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
APact Co Ltd has continued its earnings recovery after returning to annual profit in 2025 for the first time in three years, but a June 2026 change in its controlling shareholder has added a new governance variable.
Consolidated 2025 revenue reached KRW 111.0bn with operating profit of KRW 5.27bn, marking an annual return to profit after three years
Utilization rates in both the packaging and test divisions rose to 70% in H1 2026, extending the recovery trend
Test volume for the next-generation SOCAMM2 DRAM module tied to Samsung Electronics' Nvidia supply schedule has emerged as a new growth driver
The controlling shareholder changed from Mutual Growth to Dynamic Growth in June 2026, with both entities being funds affiliated with Aurora Partners
Quarterly results alternated between a loss in Q1 2026 and a profit in Q2 2026, indicating earnings stability has yet to be firmly established
APact Co Ltd traces its roots to Hisem, an OSAT (outsourced semiconductor assembly and test) specialist founded in 2007 when 32 SK Hynix partner companies jointly invested; the firm listed on KOSDAQ in 2014 and changed its name to APact in 2020.
Its core business consists of two divisions, packaging and test, and in 2022 the company acquired the packaging business from AT Semicon to build an integrated order-taking structure spanning back-end assembly and test. As of 2024, segment revenue mix stood at 61% back-end packaging and 39% test.
By customer, 2024 revenue mix showed SK Hynix at 53%, Samsung Electronics at 32%, and other fabless clients including LX Semicon, Silicon Mitus, Jeju Semiconductor and Dongsim Semiconductor at 15%.
In H1 2026, packaging revenue reached KRW 63.92bn (84.4% of sales) while test revenue was KRW 11.77bn (15.6%), showing packaging's share expanding markedly.
Over the same period, packaging utilization rose to 70% from 62% a year earlier, and test utilization also reached 70%, indicating improvement across both divisions.
The company has secured new volume by participating in test production for the next-generation SOCAMM2 DRAM module tied to Samsung Electronics' supply to Nvidia, and it is preparing an overseas expansion as the first domestic OSAT firm to receive approval for a joint-venture project in India backed by the Indian government.
In the competitive landscape, Hana Micron explored a stake acquisition in 2021 and Doosan Tesna did so in 2023, though neither deal was concluded, underscoring the industry's sustained interest in the company's technology and business model as an independent domestic OSAT player.
The controlling shareholder changed in June 2026 from Mutual Growth to a newly formed fund, Dynamic Growth, with both entities based on funds organized by Aurora Partners, leading to assessments that the substance of control changed little despite the nominal transfer.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩26.7B | ₩2B | 7.4% |
| 2025Q3 | ₩28.4B | ₩2B | 7.0% |
| 2025Q4 | ₩32.6B | ₩4.7B | 14.4% |
| 2026Q1 | ₩30.5B | -₩1.9B | −6.3% |
| 2026Q2 | ₩45.2B | ₩1.1B | 2.5% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩73.6B | ₩4.6B | ₩3.1B | 6.2% | 2.7% | 86.6% |
| 2023 | ₩93.7B | -₩22.9B | -₩16.7B | −24.4% | −17.0% | 113.6% |
| 2024 | ₩86.7B | -₩21.5B | -₩50.7B | −24.8% | −91.8% | 194.2% |
| 2025 | ₩111B | ₩5.3B | ₩5.2B | 4.7% | 7.4% | 159.1% |
Consolidated basis (financial statements including subsidiaries) · Final figures from DART filings · Net income attributable to owners of the parent · Data as of 2026-08-21
Under confirmed consolidated figures, APact posted revenue of KRW 73.65bn and operating profit of KRW 4.59bn (a 6.2% margin) in 2022, but in 2023, even as revenue rose to KRW 93.74bn, the company swung to an operating loss of KRW 22.88bn.
In 2024, revenue fell to KRW 86.72bn and the operating loss widened to KRW 21.53bn, while the net loss expanded to KRW 50.72bn, marking two consecutive years of large losses.
In 2025, revenue climbed 28% year on year to KRW 111.0bn, with operating profit of KRW 5.27bn and owners' net profit of KRW 5.23bn, returning the company to annual profitability for the first time in three years.
On a quarterly basis, Q2 2025 revenue was KRW 26.68bn with operating profit of KRW 1.97bn, yet owners' net profit was a modest loss of KRW 0.18bn; Q3 improved to revenue of KRW 28.35bn, operating profit of KRW 1.98bn and net profit of KRW 1.68bn.
In Q4, revenue rose to KRW 32.59bn with operating profit of KRW 4.71bn and net profit surging to KRW 7.56bn, with net profit far exceeding operating profit, a gap likely attributable to non-operating items.
However, Q1 2026 saw revenue rise to KRW 30.46bn even as the company slipped back into an operating loss of KRW 1.91bn and a net loss of KRW 3.27bn, before Q2 2026 revenue jumped roughly 48% quarter on quarter to KRW 45.22bn with operating profit of KRW 1.11bn and net profit of KRW 4.39bn, restoring a profitable footing.
Taken together, the last five quarters show clear revenue growth but considerable quarter-to-quarter volatility in operating and net profit, warranting close attention to the quality and stability of earnings.
In its Q1 2026 disclosure, the company noted that some revenue gap occurred as key customer test volume shifted from general-purpose DDR5 to SOCAMM2 modules, with the process transitioning from burn-in test to module test.
The OSAT industry in which APact operates is undergoing a structural shift as memory IDMs concentrate their own investment on advanced packaging such as HBM, indirectly boosting outsourced volume for legacy products.
Because utilization at back-end outsourcing firms is directly tied to the production cut or expansion decisions of IDM customers such as SK Hynix and Samsung Electronics, the company suffered large losses during the IDM downcycle of 2023-2024.
Since 2025, however, a recovery in the memory cycle combined with rising demand for next-generation DRAM modules driven by AI servers and on-device AI has brought outsourced volume back up.
The fabless customer base has also broadened to include LX Semicon, Silicon Mitus, Jeju Semiconductor and Dongsim Semiconductor, an ongoing effort to reduce dependence on IDM customers.
Domestic competitors include Hana Micron and Doosan Tesna, both of which have previously explored acquiring a stake in APact, reflecting an industry structure where consolidation discussions recur.
Overseas, the company stands as the first domestic OSAT firm to secure approval for a local joint-venture project in India with government backing, positioning it in the early stage of India's emerging semiconductor back-end ecosystem.
The company has set a target of KRW 150.0bn in annual revenue and KRW 20.0bn in EBITDA for 2026, according to a report by the Korea M&A Economy outlet, a level that would represent a step up from 2025 consolidated revenue of KRW 111.0bn.
In its earnings materials, the company stated that growing order volumes from major customers support expectations for further growth this year, and that SOCAMM2 test production has been proceeding smoothly since January.
In Q1 2026, despite a temporary revenue gap from product and process transition, revenue still grew 30.3% year on year, which the company described as the full-scale ramp-up of new module test production.
The company said it is pursuing large-scale capacity-expansion investment during 2026 and expects to maintain a profitable footing through the year, following on from 2025.
On the overseas growth front, construction of the India joint venture is proceeding with a target of 2027 production start, which, if realized, could serve as a foothold for securing overseas customers and diversifying its revenue base.
However, exactly how the new controlling shareholder, Dynamic Growth, will articulate a concrete medium- to long-term strategy following the June 2026 ownership change remains unconfirmed, making the impact of this governance restructuring on business direction worth monitoring.
APact swung from large losses in 2023-2024 to annual profitability in 2025, and in 2026 its quarterly results have continued to alternate between loss and profit as earnings recovery remains a work in progress.
In a phase where such earnings volatility persists, price-to-earnings type metrics can swing considerably depending on the profit size of any single quarter, making it important to look at the multi-year earnings trend together.
On a price-to-book basis, the stock tends to trade at a premium to net asset value, which can be read as reflecting market expectations about how steadily the earnings recovery will continue going forward.
The company currently does not pay a cash dividend, so rather than dividend appeal, the pace of earnings improvement from the OSAT industry recovery and new order volume is the key variable shaping share price behavior.
The fact that the per-share price in the controlling-shareholder transfer diverged from the prevailing market price should be understood in the context that the transaction was not a typical control-premium deal but was priced according to a formula predetermined in the fund's charter.
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 2026-08-21
Consolidated 2025 revenue grew 28% year on year and both operating and net profit turned positive, while H1 2026 saw packaging and test utilization both climb to 70%, extending the recovery. In Q2 2026, revenue rose roughly 48% quarter on quarter, showing top-line growth and earnings recovery occurring simultaneously.
Still, as seen in Q1 2026, losses can reappear on a quarterly basis, so the continuity of the recovery needs to be verified quarter by quarter.
The company is participating in test production for the next-generation SOCAMM2 DRAM module tied to Samsung Electronics' supply to Nvidia, and it has said related volume has been proceeding smoothly since January.
As the process shifts from general-purpose DDR5 to SOCAMM2 module testing, successful ramp-up could create a new revenue stream tied to the spread of on-device AI. However, the company itself has acknowledged that a temporary revenue gap can occur in the early stage of this transition.
APact is the first domestic OSAT firm to receive approval for a local joint-venture project in India with government backing, and construction is under way with a target of starting production in 2027.
This could be an opportunity to diversify away from a customer structure concentrated in two IDMs toward a broader base of overseas customers and revenue sources.
Still, the initial investment burden at the new overseas site and the time needed to stabilize utilization are variables that will need to be managed separately.
In Q1 2026, despite higher revenue, the company posted an operating loss of KRW 1.91bn and a net loss of KRW 3.27bn, reverting to a loss; in Q2 2025 too, operating profit was positive but net profit was slightly negative.
There have also been periods, such as Q4 2025, where net profit far exceeded operating profit, meaning the underlying core profitability trend excluding non-operating items needs to be checked separately. Despite the annual return to profit, earnings stability on a quarterly basis has not yet been fully established.
As of 2024, SK Hynix and Samsung Electronics together accounted for 85% of revenue, meaning company performance is directly tied to the investment and production-cut decisions of these two IDMs.
Although the fabless customer base is expanding, its revenue share remains limited, so changes in orders from a specific customer still have significant influence on results. Such customer concentration could amplify earnings volatility if the industry cycle turns down again.
About four and a half years after the controlling shareholder changed to Mutual Growth in 2021, it changed again in June 2026 to Dynamic Growth.
Since both entities are based on funds organized by Aurora Partners, assessments suggest the substance of control is similar, but given the typical maturity and exit structure of private equity funds, further changes in shareholding cannot be ruled out.
The absence of a concrete medium- to long-term strategy from the new controlling shareholder also remains a source of uncertainty.
Company performance is directly tied to the memory investment and production-cut decisions of IDMs such as SK Hynix and Samsung Electronics, and the firm suffered large losses during the 2023-2024 production-cut period.
If the memory cycle weakens again, outsourced back-end volume could shrink, worsening utilization and profitability simultaneously. A slower-than-expected ramp-up of new products such as SOCAMM2 could pose a similar risk.
The debt ratio stood at 159.1% at end-2025, up from 86.6% in 2022, and equity had shrunk significantly during the two years of large losses.
A portion of the third series convertible bonds was converted into shares as recently as July 2026, increasing the total share count, and further conversion of remaining bonds could continue to dilute shareholders. If the planned capacity-expansion investment requires external financing, the financial burden could increase.
The controlling shareholder has repeatedly changed among private-equity-fund-based special purpose entities, and reports of a sale advisor selection and contact with potential acquirers have surfaced multiple times in the market.
The new controlling shareholder, Dynamic Growth, also appears to be a special purpose entity, so the possibility of a further sale or re-sale of the stake cannot be fully ruled out. Decision-making delays or strategy shifts during ownership transitions could affect business execution.
Check the Q3 2026 earnings release for the revenue contribution from SOCAMM2, whether the gap between operating and net profit persists, and whether quarterly earnings stability improves.
Watch for whether new controlling shareholder Dynamic Growth discloses a concrete medium- to long-term management strategy or investment plan.
Track construction progress at the India joint venture and whether the 2027 production start target is met.
Confirm disclosures on the scale and funding method (internal cash versus external financing) of the 2026 capacity-expansion investment.
Monitor further conversion requests on the remaining third series convertible bonds and the resulting change in total shares outstanding as a measure of dilution.
APact is an OSAT specialist founded in 2007 through joint investment by SK Hynix partner companies, providing packaging and test services to IDM customers such as SK Hynix and Samsung Electronics as well as numerous fabless clients.
On a consolidated basis, the company swung from profitability in 2022 to two consecutive years of large losses in 2023-2024, before returning to profit in 2025 with revenue of KRW 111.0bn and operating profit of KRW 5.27bn; in 2026 it is in an early recovery phase marked by a loss in Q1 and a profit in Q2.
On the business side, expanding test volume for next-generation DRAM modules such as SOCAMM2 and overseas expansion via the India joint venture are presented as growth pillars, and utilization in both packaging and test divisions has been improving in tandem.
At the same time, a governance change occurred in June 2026 as the controlling shareholder shifted from Mutual Growth to Dynamic Growth; since both entities are based on funds affiliated with Aurora Partners, assessments suggest little change in actual control, though uncertainty tied to the private-equity fund structure remains.
Customer concentration, quarterly earnings volatility, a rising debt ratio, and potential share dilution from convertible bonds are factors that warrant continued attention.
Going forward, the stability of quarterly earnings from Q3 onward, disclosure of strategy from the new controlling shareholder, and progress on the India joint venture are likely to be the key observation points for gauging the company's direction.
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.