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
P&K Skin Research Center is a small-cap clinical testing specialist whose revenue and operating profit have been on a recovery track amid the K-beauty boom, though quarterly net income swings such as the one seen in the fourth quarter of 2025 remain a feature of its results.
Full-year 2025 revenue reached KRW 22.78 billion and operating profit KRW 3.94 billion, both up year on year, lifting the operating margin to 17.3%.
Both the first quarter of 2026 (revenue KRW 6.2 billion, operating profit KRW 1.0 billion) and the second quarter (revenue KRW 6.59 billion, operating profit KRW 1.51 billion) posted sequential gains in both revenue and profit.
The order backlog as of the first quarter of 2026 stood at KRW 6 billion, up 20% year on year, and is cited as a leading indicator for future revenue growth.
The fourth quarter of 2025 posted an operating profit of KRW 750 million yet swung to a net loss of KRW 880 million, a factor behind the year-on-year decline in full-year net income.
The company is pursuing new growth avenues including North American and European project expansion through a subsidiary and an AI clinical platform, though their commercial payoff has yet to be confirmed.
P&K Skin Research Center was established in 2010 through a strategic alliance between Daebong LS and a medical school research institute, and is positioned as Korea's leading skin human-application testing (clinical CRO) specialist.
The company conducts human-application and in-vitro tests to verify the safety and efficacy of products applied to skin, spanning cosmetics, health functional foods, and beauty devices.
Its revenue mix is heavily weighted toward cosmetics human-application testing services at roughly 80%, with other human-application testing services such as health functional foods accounting for about 16%.
Client names that have been cited in the past include Amorepacific, Carver Korea, and LG Electronics, and the company also maintains a strategic partnership with the cosmetics division of global ingredient supplier BASF.
It secured early leadership in the cosmetics clinical outsourcing market that emerged after Korea introduced its labeling and advertising substantiation system in 2012, and its track record of developing new testing protocols domestically first, such as fine-dust blocking and LED mask efficacy tests, underpins its competitive positioning.
Through its subsidiary Kaonirica, the company is expanding projects centered on the North American and European markets, an early-stage effort to broaden its overseas revenue base.
Its cumulative client count reached 2,568 as of 2025, up 187% from 896 in 2019, a trend linked to the growing number of indie beauty brands entering the market amid the K-beauty boom.
While numerous clinical testing institutions exist domestically, the company is described as maintaining its position as the domestic leader on the strength of its founders' medical expertise and an extensive testing protocol database.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩5.5B | ₩800M | 15.0% |
| 2025Q3 | ₩5.1B | ₩500M | 8.9% |
| 2025Q4 | ₩5.8B | ₩800M | 13.0% |
| 2026Q1 | ₩6.2B | ₩1B | 15.4% |
| 2026Q2 | ₩6.6B | ₩1.5B | 22.9% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩18B | ₩5.6B | ₩7.1B | 31.4% | 10.1% | 5.3% |
| 2023 | ₩14.8B | ₩1.4B | ₩4.7B | 9.3% | 6.3% | 4.3% |
| 2024 | ₩17.8B | ₩2.6B | ₩5.8B | 14.5% | 7.6% | 6.7% |
| 2025 | ₩22.8B | ₩3.9B | ₩4.7B | 17.3% | 5.8% | 7.5% |
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
Looking at annual figures, revenue fell from KRW 17.96 billion in 2022 to KRW 14.84 billion in 2023, before recovering and expanding to KRW 17.85 billion in 2024 and KRW 22.78 billion in 2025.
The operating margin dropped sharply from 31.4% in 2022 to 9.3% in 2023, then gradually improved to 14.5% in 2024 and 17.3% in 2025.
Net income attributable to owners moved from KRW 7.13 billion in 2022 to KRW 4.70 billion in 2023, KRW 5.82 billion in 2024, and KRW 4.69 billion in 2025, a somewhat divergent path from the operating profit recovery that reflects quarter-to-quarter volatility.
On a quarterly basis, revenue and profit both declined from KRW 5.49 billion in revenue and KRW 825 million in operating profit in the second quarter of 2025 to KRW 5.05 billion and KRW 452 million in the third quarter.
The fourth quarter improved to KRW 5.78 billion in revenue and KRW 752 million in operating profit, yet net income attributable to owners swung to a loss of KRW 877 million, suggesting non-operating factors constrained full-year net income growth.
Moving into 2026, the first quarter posted revenue of KRW 6.24 billion and operating profit of KRW 959 million, followed by the second quarter's KRW 6.59 billion in revenue and KRW 1.51 billion in operating profit, marking two consecutive quarters of sequential revenue and operating profit growth.
Net income attributable to owners in the first and second quarters of 2026, however, stood at KRW 1.49 billion and KRW 1.53 billion respectively, running well above operating profit, indicating that non-operating items continue to influence reported results.
Taken together, the trailing four-quarter revenue sum (third quarter of 2025 through second quarter of 2026) exceeds full-year 2025 revenue, showing continued top-line growth even as quarterly net income variability remains a point to watch.
The K-beauty industry continues to generate steady demand for cosmetics efficacy verification, driven by growing indie brand market entry and shortened new-product launch cycles.
Export growth that requires meeting different clinical testing standards across countries, along with demand for testing certification marks needed for e-commerce platform product registration, is creating a favorable environment for clinical CRO operators.
Media reports pointing to cosmetics exports repeatedly setting record highs also support this industry improvement narrative. In terms of the industry cycle, the sector appears to have moved from a growth slowdown phase in 2022–2023 back into an expansion phase in 2024–2025.
On the competitive front, while numerous domestic CRO and testing institutions exist, the company is reported to maintain its position as the domestic leader based on new protocol development and an extensive accumulated data set.
However, heavy reliance on the K-beauty trend is flagged as an industry risk, since a slowdown in cosmetics market growth could increase the burden of fixed costs.
Expanding testing protocols into adjacent areas such as health functional foods and beauty devices can be viewed as an attempt to diversify the revenue base.
The company has stated its aim to set a new record in results for 2026, outlining plans to expand its testing scope beyond cosmetics into health functional foods, beauty devices, and the broader beauty and healthcare sector while strengthening its global regulatory response services.
The 20% year-on-year increase in the order backlog to KRW 6 billion in the first quarter of 2026 is cited as a leading signal for future revenue growth. Its subsidiary Kaonirica is expanding projects centered on the North American and European markets, an ongoing effort to gradually raise the share of overseas revenue.
In July 2026, the company unveiled an AI clinical platform and a 'K-Beauty Global Efficacy Verification Solution,' signaling intent to upgrade its technology-based services. However, the timing and scale of revenue contribution from these new initiatives have not yet been specifically confirmed.
Seasonally, the fourth quarter has historically been considered a peak period as clinical testing volumes rise ahead of the following year's new product launches, though the fact that the fourth quarter of 2025 posted a net loss despite improved operating profit suggests that seasonality does not always align neatly with actual profit and loss outcomes, a point worth monitoring.
The current share price trades at a discount to book value, sitting in a range where the premium over net assets is not large.
On the earnings side, the operating margin has recovered from its 2023 trough through 2024–2025 and continued to improve in the first half of 2026, which invites a different comparison than the valuation levels seen during the earlier earnings downturn.
The company appears to have paid a cash dividend each year, but the payout ratio itself is not large, making it difficult to characterize the stock as one with standout dividend appeal.
Given its small market capitalization, share price volatility tied to changes in trading volume can be relatively pronounced, which is also worth factoring in.
Overall, this can be viewed as a stage where business-level improvement signals—earnings recovery and a growing order backlog—coexist with the uncertainty introduced by quarterly net income volatility.
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 operating margin, which had fallen to 9.3% in 2023, recovered to 14.5% in 2024 and 17.3% in 2025, and the improvement continued into the second quarter of 2026 with revenue of KRW 6.59 billion and operating profit of KRW 1.51 billion.
This can be interpreted as fixed-cost leverage taking hold alongside revenue growth, though whether the improvement extends for further consecutive quarters needs confirmation from upcoming results.
The order backlog as of the first quarter of 2026 rose 20% year on year to KRW 6 billion, and according to KB Securities research the backlog had grown from KRW 1.8 billion in 2022 to KRW 6.2 billion by 2024 before holding at that level.
Backlog growth is cited as a leading indicator for future revenue growth, though the timing and scale of its conversion into actual revenue need to be confirmed each quarter.
Subsidiary Kaonirica is expanding projects centered on North America and Europe, and in July 2026 the company unveiled an AI clinical platform and a global efficacy verification solution. The cumulative client count also widened to 2,568 in 2025, up 187% from 2019, broadening the customer base. That said, the specific timing of monetization for these new initiatives has not yet been disclosed.
The fourth quarter of 2025 posted an operating profit of KRW 750 million yet swung to a net loss of KRW 880 million. A quarter in which operating profit was positive but net income turned negative suggests non-operating items carry significant influence. This volatility could recur, making it difficult to predict quarterly results with confidence.
In the third quarter of 2025, revenue rose year on year yet the operating margin fell to 8.9% due to rising costs including personnel additions. This illustrates that revenue growth does not always translate directly into margin improvement. Similar weakness could recur if fixed costs such as labor expenses outpace the pace of revenue growth.
With roughly 80% of revenue concentrated in cosmetics human-application testing, sensitivity to the cosmetics market cycle is high. Securities research has flagged that a slowdown in K-beauty growth could increase the burden of fixed costs. Business diversification is underway, but its contribution to revenue does not yet appear large.
The company's revenue is closely tied to growth in the cosmetics industry. Securities research has flagged that a slowdown in K-beauty growth could relatively increase the burden of fixed costs such as personnel and facilities. The possibility that the cosmetics industry cycle could turn back toward a slowdown cannot be ruled out.
The company is classified as a small-cap stock listed on KOSDAQ, and its share price volatility tied to changes in trading volume can be relatively large. Given its small-cap characteristics, the stock may react sensitively to specific issues or shifts in supply and demand. This represents a market structural risk that exists independently of earnings improvement.
The expansion of North American and European projects through subsidiary Kaonirica is at an early stage, and execution risk stems from adapting to local regulatory, currency, and competitive conditions. The new AI clinical platform business also has not yet shown concrete commercialization results. New business investment could act as a near-term cost burden as well.
Third-quarter 2026 preliminary results are expected to be disclosed around this time; it will be important to check whether the revenue and operating profit improvement seen in the first half continued into the third quarter, and whether net income volatility similar to that of the fourth quarter recurs.
Progress on subsidiary Kaonirica's North American and European project expansion should be tracked through related disclosures and IR materials to assess any change in the contribution of overseas revenue.
It is worth checking for follow-up news on client adoption and monetization of the AI clinical platform and the 'K-Beauty Global Efficacy Verification Solution' unveiled in July 2026.
Once fourth-quarter and full-year 2026 confirmed results are disclosed, it will be worth examining whether the gap between operating profit and net income seen in the fourth quarter of 2025 recurs, alongside the annual order backlog trend.
P&K Skin Research Center is Korea's leading skin human-application testing specialist, having passed its 2023 earnings trough to post a joint recovery in revenue and operating margin through 2024–2025, with the improvement continuing into the first half of 2026.
A 20% year-on-year increase in the order backlog, North American and European market expansion through a subsidiary, and new initiatives such as an AI clinical platform form the pillars of its growth narrative.
That said, volatility remains, as seen in the fourth quarter of 2025 when a positive operating profit still turned into a net loss, underscoring the need to watch the influence of non-operating items.
High sensitivity to the K-beauty cycle, given that roughly 80% of revenue is concentrated in cosmetics human-application testing, along with the liquidity and volatility characteristics of a small-cap stock, are also worth weighing.
The upcoming third-quarter results, the trajectory of the annual order backlog, and concrete monetization signals from new businesses are likely to be the key points to watch in gauging the company's future earnings path.
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.