastudy Education's Kimyoung Transfer Admission brand and Hackers, alongside numerous smaller academies.
The medical and dental transfer-admission market in particular has recently shown an expanding recruitment trend, which is viewed as a variable for related education demand.
Because revenue composition is tied to policy-sensitive exam schedules across law, medicine, and licensing, changes to specific exam systems have a direct impact on performance.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩9.8B | ₩1.2B | 12.4% |
| 2025Q3 | — | — | — |
| 2025Q4 | ₩7.1B | -₩600M | −8.0% |
| 2026Q1 | ₩7.8B | ₩100M | 1.9% |
| 2026Q2 | ₩9B | ₩1B | 11.0% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩64.5B | ₩2B | ₩2.1B | 3.1% | 3.2% | 42.3% |
| 2023 | ₩36B | -₩3.9B | -₩3.2B | −10.9% | −5.1% | 36.1% |
| 2024 | ₩36.5B | ₩2.2B | ₩3.8B | 6.1% | 5.8% | 32.9% |
| 2025 | ₩34.6B | ₩1.8B | ₩2.8B | 5.2% | 4.2% | 25.4% |
Consolidated basis (financial statements including subsidiaries) · Final figures from DART filings · Net income attributable to owners of the parent · Data as of 2026-09-05
In 2022 revenue was KRW 64.47bn, with balanced contributions from the professional exam and licensing segments, but the discontinuation of the PEET pharmacy entrance exam in August 2022 hit the following year's results.
Revenue dropped sharply to KRW 36.04bn in 2023, and the company swung to an operating loss of KRW 3.94bn (operating margin of -10.9%) and a net loss of KRW 3.20bn. In 2024 the company recovered with revenue of KRW 36.49bn, operating profit of KRW 2.24bn (margin 6.1%), and net profit of KRW 3.78bn.
Revenue declined 5.2% year-on-year to KRW 34.59bn in 2025, operating profit fell to KRW 1.81bn (margin 5.2%), and net profit came in at KRW 2.79bn.
On a quarterly basis, the solid Q2 2025 performance of KRW 9.76bn revenue and KRW 1.21bn operating profit reversed into a Q4 2025 operating loss of KRW 570mn on revenue of KRW 7.13bn, highlighting seasonal volatility.
Q1 2026 showed weak operating performance with revenue of KRW 7.78bn and operating profit of only KRW 150mn, yet net profit reached KRW 1.89bn, well above operating profit, suggesting non-operating factors drove the net result.
Q2 2026 showed renewed operating recovery, with revenue of KRW 9.01bn, operating profit of KRW 995mn, and net profit of KRW 1.59bn.
On the cash flow side, operating cash flow improved from an outflow of KRW 8.26bn in 2022 to KRW 1.05bn in 2023, KRW 8.39bn in 2024, and KRW 5.10bn in 2025, while the debt ratio declined steadily from 42.3% in 2022 to 25.4% in 2025, reflecting gradually improving financial stability.
The professional exam and license education market is directly influenced by government policy because it is built around exams whose systems and quotas—law school admission, bar exam, patent attorney exam, real estate broker license—are administered by the state.
In the medical field, the medical school admission quota was significantly expanded for the 2025 academic year before being scaled back to roughly pre-expansion levels of about 3,058 for 2026, a shift reported to have caused confusion across the test-prep industry.
As a result, transfer-admission recruitment quotas for medical-related majors expanded for the 2026 academic year, with medical programs more than doubling to 85 seats, dentistry rising 16.7% to 42 seats, and pharmacy rising 45.2% to 302 seats.
This points to a favorable demand backdrop for the transfer-admission preparation market overall, though competition is intense given that large rivals such as Megastudy Education's Kimyoung Transfer Admission brand lead the segment.
Conversely, the long-term decline in the test-taking population due to low birth rates acts as a structural constraint on overall market size. The LEET and bar exam markets have relatively stable quotas, providing a comparatively predictable revenue base.
Growing demand for online lectures improves accessibility for students outside metropolitan areas, but it also intensifies competition from low-cost platforms.
The company's Q1 and Q2 2026 results showed repeated swings on the operating side, with operating profit falling to KRW 150mn in Q1 before recovering to KRW 995mn in Q2, which could reflect timing differences in revenue recognition tied to the seasonal exam calendar.
However, since these 2026 quarterly figures have not yet been finalized through an annual audited report, the possibility of later revision should be kept in mind.
With the subsidiary structure simplified following the 2025 Megaland merger, it will be worth confirming in future disclosures how the merger affects the cost side of results.
If the expansion in medical-related transfer-admission recruitment quotas continues, it could positively affect demand for related lectures and content, though this variable changes annually based on each university's admission guidelines.
No evidence was found that the company has issued formal quantitative revenue or profit guidance. As the government's medical school quota policy continues to be adjusted year by year, the point at which the direction of quotas for the next admissions cycle becomes clear remains an important variable to watch.
The company's net profit swung between profit, loss, and profit again from 2022 through 2025, a pattern likely to have influenced the profitability multiple the market assigns to the stock.
The share price tends to trade below the company's net asset value per share, placing it in a discount range relative to book value. The company is confirmed to have paid cash dividends in recent fiscal years, though the amount and whether a dividend is paid have varied with annual performance.
The steadily declining debt ratio and improving operating cash flow can be viewed positively from a financial soundness perspective. That said, the Q4 2025 operating loss and the large gap between operating profit and net profit in Q1 2026 are aspects worth examining alongside the qualitative nature of the earnings.
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 2026-09-05
The debt ratio steadily fell from 42.3% in 2022 to 25.4% in 2025, and operating cash flow turned from negative in 2022 to positive in 2024-2025. Q2 2026 operating profit recovered to KRW 995mn from the prior quarter. This trend can be read as a positive signal for financial stability.
In 2025 the company absorbed subsidiary Megaland, which was in complete capital impairment, through a no-new-share merger that simplified the governance structure. This may have reduced the management burden associated with an underperforming subsidiary.
With business segments consolidated into professional exam and license preparation, there is room for increased focus on the core businesses.
Data showed the 2026 academic year transfer-admission recruitment quota expanded significantly year-on-year to 85 seats for medicine, 42 for dentistry, and 302 for pharmacy. This suggests the potential for an expanding demand base in the related market.
Given the company holds content and know-how related to transfer admissions, it is exposed to shifts in this demand.
2025 revenue fell 5.2% year-on-year to KRW 34.59bn from KRW 36.49bn, and operating profit declined from KRW 2.24bn to KRW 1.81bn. In 2023 the company recorded an operating loss of KRW 3.94bn following the discontinuation of the PEET exam, repeatedly demonstrating high sensitivity to changes in specific exam systems.
Q1 2026 operating profit was only KRW 150mn while net profit reached KRW 1.89bn, a large gap suggesting non-operating factors drove the net result. Whether this gap reflects sustained operational improvement requires further confirmation. Looking at operating performance alone, a weak trend persisted from Q4 2025 through Q1 2026.
The medical school quota expanded for the 2025 academic year and was then scaled back for 2026, with reports pointing to resulting confusion across the test-prep industry as policy shifted year to year. Such quota volatility makes it difficult to predict the direction of related test-prep demand.
Because the company's revenue composition depends heavily on policy-sensitive exam schedules, it is directly exposed to this uncertainty.
Most of the exams that generate the company's core revenue, including law school admission, medical school admission, and patent attorney or real estate broker licensing, are administered under government-managed systems and quotas.
Changes to quotas or exam formats can sharply shift demand for related lectures, with the 2022 discontinuation of the PEET exam being a representative example. Earnings volatility could increase again depending on future policy direction.
The declining school-age population due to low birth rates is a structural factor that reduces the long-term demand base for the professional exam and licensing education market as a whole. This can constrain overall market size regardless of individual company efforts.
Even with temporary recruitment expansions in specific transfer-admission markets, offsetting the broader decline in the test-taking population is not easy.
The transfer-admission and professional exam test-prep market features competition from large education groups such as Megastudy Education's Kimyoung Transfer Admission brand as well as numerous smaller academies.
Expanding online lecture offerings improves accessibility but also intensifies competition from low-cost platforms. Escalating competition for marketing spend and instructor recruitment could pressure profitability.
The Q3 2026 quarterly report is expected around this time, and it will be important to check whether the operating profit recovery seen in Q2 continues.
Around this time, schedules and applicant-scale data for major exams such as the regular bar exam are typically released, offering a gauge of related lecture demand.
University-by-university transfer-admission recruitment announcements for medical-related majors will show whether the recent expansion trend continues.
This is the point to check disclosures on the 2026 fiscal year-end dividend and shareholder return policy.
Megamd is a Megastudy Group-affiliated education company centered on law and medical-related professional exam and license preparation, and it has repeatedly shown revenue and profit swings tied to changes in policy-sensitive exam systems.
After the 2022 discontinuation of the PEET exam led to a loss in 2023, the company returned to profit in 2024, before revenue and operating profit both declined slightly again in 2025.
Into 2026, quarterly results have continued to fluctuate, with operating profit dipping in Q1 before recovering in Q2, and Q1 in particular showing a large gap between operating profit and net profit that appears to reflect non-operating factors.
On the financial side, a declining debt ratio and improving operating cash flow are positive trends observed concurrently.
On the industry side, the coexistence of year-to-year adjustments in medical school quota policy and an expanding transfer-admission recruitment market remains a key variable that will shape future demand direction.
Overall, the company's earnings continue to exhibit a structural sensitivity to changes in specific exam systems.
Report written 2026-09-05 · Data as of 2026-09-04
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