PER, EPS, PBR and BPS are calculated in-house from the last 4 quarters (2025Q3–2026Q2) · Dividend yield is based on ₩42 per share · Prices as of the 2026-10-02 close
Exem posted record first-half revenue and swung to an operating profit in 2026, but the sharp jump in net income was heavily driven by one-off gains including the disposal of its Sinsiway stake.
The 2025 consolidated operating margin fell sharply to 7.6% from 14.4% a year earlier, reflecting a decline in higher-margin license revenue alongside a rising share of lower-margin service revenue.
First-half 2026 consolidated revenue rose 25% year over year to KRW 23.82 billion, a record for the period, while operating profit turned positive at KRW 0.36 billion.
The surge in net income in Q1 and Q2 2026 (KRW 3.22 billion and KRW 14.98 billion, respectively) relied heavily on one-off items such as gains from the disposal of the Sinsiway stake and financial assets.
Overseas subsidiaries in Japan, China, and the United States all posted double-digit or higher revenue growth, with the U.S. unit supplying additional products to Samsung Electronics' semiconductor plant in Texas.
The company is expanding AI transformation (AX) offerings such as XAIOps, eXemble (LLMOps), and OntoMax (ontology solution), pursuing more contracts in the public and financial sectors.
Exem was founded in 2001 to develop database (DB) tuning software and listed on KOSDAQ in 2015 as an IT performance management specialist. Its core business spans database performance management (DBPM), application performance management (APM), big data analytics, AIOps, and cloud integrated monitoring solutions.
The company has held more than a 50% revenue share in the domestic DB performance management market for the past five years, and it also leads the end-to-end (E2E) transaction-tracking APM market, particularly among tier-one banks and securities firms.
Its flagship products include the DBPM solution 'MaxGauge,' the APM/E2E monitoring tool 'InterMax,' the hybrid and multi-cloud integrated monitoring platform 'exemONE,' and the AI-based IT operations intelligence solution 'XAIOps.' In 2016, Exem merged with big data platform company Cloudine to enter the big data business, and in 2024 it launched the machine learning operations (MLOps) platform 'Woodpecker' to build out its own big data analytics value chain; more recently it has expanded into AI platform territory with the LLMOps solution 'eXemble' and the ontology-based solution 'OntoMax.' Its cumulative customer base exceeds 1,090 organizations.
Sinsiway, a DB security specialist that was formerly a subsidiary, was fully divested to Parataxis Korea Fund and other buyers in January 2026, removing it from the consolidated scope.
Overseas operations are conducted through subsidiaries in Japan, China, and the United States, with the Japanese unit supplying major clients such as Mizuho Bank and Idemitsu Kosan, and the U.S. unit supplying products to Samsung Electronics' semiconductor plant in Taylor, Texas.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩12.6B | -₩95,977,889 | −0.8% |
| 2025Q3 | ₩13.5B | ₩500M | 3.8% |
| 2025Q4 | ₩10B | ₩5.7B | 56.9% |
| 2026Q1 | ₩11.2B | -₩2.2B | −20.0% |
| 2026Q2 | ₩12.6B | ₩2.6B | 20.5% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩55.1B | ₩12.5B | ₩8.6B | 22.7% | 9.2% | 17.3% |
| 2023 | ₩53.9B | ₩4.9B | ₩10.4B | 9.1% | 10.0% | 11.8% |
| 2024 | ₩61.2B | ₩8.8B | ₩9.1B | 14.4% | 7.8% | 11.8% |
| 2025 | ₩47.8B | ₩3.7B | ₩6.6B | 7.6% | 5.4% | 12.8% |
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
Consolidated revenue in 2025 came to KRW 47.76 billion, down from KRW 61.24 billion in 2024, while operating profit fell sharply to KRW 3.65 billion from KRW 8.83 billion, pulling the operating margin down to 7.6% from 14.4%.
This reflected a decline in higher-margin license revenue and a rising share of labor-intensive service revenue, and was reported as the lowest operating margin since 2016.
Net income attributable to owners peaked at KRW 10.42 billion in 2023 before declining for three straight years to KRW 9.06 billion in 2024 and KRW 6.61 billion in 2025.
On a quarterly basis, Q2 2025 marked the low point of the first half with revenue of KRW 12.56 billion, an operating loss of KRW 0.096 billion, and a net loss of KRW 0.39 billion; the company then swung to an operating profit of KRW 0.52 billion in Q3 on revenue of KRW 13.54 billion, and operating profit jumped to KRW 5.70 billion in Q4 despite lower revenue of KRW 10.00 billion, driving the full-year result.
In Q1 2026, revenue was KRW 11.17 billion with an operating loss of KRW 2.23 billion, yet net income reached KRW 3.22 billion thanks to a gain from the disposal of the Sinsiway stake.
In Q2, revenue rose to KRW 12.64 billion with operating profit of KRW 2.59 billion, and net income surged to KRW 14.98 billion; cumulatively for the first half, revenue reached KRW 23.82 billion (up 25% year over year, a record), operating profit turned positive at KRW 0.36 billion, and net income reached KRW 18.31 billion.
The company explained that gains from the Sinsiway share transfer and disposal of financial assets contributed to the net income surge, both of which are non-recurring in nature.
By segment, software license and maintenance revenue in the core DB performance management (DBPM) business both increased, and AI/big data segment revenue nearly doubled year over year, driving overall growth.
The IT performance management and observability market is entering a phase of growing demand for all-in-one integrated monitoring as cloud migration and hybrid/multi-cloud adoption make monitoring targets more complex.
The government has budgeted roughly KRW 10 trillion for AI-related spending in 2026 and formed a KRW 150 trillion national growth fund to invest in advanced strategic industries, expanding public-sector AI investment and creating opportunities for related software and platform vendors.
Exem has maintained the number-one position in the domestic DB performance management market with a revenue share exceeding 50% for five consecutive years, and it also leads the E2E APM market centered on tier-one banks and securities firms.
However, the application performance management (APM) market has long been contested among domestic competitors, and the competitive landscape is being reshaped as the field expands into integrated monitoring and cloud management.
Public-sector AI transformation (AX) tenders constitute a saturated market with numerous competing bidders, and there is a view that later entrants with fewer references face higher barriers to entry.
Overseas, the company is expanding an export-oriented business model by building references primarily among financial institutions, including Japan's three megabanks.
The company has stated that it expects operating profit to improve more sharply in the second half than in the first, as revenue increases.
It has explained that license revenue from its E2E monitoring solution 'InterMax,' which has a large base of financial-sector customers, tends to be concentrated in the second half.
In the AI/big data segment, Exem recently signed a contract to supply the LLMOps solution 'eXemble' and the ontology solution 'OntoMax' to a large manufacturing company that already uses its machine learning operations platform 'Woodpecker,' and it has also agreed to supply OntoMax to a major government ministry.
In the AIOps segment, the company recently signed contracts to supply 'XAIOps' to a bank, a large public institution, and a key government ministry, and it said an additional large public institution and another government ministry are preparing to adopt the solution.
The company is currently carrying out an AI transformation (AX) project for KSS Line and plans to bid on multiple AX projects at large public institutions in the second half. It has also announced a partnership with Rebellions to expand NPU (neural processing unit)-based AX business.
CEO Ko Pyeong-seok said he expects both the performance management solution business and the AX solution business to grow evenly this year.
Valuation metrics based on the trailing four quarters incorporate one-off gains, such as the disposal of the Sinsiway stake, spread across several quarters, so caution is warranted in interpreting them as a measure of recurring operating profitability alone.
Indeed, multiples calculated using the most recent full fiscal year's results are higher than those based on the trailing four quarters, illustrating how much the valuation level can shift depending on the calculation basis and timing.
In terms of the relationship between share price and net assets, the stock trades below book value per share, placing it in a discount range relative to net assets. On the dividend side, the company has paid annual cash dividends, but the dividend yield itself remains at a modest, small-scale level.
Ultimately, whether the one-off gains recur and how quickly core operating profit recovers in the second half are likely to be the key variables shaping future valuation metrics.
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
The company is expanding its bids for AI platform and AX projects at government and public institutions, and it recently signed new XAIOps contracts with a bank, large public institutions, and government ministries. AI/big data segment revenue nearly doubled year over year in the first half of 2026.
Solutions such as eXemble and OntoMax are broadening the portfolio into LLMOps and ontology-based AI platform territory.
In the first half of 2026, revenue at the Japanese, Chinese, and U.S. subsidiaries grew 46%, 10%, and 99% year over year, respectively.
The Japanese unit supplied exemONE to major clients such as Mizuho Bank and Idemitsu Kosan, while the U.S. unit supplied additional MaxGauge and InterMax products to Samsung Electronics' semiconductor plant in Taylor, Texas. All overseas subsidiaries have steadily expanded revenue from existing customers.
At the end of 2025, standalone shareholders' equity stood at KRW 114.2 billion with a debt ratio of 8%, reflecting a debt-free management stance. The company held KRW 47.4 billion in cash and secured an additional KRW 21.2 billion from the Sinsiway sale. This represents financial flexibility that could be used for new investment or business expansion.
The 2025 consolidated operating margin fell to 7.6%, the lowest level since 2016. Higher-margin license revenue declined 22% year over year, while labor-intensive service revenue rose 13.7%, compressing margins.
Rising fixed costs from new product development and expanded technical support staffing also weighed on profitability.
The surge in first-half 2026 net income to KRW 18.31 billion was heavily driven by gains from the Sinsiway share transfer and disposal of financial assets. Operating profit over the same period was only KRW 0.36 billion, indicating that core operating profitability remains modest. Whether similar disposal gains will recur going forward is uncertain.
Public-sector AI tenders are reported to be a saturated market involving dozens of competing bidders. Unlike its established performance management and data businesses, Exem is seen as a relative latecomer to AI with fewer references, making differentiation a key challenge. Indeed, the company reportedly lost out in the final stage of some large-scale bids.
Across the five quarters disclosed, the company posted operating losses twice—in Q2 2025 and Q1 2026—reflecting significant quarter-to-quarter variability. The first quarter typically carries a low share of annual revenue while fixed costs such as personnel expenses persist, producing a recurring seasonal loss pattern. The structure in which annual results are concentrated in the second half has not yet been fully resolved.
In January 2026, Exem sold its entire stake in Sinsiway and lost control, removing it from the consolidated scope. This implies a reduction in the revenue base and complicates simple period-over-period comparisons before and after the sale.
Any similar subsidiary divestitures or structural changes in the future could further affect the financial structure.
Competition in the domestic APM and observability market with existing rivals continues, and the competitive landscape is being reshaped as the field expands into cloud management. The potential entry of large global observability vendors into the domestic market is another latent variable. In the new AI/AX business area, the company must compete simultaneously against a large number of rivals.
Q3 earnings disclosure will show whether the APM/AI segment revenue mix is shifting and whether InterMax license revenue is indeed concentrating in the second half as guided.
Investors should watch for the outcome of AX/AI platform tender bids at large public institutions and government ministries, and whether the two additional prospective XAIOps clients finalize supply contracts.
Confirmation is needed on whether the company's guidance for concentrated InterMax license revenue and a sharper operating profit improvement versus the first half actually materializes.
The FY2026 business and audit reports will provide final confirmation of whether annual revenue and operating profit improved as guided, and reveal underlying core profitability excluding one-off gains.
Exem showed early signs of a core business recovery by posting record first-half revenue and returning to operating profit in 2026.
However, a substantial portion of the net income surge stemmed from one-off items such as the gain on disposal of the Sinsiway stake, and operating profit itself remained modest over the same period.
It is also worth noting that the 2025 operating margin fell to a nine-year low amid declining high-margin license revenue and rising personnel costs.
Strong overseas subsidiary growth, expansion into AI/AX businesses, and a near debt-free balance sheet stand out as positive factors, while intensifying competition in public-sector AI tenders and quarter-to-quarter earnings volatility remain concerns.
The key point to watch going forward is how much core operating profitability improves in the second half once one-off gains are excluded. This report does not present an investment opinion or target price, and any buy or sell decision remains the reader's own responsibility.
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.