PER, EPS, PBR and BPS are calculated in-house from the last 4 quarters (2025Q3–2026Q2) · Dividend yield is based on ₩50 per share · Prices as of the 2026-10-02 close
Centered on its functional peptide ingredient DNF-10, Neo Cremar has moved from a 2024 operating loss to 2025 profitability, extending revenue growth and earnings recovery through the second quarter of 2026.
2025 consolidated revenue reached KRW 81.9bn with operating profit of KRW 5.4bn, reversing the prior year's operating loss
Q2 2026 revenue of KRW 22.8bn and operating profit of KRW 3.5bn mark the strongest quarter in the recent five-quarter window
Functional peptide DNF-10 is gaining traction as an adjunct ingredient for GLP-1 obesity-drug supplements, driving export growth
Profit attributable to owners is notably lower than total consolidated net income due to substantial non-controlling interest allocation from subsidiary BBC
Quarterly volatility persists, as seen in the operating loss that resurfaced in Q4 2025
Founded in 2007 and listed on KOSDAQ in 2019, Neo Cremar is a microbiome-based functional food ingredient company built on three business pillars: functional sugars, functional peptides, and trading of third-party products.
As of first-half 2025, revenue was split roughly 39.5% functional peptides, 15.4% functional sugars, 36.3% product trading, and 8.8% other.
Its flagship low-molecular yeast peptide DNF-10 has secured FDA GRAS and Non-GMO certification for body-fat reduction efficacy, and is supplied to domestic and overseas supplement makers as well as under its own Eatless brand.
The functional sugar segment produces galacto-oligosaccharide (GOS), Palatinose, and cyclodextrin, and the company was first in the world to launch an organic GOS product.
Functional sugar products are also applied in formula made by a well-known domestic infant formula manufacturer, giving the company a stable B2B customer base.
Through subsidiary BBC Co., Ltd., Neo Cremar also runs materials businesses such as monofilament and functional air filters, plus healthcare goods like toothbrushes, diversifying revenue beyond food ingredients.
A global distribution partnership with US-based Fytexia supports exports to Japan, the United States, and Europe. Relative to larger flavor and ingredient houses, Neo Cremar's revenue scale is smaller, but its DNF-10 patents and overseas certifications form a meaningful entry barrier.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩21.4B | ₩3.3B | 15.2% |
| 2025Q3 | ₩18.1B | ₩500M | 2.6% |
| 2025Q4 | ₩21.6B | -₩1.1B | −5.0% |
| 2026Q1 | ₩19.1B | ₩700M | 3.5% |
| 2026Q2 | ₩22.8B | ₩3.5B | 15.5% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩26.7T | ₩1.4T | -₩1.8T | 5.3% | −3.8% | 62.1% |
| 2023 | ₩24.9B | ₩300M | -₩5B | 1.1% | −12.8% | 83.1% |
| 2024 | ₩40.3B | -₩700M | ₩600M | −1.7% | 0.8% | 24.7% |
| 2025 | ₩81.9B | ₩5.4B | ₩3B | 6.6% | 4.1% | 24.3% |
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
Consolidated 2025 revenue reached KRW 81.9bn, more than double the KRW 40.3bn recorded in 2024, while operating profit swung to KRW 5.4bn from a KRW 0.69bn operating loss the prior year, lifting the operating margin from -1.7% to 6.6%.
However, net income attributable to owners was only KRW 2.98bn versus total consolidated net income of KRW 5.17bn, reflecting a large allocation to non-controlling interests tied to subsidiary BBC.
Indeed, at year-end 2025 non-controlling interests stood at KRW 72.9bn out of total equity of KRW 146.3bn, nearly matching the KRW 73.5bn attributable to owners.
On a quarterly basis, Q2 2025 was strong with revenue of KRW 21.4bn and operating profit of KRW 3.3bn, before slowing to KRW 18.1bn revenue and KRW 0.46bn operating profit in Q3, and then swinging back to an operating loss of KRW 1.08bn and an owners' net loss of KRW 0.51bn in Q4 despite revenue of KRW 21.6bn.
Momentum resumed in 2026, with Q1 revenue of KRW 19.1bn and operating profit of KRW 0.67bn, followed by the strongest quarter in the window—Q2 revenue of KRW 22.8bn, operating profit of KRW 3.5bn, and owners' net income of KRW 1.68bn.
By contrast, 2023 posted a modest operating profit of KRW 0.28bn (1.1% margin) on revenue of KRW 24.9bn yet still swung to a net loss of KRW 4.96bn, and 2022 likewise combined a 5.3% operating margin with a per-share net loss, indicating that gaps between operating results and bottom-line profit have recurred over multiple years.
Taken together, the 2025-2026 trend shows a recovery phase combining revenue growth and margin improvement, though quarter-to-quarter volatility remains evident.
As the global GLP-1 obesity-drug market expands rapidly, demand for functional supplement ingredients that ease side effects such as nausea and muscle loss, or support treatment efficacy, has emerged as a new growth axis.
In a report published in October 2025, Hanyang Securities noted that Neo Cremar was ramping up functional peptide production on the back of this trend. The same report found that Neo Cremar posted record first-half revenue of KRW 16.4bn and operating profit of KRW 2.9bn, with an operating margin of 17%.
Korea's health functional food industry is also benefiting from a broader sugar-reduction trend and rising demand for alternative sweeteners and functional materials, a favorable backdrop for Neo Cremar's functional sugar business.
That said, the domestic ingredient supply market includes numerous small and mid-sized players, so companies with concentrated exposure to a single ingredient face revenue risk if trend preferences shift.
Neo Cremar's DNF-10 patents together with FDA GRAS and Non-GMO certification position it to claim an edge in supply stability and quality credibility over later entrants.
Globally, the supplement market is dominated by the United States, with Korea holding a comparatively small share, meaning the pace of Neo Cremar's overseas distribution expansion could shape its medium-term growth path.
Brokerage commentary points to continued high growth centered on functional peptides, a trend partly corroborated by the earnings recovery seen in the first two quarters of 2026.
In its October 2025 report, Hanyang Securities relayed the company's stated intent to grow into a global food-tech leader through ongoing cost improvement and new market expansion.
Recovery in the diet and body-fat management supplement market, along with increased order volumes from large distributors, has been cited as a driver of the recent earnings improvement.
The functional sugar segment continues to supply a well-known domestic infant formula maker, which should provide a stable revenue base going forward.
In healthcare, the company is researching pipeline candidates such as treatments for inflammatory bowel disease and natural-compound therapies for sarcopenia, but these remain pre-commercialization and are better viewed as longer-term optionality rather than near-term revenue drivers.
Expansion of subsidiary BBC's materials and healthcare businesses is another variable that could affect consolidated results.
As the company has not disclosed specific capacity-expansion scale or formal revenue guidance, upcoming quarterly disclosures and export-contract news will likely serve as the key reference points for tracking the earnings trajectory.
Neo Cremar's share price trades in a range below its book value per share, suggesting the market is pricing the stock at a discount to net assets.
The stock's price-to-earnings ratio has at times been near the 20x level in the past, a reading that should be read in the context of a period when the earnings base was still thin as the company moved from a 2024 loss into 2025 profitability.
With operating profit and owners' net income both recovering through 2025 and into 2026, the relationship between price and earnings sits in a different phase than in prior periods.
The company does pay a cash dividend, but given the earnings volatility inherent in its business structure, the persistence of the quarterly profit recovery arguably matters more than the dividend yield itself.
The capital structure feature whereby profit attributable to owners runs well below total consolidated net income is also worth bearing in mind when interpreting per-share 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
DNF-10's body-fat reduction efficacy is drawing attention as a GLP-1 side-effect mitigation and adjunct ingredient, lifting overseas demand. Its FDA GRAS and Non-GMO certifications give it global supply credibility relative to competitors.
In an October 2025 report, Hanyang Securities projected Neo Cremar would sustain a high-growth trajectory centered on functional peptides on the back of this trend.
Operating profit swung from a loss in 2024 to KRW 5.4bn in 2025, and Q2 2026 delivered KRW 3.5bn in operating profit, the best quarter in the recent window. Revenue also more than doubled from KRW 40.3bn in 2024 to KRW 81.9bn in 2025. Despite quarter-to-quarter swings, the overall direction has moved toward earnings recovery.
Beyond the three pillars of functional sugars, peptides, and product trading, the company also operates materials and healthcare businesses through subsidiary BBC, diversifying revenue sources. Multiple DNF-10-related patents and overseas certifications make simple replication difficult for later entrants.
The company has also secured stable B2B channels, including functional sugar supply to a well-known domestic infant formula maker.
In Q4 2025, despite revenue of KRW 21.6bn, the company posted an operating loss of KRW 1.08bn and an owners' net loss of KRW 0.51bn, a temporary relapse into the red. The margin deterioration from Q3 to Q4 raises the possibility that seasonal or one-off factors could recur. Whether the recovery phase continues steadily each quarter requires further confirmation.
Of the KRW 5.17bn in total 2025 net income, only KRW 2.98bn was attributable to owners, reflecting a structure in which a substantial share of profit flows to non-controlling interests at subsidiary BBC.
At year-end 2025, non-controlling interests of KRW 72.9bn were nearly on par with the KRW 73.5bn attributable to owners. This capital structure suggests improvements in consolidated results may not fully transfer to owners' earnings.
As of first-half 2025, 36.3% of revenue came from the product-trading segment, which typically carries lower margins than manufacturing operations. With this share still sizable, the pace of overall operating margin improvement could be constrained.
Whether the higher-margin peptide segment continues to gain share is an important variable for the future margin trajectory.
Base raw materials such as lactose and yeast are subject to significant price swings tied to global market conditions, and past cost inflation periods have weighed on margins. Failure to manage costs effectively could slow the recent margin improvement.
A meaningful part of the recent earnings improvement is tied to expanding demand for GLP-1 obesity-drug adjunct ingredients. If that trend slows or is displaced by competing ingredients, growth in the peptide segment could weaken. Exposure to this particular industry cycle is relatively concentrated.
Between 2023 and 2025, gaps between operating margin and bottom-line results recurred, and a temporary loss reappeared in Q4 2025. The scale of quarter-to-quarter variability makes it difficult to project the future earnings path with confidence.
The company has not issued specific revenue or profit guidance, leaving investors reliant on disclosed results as their primary reference.
The Q3 2026 quarterly report is expected around this time, a key point to check whether the Q2 recovery continued and whether the pattern of a temporary Q4-type loss reappears.
Whether the temporary operating loss seen in Q4 2025 recurs in 2026 is a key variable for assessing earnings stability.
Watch for additional disclosures or news on export contracts and volumes for functional peptide DNF-10, a useful gauge of how quickly rising GLP-1 adjunct demand translates into actual revenue.
Once full-year 2026 results are finalized, this will allow confirmation of whether the 2025 swing to profitability was sustained on an annual basis.
Neo Cremar swung from an operating loss in 2024 to KRW 5.4bn in operating profit in 2025, and both revenue and operating profit continued to recover through the first two quarters of 2026.
This improvement has been driven by rising exports of functional peptide DNF-10 as it gains recognition as a GLP-1 obesity-drug adjunct ingredient, a growth theme also noted by brokerages such as Hanyang Securities.
That said, factors such as the temporary operating loss that resurfaced in Q4 2025, a capital structure in which owners' net income runs well below total consolidated net income, and a still-sizable low-margin trading segment warrant consideration when assessing earnings stability.
The shares trade in a range below book value, making the relationship between the persistence of the earnings recovery and how the market prices that recovery worth monitoring.
Upcoming Q3 and Q4 earnings releases and any export-related disclosures will likely serve as key reference points for judging whether the recovery phase continues. This report is intended for informational purposes only and does not constitute a buy or sell recommendation.
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.