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
NanoTim posted a sharp rebound in both revenue and operating profit in the second quarter of 2026, and attention now shifts to whether its thermal-runaway barrier pad achieves its first mass-production application on a new vehicle.
Q2 2026 revenue reached KRW14.18bn with operating profit of KRW1.41bn, swinging from the prior quarter's loss
Full-year 2025 revenue rose year over year and net income turned positive, but operating profit remained in the red
The thermal-runaway barrier pad is slated for its first mass-production application on Genesis's new flagship electric SUV, a test case for the company's product mix shift
Orders from Stellantis for polyurethane thermal materials and supply to BMW mark attempts to diversify away from heavy reliance on Hyundai Motor Group
The company gains call-option rights on its KRW10bn convertible bond issued in November 2025 starting November 2026
NanoTim, founded in 2016, is a specialist in electrification thermal management materials, with gap fillers and gap pads used in EV battery packs, ICCUs, and OBCs as its core products.
Selected as a main supplier to Hyundai Motor Group in 2017, the company has since supplied materials for the Kona EV, Ioniq 5/6, GV60, and EV5/6, among other models.
One brokerage report previously estimated that roughly 85% of the company's thermal-material revenue was tied to Hyundai Motor Group, underscoring a heavy customer concentration in its revenue mix.
To diversify its customer base, NanoTim began supplying BMW, and in April 2025 it won a new order from Stellantis for polyurethane (PU) thermal materials, establishing a two-track portfolio alongside its existing silicon-based products.
New growth drivers include a thermal-runaway barrier pad designed to block fire propagation between battery cells, and a battery fire-extinguishing fluid and spray system launched in July 2025, expanding the product lineup beyond a single thermal-material category into fire-blocking and suppression systems.
More recently, the company shipped paid gap-filler samples to SpaceX and held working-level meetings with U.S. urban air mobility company Joby, signaling an early-stage push into the aerospace sector, although revenue contribution from this area remains minimal.
The thermal-material market has long been dominated by global players such as Germany's Henkel and Japan's Shin-Etsu, and NanoTim is reported to have achieved domestic localization by leaning on price competitiveness and quick responsiveness.
Within Korea, competition is diversifying further, with CK eM Solution, a subsidiary of Chosun Paint & Ink with SK On as a key customer, operating a similar thermal filler business.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩10.9B | ₩61,850,659 | 0.6% |
| 2025Q3 | ₩10.3B | -₩500M | −4.5% |
| 2025Q4 | ₩10.1B | -₩200M | −1.8% |
| 2026Q1 | ₩9.8B | -₩600M | −6.5% |
| 2026Q2 | ₩14.2B | ₩1.4B | 10.0% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩38.5B | ₩3B | ₩4.1B | 7.9% | 22.8% | 158.5% |
| 2023 | ₩47.2B | ₩5.4B | ₩4.9B | 11.5% | 9.8% | 58.2% |
| 2024 | ₩32.4B | -₩3.8B | -₩3.7B | −11.6% | −8.3% | 97.7% |
| 2025 | ₩40.3B | -₩500M | ₩1B | −1.2% | 2.0% | 140.7% |
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 for 2025 came to KRW40.32bn, up from KRW32.39bn in 2024, while the operating loss narrowed sharply to KRW0.50bn from a loss of KRW3.76bn in 2024.
Net income turned positive at KRW1.00bn versus a net loss of KRW3.71bn in 2024, with the company citing expanded order volumes from key customers and fixed-cost reduction, alongside non-cash financial gains from the fair-value revaluation of derivatives tied to its convertible bond.
Still, compared with 2023, when revenue reached KRW47.19bn and operating profit hit KRW5.44bn (an 11.5% operating margin), the 2025 operating margin of -1.2% shows the business has not yet fully normalized.
Quarterly results show clear volatility: after posting a slim operating profit of KRW0.06bn on revenue of KRW10.87bn in Q2 2025, the company swung back to an operating loss of KRW0.47bn and a net loss of KRW0.41bn in Q3 on revenue of KRW10.31bn.
In Q4, despite an operating loss of KRW0.18bn on revenue of KRW10.09bn, net income came in at KRW1.86bn, a notable gap between operating and net results that points to non-operating factors.
Q1 2026 saw revenue slip further to KRW9.84bn with the operating loss widening to KRW0.64bn and the net loss expanding to KRW0.98bn, but Q2 2026 revenue jumped to KRW14.18bn, delivering a clear swing to an operating profit of KRW1.41bn and net income of KRW0.73bn.
Summing the most recent four quarters from Q3 2025 through Q2 2026, net income totals roughly KRW1.20bn, suggesting a gradual, if uneven, earnings recovery on an annualized basis.
The EV battery thermal-management materials industry has seen many materials and component suppliers suffer weak results during the global EV demand slowdown, but structural demand tied to tightening safety regulations has persisted.
In particular, repeated EV fire incidents have drawn attention to thermal-runaway barrier materials that block fire propagation between battery cells, with the related market estimated by some analyses to grow to roughly KRW600bn by 2030.
The thermal-material market itself has long been dominated by global players such as Germany's Henkel and Japan's Shin-Etsu, and NanoTim has sought to build share through price competitiveness and rapid responsiveness after localizing the technology domestically.
Within Korea, competition is intensifying as CK eM Solution, affiliated with Chosun Paint & Ink, secures SK On as a customer, while Hyundai Wia, an OEM-affiliated component maker, has announced plans to hire large numbers of thermal-management specialists, signaling efforts to build in-house capability.
The upstream EV production and sales cycle remains closely tied to Hyundai Motor Group's new-model launch schedule; Genesis's flagship electric SUV GV90, originally expected to enter mass production in early 2026, saw its timeline adjusted multiple times before its unveiling was pushed to September 2026, illustrating how new-model delays can add variability to upstream demand.
The government has also been pushing policies such as mandatory disclosure of EV battery information to strengthen safety, creating what appears to be a favorable long-term policy backdrop for thermal-runaway prevention materials.
The company's core growth narrative centers on when the thermal-runaway barrier pad reaches full-scale sales.
The product is slated for its first mass-production application on Genesis's new flagship electric SUV GV90, which was originally expected to enter production in the first quarter of 2026 but saw its timeline adjusted multiple times before being unveiled on September 9, 2026, according to reports.
Industry analysis has suggested the average selling price of the thermal-runaway barrier pad could run more than three times that of conventional thermal materials, giving it potential to improve the product mix once volume production begins.
On customer diversification, supply of polyurethane thermal materials to Stellantis has commenced, and because thermal-material contracts often run for roughly a decade, the potential for follow-on orders remains open.
The company launched a battery fire-extinguishing fluid and spray system in July 2025, extending its fire-response lineup into suppression systems, and has also indicated plans to supply an alternative fire-blocking material for battery module side caps to overseas customers starting in the fourth quarter.
Efforts to enter the aerospace sector, including sample shipments to SpaceX and working-level meetings with Joby, continue but should be viewed as an early-stage exploration that has not yet translated into revenue.
The KRW10bn convertible bond issued in November 2025 carries a call option that becomes exercisable by the issuer starting in November 2026, a factor worth watching for its implications on future share structure and capital use.
NanoTim's net income base remains relatively small, and its price-to-earnings ratio sits above the average for comparable industry peers. Its price-to-book ratio likewise trades at a level that reflects a premium over net asset value.
The company maintains a no-dividend policy, meaning shareholder returns depend more on business growth than on cash distributions.
The swing from a net loss in 2024 to net income in 2025, followed by a return to operating profit in the second quarter of 2026, can be read as a signal that the company has entered an earnings-recovery phase, though the sizable quarter-to-quarter swings mean that the durability of this trend still needs to be confirmed through subsequent quarterly results.
On balance, the multiples at which the shares currently trade appear to reflect a meaningful degree of market expectation tied to the company's growth narrative, including the thermal-runaway barrier pad.
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
Q2 2026 revenue reached KRW14.18bn, a sharp increase from the prior quarter, with operating profit of KRW1.41bn and net income of KRW0.73bn marking a clear swing to profit. This contrasts with the losses recorded in Q3 2025 and Q1 2026, suggesting volume expansion and cost efficiency may have worked in tandem. As this is a single-quarter result, its persistence needs to be confirmed in subsequent quarters.
The thermal-runaway barrier pad is reported to carry an average selling price more than three times that of conventional thermal materials, giving it the potential to reshape the revenue structure as production volumes expand.
The product is slated for its first application on Genesis's new electric SUV GV90, and whether the new-model launch translates into actual sales is a key point to watch. Tightening battery-safety regulations could also provide a favorable backdrop for this product category.
To reduce reliance on Hyundai Motor Group, the company has continued to secure overseas customers, including supply to BMW and a polyurethane thermal-material order from Stellantis. Product testing is reportedly underway with North American automakers and domestic battery cell makers, leaving room for further orders.
Sample supply attempts to SpaceX and Joby in the aerospace sector also hint at potential new-business expansion.
Quarterly results have swung sharply: a slim profit in Q2 2025, a loss in Q3, a spike in net income in Q4, another loss in Q1 2026, and a swing back to profit in Q2. It is difficult to confirm a trend reversal from a single strong quarter alone. Several more quarters of results will be needed to judge whether the recovery is durable.
In Q4 2025, net income rose sharply despite an operating loss, and the company cited non-cash financial gains related to its convertible bond as one factor behind the full-year 2025 swing to net profit.
This needs to be assessed separately from any improvement in core business profitability, and the operating margin remained negative for the full year 2025. Caution is warranted in judging fundamental business improvement from the net income figure alone.
In November 2025, the company issued a KRW10bn convertible bond, its first external fund-raising since listing, while accumulated deficits remained on its balance sheet.
The bond carries call and put option terms favorable to the issuer, but events that could affect the future share structure remain ahead, including the call option becoming exercisable starting November 2026. Should further fund-raising be needed, concerns about share dilution could resurface.
A substantial portion of revenue is concentrated with Hyundai Motor Group, meaning changes in that group's EV production and sales plans have a direct impact on results.
As seen with the Genesis GV90, repeated adjustments to a new model's launch schedule can also delay the timing at which new products such as the thermal-runaway barrier pad begin contributing to revenue. Customer diversification is underway, but its absolute share of revenue is estimated to remain low.
The thermal-material market has long been dominated by global players such as Germany's Henkel and Japan's Shin-Etsu, and domestic competitors such as CK eM Solution also exist.
Hyundai Wia, an OEM-affiliated parts maker, has announced plans to substantially expand its thermal-management workforce, hinting at the possibility that automaker groups could strengthen in-house capability. As more late-entrant competitors emerge, pricing pressure could intensify.
Total liabilities in 2025 stood at KRW68.78bn versus total equity of KRW48.89bn, pushing the debt ratio to 140.7%, up again from 97.7% in 2024. Operating cash flow was also negative at KRW-0.39bn in 2025, indicating cash generation is not yet solid.
If further fund-raising is needed to invest in new businesses such as the thermal-runaway barrier pad, concerns over convertible-bond-related dilution or expanded borrowing could resurface.
A point to confirm whether Genesis officially launches the GV90 and whether NanoTim's thermal-runaway barrier pad achieves its first mass-production application.
Timing of the Q3 2026 earnings disclosure, allowing confirmation of whether the Q2 swing to profit continues.
The point at which the call option on the KRW10bn convertible bond issued in November 2025 becomes exercisable by the issuer, warranting attention to any resulting change in share structure.
Worth confirming whether the company begins supplying its alternative fire-blocking material overseas as previously indicated, and whether additional order announcements emerge from Stellantis or North American automakers.
NanoTim is a KOSDAQ-listed specialist in EV battery thermal-management materials that has delivered two recovery signals: a swing to net income in 2025 and a swing to operating profit in the second quarter of 2026.
However, quarter-to-quarter results have varied widely, and given that non-cash financial gains contributed meaningfully to the 2025 net income improvement, confirmation of a genuine normalization in core business profitability still requires more time.
The core of the company's growth narrative is the thermal-runaway barrier pad, which is tied to new-model schedules such as the Genesis GV90 and could therefore be sensitive to shifts in automakers' launch timing.
While revenue remains heavily dependent on Hyundai Motor Group, ongoing efforts to diversify toward customers such as BMW and Stellantis continue, though a meaningful shift in the absolute revenue mix may take time.
On the financial side, the debt ratio has risen again and operating cash flow was negative, suggesting the need for further capital raising could persist, with share-structure-related events such as the convertible bond's call option exercise window also approaching.
Investors would benefit from monitoring both upcoming quarterly results and the progress of new-product mass production before forming a view.
Report written 2026-09-05 · Data as of 2026-09-04
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