PER, EPS, PBR and BPS are calculated in-house from the last 4 quarters (2025Q3–2026Q2) · Prices as of the 2026-10-02 close
iCure has posted two consecutive quarters of consolidated operating profit in 2026 on the strength of its cosmetics ODM business, and a one-year trading halt tied to the founder's alleged breach of trust and embezzlement has been resolved through a change of controlling shareholder and a capital raise, though commercialization of pharmaceutical pipeline assets such as the donepezil patch remains slow.
Consolidated operating profit turned positive for two straight quarters in 2026, driven mainly by the cosmetics ODM business.
Trading was halted for about a year from August 2025 after the founder was indicted on breach-of-trust and embezzlement charges, and resumed on September 3, 2026.
A third-party share issuance of roughly KRW 25.0 billion changed the controlling shareholder to Solum Cosmetics and two other parties.
The donepezil patch (Donerion Patch/Donesive Patch), despite being the world's first approved product of its kind, has generated domestic and export sales well below initial expectations.
Total equity shrank to about KRW 24.5 billion at the end of 2025 with the debt ratio rising to 270.0%, leaving balance-sheet repair as an ongoing task.
iCure is a KOSDAQ-listed pharmaceutical and bio company that produces both patch-type drugs and cosmetics based on its proprietary transdermal drug delivery system (TDDS) technology.
In the pharmaceutical segment, the company supplies a modified new drug that delivers the Alzheimer's ingredient donepezil via a patch, jointly with Celltrion Pharm, marketed domestically as 'Donerion Patch' and for export as 'Donesive Patch'.
The cosmetics segment is an ODM business contract-manufacturing basic skincare, hydrogel mask packs, and soft-gel capsules, and has become the core driver of the company's recent earnings improvement.
In the first quarter of 2026, the cosmetics ODM business posted its highest-ever quarterly revenue for that division as sales expanded with new customers, including leading K-beauty company APR.
Cosmetics ODM revenue in the first quarter of 2026 was KRW 27.6 billion, up 145.5% from KRW 11.2 billion a year earlier, the division's highest-ever quarterly figure, driven by expanded sales to new customers including leading K-beauty firm APR.
The company liquidated its former Cosmax-iCure joint venture, which had produced mask packs with Cosmax, and built its own hydrogel mask pack production system starting in 2025.
In pharmaceuticals, beyond the donepezil patch, the company first commercialized a generic version of the rivastigmine patch 'Exelon Patch' in 2014, the first such launch in Korea, and manufactures a range of patch products using its TDDS platform at its Wanju plant.
In terms of competitive landscape, US-based Corium, Japan's Eisai, and Korea's Daewoong Pharmaceutical all attempted to develop donepezil patches, but amid an assessment that there had been no successful precedent in donepezil patch development, Eisai failed to obtain approval and Corium reportedly refiled for Phase 1 trials, while iCure was seen as relatively ahead after completing Korean Phase 3 trials and receiving US Phase 1 IND approval.
However, actual domestic sales fell well short of initial expectations, as combined annual sales of Donerion Patch and Donesive Patch stood at only about KRW 900 million in the product's second year on the market, and the unexpectedly weak performance led to a temporary suspension of the US clinical trial.
The company subsequently pursued overseas diversification through licensing and supply agreements for the donepezil patch with Italy's largest pharmaceutical company Menarini (Taiwan, Thailand, etc.) and Portugal's Pharma Bavaria (Middle East and Africa).
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩25.3B | -₩4.4B | −17.5% |
| 2025Q3 | ₩25.1B | -₩3.3B | −13.0% |
| 2025Q4 | ₩10.9B | -₩1.8B | −17.0% |
| 2026Q1 | ₩32.2B | ₩200M | 0.6% |
| 2026Q2 | ₩37.7B | ₩2.4B | 6.4% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩59.4B | -₩26.8B | -₩41.8B | −45.1% | −46.6% | 144.0% |
| 2023 | ₩56.8B | -₩22.7B | -₩31.4B | −39.9% | −54.0% | 178.8% |
| 2024 | ₩69.2B | -₩17.2B | ₩1B | −24.8% | 1.7% | 118.8% |
| 2025 | ₩83.4B | -₩12B | -₩33.6B | −14.3% | −127.5% | 270.0% |
Consolidated basis (financial statements including subsidiaries) · Final figures from DART filings · Net income attributable to owners of the parent · Data as of 2026-09-18
Consolidated revenue showed a clear growth trend recently, rising from KRW 59.37 billion in 2022 to KRW 56.81 billion in 2023, KRW 69.21 billion in 2024, and KRW 83.38 billion in 2025.
Operating losses narrowed steadily from -KRW 26.77 billion in 2022 to -KRW 22.66 billion in 2023, -KRW 17.18 billion in 2024, and -KRW 11.96 billion in 2025, with operating margin improving from -45.1% to -39.9% to -24.8% to -14.3% over the same period, though the company has not yet achieved a full-year operating profit.
Net income attributable to owners briefly turned positive at +KRW 1.05 billion in 2024 even as the operating result remained negative, suggesting one-off items may have been at play, before swinging back to a large net loss of -KRW 33.60 billion in 2025.
On a quarterly basis, losses persisted through the third quarter of 2025 (revenue KRW 25.14 billion, operating loss -KRW 3.26 billion, net loss to owners -KRW 3.70 billion), and the fourth quarter of 2025 saw revenue plunge to KRW 10.86 billion while the net loss to owners widened sharply to -KRW 18.08 billion, severely dragging down the full-year result.
This large fourth-quarter loss appears linked to non-recurring items including temporary funding pressure from paying roughly KRW 8.0 billion in withholding tax related to a tax authority income disposition tied to former CEO Choi Young-kwon's past breach-of-trust case.
Revenue then rebounded to KRW 32.19 billion in the first quarter of 2026 with operating profit turning positive at KRW 0.21 billion, and the second quarter saw revenue of KRW 37.65 billion, operating profit of KRW 2.40 billion, and net income to owners of KRW 2.32 billion, marking two consecutive profitable quarters.
The company stated that operating profit turned positive on both a consolidated and standalone basis, with the standalone operating profit being the first in nine years, and that the cosmetics ODM business was at the center of the earnings improvement.
However, operating cash flow (CFO) remained negative for four straight years from 2022 to 2025 (ranging from -KRW 11.28 billion to -KRW 17.05 billion), indicating that actual cash generation remains weak, while total equity fell from KRW 91.86 billion in 2022 to KRW 24.46 billion in 2025 and the debt ratio rose from 144.0% to 270.0%, reflecting elevated financial leverage.
The cosmetics ODM industry has been growing recently on the back of expanding K-beauty exports and rising outsourcing demand from emerging brands, and iCure has ridden this trend centered on basic skincare and hydrogel mask packs.
Increased supply volumes of key products such as basic skincare and hydrogel mask packs contributed to recent top-line expansion and profitability improvement, and the company has expanded its ODM business by securing growing domestic and overseas cosmetics brands as customers.
By contrast, the dementia treatment patch market has a broad base, as donepezil, the most frequently prescribed ingredient among Alzheimer's treatments, accounts for about 80% of the domestic dementia treatment drug market, but the pace of conversion from oral to patch formulations has proceeded more slowly than the company initially expected.
In terms of competition, US-based Corium, Japan's Eisai, and Korea's Daewoong Pharmaceutical all attempted to develop donepezil patches, but many failed to reach commercialization, leading to an assessment that iCure held a relatively favorable position.
Compared to the precedent of the rivastigmine patch (Exelon), which successfully replaced the oral drug market, reaching a 50% substitution rate two years after its 2007 approval and 92% after six years, the actual market conversion for the donepezil patch has proceeded far more slowly.
There have also been reports that capacity utilization at the Wanju plant remained low, with production facility utilization at only 43% as of the first quarter, prompting a strategy of focusing on overseas markets rather than the size-limited domestic market to raise utilization, which has been identified as a key challenge for the company.
On the governance side, the industry has taken note of the possibility of stronger ties with the cosmetics ODM business now that Solum Cosmetics, part of the electronics component group Solum, has become the new controlling shareholder.
iCure received a listing-maintenance decision from the Korea Exchange's corporate examination committee on September 2, 2026, following which the trading halt on its shares was lifted the same day and trading resumed on September 3.
The company stated it plans to focus on expanding the customer portfolio of the cosmetics ODM business while raising the share of overseas sales, aiming to diversify its revenue base by adding new brands and regions while maintaining stable supply volumes to existing customers.
Of the funds raised through the third-party share issuance, about KRW 17.6 billion is earmarked for operating funds, KRW 5.4 billion for debt repayment, and KRW 2.0 billion for facility investment.
The new controlling shareholder group, Solum Cosmetics and two other parties (Sinsin Pharm and DeepDive K-Beauty 2026 private equity fund), acquired 24,177,949 new shares to hold a 39.16% stake, and the controlling shareholder changed from former CEO Choi Young-kwon to Solum Cosmetics, which committed to voluntarily locking up its entire stake for three years.
The board also changed, as two in-house directors and two independent directors were newly appointed at an extraordinary shareholders' meeting, with the new in-house directors coming from Solum group affiliates.
In pharmaceuticals, overseas supply and licensing agreements for the donepezil patch signed with partners including Menarini Asia Pacific (Southeast Asia) and Pharma Bavaria (Middle East and Africa) are progressing through regulatory approval processes region by region, and the timing of any meaningful revenue contribution is expected to vary by contract, potentially by several years.
As for the next regular disclosure, the third-quarter 2026 report must be filed by November 16, 2026 under the Capital Markets Act, which should show whether the profitable trend seen in the first two quarters continued.
iCure is in an unusual situation, having had its shares halted for about a year from August 2025 before trading resumed on September 3, 2026, making it difficult to apply a conventional historical trading band.
Net assets have declined steadily since 2022, with total equity shrinking to the tens of billions of won range by the end of 2025, while market capitalization has not fallen to a correspondingly low level, putting the stock in a range that reflects a certain premium over book value.
Given that the third-party share issuance completed in August 2026 substantially increased the total share count, it will be worth watching how future quarterly results translate into per-share metrics reflecting the enlarged share base.
The company has paid no dividends amid years of net losses, and this no-dividend policy could persist until a profitable trend is firmly established.
In short, the shift to operating profit for two consecutive quarters suggests a change in business fundamentals, but the combination of long-accumulated losses, shrinking capital, and the recent trading halt warrants caution in applying conventional valuation comparisons.
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 2026-09-18
Consolidated operating profit turned positive for two consecutive quarters in the first half of 2026, driven mainly by the cosmetics ODM business, which secured new customers such as APR.
Increased supply volumes of key products including basic skincare and hydrogel mask packs have improved both top-line growth and profitability simultaneously. Continued expansion into new brands and regions could further solidify the profitable trend.
The year-long trading halt tied to governance risk from the founder's alleged breach of trust and embezzlement was resolved with the September 2026 listing-maintenance decision. The third-party share issuance brought in roughly KRW 25.0 billion in fresh capital, providing a foundation for balance-sheet repair.
The new controlling shareholder, Solum Cosmetics, committed to a voluntary three-year lock-up of its stake to enhance management stability.
iCure has signed licensing and supply agreements for the donepezil patch with multiple overseas partners including Menarini Asia Pacific and Pharma Bavaria.
With contract territories spanning Southeast Asia and the Middle East/Africa, there is potential for revenue diversification once individual regional approvals are completed.
Despite being the world's first approved donepezil patch, combined domestic and export sales reached only about KRW 900 million in the product's second year, and the US clinical trial was temporarily suspended.
Overseas licensing deals also tend to require years of regulatory approval after signing, making meaningful near-term revenue contribution unlikely.
Consolidated net losses reached the tens of billions of won in 2022, 2023, and again in 2025, during which total equity fell from KRW 91.86 billion in 2022 to KRW 24.46 billion in 2025.
Operating cash flow was also negative in all four years, leaving a structural vulnerability that has repeatedly required external financing.
With the new controlling shareholder structure only recently established, it remains unproven how smoothly a Solum Cosmetics-centered management strategy will integrate with the existing cosmetics ODM and pharmaceutical businesses.
Cost burdens stemming from past issues such as litigation related to the founder and withholding tax could also recur.
Former founder and chairman Choi Young-kwon has been indicted for alleged violations of the Act on the Aggravated Punishment of Specific Economic Crimes (breach of trust and embezzlement), and related litigation is ongoing. A court granted a provisional seizure of about KRW 11.5 billion worth of Choi's iCure shares. Additional governance variables could arise depending on the outcome of the litigation.
Total equity declined steadily over the past four years to KRW 24.46 billion at the end of 2025, while the debt ratio rose to 270.0%. Given persistently negative operating cash flow, the need for further external financing may remain going forward.
If reliance on specific large customers in the cosmetics ODM business grows, earnings could become sensitive to customer churn or order fluctuations.
The pharmaceutical segment remains exposed to risks from competition with global rivals in donepezil patch development and approval, as well as stagnant market penetration.
The statutory filing deadline for the third-quarter 2026 report, allowing a check on whether the operating profit trend from the first two quarters continued and how the cosmetics ODM and pharmaceutical segments each contributed.
Worth watching whether the new board and Solum Cosmetics-led management team disclose additional concrete medium- to long-term strategy or business reorganization plans.
The 2026 annual business report will show the actual impact of the August capital raise on total equity and the debt ratio.
Ongoing monitoring is needed on the regulatory approval progress of overseas donepezil patch partners (Menarini Asia Pacific, Pharma Bavaria, etc.) and any new supply agreement disclosures.
iCure has shown an earnings improvement trend centered on its cosmetics ODM business, posting consolidated operating profit for two consecutive quarters in the first half of 2026, and the year-long trading halt has been resolved through a change of controlling shareholder and a capital raise.
However, this does not fully resolve the structural burdens of large cumulative net losses since 2022, shrinking total equity, and a high debt ratio, and volatility remains, as seen in the fourth quarter of 2025 when one-off costs sharply distorted results.
In pharmaceuticals, the company holds the technical distinction of the world's first approved donepezil patch and multiple overseas licensing agreements, but actual revenue contribution has fallen short of expectations domestically, and overseas approval processes are expected to take years.
How the new controlling shareholder, Solum Cosmetics, integrates with the cosmetics ODM business and drives balance-sheet improvement will be a key variable for future earnings and governance stability.
Investors will need to track the upcoming third-quarter disclosure and the annual results reflecting the capital injection to assess the durability of the profitable trend.
Report written 2026-09-19 · Data as of 2026-09-18
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