PER, EPS, PBR and BPS are calculated in-house from the last 4 quarters (2025Q3–2026Q2) · Dividend yield is based on ₩300 per share · Prices as of the 2026-10-02 close
Hana Materials has posted consecutive quarterly improvements since 2025 on the back of a memory semiconductor recovery and rising utilization, with expanding part-replacement demand from leading-edge process migration as the next watch point.
Both revenue and operating profit rose sequentially in Q1 and Q2 2026, showing a step-up growth pattern.
Silicon parts utilization rose from 56% in Q1 2025 to 80% in Q1 2026, according to Shinhan Investment.
The customer base is concentrated among a small number of global etch equipment makers, so shifts in any single customer's investment plans directly affect results.
Controlling shareholder Hana Micron holds a 45.19% stake, and a recent disclosure noted a change in a stock-collateral loan agreement.
The NAND segment has lagged due to delayed process transitions at end customers, though improvement is expected from 2026 onward.
Hana Materials manufactures and sells consumable silicon and silicon carbide (SiC) electrodes and rings used in the etching process of semiconductor manufacturing.
Founded in 2007 and listed on KOSDAQ in 2017, the company operates a core semiconductor parts segment alongside a new-technology finance segment run through Hana S&B Investment, established in 2023.
Its main customers are global etch equipment makers; Yuanta Securities noted that adjustments to the order backlog of a major memory equipment customer referred to as Customer T, along with rising silicon parts share at another global equipment maker referred to as Customer L, could affect results.
Domestic peers include TCK, Wonik QnC, Woldex, and KNJ, all of which compete in supplying silicon and ceramic parts for front-end semiconductor processes. The controlling shareholder is Hana Micron, holding a 45.19% stake, linking the company to Hana Micron Group's back-end (OSAT) semiconductor business.
Because the products are consumables, results are highly sensitive to customer fab utilization and capital spending cycles. Structural demand also stems from process miniaturization and 3D stacking, which increase the volume of silicon parts consumed per wafer.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩64.1B | ₩8.5B | 13.3% |
| 2025Q3 | ₩69.8B | ₩12B | 17.2% |
| 2025Q4 | ₩80.9B | ₩20.9B | 25.8% |
| 2026Q1 | ₩93.4B | ₩21.3B | 22.8% |
| 2026Q2 | ₩90.1B | ₩26B | 28.9% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩307.3B | ₩93.7B | ₩80.1B | 30.5% | 26.9% | 61.2% |
| 2023 | ₩233.6B | ₩41.3B | ₩34.2B | 17.7% | 8.6% | 68.3% |
| 2024 | ₩251.6B | ₩43.4B | ₩31.8B | 17.3% | 9.0% | 62.2% |
| 2025 | ₩273.5B | ₩50.1B | ₩38.4B | 18.3% | 8.3% | 47.9% |
Consolidated basis (financial statements including subsidiaries) · Final figures from DART filings · Net income attributable to owners of the parent · Data as of 2026-09-04
Annual results show a sharp profit decline from revenue of KRW 307.3 billion and operating profit of KRW 93.7 billion (30.5% operating margin) in 2022 to revenue of KRW 233.6 billion and operating profit of KRW 41.3 billion (17.7% margin) in 2023.
The company then staged a gradual recovery, with revenue of KRW 251.6 billion and operating profit of KRW 43.4 billion (17.3% margin) in 2024, followed by revenue of KRW 273.5 billion and operating profit of KRW 50.1 billion (18.3% margin) in 2025.
The quarterly trend is more pronounced: revenue of KRW 64.1 billion and operating profit of KRW 8.5 billion (about 13.3% margin) in Q2 2025 expanded to revenue of KRW 69.8 billion and operating profit of KRW 12.0 billion in Q3 2025, then revenue of KRW 80.9 billion and operating profit of KRW 20.9 billion (about 25.8% margin) in Q4 2025.
In Q1 2026, revenue reached KRW 93.4 billion with operating profit of KRW 21.3 billion (about 22.8% margin), and in Q2 2026, revenue of KRW 90.1 billion produced operating profit of KRW 26.0 billion (about 28.9% margin), illustrating operating leverage as profit grew faster than revenue.
Net income attributable to owners followed the same pattern, rising from KRW 5.4 billion in Q2 2025 to KRW 19.8 billion in Q2 2026. This pattern is generally interpreted as reflecting a combination of rising customer fab utilization and increased consumption of silicon parts amid the semiconductor upcycle.
The global semiconductor equipment market is projected by SEMI to grow from USD 116.9 billion in 2024 to USD 138.1 billion in 2026, with larger wafer diameters cited as a factor increasing the proportion of silicon parts in overall equipment spending.
DB Securities noted in an early-2026 report that the DRAM cycle was expected to remain strong on tight supply and robust server demand, while NAND part demand was comparatively weak due to delayed process transitions at end customers.
Shinhan Investment stated that silicon parts utilization rose from 56% in Q1 2025 to 68% in Q3 2025 and 80% in Q1 2026, with a further rise to 85-90% expected in the second half.
Domestic competitors include TCK, Wonik QnC, Woldex, and KNJ, whose 12-month forward price-to-earnings trends are used as sector comparison points.
Daishin Securities analyzed that potential new part supply for advanced etch equipment in NAND processes above the 400-layer range, combined with a recovery in market share at a major Japanese customer and the introduction of cryogenic etchers, could accelerate NAND segment growth.
In terms of the industry cycle, the sector is viewed as having moved past the 2022-2023 downturn into a memory recovery phase from 2024 to 2026, with DRAM leading-edge migration expected to intensify in 2026 and NAND V10 investment expected to pick up from 2027.
Multiple brokerage reports project Hana Materials' 2026 revenue and operating profit to grow by double digits or more year over year, though specific estimates vary by house.
In a July 22, 2026 report, Shinhan Investment expected Q2 revenue of KRW 93 billion and operating profit of KRW 23.4 billion, up 176% year over year, and raised its full-year forecast to revenue of KRW 377.3 billion and operating profit of KRW 94.4 billion (up 88.5% year over year).
The same report expected second-half utilization to reach 85-90%, with additional capacity expansion seen as plausible given product upgrades and rising demand.
Daishin Securities initiated coverage on March 5, 2026, citing an expanding share of leading-edge processes, customer and application diversification, and a NAND segment recovery as growth drivers, while DB Securities noted in an early-2026 report the potential for parts-related growth as NAND makers increase capital expenditure.
No quantitative guidance directly from the company has been confirmed, and the forecasts above should be understood as individual brokerage estimates.
Expansion of foundry and North American customer sales along with strengthened competitiveness in new products such as SiC rings are also cited as medium-term growth drivers.
The share price has recently traded near the upper end of its historical range, reflecting expectations for earnings recovery and rising utilization through 2025-2026.
Shinhan Investment stated in its July 22, 2026 report that the price-to-earnings ratio based on 2026 forecast earnings was below its historical average, a comparison shaped by rapidly upgraded earnings estimates.
Relative to net asset value, the stock appears to trade at some premium reflecting improved earnings expectations, while the dividend yield sits on the lower side compared with other materials and parts companies in the sector.
Views on valuation differ widely across brokerages, and target prices have likewise ranged broadly by timing and institution, including KRW 84,000 from DB Securities in March 2026, KRW 106,000 from Daishin Securities in May 2026, and KRW 83,000 from Shinhan Investment in July 2026.
These target prices represent individual brokerage forecasts based on earnings estimates and multiple assumptions at each point in time, and should be understood separately from the actual market price.
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 2026-09-04
Shinhan Investment analyzed that silicon parts utilization rose steadily from 56% in Q1 2025 to 80% in Q1 2026, with second-half utilization expected to reach 85-90%. This is seen as underlying the expansion in quarterly operating margin from the low-teens to near 29%. If profit growth continues to outpace revenue growth, there is room for further margin improvement.
DRAM leading-edge migration is expected to intensify in 2026 and NAND V10 investment from 2027, with analysts noting that consumption of silicon parts accelerates as processes become finer.
Daishin Securities assessed the medium-term growth direction as intact, citing the potential for expanded parts supply to new etch equipment used in NAND above the 400-layer range. If this trend continues, demand growth from shortened part-replacement cycles could persist.
Analysts have noted signs of improvement in orders from a previously stagnant North American customer, driven by supply chain stabilization objectives. Growing foundry and logic sales exposure is also cited as a future opportunity given rising silicon parts penetration from process miniaturization.
In NAND, a recovery in market share at a major Japanese customer combined with the introduction of cryogenic etchers could accelerate revenue diversification.
DB Securities assessed that NAND part demand remained weak due to delayed process transitions at end customers. If the recovery in NAND investment is later than expected, overall earnings growth could slow. A DRAM-centric growth structure could also increase reliance on a narrower product mix.
Yuanta Securities pointed to concerns about intensifying competition within the global silicon parts market. Ongoing share competition with domestic peers such as TCK, Wonik QnC, Woldex, and KNJ could affect pricing and profitability. Technology catch-up by new entrants or overseas competitors is also cited as a variable.
Whether a Japanese customer recovers etcher market share and supply chain volatility from US-China trade tensions are cited as variables for future results.
Some reports explain that domestic customers' parts inventory buildup is aimed at hedging against US-China conflict risk, raising the possibility that part of the demand could prove temporary. If geopolitical risk escalates, costs associated with supply chain reconfiguration could increase.
Since revenue is concentrated among a small number of global etch equipment makers, changes in a key customer's order backlog or capex plans have a direct impact on results.
Yuanta Securities cited potential adjustments to the order backlog of a major memory equipment customer, referred to as Customer T, as an earnings variable. Customer diversification is underway but is understood to remain limited in scale.
Controlling shareholder Hana Micron holds a 45.19% stake, and a recent disclosure noted a change in the terms of a stock-collateral loan agreement tied to that stake.
Changes in collateral loan terms can be linked to potential share sales or collateral enforcement, warranting attention to the stability of the shareholder base. Intra-group transactions and business linkages with affiliates are also worth monitoring.
Shinhan Investment noted that it had observed earnings volatility tied to past semiconductor cycles, citing a 56% decline in operating profit in 2023 followed by a 5% increase in 2024.
In fact, the company's annual operating margin fell sharply from 30.5% in 2022 to 17.7% in 2023, illustrating how profit volatility can widen substantially during industry downturns. A renewed slowdown in the cycle could reproduce similar volatility.
Check the Q3 2026 earnings disclosure to see whether the revenue and operating profit growth and operating leverage seen through Q2 continue.
Monitor whether silicon parts utilization reaches the 85-90% level projected by Shinhan Investment, and whether any capacity expansion announcements or disclosures follow.
Track new investment and V10-related order trends among NAND makers above the 400-layer range to gauge the pace of NAND segment recovery.
Monitor the progress of US-China semiconductor export control and trade negotiations, and whether domestic customers' inventory buildup demand proves temporary or sustained.
Review how brokerages adjust 2027 earnings estimates and target prices to see how the market is pricing in expectations for the start of NAND V10 investment.
Hana Materials saw revenue and operating profit recover gradually from 2024 after the 2022-2023 industry downturn, with a clear operating leverage effect emerging as quarterly results improved consecutively from the second half of 2025 through the first half of 2026.
Rising silicon parts utilization, DRAM leading-edge process migration, and gradual expectations for a NAND recovery underpin growth forecasts for 2026 from multiple brokerages, though specific estimates and target prices vary considerably by institution.
At the same time, revenue concentration among a small number of customers, intensifying global competition, and supply chain volatility related to US-China trade tensions should be weighed as downside factors.
The shareholding structure and related disclosures involving controlling shareholder Hana Micron also warrant attention. Upcoming quarterly results, utilization trends, and the timing of renewed NAND investment are likely to be the key items to watch.
This report is prepared for informational purposes only and does not encourage trading in any specific security.
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.