PER, EPS, PBR and BPS are calculated in-house from the last 4 quarters (2025Q3–2026Q2) · Dividend yield is based on ₩75 per share · Prices as of the 2026-10-02 close
While AI-driven demand for SiC recycling is emerging as a structural growth driver, the company also shows multi-year profitability decline and quarter-to-quarter earnings swings tied to the display industry slowdown.
FY2025 consolidated revenue rose 3.0% YoY to KRW 172.8 billion, but operating margin fell to 2.6%, declining for a fourth consecutive year
Operating profit slid to KRW 0.21 billion with an owner-net loss in Q4 2025, followed by recovery over Q1-Q2 2026
SiC (silicon carbide) recycling revenue is structurally growing on rising etch-process demand tied to AI semiconductor expansion
The company has continuously expanded shareholder returns via six straight years of cash dividends, share retirement, and a value-up plan
A strategic investment in U.S. startup Samba Solutions aims to secure next-generation packaging (HBM, TSV) technology
YMC is a KOSDAQ-listed materials and parts supplier for the display and semiconductor process industries. Its business is built on two pillars.
The first is display sputtering materials, including wiring targets and backing plates used to mount targets inside deposition chambers, an area where the company built competitiveness through domestic localization.
The second is a semiconductor parts recycling business operated through subsidiary Ycom, acquired in 2016, which reconditions SiC (silicon carbide) focus rings used in plasma chambers for etch processes.
Yuanta Securities noted in a February 2023 report that the company entered the recycling business in 2016 via the Ycom acquisition and was understood to be the sole domestic player addressing SiC focus ring recycling demand.
The company also holds proprietary patents related to display panel manufacturing processes and substrate handling technology that support product competitiveness.
More recently, as part of business diversification, YMC made a strategic investment in Samba Solutions, a Silicon Valley semiconductor equipment startup, aiming to secure promising dry etching technology for next-generation advanced packaging used in high-bandwidth memory (HBM) and through-silicon-via (TSV) applications.
Its customer base spans domestic and overseas display and semiconductor manufacturers, and amid a shared industry challenge of rising cost pressure, securing cost competitiveness through localization and recycling technology remains a core strategic focus.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩43.2B | ₩2.5B | 5.7% |
| 2025Q3 | ₩41B | ₩1.9B | 4.5% |
| 2025Q4 | ₩47.5B | ₩200M | 0.4% |
| 2026Q1 | ₩47.1B | ₩1.1B | 2.3% |
| 2026Q2 | ₩53.4B | ₩2.8B | 5.2% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩235.4B | ₩23.1B | ₩19.4B | 9.8% | 18.0% | 23.0% |
| 2023 | ₩204.6B | ₩15.8B | ₩13.7B | 7.7% | 12.1% | 37.8% |
| 2024 | ₩167.7B | ₩6.9B | ₩6.8B | 4.1% | 5.9% | 38.8% |
| 2025 | ₩172.8B | ₩4.6B | ₩1.3B | 2.6% | 1.2% | 44.7% |
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
YMC's consolidated revenue declined for three straight years, from KRW 235.4 billion in 2022 to KRW 204.6 billion in 2023 and KRW 167.7 billion in 2024, before rebounding modestly to KRW 172.8 billion in 2025 (+3.0% YoY).
However, operating margin fell for four consecutive years, from 9.8% in 2022 to 7.7% in 2023, 4.1% in 2024, and 2.6% in 2025, meaning margin recovery did not follow the revenue rebound.
Owner net income also shrank sharply, from KRW 19.36 billion in 2022 to KRW 1.32 billion in 2025, with a notable sharp drop from KRW 6.76 billion in 2024.
FnGuide's analysis of first-half 2025 results found that consolidated revenue rose 5.1% year-on-year while operating profit fell 44.4% and net profit fell 90.7%, attributing this to increased revenue in semiconductor and display parts and materials businesses being offset by rising cost pressure that limited profitability.
On a quarterly basis, revenue of KRW 43.24 billion and operating profit of KRW 2.48 billion in Q2 2025 softened to KRW 40.97 billion and KRW 1.86 billion in Q3, before Q4 2025 saw operating profit collapse to just KRW 0.21 billion despite revenue of KRW 47.48 billion, with owner net income turning negative at KRW -0.57 billion.
This was followed by a recovery signal in Q1 2026, with revenue of KRW 47.10 billion, operating profit of KRW 1.10 billion, and owner net income of KRW 1.69 billion, and Q2 2026 posted the strongest results of the recent five-quarter window, with revenue of KRW 53.41 billion, operating profit of KRW 2.79 billion, and owner net income of KRW 2.45 billion.
The trailing four-quarter (Q3 2025 through Q2 2026) owner net income total of KRW 5.12 billion suggests the first-half 2026 improvement has largely offset the one-off weakness seen in Q4 2025.
The most notable structural industry trend is rising demand for etching processes tied to AI semiconductor expansion.
Edaily reported that as the AI semiconductor supercycle intensifies, the semiconductor materials and parts market is undergoing structural change, and companies with recycling technology like YMC are drawing market attention as etch-process growth drives surging SiC consumption.
Indeed, YMC's semiconductor SiC revenue grew roughly 2.7-fold from KRW 9.9 billion in 2020 to KRW 27.4 billion in 2024, and first-half 2025 revenue of KRW 15.1 billion rose 13% from the same period a year earlier (KRW 13.3 billion).
The company explained that rising AI-centric semiconductor demand and expanding production of ultra-high-performance chips are directly translating into SiC product demand, and that its proactive capacity expansion should enable continued revenue growth going forward.
Competitively, the company is noted for holding the largest domestic SiC focus ring recycling technology capacity, and strengthening ESG trends are considered a favorable tailwind, as recycled parts reduce energy consumption and carbon emissions compared to producing new parts, aligning with global semiconductor firms' ESG management push, with recycled product demand expected to grow as ESG standards tighten.
In contrast, the display segment remains closely tied to the capital expenditure cycles of domestic and overseas panel makers, and appears to be in a relatively slower growth or stagnant phase compared to the semiconductor segment.
To support structural growth in its semiconductor SiC business, the company is investing roughly KRW 25 billion in Dangjin, South Chungcheong Province, in addition to its existing Anseong plant, substantially expanding SiC production capacity.
The company also stated that a SiC-related patent lawsuit that had continued through the prior year was amicably settled in July 2025, removing an obstacle to future business expansion and paving the way for expanded orders and supply to global customers based on its technological competitiveness.
In early 2026, the company made a strategic investment in U.S.-based Samba Solutions to secure next-generation advanced packaging dry etching technology, with CFO Park Jung-geun stating that the move would combine Samba Solutions' innovative technology with YMC's solid manufacturing base to build a uniquely competitive business model in the next-generation semiconductor market.
On shareholder returns, the company disclosed a corporate value-up plan in March 2026 and met the requirements to be designated a high-dividend company under the Special Tax Treatment Control Act.
The company explained that it made this disclosure because it qualifies as a high-dividend company under Article 104-27 of the Act, having maintained dividend income without decline versus the base year and posting a payout ratio of 100.52% for the prior fiscal year.
Earlier, in February, the company retired 500,000 shares through a profit-funded treasury share cancellation.
Taken together, structural growth in the semiconductor SiC segment, new technology investment, and strengthened shareholder returns are likely to remain the key variables shaping future earnings and shareholder value.
The current share price sits below net asset value per share, indicating the stock trades at a discount to its net asset base.
On the earnings side, following the net loss in Q4 2025, consecutive profit recovery was confirmed in Q1 and Q2 2026, suggesting the earnings base underlying valuation multiples is expanding again.
On dividends, the company's payout ratio is high enough to meet high-dividend company criteria under the Special Tax Treatment Control Act, but the dividend amount itself can vary year to year with annual results, making it difficult to view as a fixed level.
With multi-year revenue and profit contraction and first-half 2026 recovery signals coexisting, valuation metrics can be seen as reflecting the market's assessment balanced between these two trends.
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
As AI semiconductor expansion increases etching processes, SiC consumption is rising sharply, and the company's semiconductor SiC revenue has shown clear growth since 2020. New capacity investment in Dangjin has positioned the company to handle future volume. Strengthening ESG management trends could also increase demand for recycled parts over new ones.
The company has maintained cash dividends for six consecutive years and sustains a payout ratio high enough to meet high-dividend company criteria. Efforts to enhance shareholder value are running in parallel, including profit-funded treasury share cancellation and disclosure of a value-up plan.
These policies can be viewed as factors supporting consistency in shareholder returns even during periods of weaker performance.
Through a strategic investment in U.S. semiconductor startup Samba Solutions, the company is moving to secure dry etching equipment technology for next-generation advanced packaging including HBM and TSV.
The prior SiC patent litigation was resolved through a July 2025 settlement, removing an obstacle to business expansion. This can be interpreted as an exploration of new growth avenues beyond the existing recycling business.
Consolidated revenue fell for three straight years from KRW 235.4 billion in 2022 to KRW 167.7 billion in 2024, while operating margin declined from 9.8% to 4.1% over the same period. Operating margin fell further to 2.6% in 2025, with profit failing to keep pace with the revenue recovery. Continued cost pressure has slowed the pace of profitability recovery.
In Q4 2025, despite revenue of KRW 47.48 billion, operating profit fell sharply to KRW 0.21 billion, and owner net income turned negative at KRW -0.57 billion. While two consecutive quarters of recovery followed, single-quarter results still show repeated large swings. This volatility is presumed to stem from one-off factors or seasonal demand variation in specific quarters.
Display segment revenue is heavily dependent on the capital expenditure and production schedules of domestic and overseas panel makers. The semiconductor segment is also ultimately tied to customers' production utilization rates and the pace of etch-process investment. Reduced or delayed investment by downstream customers could directly affect results.
The company's revenue structure appears to be heavily dependent on a small number of large domestic and overseas display and semiconductor manufacturers. Changes in downstream customers' investment plans or order delays could increase revenue volatility. If the semiconductor and display industry cycles diverge, earnings predictability could be reduced.
FnGuide assessed that revenue increased in semiconductor and display parts and materials businesses, but profitability remained limited due to rising cost pressure. If raw material or energy cost increases persist, recovery of operating margin could be further delayed. Prolonged margin pressure could also strain capital allocation flexibility for new investments.
Both the Dangjin SiC capacity expansion and the minority equity investment in Samba Solutions are investments that require time to realize returns. If new capacity utilization falls short of expectations or new technology collaboration fails to reach commercialization, questions about investment efficiency could arise.
Given the small scale of the equity stake, the Samba Solutions investment is unlikely to be reflected significantly in financials in the near term.
Check the Q3 2026 earnings disclosure (per the statutory quarterly filing deadline) and whether the first-half 2026 profit recovery trend continues.
Monitor whether the Dangjin SiC expansion facility's utilization rate rises and contributes more to revenue, and check for follow-up disclosures on new customer supply expansion.
Check the progress of dry etching technology collaboration with Samba Solutions and whether any additional investment or joint development disclosures follow.
Check disclosures on the FY2026 year-end dividend amount and whether the high-dividend company designation and value-up policy continue.
YMC holds both an established display materials and parts business and a newer growth pillar in SiC recycling that is benefiting from AI semiconductor expansion.
Multi-year contraction in revenue and operating margin, along with the temporary net loss in Q4 2025, act as bearish factors, while consecutive profit recovery in Q1-Q2 2026, structural growth in SiC revenue, the Dangjin capacity expansion, and the Samba Solutions investment stand as bullish counterweights.
On shareholder returns, policy consistency is evident through meeting high-dividend company criteria, share retirement, and the value-up plan disclosure. However, structural challenges remain unresolved, including dependence on the display segment's downstream investment cycle and cost pressure.
Future quarterly results and the pace at which new investments generate returns are likely to be key variables shaping the company's direction going forward. Readers should review upcoming quarterly disclosures and the Dangjin expansion's operating status before forming any judgment.
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.