KOSDAQChemicals177350

Vessel

₩1,377▲ 1.92%2026-10-02 close

Market Cap

₩13.7B

Turnover

₩53,912,830

Volume

40,000 shares

Shares out.

9.9M

PER

33.5×

PBR

—

EPS

₩49

Dividend Yield

0.00%

PER, EPS, PBR and BPS are calculated in-house from the last 4 quarters (2025Q3–2026Q2) · Dividend yield is based on ₩0 per share · Prices as of the 2026-10-02 close

Report overview

Film Materials Pivot Amid Earnings Volatility

Vessel is shifting its center of gravity from display equipment toward film materials, and while 2025 net income turned positive, operating profit remains in loss territory.

1
2025 annual revenue fell to KRW 16.57bn from KRW 25.71bn a year earlier, while the operating loss narrowed sharply to KRW 2.61bn from KRW 11.72bn.
2
As of Q1 2026, the film materials segment accounted for the vast majority of revenue, with the display equipment segment reduced to a minor share.
3
A large non-operating gain exceeding KRW 15bn in owner net income in Q2 2025 drove the full-year swing to profit, but Q1-Q2 2026 reverted to net losses.
4
Since the 2023 change of controlling shareholder from former CEO Seo Gi-man to THE E&M, diversification into media and drone/UAM-related ventures has proceeded alongside the core business.
5
A 2:1 stock consolidation raising par value from KRW 500 to KRW 1,000 was completed between June and August 2026, adjusting the capital structure.

Business structure

Vessel is a KOSDAQ-listed special-purpose machinery manufacturer founded in 2004, operating under a two-division structure of a Materials Business Unit and a Systems Business Unit.

The Systems unit has supplied display production equipment—including in-line systems for LCD, OLED, and touch panel (TSP)—mainly to overseas, notably Chinese, panel makers.

The Materials unit develops and produces high-functionality films such as PVC/PET/PP-based inkjet media, LCD protection films, Eco-Solvent media, and blue-light-blocking AB film.

Through a subsidiary, the company also manufactures and sells value-added film products including advertising/photo-protection film, antibacterial/antiviral film, and EMI shielding film.

In Q1 2026 consolidated revenue, the film materials segment accounted for the large majority, with exports outweighing domestic sales within that segment. The display segment, by contrast, generated only minor revenue from parts, refurbishment, and small exports, alongside a separate stream of rental income.

The company operates a Chinese subsidiary, Vessel Technology (Beijing), to provide local engineering services and support overseas customers. Comparable companies in the display-equipment space cited alongside Vessel include SFA Engineering, Viatron, Top Engineering, Rocheche Systems, and Avaco.

Since the 2023 change of controlling shareholder to THE E&M, the company has also pursued diversification through its affiliate Vessel Aerospace, which is engaged in urban air mobility (UAM) demonstration projects.

Earnings trend

Quarterly revenue · Operating profit

₩4.7B-₩800M25Q2₩3.5B-₩100M25Q3₩4.2B-₩600M25Q4₩3.9B-₩100M26Q1₩5B-₩600M26Q2

RevenueOperating profit

Annual revenue · Operating profit

₩44.1B-₩6.6B2022₩26.1B-₩13.1B2023₩25.7B-₩11.7B2024₩16.6B-₩2.6B2025

RevenueOperating profit

Quarterly results · Last 5 quarters
Quarter	Revenue	Operating profit	Op. margin
2025Q2	₩4.7B	-₩800M	−16.5%
2025Q3	₩3.5B	-₩100M	−3.4%
2025Q4	₩4.2B	-₩600M	−13.6%
2026Q1	₩3.9B	-₩100M	−3.5%
2026Q2	₩5B	-₩600M	−12.3%

Annual results
Year	Revenue	Operating profit	Net income (parent)	Op. margin	ROE	Debt-to-equity
2022	₩44.1B	-₩6.6B	-₩12.1B	−14.9%	−38.7%	175.6%
2023	₩26.1B	-₩13.1B	-₩24B	−50.2%	−90.5%	172.5%
2024	₩25.7B	-₩11.7B	-₩10.5B	−45.6%	−48.9%	138.3%
2025	₩16.6B	-₩2.6B	₩17.7B	−15.8%	42.8%	41.3%

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

Vessel's annual revenue declined for four consecutive years, from KRW 44.13bn in 2022 to KRW 26.14bn in 2023, KRW 25.71bn in 2024, and KRW 16.57bn in 2025.

The operating loss, however, narrowed markedly from KRW 6.58bn in 2022 and KRW 13.13bn in 2023 to KRW 11.72bn in 2024 and just KRW 2.61bn in 2025, indicating some improvement in the loss structure.

On the net income line, the company posted losses for three straight years from 2022 to 2024 (KRW -14.06bn, -24.16bn, and -10.50bn respectively) before swinging to a net profit of KRW 17.68bn in 2025.

The quarterly data show that this turnaround was driven by a large non-operating gain: owner net income reached KRW 15.05bn in Q2 2025 alone, even as the operating loss that quarter was KRW 0.78bn.

Revenue held at KRW 3.54bn and KRW 4.22bn in Q3 and Q4 2025, with operating losses of KRW 0.12bn and KRW 0.57bn but modest net profits of KRW 0.45bn and KRW 3.55bn.

Entering 2026, however, the company returned to net losses—Q1 revenue of KRW 3.88bn with an operating loss of KRW 0.14bn and a net loss of KRW 1.19bn, followed by Q2 revenue of KRW 5.01bn, an operating loss of KRW 0.62bn, and a net loss of KRW 1.83bn.

Total equity rose sharply from KRW 21.54bn in 2024 to KRW 41.31bn in 2025, while total liabilities fell from KRW 29.78bn to KRW 17.06bn, pushing the debt ratio down from 138.3% to 41.3%. Operating cash flow also turned positive at KRW 0.75bn in 2025, breaking a three-year negative streak from 2022 to 2024.

Industry analysis

Vessel's Systems (display equipment) segment is directly exposed to the capital-expenditure cycle of Chinese panel makers.

Industry commentary notes that as Chinese panel makers' capex fell short of expectations, display equipment revenue showed a clear downward trend, with the company's related sales fluctuating sharply between 2019 and 2023.

Amid this structural stagnation, industry analysis confirms the company has been seeking new growth avenues in film materials and UAM.

The Materials segment is positioning growing demand for Eco-Solvent media—driven by tightening environmental regulations—and export expansion through a global partnership with 3M as its growth drivers.

The Systems segment, meanwhile, maintains a stable base but continues to see declining revenue amid reduced capex from downstream customers.

Compared with peers such as SFA Engineering, Viatron, Top Engineering, Rocheche Systems, and Avaco, Vessel stands out for its relatively larger film-materials weighting, suggesting an ongoing differentiation of its business portfolio.

The UAM market itself remains at an early, pre-commercialization stage, and it will take time before the demonstration project involving affiliate Vessel Aerospace produces visible results.

Outlook

In March 2026, the company disposed of 39,542 shares of treasury stock to compensate and motivate employees for their 2025 performance.

In May 2026, it sold KRW 200 million worth of its self-held 7th convertible bonds (conversion price of KRW 1,341) prior to maturity, with the buyer identified as THE E&M, which holds a relationship as the largest shareholder of the company's largest shareholder.

In June 2026, the company decided on a 2:1 stock consolidation raising par value from KRW 500 to KRW 1,000 for the purpose of price stabilization and enhancing corporate value; after a shareholder vote, trading was suspended from July 24 and new shares were relisted on August 18.

This sequence of actions can be read as a restructuring of the capital base and outstanding share count.

On the business side, expanding export markets through the 3M global partnership and accelerating development of high-functionality films such as Eco-Solvent media are presented as the core growth pillars for the Materials segment.

The Display Equipment segment's performance is likely to hinge on whether Chinese panel makers resume investment, and no clear order momentum has been confirmed at this stage.

The UAM demonstration project pursued by affiliate Vessel Aerospace remains a long-term initiative, with the timing of commercialization or any concrete revenue contribution still uncertain.

Valuation

PER

33.5×

PBR

—

ROE

2.6%

EPS

₩49

BPS

—

Dividend per share

₩0

Vessel's share price trades below its net asset value, placing it in a discounted range relative to book value.

Looking at multi-year results, the company moved through a net-loss period from 2022 to 2024 before swinging to a net profit in 2025, but that profit was largely attributable to a non-operating factor concentrated in a specific quarter, and it should be considered alongside the fact that the company reverted to net losses in the first half of 2026.

The debt ratio, which had been well above 100% in 2023-2024, fell sharply in 2025, reflecting a simultaneous expansion of equity and reduction of liabilities. No dividend has been paid recently, so dividend-related metrics are not a notable feature relative to the sector.

Given that the recent 2:1 stock consolidation adjusted the basis for outstanding share count and per-share metrics, this should be kept in mind when reviewing figures disclosed going forward.

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

Structural Growth Room in Film Materials

Growing demand for Eco-Solvent media amid tightening environmental regulations, along with export expansion through the global partnership with 3M, is presented as the growth engine for the Materials Business Unit.

As of Q1 2026, the film materials segment already accounted for the large majority of consolidated revenue, making it the core business. The fact that exports outweigh domestic sales supports the potential for further overseas market expansion.

Improved Balance Sheet

The debt ratio dropped sharply to 41.3% in 2025 from levels well above 100% in 2023-2024. Total equity expanded from KRW 21.54bn in 2024 to KRW 41.31bn in 2025, and operating cash flow also turned positive in 2025.

This is a factor that could broaden the company's capacity to operate without additional capital raising going forward.

New Business Diversification Options

Since THE E&M became the controlling shareholder, diversification efforts have proceeded in parallel, including a UAM demonstration project through affiliate Vessel Aerospace and investments related to media and entertainment.

These businesses currently contribute little to revenue but are cited as option value for broadening the business portfolio over the long term.

Bear factors

Weakening Display Equipment Revenue Base

The Systems (display equipment) segment continues to see declining revenue amid weak capex from Chinese panel makers. As of Q1 2026, display segment revenue consisted only of minor parts/refurbishment sales and small exports.

With the timing of any capex resumption by downstream customers uncertain, the recovery timeline for this segment is equally hard to gauge.

Persistent Operating Losses and Reliance on Non-Operating Income

Operating losses have persisted in every period from 2022 through Q2 2026. The full-year 2025 swing to net profit relied heavily on a large non-operating gain concentrated in a single quarter (Q2 2025), and the company reverted to net losses in Q1-Q2 2026. Without a corresponding improvement in core operating profitability, net income volatility could continue.

Governance and Related-Party Transaction Risk

In a May 2026 disclosure, the buyer of the company's self-held convertible bonds was identified as THE E&M, which holds a relationship as the largest shareholder of the company's largest shareholder. Such related-party transactions are an element that minority shareholders would need to verify for fairness and purpose.

Repeated treasury stock disposals and convertible-bond-related transactions have also kept the ownership structure in flux.

Risk factors

Downstream Industry Dependence

The display equipment segment is heavily dependent on the capex cycle of Chinese panel makers, and if that investment again falls short of expectations, related revenue and orders could contract further. The film materials segment is also exposed to downstream demand and changes in environmental regulatory policy.

Earnings Volatility

While operating profit has remained in loss for multiple years, net income has been strongly influenced by non-operating factors concentrated in specific quarters. Quarterly net income could continue to swing significantly depending on whether similar one-off items recur.

Governance and Capital Structure Changes

Capital- and governance-related events—including a change of controlling shareholder, related-party convertible bond transactions, treasury stock disposals, and a stock consolidation—have occurred repeatedly in recent periods.

These changes can affect the outstanding share count, ownership composition, and the basis for per-share metrics, requiring ongoing verification by investors.

What to watch next

Mid-November 2026
Check the Q3 2026 quarterly report for whether the trend of narrowing operating losses continues and whether the film materials segment maintains its revenue share.
During Q4 2026
Watch for follow-up IR materials or disclosures related to export market expansion for film materials through the global partnership with 3M.
Around March 2027
Review the audited annual report and business report for fiscal 2026 to confirm the final annual net income/operating profit figures and changes in the debt ratio and total equity.
Upon future disclosures
Watch for further disclosures on the progress of affiliate Vessel Aerospace's UAM demonstration complex in Hwaseong or any equity-method income/loss recognition related to it.

Overall view

Vessel is in the process of restructuring its revenue base from display equipment toward film materials, and financial changes such as the 2025 full-year swing to net profit and a substantial improvement in the debt ratio are clearly visible.

However, it should also be noted that this profit swing relied heavily on a non-operating factor concentrated in a specific quarter, that operating profit has remained in loss for multiple years, and that the company reverted to net losses in the first half of 2026.

The film materials segment carries a growth narrative built on regulatory tailwinds and export expansion through the 3M partnership, while the display equipment segment retains structural constraints tied to the capex cycle of Chinese panel makers.

Since the change of controlling shareholder, recurring capital- and governance-related events—including related-party convertible bond transactions, treasury stock disposals, and a stock consolidation—warrant continued attention to changes in outstanding share count and ownership composition.

New ventures such as UAM carry long-term option value but are not yet at a stage of contributing to revenue. Overall, this stock appears to be in a transitional phase where signs of earnings improvement coexist with structural risks.

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.