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
OPENEDGES Technology is the only Korean firm that supplies both memory subsystem IP and NPU IP together, and while overseas customer expansion and government policy tailwinds are drawing attention, quarterly revenue recognition remains volatile and losses along with equity erosion continue.
FY2025 revenue rose slightly to KRW 16.06 billion year over year, while the operating loss widened to KRW 28.9 billion.
Revenue in Q1 and Q2 2026 stood at KRW 2.67 billion and KRW 2.94 billion respectively, still below the KRW 5.26 billion recorded in Q3 2025.
Owners' equity shrank sharply from KRW 60.7 billion in 2024 to KRW 17.1 billion in 2025, while the debt ratio rose to 178.5%.
Licensing agreements with overseas automotive and semiconductor customers such as Japan's Renesas and Toyota-affiliated Aisin are expanding.
The government's K-on-device AI semiconductor program (2026-2030, KRW 800.2 billion) is cited as a potential demand driver.
OPENEDGES Technology is a semiconductor IP platform company that develops and licenses design assets (IP) used in system-on-chip (SoC) design, supplying core functional blocks that fabless companies find difficult to build in-house.
The company is known as the only provider worldwide that offers both a high-performance total memory system IP solution and an edge-computing AI platform (NPU) IP solution together.
Its key products include DDR memory controllers, DDR PHY, and network-on-chip (NoC) interconnects, which are mainly used in autonomous vehicles and IP cameras. As of 2025, the revenue mix was led by licensing at 67.61%, followed by maintenance at 26.14%, royalties at 0.64%, and other items at 5.61%.
Cumulative license agreements since founding have reached 64. The customer base has been shifting from domestic to overseas, with the CEO stating in a recent interview that overseas revenue exceeded 75% of the total starting last year.
Notable customers include Renesas, one of Japan's top three automotive semiconductor companies (a memory subsystem IP contract signed in June 2025), and Toyota-affiliated Aisin, alongside a domestic track record with companies such as Samsung Electronics and SK Hynix.
Of roughly 170 total employees, 88% are Korea-based R&D staff, and the company operates three global R&D centers in Korea, Canada, and Japan.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩2.6B | -₩8.8B | −337.2% |
| 2025Q3 | ₩5.3B | -₩6B | −113.7% |
| 2025Q4 | ₩3.4B | -₩7.6B | −222.2% |
| 2026Q1 | ₩2.7B | -₩9B | −337.3% |
| 2026Q2 | ₩2.9B | -₩6.3B | −212.6% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩10B | -₩25.3B | -₩25.2B | −252.3% | −78.2% | 67.0% |
| 2023 | ₩19.6B | -₩15.9B | -₩14.9B | −81.0% | −72.2% | 117.3% |
| 2024 | ₩15.3B | -₩24.6B | -₩27.3B | −160.6% | −44.9% | 42.8% |
| 2025 | ₩16.1B | -₩28.9B | -₩30.1B | −180.0% | −176.5% | 178.5% |
Consolidated basis (financial statements including subsidiaries) · Final figures from DART filings · Net income attributable to owners of the parent · Data as of 2026-08-21
Based on confirmed financial results, OPENEDGES Technology recorded operating losses for four consecutive years from 2022 through 2025. Annual revenue rose from KRW 10.01 billion in 2022 to KRW 19.59 billion in 2023, fell to KRW 15.33 billion in 2024, and then recovered slightly to KRW 16.06 billion in 2025.
Meanwhile, the operating loss moved between KRW 25.26 billion (2022), KRW 15.86 billion (2023), KRW 24.61 billion (2024), and KRW 28.91 billion (2025), showing alternating improvement and widening rather than a consistent narrowing trend. The operating margin stood at -180.0% in 2025, worse than -160.6% in 2024.
Net income attributable to owners also deteriorated to a loss of KRW 30.13 billion in 2025 from a loss of KRW 27.29 billion in 2024.
On a quarterly basis, revenue jumped to KRW 5.26 billion in Q3 2025 from KRW 2.60 billion in the prior quarter (Q2 2025), but then declined again to KRW 3.40 billion in Q4 2025, KRW 2.67 billion in Q1 2026, and KRW 2.94 billion in Q2 2026, illustrating volatility concentrated in specific quarters.
Over the same period, operating losses continued in the range of roughly KRW 6-9 billion per quarter: KRW 5.97 billion (Q3 2025), KRW 7.56 billion (Q4 2025), KRW 9.02 billion (Q1 2026), and KRW 6.25 billion (Q2 2026).
Cash flow from operations was negative every year from 2022 to 2025 (-KRW 26.69 billion, -KRW 19.89 billion, -KRW 10.33 billion, -KRW 18.64 billion respectively), indicating continued cash burn.
Owners' equity fell sharply from KRW 60.72 billion in 2024 to KRW 17.07 billion in 2025, while the debt ratio rose from 42.8% to 178.5% over the same period, signaling a weakened financial buffer.
The semiconductor IP industry serves as core infrastructure that shortens SoC development timelines and reduces development costs, and market research firms expect the share of high-speed interface IP to keep expanding as AI semiconductors proliferate.
OPENEDGES Technology is reported to be one of a small number of companies holding IP spanning memory through interface, with plans to expand its interface IP lineup beyond DDR PHY to include UCIe (2025), PCIe (2026), and USB/MIPI (2027).
On the foundry landscape, analysts note that Samsung Foundry is emerging as an alternative amid TSMC's price increases and leading-edge capacity constraints, and OPENEDGES has positioned itself to minimize competition at the most advanced sub-3nm nodes by focusing on the 4-12nm range, particularly Samsung's 4/5/8nm processes.
The company is credited with joining the SAFE (Samsung Foundry ecosystem) and undertaking government-backed LPDDR5X/LPDDR6 projects ahead of competitors.
On the other hand, inclusion in TSMC's Open Innovation Platform (OIP) has been delayed before, making the pace of integration into the global foundry ecosystem a variable still to be watched.
The spread of on-device AI and growing demand for low-power memory (LPDDR) interfaces are cited industry-wide as a common growth rationale, though this appears to be at an early stage of a structural growth theme that multiple companies are simultaneously pursuing.
The company has stated that it views the second half of 2026 as an important inflection point for earnings, given the structural one- to two-quarter lag between order-taking and actual revenue recognition.
The government's K-on-device AI semiconductor program is being pursued over five years from 2026 to 2030 with a total budget of KRW 800.2 billion, aiming to develop ten types of domestic on-device AI chips applicable to automotive, home appliance, robotics, and defense sectors, with confirmed demand-side participants including Hyundai Motor, LG Electronics, Doosan Robotics, Daedong, and Korea Aerospace Industries.
The company has said it is in discussions with domestic defense companies to supply NPU IP for AI semiconductor localization, and it has pointed to mid- to long-term growth potential through autonomous driving and defense applications.
In April 2026, the company announced securing its first commercial license agreement for memory subsystem IP supporting both LPDDR6 and LPDDR5X.
On the cost side, analysts note that the liquidation of the U.S. subsidiary and downsizing of the Canadian subsidiary, completed by the end of 2025, are expected to produce cost-saving effects from the second half of 2026.
However, brokerage forecasts for full-year 2026 revenue and earnings vary considerably depending on the timing of the report, reflecting differing views on how quickly and how much second-half orders will convert into revenue.
In practice, revenue in the first two quarters of 2026 remained around KRW 3 billion per quarter, meaning second-half revenue would need to expand substantially each quarter to meet the annual targets that have been discussed.
Because of ongoing net losses, the price-to-earnings ratio (PER) falls into a range where it cannot be calculated, which complicates earnings-based valuation comparisons.
The price-to-book ratio (PBR) trades in a range that reflects a premium over net asset value, a level influenced by the sharp reduction in owners' equity combined with growth expectations. The company does not currently pay a dividend, so dividend-related metrics carry limited relevance for now.
In a July 2026 report, Korea IR Service noted that the company's expected revenue-based multiple was elevated relative to the domestic industry average, while also stating that growth potential should be weighed alongside that.
The timing and pace of any transition from losses to profitability is likely to remain the central variable in future valuation discussions.
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
The company signed a memory subsystem IP contract with Japan's Renesas, one of the top three automotive semiconductor companies, in June 2025, and has a transaction history with Toyota-affiliated Aisin among others. According to the company, overseas revenue has exceeded 75% of the total since last year. Such overseas references could support the acquisition of further global customers.
Hyundai Motor, LG Electronics, and Doosan Robotics are among the demand-side participants in the government's K-on-device AI semiconductor program, budgeted at KRW 800.2 billion from 2026 through 2030.
Since on-device AI chips can increase demand for low-power memory interfaces, this could create a favorable environment for a company holding LPDDR-based IP.
The company completed the liquidation of its U.S. subsidiary and downsized its Canadian subsidiary by the end of 2025, with resulting cost savings expected to be reflected from the second half of 2026.
In April 2026, it announced securing its first commercial contract for memory subsystem IP supporting both LPDDR6 and LPDDR5X, marking the start of commercialization for this new product line.
Because of a one- to two-quarter lag between license order-taking and actual revenue recognition, revenue tends to be concentrated in specific quarters.
Revenue of KRW 5.26 billion in Q3 2025 declined to KRW 3.40 billion in Q4 2025, KRW 2.67 billion in Q1 2026, and KRW 2.94 billion in Q2 2026, meaning a substantial second-half acceleration is needed to meet annual targets.
The company posted operating losses for four consecutive years from 2022 to 2025, with the 2025 operating loss widening to KRW 28.9 billion versus the prior year. Operating cash flow has also been negative for four straight years, indicating continued cash depletion.
Owners' equity fell sharply from KRW 60.72 billion in 2024 to KRW 17.07 billion in 2025, while the debt ratio rose from 42.8% to 178.5% over the same period. Continued losses could increase the need for additional capital raising.
Operating and net losses have continued for four consecutive years, and the loss size actually widened in 2025. Because license revenue recognition tends to concentrate in specific periods, delays in expected orders could widen the gap versus earnings estimates.
Owners' equity declined sharply within a year and the debt ratio surged, weakening the financial buffer. The company's IR page carries a notice regarding the issuance of convertible preferred stock (CPS), so the possibility of further capital raising and associated equity dilution should be monitored.
There have been past instances of order delays from Tier-1 automotive semiconductor customers, and inclusion in TSMC's Open Innovation Platform (OIP) has also been postponed before.
It has also been noted that if the K-on-device program budget is not allocated directly to IP vendors, the timing or scale of revenue recognition could differ from expectations.
Financial data provider Investing.com lists around November 13, 2026 as the scheduled Q3 earnings release date, a point to check whether second-half revenue recovery materializes.
According to Shinhan Investment Corp, the audit for TSMC Open Innovation Platform (OIP) inclusion is scheduled to proceed within 2026, so the outcome should be monitored.
Additional order disclosures related to the K-on-device AI semiconductor program or progress in NPU IP supply discussions with domestic defense companies should be checked.
It is worth checking whether additional license agreements are signed for new interface IP such as LPDDR6/5X and UCIe/PCIe, and how the per-contract license size (ASP) changes as a result.
OPENEDGES Technology is expanding its overseas customer base on the strength of a technical differentiator, being the only global supplier of combined memory subsystem and NPU IP, and it also has policy momentum from the government's K-on-device AI semiconductor program.
However, confirmed financials show operating losses for four consecutive years from 2022 through 2025, with the loss size actually widening in 2025, and operating cash flow has been negative every year, indicating continued cash burn.
Owners' equity fell sharply within a year and the debt ratio rose substantially, weakening the financial buffer.
Quarterly revenue shows large swings depending on license delivery timing, having peaked in Q3 2025 before remaining at lower levels in Q1 and Q2 2026, leaving whether second-half performance materializes as a key variable for the earnings trajectory going forward.
Brokerage forecasts vary considerably depending on when they were issued, reflecting differing views on how quickly second-half orders will convert into revenue.
Investors should continue to monitor concrete events such as earnings releases, the TSMC OIP inclusion audit, and disclosures on K-on-device program orders to gauge the pace at which the growth story materializes.
Report written 2026-09-05 · Data as of 2026-09-04
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