KOSDAQSemiconductors153490

WOOREE E&L Haroutine

₩3,030▲ 0.33%2026-10-02 close

Market Cap

₩31.1B

Turnover

₩16,797,360

Volume

5,533 shares

Shares out.

10.3M

PER

—

PBR

0.4×

EPS

-₩769

Dividend Yield

—

PER, EPS, PBR and BPS are calculated in-house from the last 4 quarters (2025Q3–2026Q2) · Prices as of the 2026-10-02 close

Report overview

LED Modules and Harootine: A Business at a Crossroads

Woori E&L Harootine, built on two pillars of display LED modules and the 'Harootine' health supplement brand, faces a business inflection point as revenue has declined and operating losses have deepened since 2025.

1
2025 annual revenue fell to KRW 121.2bn from KRW 146.9bn a year earlier, operating profit shrank to KRW 0.29bn, and net income attributable to owners turned negative.
2
The company posted operating losses for four consecutive quarters from 2025Q3 through 2026Q2.
3
In February 2026, the 'Harootine' supplement brand named footballer Son Heung-min as its official brand ambassador to reinforce marketing.
4
In April 2026, the company changed its corporate name from 'Woori E&L' to 'Woori E&L Harootine,' reflecting the supplement brand identity in its corporate name.
5
The debt ratio stood at 33.5% in 2025, the lowest level in the past four years, indicating a relatively stable financial buffer.

Business structure

Woori E&L Harootine, founded in 2008 and listed on KOSDAQ, operates around two business pillars. The first is its founding business of display LED backlight unit (BLU) packages and modules, producing LED components for TVs, monitors, notebooks, lighting, and automotive applications.

According to company descriptions, the firm has secured leading domestic and overseas display makers such as LG Display as key customers through years of experience, backed by production capacity in China and Vietnam that supports cost competitiveness.

Past industry surveys placed the company's share of LG Display's LED module market at around 50%, indicating meaningful customer concentration risk.

The second pillar is the 'Harootine' health supplement brand launched in August 2021, which differentiated itself as the first in Korea to apply liposome formulation technology to vitamin products.

In February 2026, the company named national football team captain Son Heung-min as the official brand ambassador for Harootine vitamins to expand brand recognition.

In April 2026, the company changed its corporate name from 'Woori E&L' to 'Woori E&L Harootine,' reflecting the growing strategic weight of the supplement business in its identity.

More recently, it absorbed Woori Green Science to internalize the value chain from raw material R&D to finished product planning and distribution, and has expanded into plant cell culture and natural material research through a collaboration with U.S. plant-cell biotech firm Ayana Bio, along with related medical cannabis research.

Both businesses are manufacturing-based, with the LED segment's performance tied to the display industry cycle and the supplement segment's performance tied to consumer marketing competitiveness.

Earnings trend

Quarterly revenue · Operating profit

₩33.9B₩3.1B25Q2₩29.5B-₩1.5B25Q3₩25.7B-₩1.9B25Q4₩23B-₩5.8B26Q1₩36.2B-₩4.6B26Q2

RevenueOperating profit

Annual revenue · Operating profit

₩136.2B₩2.7B2022₩142B₩5B2023₩146.9B₩6.9B2024₩121.2B₩300M2025

RevenueOperating profit

Quarterly results · Last 5 quarters
Quarter	Revenue	Operating profit	Op. margin
2025Q2	₩33.9B	₩3.1B	9.1%
2025Q3	₩29.5B	-₩1.5B	−5.0%
2025Q4	₩25.7B	-₩1.9B	−7.4%
2026Q1	₩23B	-₩5.8B	−25.1%
2026Q2	₩36.2B	-₩4.6B	−12.6%

Annual results
Year	Revenue	Operating profit	Net income (parent)	Op. margin	ROE	Debt-to-equity
2022	₩136.2B	₩2.7B	₩5.3B	2.0%	7.0%	44.3%
2023	₩142B	₩5B	₩5.4B	3.6%	6.6%	47.5%
2024	₩146.9B	₩6.9B	₩5.5B	4.7%	6.1%	34.2%
2025	₩121.2B	₩300M	-₩600M	0.2%	−0.7%	33.5%

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

Earnings analysis

Annual revenue rose modestly from KRW 136.2bn in 2022 to KRW 142.0bn in 2023 and KRW 146.9bn in 2024, before declining to KRW 121.2bn in 2025. Operating profit improved from KRW 2.7bn in 2022 to KRW 5.0bn in 2023 and KRW 6.9bn in 2024, but then contracted sharply to just KRW 0.29bn in 2025.

Net income attributable to owners stayed consistently in the black at roughly KRW 5.3–5.5bn per year from 2022 through 2024, before swinging to a loss of KRW 0.64bn in 2025.

On a quarterly basis, 2025Q2 revenue of KRW 33.9bn and operating profit of KRW 3.1bn were relatively solid, but revenue then declined for four straight quarters to KRW 29.5bn, KRW 25.7bn, and KRW 23.0bn through 2026Q1 before rebounding to KRW 36.2bn in 2026Q2.

Operating profit, however, posted losses in each of the four quarters from 2025Q3 through 2026Q2 (-KRW 1.49bn, -KRW 1.90bn, -KRW 5.77bn, and -KRW 4.56bn respectively), with the loss actually widening over the period.

Net income attributable to owners also deepened its losses from 2025Q4 through 2026Q2 (-KRW 1.88bn, -KRW 3.10bn, -KRW 4.10bn), although 2025Q3 posted a net profit of KRW 0.79bn despite an operating loss of -KRW 1.49bn, suggesting a one-off item affected that quarter.

Operating cash flow improved to KRW 10.1bn in 2025 from KRW 8.7bn in 2024, but remains well below the KRW 28.4bn generated in 2022, pointing to a longer-term slowdown in cash generation.

The debt ratio fell from 44.3% in 2022 to 33.5% in 2025, improving the balance-sheet metric itself, though this owes more to equity growth (from KRW 75.4bn to KRW 91.4bn) than to earnings strength.

Industry analysis

The company's LED business is tied to backlight demand for LCD panels, and the underlying display industry is structurally shifting toward OLED. LG Display reported that OLED accounted for a record 61% of its 2025 revenue, up from 32% in 2020, 40% in 2022, and 55% in 2024.

LG Display itself returned to annual profitability in 2025 for the first time in four years, but this recovery was achieved alongside the wind-down of its large-area LCD business and pivot to OLED, a trend that runs parallel to a long-term contraction in the LCD BLU LED demand base.

While the company previously benefited from LG Innotek's exit from the LED business, that share gain occurred within a shrinking overall pie, which differs in character from genuine market growth.

The health supplement segment has sought differentiation through premium, high-absorption products such as liposome vitamins, but Korea's supplement market is a mature, highly competitive field with persistent marketing cost pressure.

Because both businesses depend on distinct structural factors—customer concentration with LG Display on one side, and consumer marketing competition on the other—their respective positions within their industry cycles warrant separate scrutiny.

Outlook

In April 2026, the company clarified its growth direction by renaming itself 'Woori E&L Harootine,' putting the supplement brand at the forefront.

The February 2026 signing of Son Heung-min as Harootine vitamin's official ambassador is part of this marketing push, and future quarterly results will need to show both the associated marketing spend and its contribution to revenue.

The company has stated it internalized the value chain from raw materials to finished products and distribution by absorbing Woori Green Science, and how this integration flows through upcoming quarterly financials bears watching.

Research into plant cell culture and natural materials through the Ayana Bio collaboration, along with medical cannabis-related research, have been cited as new business candidates, though these appear to be at an early stage with no clear timeline or scale for revenue contribution yet.

In the LED segment, the pace of the display industry's shift toward OLED is likely to continue affecting results even as relationships with existing customers such as LG Display are maintained.

Given that operating losses persisted for four consecutive quarters from 2025Q3 through 2026Q2, whether the loss narrows in the coming quarter could serve as an initial signal of business stabilization.

Valuation

PER

—

PBR

0.4×

ROE

-9.4%

EPS

-₩769

BPS

₩7,742

Dividend per share

—

The current share price trades at a meaningful discount to net asset value, with the price-to-book ratio sitting below 1x. This can be interpreted as reflecting the shift from consistent profitability in 2022–2024 to a net loss in 2025 and four consecutive quarters of operating losses since.

In the earlier profitable period, the share price could be explained through earnings-based valuation logic, but the recent earnings trend appears to have shifted the emphasis toward a net-asset-based discount.

No dividend disclosure history has been identified, making it difficult to assess dividend appeal at this stage.

Overall, the current valuation setup appears to have moved from an earnings-based trading logic toward a net-asset-based one, and whether losses narrow going forward will likely be the key variable in gauging any change to this picture.

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

Bull factors

Reinforced Harootine Brand Marketing

The February 2026 signing of Son Heung-min as an official ambassador aims to expand Harootine vitamin's brand recognition.

Alongside product differentiation built on liposome formulation technology, the brand has a history of entering various retail channels including Shilla Duty Free and Emart Traders, leaving room for further channel expansion.

The renaming to 'Woori E&L Harootine' symbolically underscores the company's strategic shift toward this business.

Room for Cost Structure Improvement via Value Chain Integration

The company stated that absorbing Woori Green Science internalized the value chain from raw material R&D to finished product planning and distribution. This offers potential room to reduce margin leakage from outsourcing and strengthen cost control.

However, how concretely this integration shows up in the financial statements will need to be confirmed through upcoming quarterly results.

Relatively Stable Balance-Sheet Metrics

The debt ratio declined from 44.3% in 2022 to 33.5% in 2025, marking the most stable level in the past four years. Total equity also grew from KRW 75.4bn in 2022 to KRW 91.4bn in 2025, expanding the capital base. This suggests that despite declining profits, the balance sheet itself retains a relatively stable buffer.

Bear factors

Operating Losses Deepening for Four Straight Quarters

Operating losses from 2025Q3 through 2026Q2 came in at -KRW 1.49bn, -KRW 1.90bn, -KRW 5.77bn, and -KRW 4.56bn respectively, with the loss actually widening over time.

This marks a reversal from consistent profitability in 2022–2024, and subsequent quarters will need to be monitored to determine whether the loss is temporary or structural.

Structural Shrinkage of the LCD Market

LG Display's OLED revenue share expanded to 61% in 2025 as its large-area LCD business continued to wind down. Since the LCD market that underpins LED BLU demand is itself shrinking, defending market share alone cannot guarantee revenue growth.

Marketing Cost Burden and New Business Uncertainty

The timing of expanded marketing investment, including the Son Heung-min endorsement, overlaps with the period of deepening operating losses, suggesting related costs may have weighed on profitability.

New businesses such as the Ayana Bio collaboration and medical cannabis research appear to be at an early stage with no clear revenue timeline yet.

Risk factors

Customer Concentration Risk

LED segment revenue is concentrated among a small number of customers such as LG Display, meaning changes in that customer's production or procurement policies could directly affect results. If the LCD business continues to shrink, the related revenue base could contract further.

New Business Regulatory and Investment Risk

New businesses such as medical cannabis-related research and plant cell culture face significant uncertainty around regulatory approval, R&D success, and commercialization timing. Continued upfront investment costs could add further pressure on profitability.

Cash Flow Slowdown Risk

Operating cash flow has shown a long-term slowdown, declining from KRW 28.4bn in 2022 to KRW 10.1bn in 2025. If operating losses persist, further weakening of cash-generating capacity cannot be ruled out.

What to watch next

Mid-November 2026
Check the 2026Q3 (July–September) earnings disclosure to see whether the operating loss streak that has persisted for four consecutive quarters narrows or continues to widen.
At the 2026Q4 earnings release
Assess whether the contribution of the Woori Green Science integration and enhanced Harootine marketing (Son Heung-min endorsement) is concretely reflected in revenue and costs on the financial statements.
Upon future IR materials and business report disclosures
Watch for follow-up disclosures on the concrete progress and regulatory approval status of the Ayana Bio collaboration and medical cannabis-related research.
At LG Display's quarterly earnings releases
Continuously track the pace of OLED share expansion and LCD business contraction to gauge changes in the demand base for the LED segment.

Overall view

Woori E&L Harootine operates around two pillars—its legacy display LED module business and its newer 'Harootine' health supplement brand—and the April 2026 corporate renaming made clear the growing strategic weight of the latter.

From 2022 through 2024, both revenue and profit remained stable, but the earnings trajectory shifted markedly from 2025 onward as revenue declined and operating losses persisted for four consecutive quarters.

The company has taken steps to strengthen the Harootine brand and new businesses, including signing Son Heung-min as an ambassador, absorbing Woori Green Science, and partnering with Ayana Bio, but the associated investment and marketing spend have not yet translated clearly into revenue growth.

At the same time, the accelerating OLED transition at key customer LG Display is structurally reshaping the demand base for the LED segment. While balance-sheet health metrics (a 33.5% debt ratio) remain relatively stable, the long-term slowdown in operating cash flow warrants attention.

Whether operating losses narrow in upcoming quarters and when new businesses begin contributing to revenue will likely be the key observation points for assessing the company's direction going forward.

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.