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
SP Software, the dominant distributor in Korea's Microsoft SPLA market, saw net income surge in 2025 on a base effect from the Yohost consolidation, even as operating margins have declined and the Gabia group's multiple-listing restructuring issue unfolds in parallel.
The company holds a dominant position in Korea's Microsoft SPLA distribution market and is viewed as structurally positioned to benefit from Microsoft ecosystem expansion (Copilot, Azure).
2025 net income attributable to owners jumped 1,162.9% year-over-year to KRW 3.81 billion, though this is largely attributed to a base effect from one-off merger costs tied to the 2024 Yohost consolidation.
The operating margin has declined for four consecutive years, from 14.6% in 2022 to 6.6% in 2025, revealing a gap between revenue growth and profitability improvement.
The company launched an integrated Copilot-Adobe license platform in February 2026 and added an SPLA usage-automation feature in July 2026, moving toward an AIaaS business model.
The multi-tiered listing chain of Gabia to KINX to SP Software sits at the center of duplicate-listing controversy and potential group restructuring.
SP Software was founded in 2013 and listed on KOSDAQ in February 2024 through a SPAC merger, operating as a cloud and software distribution company. Its business is organized into four segments: Microsoft Business, Cloud Business, Solution Business, and DaaS Business.
Microsoft Business handles server OS and MS SQL license distribution and consulting for service providers, Cloud Business runs cloud storage, IDC, and streaming CDN services, Solution Business offers load-balanced CDN and copyright-protection solutions, and DaaS Business provides cloud-based virtual desktops and on-premise VDI.
The company holds a dominant position in Korea's Microsoft SPLA (Service Provider License Agreement) distribution market, with cited market share ranging from around 70% to 76% depending on the source.
In August 2024 it acquired 100% of Yohost, bringing cloud MSP and smart-factory operations into the group; Yohost runs three business units covering IDC operations for LG Uplus, cloud migration and management for public and financial institutions, and power-monitoring systems for factories in industrial parks.
According to one market report, cumulative revenue mix through the third quarter of 2025 was roughly 47% Microsoft software, 15% Solution, 3% DaaS, and 35% from subsidiary Yohost (IDC/MSP), reflecting a balance between software distribution and data-center infrastructure.
Major clients include large domestic IT and telecom firms such as Samsung Electronics, Kakao, and SK Telecom. In terms of ownership structure, Gabia holds a 36.3% stake in KINX, which in turn holds 41.28% of SP Software, forming a multi-tiered subsidiary chain.
Most recently, the company introduced an integrated platform combining Microsoft Copilot and Adobe AI licenses, expanding beyond simple license resale toward an AIaaS business model.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩13.7B | ₩900M | 6.7% |
| 2025Q3 | ₩13.2B | ₩1.2B | 8.9% |
| 2025Q4 | ₩14.1B | ₩900M | 6.3% |
| 2026Q1 | ₩12.9B | ₩800M | 6.6% |
| 2026Q2 | ₩13.1B | ₩900M | 6.5% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩33.4B | ₩4.9B | ₩4.1B | 14.6% | 15.2% | 23.0% |
| 2023 | ₩35.2B | ₩4.8B | ₩4.4B | 13.5% | 13.4% | 23.3% |
| 2024 | ₩45.1B | ₩3.8B | ₩300M | 8.3% | 0.5% | 22.7% |
| 2025 | ₩54.5B | ₩3.6B | ₩3.8B | 6.6% | 5.6% | 17.4% |
Consolidated basis (financial statements including subsidiaries) · Final figures from DART filings · Net income attributable to owners of the parent · Data as of 2026-09-04
Consolidated revenue for 2025 rose 20.8% year-over-year to KRW 54.48 billion from KRW 45.12 billion in 2024. Operating profit, however, fell 3.7% to KRW 3.62 billion from KRW 3.76 billion, indicating that operating leverage did not follow revenue growth.
Net income attributable to owners surged 1,162.9% to KRW 3.81 billion from just KRW 302 million in 2024; the company had previously cited the 2024 Yohost subsidiary consolidation and prior-year merger costs as the main reasons for the depressed prior-year profit, meaning much of the 2025 jump reflects a base effect rather than an operational step-change.
The operating margin has fallen for four straight years, from 14.6% in 2022 and 13.5% in 2023 to 8.3% in 2024 and 6.6% in 2025, a trend attributed in part to the growing revenue contribution from the relatively lower-margin Yohost IDC/MSP business.
On a quarterly basis, revenue reached KRW 13.17 billion with operating profit of KRW 1.17 billion in the third quarter of 2025, and KRW 14.15 billion in revenue with KRW 0.89 billion in operating profit in the fourth quarter — revenue rose but operating profit actually declined.
Moving into 2026, first-quarter revenue was KRW 12.92 billion with operating profit of KRW 0.85 billion, and second-quarter revenue was KRW 13.10 billion with operating profit of KRW 0.85 billion, showing both metrics essentially flat versus the prior year.
Net income showed sharper quarter-to-quarter swings, rising to KRW 1.29 billion in the fourth quarter of 2025 before falling to KRW 0.91 billion in the first quarter of 2026 and KRW 0.62 billion in the second quarter, pointing to volatility driven by non-operating items.
Indeed, the company's own second-quarter 2026 results showed revenue down 4.06% and net income down 32.29% year-over-year, confirming that the deceleration visible in the confirmed quarterly data has persisted into the most recent period.
Only two companies distribute Microsoft server software under SPLA in Korea, creating high barriers to entry, and SP Software is viewed as holding the larger share of this market.
Analysts note that adoption of Microsoft 365 and Copilot is expanding rapidly in the small and mid-sized enterprise (SME) segment, with growing demand for productivity software and AI-based work automation cited as a structural growth driver for distributors.
One market report assessed that the pace of Microsoft ecosystem expansion has been faster than expected, and that the leading domestic SPLA distributor is positioned to capture a relatively large share of the resulting benefit.
At the group level, Gabia's SME customer base in hosting, domain, and IDC services is seen as naturally feeding into SP Software's DaaS and MSP offerings, a structural advantage cited by market observers.
At the same time, competition in the CSP and DaaS markets is intensifying, making pricing strategy and service-quality differentiation an ongoing challenge.
On the governance side, the multi-tiered listing chain running from Gabia through KINX to SP Software has drawn scrutiny as a duplicate-listing issue, and the emergence of an activist fund building a stake in Gabia has drawn attention to potential group restructuring discussions.
In February 2026 the company launched an integrated software platform combining Microsoft Copilot and Adobe AI solution licenses, stating its intent to advance an AIaaS (AI as a Service) business model.
In July 2026 it added a feature to the platform that automates the monthly usage aggregation and reporting tasks required of MS SPLA clients, aiming to strengthen lock-in among existing customers and attract new ones.
The company also obtained Adobe VIP MP (Marketplace) partner status, signaling an attempt to diversify beyond a Microsoft-centric business structure toward broader global big-tech partnerships.
Continued integration of Azure-specialized cloud management services and IDC/smart-factory operations through subsidiary Yohost is also cited as an ongoing growth pillar.
At the same time, pressure is building within the group to resolve the duplicate-listing structure running from Gabia through KINX to SP Software, and market observers have raised the possibility of a group restructuring, potentially via a comprehensive stock swap.
Such a move could require reconciling the interests of existing shareholders, making the direction and timing of any restructuring an important item to monitor.
Net income attributable to owners rose sharply in 2025 from a depressed prior-year base, and this recovery has continued through the most recent four quarters.
However, the operating margin has declined every year from 2022 through 2025, showing that top-line growth has not directly translated into improved profitability.
The share price relative to net asset value sits below the elevated premium levels seen shortly after listing, and currently trades at a modest premium to net assets.
The company currently maintains a no-dividend policy, suggesting that shareholder returns are weighted more toward business reinvestment and treasury-share trust management than cash distributions.
Given the prominence of group-level governance restructuring issues, valuation assessments should weigh not only earnings indicators but also the possibility of changes to the group's ownership structure.
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 2026-09-04
The company is regarded as holding the larger share in Korea's MS SPLA distribution market, a result of a high-barrier, low-competitor market structure. Analysts note that Microsoft 365 and Copilot adoption is expanding rapidly in the SME segment, suggesting continued demand for related license distribution. The recent addition of an Adobe partnership also signals moves to ease reliance on a single vendor.
The sharp 2025 recovery in owners' net income from a depressed 2024 level is interpreted as largely a base effect from prior-year one-off merger-related costs. Yohost has a stable business base including IDC operations for LG Uplus and cloud migration for public and financial institutions.
Cross-selling of DaaS and MSP services linked to affiliate Gabia's SME customer base is also cited as a strength.
The February 2026 launch of an integrated Copilot-Adobe AI license platform expands the company's reach into the AIaaS business. It has followed up by adding an automated SPLA usage-aggregation feature to strengthen customer lock-in. This platform strategy reflects the company's direction away from simple license resale.
The operating margin has declined for four consecutive years, from 14.6% in 2022 to 6.6% in 2025. Profit growth has repeatedly failed to keep pace with revenue growth. The rising revenue share of the relatively lower-margin Yohost IDC/MSP business is cited as a contributing factor.
A substantial portion of revenue derives from Microsoft license distribution, leaving the company highly exposed to changes in Microsoft's pricing and policies. Market observers cite this locked-in Microsoft-centric revenue structure as a burden. Diversification efforts such as the Adobe partnership are underway but still at an early stage.
The multi-tiered listing chain from Gabia through KINX to SP Software has become a target of duplicate-listing controversy. An activist fund's stake-building in Gabia has fueled discussion of potential group restructuring.
Should a restructuring scenario such as a comprehensive stock swap materialize, reconciling existing shareholders' interests could become necessary.
Changes to Microsoft's licensing policies or pricing terms could directly affect profitability. Subsidiary Yohost's Azure-specialized business is likewise tied to Microsoft's cloud policies. High dependence on a single vendor could reduce the company's negotiating leverage.
Duplicate-listing issues within the Gabia group and activist fund involvement have raised the prospect of group restructuring scenarios. Depending on the restructuring method, minority shareholders' interests could be affected. The timing and direction of any restructuring remain unconfirmed.
The operating margin has trended lower over multiple years, and quarterly net income has shown large swings tied to non-operating items. Second-quarter 2026 results showed both revenue and net income declining year-over-year. Intensifying competition in the CSP and DaaS markets is also cited as a margin-pressure factor.
The third-quarter 2026 quarterly report and earnings are due, and it will be worth checking whether revenue and operating profit break out of the stagnation seen in the first half.
It will be important to check whether the integrated Copilot-Adobe platform and the SPLA automation feature translate into new revenue reflected in fourth-quarter results.
This is when the audited report and confirmed annual results for fiscal 2026 are expected, providing a checkpoint on whether the multi-year decline in operating margin continues.
Follow-up disclosures on resolving the Gabia group's duplicate-listing structure and developments in the activist-fund-related governance discussion warrant monitoring.
It will be worth confirming whether subsidiary Yohost secures new IDC/MSP contracts or expands cooperation with key clients.
SP Software holds a dominant position in Korea's MS SPLA distribution market, and its 2025 net income attributable to owners rose sharply from the prior year as the base effect from one-off Yohost-integration costs faded.
However, the operating margin has declined for four consecutive years since 2022, and in 2026 both revenue and operating profit have been essentially flat or modestly lower year-over-year across successive quarters.
The company continues efforts to expand its business model toward AIaaS, including the launch of an integrated Copilot-Adobe AI license platform and the addition of an SPLA automation feature.
At the same time, the multi-tiered listing structure from Gabia through KINX to SP Software has become a target of duplicate-listing controversy, and an activist fund's stake-building in Gabia has raised the prospect of group restructuring.
Single-vendor dependency and group governance variables are cited as factors that could affect both future earnings and valuation. Upcoming earnings releases, the revenue contribution of the AI platform, and developments in group-level governance restructuring all warrant continued monitoring.
Report written 2026-09-05 · Data as of 2026-09-04
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