KOSDAQIT & Software430690

Hanssak

₩3,160▲ 8.22%2026-10-02 close

Market Cap

₩33.7B

Turnover

₩500M

Volume

180,000 shares

Shares out.

10.9M

PER

—

PBR

0.9×

EPS

-₩184

Dividend Yield

0.00%

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

Report overview

Back to Profit in Q2 After Losses, Durability Is the Key Question

Hanssak returned to consolidated operating profit in the second quarter of 2026, but given the net loss in fiscal 2025 and the large first-quarter 2026 deficit, confirming the durability of the earnings recovery remains the priority.

1
Q2 2026 consolidated operating profit turned positive at KRW 0.81 billion, with owner net profit also improving to KRW 0.93 billion
2
FY2025 revenue rose 28.0% YoY to KRW 26.3 billion, yet the company swung to an operating loss of KRW 1.9 billion and a net loss of KRW 2.8 billion
3
Q1 2026 was the weakest of the last four quarters, with revenue of KRW 3.5 billion and an operating loss of KRW 1.8 billion
4
The National Network Security Framework (N2SF) transition and zero-trust/cloud security policy shifts are stimulating potential demand
5
Business diversification is underway through the integration of acquired virtualization and secure-fax business units

Business structure

Hanssak, founded in 1992 and listed on KOSDAQ in October 2023, is a security solutions company that pivoted from an early communications systems business into network-linkage security once the network separation market emerged after 2008, centered on its SecureGate solution.

The company operates in application software development and supply, providing network-linkage transfer, password management, secure electronic fax, smart billing, and integrated security monitoring solutions.

Built around its core SecureGate product, Hanssak holds roughly 2,300 references across the public, defense, and finance sectors, and is reported to hold a leading domestic share in the network-linkage transfer market.

Its consolidated subsidiaries include Incom and Incom Information Communication, and Incom signed an agreement in 2025 to acquire the virtualization business unit of Etron, broadening the group's portfolio.

More recently the company has rolled out new products such as the defense network security control system "SecureGate CDS" (Cross Domain Solution) and an SSL visibility solution, expanding R&D investment into cloud and AI security and pursuing business diversification.

In the home-network security segment, Hanssak formed a strategic partnership with Monitorapp to explore entry into the multi-unit residential security market.

The competitive landscape overlaps not only with traditional network-separation and linkage vendors but also with newer entrants positioning around zero-trust and cloud security.

The company's business mix is in a gradual transition from combined hardware-software network-linkage solutions toward more software- and cloud-based services.

Earnings trend

Quarterly revenue · Operating profit

₩5.3B-₩700M25Q2₩5.5B-₩1B25Q3₩11.4B₩700M25Q4₩3.5B-₩1.8B26Q1₩7.6B₩800M26Q2

RevenueOperating profit

Annual revenue · Operating profit

₩21.9B₩1.9B2022₩24.1B₩2.6B2023₩20.5B-₩2.7B2024₩26.3B-₩1.9B2025

RevenueOperating profit

Quarterly results · Last 5 quarters
Quarter	Revenue	Operating profit	Op. margin
2025Q2	₩5.3B	-₩700M	−13.1%
2025Q3	₩5.5B	-₩1B	−18.3%
2025Q4	₩11.4B	₩700M	6.5%
2026Q1	₩3.5B	-₩1.8B	−51.3%
2026Q2	₩7.6B	₩800M	10.7%

Annual results
Year	Revenue	Operating profit	Net income (parent)	Op. margin	ROE	Debt-to-equity
2022	₩21.9B	₩1.9B	₩2.2B	8.5%	16.3%	57.6%
2023	₩24.1B	₩2.6B	₩3.2B	10.9%	9.1%	28.0%
2024	₩20.5B	-₩2.7B	₩100M	−13.2%	0.4%	22.0%
2025	₩26.3B	-₩1.9B	-₩2.7B	−7.4%	−8.2%	44.2%

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

Earnings analysis

Full-year 2025 revenue reached KRW 26.26 billion, up sharply from KRW 20.52 billion in 2024, yet the company posted an operating loss of KRW 1.95 billion and a net loss attributable to owners of KRW 2.67 billion, reversing from a small net profit of KRW 0.12 billion in 2024.

Earlier, in 2023, the company delivered solid results with revenue of KRW 24.10 billion, operating profit of KRW 2.63 billion (an operating margin of 10.9%) and net profit of KRW 3.23 billion, while 2022 also produced an operating profit of KRW 1.85 billion (margin of 8.5%) on revenue of KRW 21.90 billion, indicating a stable profit structure around the time of listing.

Looking at recent quarters, revenue was KRW 5.25 billion in Q2 2025 with an operating loss of KRW 0.69 billion, and KRW 5.45 billion in Q3 2025 with an operating loss of KRW 1.00 billion, before revenue jumped to KRW 11.35 billion in Q4 2025 with operating profit turning positive at KRW 0.74 billion, although owner net profit still showed a small loss of KRW 0.06 billion.

In Q1 2026, revenue fell to KRW 3.52 billion and the operating loss widened to KRW 1.81 billion, the weakest of the last four quarters, a pattern that appears linked to increased R&D headcount and new-solution launch costs coinciding with a seasonally slow period.

Revenue then recovered to KRW 7.57 billion in Q2 2026, with operating profit of KRW 0.81 billion and owner net profit of KRW 0.93 billion, marking a clear swing back to profitability.

On a standalone basis, Q2 revenue reportedly rose 39% year-on-year to KRW 6.4 billion, with operating profit swinging from a loss of KRW 0.8 billion in the prior-year quarter to a profit of KRW 1.3 billion.

The company attributed the improvement to new solutions such as cross-domain transfer (CDS), integrated access control, and password management, along with the contribution of the newly acquired virtualization and electronic-fax business units.

Still, the swing to a full-year net loss in 2025 marks a temporary break in what had been a multi-year run of profitability, and the sum of owner net profit over the trailing four quarters (Q3 2025 through Q2 2026) remains negative at roughly KRW -1.92 billion, underscoring significant quarter-to-quarter volatility.

Industry analysis

The cybersecurity and network-linkage industry in which Hanssak operates is heavily influenced by policy shifts in the public, financial, and defense sectors.

The National Intelligence Service-led National Network Security Framework (N2SF) transition, which restructures the existing dual public network system into a classified-sensitive-open (C-S-O) based structure, is viewed as having the potential to expand demand for data movement and system linkage.

However, some public-sector orders have reportedly been delayed during the initial data-classification process, suggesting that any policy-driven revenue benefit may not materialize until after detailed guidelines are finalized.

Amid a broader easing of network-separation regulations, the company has pointed to new business opportunities emerging around multi-level security systems (MLS), zero-trust security, and cloud-based logical network separation.

On the competitive front, in addition to traditional network-linkage vendors, a growing number of specialized firms are emerging in areas such as zero-trust and SSL visibility, and Hanssak is pursuing a strategy of extending its product lineup into adjacent areas—cross-domain solutions, integrated access control, and SSL visibility—leveraging its extensive base of network-linkage transfer references.

Standardization trends around post-quantum cryptography (PQC), in preparation for the eventual commercialization of quantum computing, are also emerging as a new technology theme across the industry.

The government's plan to expand supply of newly built multi-unit housing has been cited as a factor creating a separate demand pool for home-network security.

Overall, the industry's structure—where revenue recognition timing swings heavily with the pace of policy-driven procurement—inherently produces significant quarter-to-quarter earnings volatility for individual companies.

Outlook

The company has stated its intention to sustain the momentum from its second-quarter return to profit through the second half of the year.

CEO Lee Ju-do explained that diversification of the security solution portfolio was reflected in results and enabled the swing to profit in the second quarter, and said the company would strengthen its competitiveness in next-generation security areas—PQC, AI, and cloud—in the second half to maintain a profitable trend.

The company plans to strengthen its push into the public and financial sectors based on the security-function certification and public procurement registration of its SSL visibility solution "BlueKeen VA,

Valuation

PER

—

PBR

0.9×

ROE

-5.8%

EPS

-₩184

BPS

₩2,909

Dividend per share

₩0

Having posted a full-year net loss in 2025 and a large deficit in the first quarter of 2026 before swinging back to profit in the second quarter, Hanssak's earnings-based valuation metrics sit in a range that can shift substantially depending on the timing of profit-and-loss turns.

Relative to net asset value, the shares trade at a level below book value, which, compared with the trading multiples seen during the periods when the company was consistently profitable, suggests the market is taking a cautious stance on the durability of the earnings recovery.

The company has not been paying dividends recently, limiting the appeal from a dividend-yield perspective.

Looking at the multi-year earnings pattern—from stable profitability in 2022-2023, to a loss-making turn in 2024-2025, to quarter-to-quarter swings in the first half of 2026—the underlying direction of earnings has not yet settled into a clear trend.

As a result, assessing valuation here calls for weighing not just an absolute multiple at any given point in time, but also whether the swing back to profit proves durable and how revenue seasonality plays out over the coming quarters.

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

Bull factors

Q2 Return to Profit and Diversification Progress

Consolidated operating profit turned positive at KRW 0.81 billion in the second quarter of 2026, and on a standalone basis operating profit swung from a year-earlier loss to a profit of KRW 1.3 billion.

The company attributed the turnaround to new solutions such as cross-domain transfer, integrated access control, and password management, along with the contribution of the newly integrated virtualization and electronic-fax business units.

Incom's electronic-fax business unit also reportedly posted revenue above breakeven, contributing to the profitability recovery.

Potential Policy Tailwinds from N2SF and Network-Separation Deregulation

As the National Network Security Framework (N2SF) rolls out in earnest, the existing dual public network system is expected to transition to a classified-sensitive-open based structure, potentially expanding demand for data movement and system linkage.

The company has also pointed to new business opportunities opening up around multi-level security, zero-trust, and cloud-based logical network separation amid the broader easing of network-separation rules.

With roughly 2,300 references across the public, defense, and finance sectors, Hanssak has been cited as a potential beneficiary of these policy shifts.

Extensive Reference Base and Market Position

Hanssak is reported to have accumulated one of the largest reference bases domestically in the network-linkage transfer segment, having supplied SecureGate to numerous customers and secured a leading industry position. Its defense network security control system,

Bear factors

FY2025 Swing to Loss Breaking a Prior Profit Streak

Hanssak had maintained stable profitability for many years through 2023, but in 2025, despite higher revenue, it swung to an operating loss of KRW 1.95 billion and a net loss of KRW 2.67 billion.

Given that the company had previously sustained roughly 20% average annual revenue growth and operating margins in the high-teens percentage range for eleven consecutive years, the recent profit-and-loss pattern marks a clear deterioration versus its historical record.

The sum of owner net profit over the trailing four quarters (Q3 2025 through Q2 2026) also remains negative, at roughly KRW -1.92 billion.

Quarter-to-Quarter Volatility and Seasonality Risk

Q1 2026 was the weakest of the last four quarters, with revenue of KRW 3.52 billion and an operating loss of KRW 1.81 billion, while in Q4 2025, even though operating profit was positive, owner net profit remained in loss.

If the seasonal pattern of a large share of annual revenue concentrating in the fourth quarter persists, a repeat of weak performance during the slower first-half months cannot be ruled out. Such volatility makes it difficult to draw firm annual conclusions from any single quarter's results.

Risk of Delayed Revenue Recognition from Policy-Driven Order Delays

There have been reports that some public-sector orders have been delayed during the N2SF rollout due to a slow initial data-classification process.

Policy-driven demand may take longer to convert into actual revenue depending on the timing of finalized guidelines and budget allocation, raising the possibility that the company's expected second-half business resumption may not unfold as planned.

KB Securities has also flagged cost management as a risk factor, meaning that if fixed-cost burdens from R&D and headcount expansion outpace the pace of revenue recovery, profitability improvement could be delayed.

Risk factors

Policy and Regulatory Risk

The timing and detailed criteria for finalized N2SF guidelines have not yet been disclosed, raising the possibility that public-sector order schedules could be delayed beyond current expectations. The specific implementation method and pace of market opening under network-separation deregulation also remain uncertain.

While the direction of policy change is viewed positively, the timing of its conversion into actual revenue depends on the government's schedule.

Competitive Intensity Risk

A growing number of new entrants in specialized areas such as zero-trust, SSL visibility, and cloud security is diversifying the competitive landscape beyond traditional network-linkage-focused vendors.

In emerging markets such as home-network security, partnership-based competitors also exist, suggesting a contest for market share ahead. Intensifying competition could affect the pricing and margins of new products.

Profitability and Cost-Management Risk

As R&D headcount has expanded, including through an enlarged AI convergence research center, and as costs tied to new solution launches have risen, losses in off-peak quarters have repeatedly widened. KB Securities has explicitly cited cost management as a risk factor. If revenue growth fails to keep pace with rising costs, volatility in annual profit and loss could persist.

What to watch next

November 2026
Q3 2026 earnings are expected to be released, and it will be important to check whether the Q2 return to profit continues into Q3 or whether seasonally slower conditions return.
Second half of 2026
Confirmation of finalized detailed N2SF guidelines and whether previously delayed public-sector orders resume is a key indicator for gauging when the anticipated policy tailwind might translate into actual revenue.
Around February 2027
This is when Q4 and full-year 2026 results are expected to be disclosed, allowing confirmation of whether the fourth-quarter revenue concentration the company has referenced actually recurs and whether full-year profitability is achieved.
Fourth quarter of 2026
Tracking new certifications and product launches related to post-quantum cryptography (PQC) and AI will help assess progress in building competitiveness in next-generation security areas.

Overall view

After swinging to a full-year net loss in 2025 and posting a large deficit in the first quarter of 2026, Hanssak showed signs of recovery in the second quarter, with both consolidated operating profit and net profit turning positive.

The company attributes this turnaround to new solutions such as cross-domain transfer (CDS) and integrated access control, along with the contribution of newly integrated virtualization and electronic-fax business units, and has stated its intention to sustain profitability in the second half by strengthening competitiveness in PQC, AI, and cloud security.

However, the stable profit streak that had persisted for eleven consecutive years was broken once in 2025, and the sum of net profit over the trailing four quarters remains negative, meaning the durability of the recovery is still being tested.

Policy shifts such as N2SF are cited as a potential source of expanded demand, but the timing of their actual conversion into revenue remains uncertain amid delays in the initial data-classification process.

The seasonal structure in which revenue concentrates in the fourth quarter also remains a factor amplifying quarter-to-quarter earnings volatility. Investors will want to track upcoming third- and fourth-quarter results alongside the finalization of N2SF guidelines to assess whether the recovery proves durable.

Sources

Korea Exchange (KRX) — Prices · Market Cap · Volume
FSS electronic disclosure system (DART) — Financial statements · Dividend filings

Show 18 more articles and sources

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.