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
BitMax combines AR software, systems integration, gaming and events with a bitcoin treasury strategy, but revenue remains small, losses persist, and convertible-bond dilution and listing-eligibility issues coexist.
2025 revenue was KRW 27.2bn with an operating loss of KRW 10.9bn that narrowed, yet the owners' net loss widened sharply to KRW 96.2bn
Operating cash flow has been negative for four straight years (2022-2025), and the debt ratio jumped from 100.2% in 2024 to 909.8% in 2025
Multiple outstanding convertible bonds have accumulated to a balance comparable to the market cap, keeping large-scale share dilution a live possibility
In March 2026 it emerged that bitcoin holdings were transferred to overseas exchanges without disclosure, raising asset-transparency concerns
Tightened 2026 KOSDAQ market-cap delisting criteria (KRW 20bn threshold, 30 trading days) require ongoing listing-eligibility monitoring
BitMax was founded in 2010 and listed on KOSDAQ in 2021, starting as an augmented reality (AR) software platform company. Its core products are the industrial AR development platform MAXST AR SDK, the manufacturing-focused solution MAXWORK, and the digital-twin platform Widus.
This AR SDK is reported to be used by roughly 30,000 developers across more than 50 countries, supporting about 9,295 AR apps and 6.39 million users.
In 2025 the company absorbed its subsidiary IL4U to form an SI business division, providing MES, PLM and MIS system construction and operation services to large electronics manufacturers.
Its gaming subsidiary Needs Games operates the hack-and-slash RPG Undecember across 154 countries on multiple platforms, while its Japanese unit Deepmind Japan runs an event and performance agency business and GameClub Inc provides game services.
Since 2025 the company has significantly expanded its business focus toward a bitcoin and crypto-asset treasury strategy, positioning itself as the first listed company in Korea to declare a "digital asset treasury" (DAT) approach.
Under this strategy, part of the funds raised through convertible bonds and rights offerings has been directed into bitcoin purchases, at one point making it the largest bitcoin holder among Korean listed firms.
In May 2026 it partnered with Korea Advanced Materials to unveil an integrated security brand combining its AI-based security platform PatchGuard with the quantum-resistant encryption technology QuantumSafe, extending its business diversification further.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩6.2B | -₩2.7B | −44.1% |
| 2025Q3 | ₩6.8B | -₩2.6B | −37.9% |
| 2025Q4 | ₩6.5B | -₩2.1B | −32.6% |
| 2026Q1 | ₩6.1B | -₩1.1B | −18.0% |
| 2026Q2 | ₩4.5B | -₩800M | −17.2% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩2.9B | -₩10.8B | -₩14.9B | −371.9% | −39.0% | 76.1% |
| 2023 | ₩1.8B | -₩16.5B | -₩13.2B | −935.9% | −51.8% | 102.4% |
| 2024 | ₩37.2B | -₩18.5B | -₩26.8B | −49.9% | −187.9% | 100.2% |
| 2025 | ₩27.2B | -₩10.9B | -₩96.2B | −39.9% | −906.7% | 909.8% |
Consolidated basis (financial statements including subsidiaries) · Final figures from DART filings · Net income attributable to owners of the parent · Data as of 2026-09-05
Consolidated revenue rose from roughly KRW 2.9bn in 2022 and KRW 1.8bn in 2023 to KRW 37.2bn in 2024, before falling back to KRW 27.2bn in 2025. The operating loss widened from KRW -10.8bn in 2022 to KRW -16.5bn in 2023 and KRW -18.5bn in 2024, then narrowed to KRW -10.9bn in 2025.
The operating margin also improved gradually, moving from extreme negative levels of -935.9% in 2023 and -371.9% in 2022 to -49.9% in 2024 and -39.9% in 2025.
The owners' net loss, however, moved in the opposite direction, widening from KRW -14.9bn in 2022 and KRW -13.2bn in 2023 to KRW -26.8bn in 2024 and a much larger KRW -96.2bn in 2025, suggesting that large non-operating losses beyond the operating result were also recorded.
On a quarterly basis, the operating loss narrowed for five consecutive quarters, from KRW -2.7bn in Q2 2025 to KRW -0.8bn in Q2 2026.
The owners' net loss, by contrast, showed an unusually large KRW -65.7bn loss in Q2 2025, followed by KRW -5.9bn in Q3 2025, KRW -20.4bn in Q4 2025, KRW -16.6bn in Q1 2026 and KRW -9.0bn in Q2 2026, continuing to show substantial quarter-to-quarter volatility.
The cumulative owners' net loss over the most recent four quarters (Q3 2025-Q2 2026) totaled about KRW 51.8bn.
Operating cash flow was negative every year from 2022 through 2025 (KRW -8.4bn, -21.0bn, -16.8bn and -10.5bn respectively), indicating continued cash outflow from operations, while the debt ratio surged from 100.2% in 2024 to 909.8% in 2025, reflecting a sharp shrinkage in equity from accumulated losses alongside a relatively larger liability burden.
Between 2025 and 2026, a wave of KOSDAQ-listed companies adopted a 'digital asset treasury' (DAT) approach, incorporating bitcoin and other crypto assets into their balance sheets, with peers such as Bit Planet, Paraxeth Ethereum, Wemade and Netmarble pursuing similar strategies.
Korbit Research Center analyst Kang Dong-hyun explained that large IT firms or companies with a history in blockchain-related business are more likely to add crypto assets to their portfolios.
However, because Korean corporations cannot open real-name accounts for crypto trading under current regulations, BitMax adopted an indirect structure, advised by law firms, in which the controlling shareholder purchases bitcoin directly before selling it to the company. In the United States, the Senate's indefinite postponement of markup on the "Clarity Act,
The company carried out a 4-for-1 reverse stock split effective April 9, 2026, and subsequently restructured its capital base by listing new common shares (2,126,754 shares at an issue price of KRW 2,351) from a third-party rights offering in July.
The proceeds were disclosed as being used for purposes including acquiring securities in another company.
The company has also retired part of its potential share overhang by repurchasing its own convertible bonds before maturity; in May 2026 it announced early acquisition of KRW 5.3 billion of its 4th-series CB, extinguishing 4.85% of potential shares.
At the same time, it issued an additional KRW 1.5 billion 7th-series convertible bond for debt repayment and operating funds, showing a pattern of parallel fundraising and redemption.
The bitcoin purchase strategy is disclosed as ongoing, with the company previously stating that a significant portion of CB proceeds would be directed into crypto-asset purchases.
The company stated that its PatchGuard security platform, developed in partnership with Korea Advanced Materials, aims to target the global Web3 and financial security markets.
Its SI business division was also introduced as preparing to transition toward intelligent manufacturing system services combining AI and AR technologies.
The company's self-calculated price-to-book ratio comes in considerably higher than the exchange's official figure, which can be interpreted as reflecting differences in share-count and valuation methodology against a backdrop of equity that has shrunk sharply due to accumulated losses.
Given where the share price sits relative to net assets, a fairly large premium over book value appears to be priced in. On the earnings side, the company continues to post annual net losses, making conventional earnings-multiple valuation difficult, and no dividend has been paid based on the most recent disclosures.
Looking at the multi-year trend, the operating loss has moved in a narrowing direction while the net loss has instead widened, a divergence between operating improvement and overall profit-and-loss trends that should also be factored into any valuation interpretation.
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 2026-09-05
The operating loss narrowed for five consecutive quarters, from KRW -2.7bn in Q2 2025 to KRW -0.8bn in Q2 2026. The fact that the loss narrowed through cost reduction even as revenue declined suggests ongoing cost and operational efficiency efforts. The annual operating margin also improved gradually, from an extreme -935.9% in 2023 to -39.9% in 2025.
The company holds multiple business lines-AR, SI, gaming, events and security-aimed at reducing dependence on any single industry cycle.
Its SI business division, created via the 2025 merger with IL4U, provides MES, PLM and MIS services to large electronics manufacturers, while its gaming subsidiary operates Undecember, serviced across 154 countries.
In May 2026 it unveiled the quantum-resistant encryption security platform PatchGuard with Korea Advanced Materials, adding a new business line.
BitMax positioned itself as the first company in Korea to declare a digital asset treasury (DAT) strategy, at one point becoming the largest bitcoin holder among Korean listed firms. It has disclosed a strategy of continually directing a significant portion of convertible-bond proceeds into bitcoin purchases.
However, the effectiveness of this strategy needs to be assessed alongside other risks, including asset transparency controversies.
The owners' net loss actually widened sharply from KRW -26.8bn in 2024 to KRW -96.2bn in 2025, and operating cash flow was negative for four straight years from 2022 to 2025. The debt ratio surged from 100.2% in 2024 to 909.8% in 2025, indicating significant deterioration in capital soundness.
Independent of the narrowing operating loss, the overall profit-and-loss and balance sheet structure has worsened.
The company has issued multiple convertible bonds, including 2nd-, 6th- and 7th-series CBs, and after the 7th-series issuance the outstanding CB balance reached KRW 75.2 billion. If all outstanding CBs were converted, the resulting share issuance was disclosed as equal to 247.5% of shares currently outstanding.
Combined with a repeated 4-for-1 reverse split and third-party rights offerings, existing shareholders face an accumulating dilution burden.
In March 2026 it was confirmed that roughly 550 bitcoins held just before the 4-for-1 reverse split had been transferred to overseas crypto exchanges without disclosure.
The company stated that the transfer from its custodian Coda to other exchanges did occur but that it still held all of its bitcoin, yet its website continued to display the prior custody-based proof-of-reserve, creating a gap between the explanation and the displayed information.
This raises credibility concerns over the transparency of actual holdings, which is central to any DAT strategy.
The debt ratio surged to 909.8% in 2025 and operating cash flow has been negative for four consecutive years, reflecting heavy reliance on external financing through CBs and rights offerings.
With outstanding convertible bonds totaling KRW 75.2 billion, future early redemption requests or refinancing needs could add further pressure to financial stability.
Under KOSDAQ's tightened administrative-issue and delisting criteria effective from July 2026, a market cap below KRW 20 billion sustained for 30 consecutive trading days risks administrative-issue designation, and media reports have noted the market cap fluctuating near that threshold.
In addition, since Korean corporations are restricted from trading crypto via real-name accounts, the company relies on an indirect purchase structure through its controlling shareholder, leaving regulatory uncertainty in place.
Following the March 2026 revelation of undisclosed bitcoin transfers to exchanges, the related-party structure in which the controlling shareholder purchases bitcoin directly before selling it to the company could raise conflict-of-interest concerns.
Any recurrence of discrepancies between actual holdings and disclosed or website-displayed figures could negatively affect investor confidence.
The Q3 2026 earnings disclosure should be checked to see whether the trend of narrowing revenue decline and operating loss continues, and how revenue contributions from the SI, gaming and events segments are disclosed.
Compliance with the revised July 2026 KOSDAQ administrative-issue criteria (KRW 20bn market cap threshold over 30 trading days) should be monitored on an ongoing basis.
Following the March 2026 controversy over undisclosed bitcoin transfers, it is worth watching for any additional disclosure or accounting-firm verification of actual holdings and custody structure.
As the conversion rights on the KRW 1.5 billion 7th-series convertible bond begin on June 4, 2027, potential share issuance around that date should be monitored.
BitMax is a multi-business company that has expanded from its AR software roots into SI, gaming, events, security, and crypto-asset treasury operations, with annual revenue in the small range of KRW 20-37 billion and four consecutive years of operating losses and cash outflow.
While the operating loss has narrowed through the most recent quarters, the owners' net loss widened to KRW 96.2 billion in 2025, showing a divergence between operating improvement and overall profit-and-loss trends.
The debt ratio spiked to 909.8% in 2025, and outstanding convertible bonds carry potential dilution equal to 247.5% of shares outstanding, leaving considerable scope for future changes in the share structure.
Compounding this, the March 2026 controversy over undisclosed bitcoin transfers to exchanges and the risk of administrative-issue designation under tightened KOSDAQ market-cap criteria mean that financial, governance and listing-eligibility factors all warrant simultaneous scrutiny.
On the other hand, the diversified business portfolio, the narrowing operating loss achieved through cost reductions, and expansion attempts such as the new security platform are positive developments worth tracking alongside the risks.
Before drawing any investment conclusion, further confirmation of upcoming quarterly results, convertible-bond related disclosures, and bitcoin holdings status is warranted.
Report written 2026-09-05 · Data as of 2026-09-04
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