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
Operating profit has improved markedly on hydrogen fuel-cell and semiconductor business expansion, but non-cash convertible-bond valuation swings have added volatility to recent quarterly net income.
2025 consolidated revenue reached KRW 63.2 billion with operating profit of KRW 9.7 billion (15.4% margin), improving both scale and profitability year on year.
First-quarter 2026 operating margin hit a record 27.7 percent, yet a convertible-bond valuation loss pushed the owners' net result to a loss of about KRW 5.1 billion.
Supply of SOFC plumbing modules to Bloom Energy and Bloom SK Fuel Cell is the key growth driver, with the company holding sole domestic first-tier vendor status.
A roughly KRW 55 billion capacity expansion disclosed in September 2025 is underway to expand fuel-cell module output, with the new plant approaching operational readiness.
The company plans to exercise call options on the remaining convertible bonds and retire them, aiming to ease share-overhang risk.
Hansun Engineering manufactures instrumentation fittings, valves, and plumbing products under its own S-LOK brand, supplying industries that require precise fluid control.
Domestically, it supplies shipbuilders such as Samsung Heavy Industries, K Shipbuilding, and HJ Shipbuilding, along with refiners and petrochemical firms including S-OIL, GS Caltex, and SK Innovation, while also securing approved-supplier status with state energy companies such as Petronas of Malaysia, Kuwait Oil Company, Ecopetrol of Colombia, and ADNOC of the UAE.
Its growth axis has recently shifted toward new businesses including hydrogen fuel cells, secondary-battery energy storage systems (ESS), and semiconductors, and it was selected as the plumbing-module supplier for Bloom SK Fuel Cell, the joint venture between Bloom Energy and SK Ecoplant, with production running at a second plant.
In the ESS segment, the company has supplied core components for direct-injection fire suppression systems to major domestic conglomerates since 2012.
It is the only domestic company to have obtained the relevant UL certification through collaboration with both Samsung SDI and LG Energy Solution, giving it an exclusive supply position.
In semiconductors, the company expects revenue visibility to improve as mass production of safety valves (PSV) and pressure-relief valves (PRV) ramps up.
As of the third quarter of 2025, product revenue mix stood at roughly 69 percent fittings, 20 percent valves, 5 percent modules and other, and 6 percent goods and other.
Its parent is Hankuk Seonjae, a wire-rod steel maker with a fifty-year history, and the group has leveraged this relationship to expand into new business areas. Its status as Bloom Energy's sole domestic first-tier vendor forms a distinct barrier to entry relative to competitors.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩15.5B | ₩2.7B | 17.1% |
| 2025Q3 | ₩16.2B | ₩2.6B | 16.0% |
| 2025Q4 | ₩18.4B | ₩2.8B | 15.3% |
| 2026Q1 | ₩22.4B | ₩6.2B | 27.7% |
| 2026Q2 | ₩23.6B | ₩5.6B | 23.7% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩41B | ₩7.2B | ₩5.5B | 17.5% | 26.8% | 173.5% |
| 2023 | ₩47.8B | ₩6.2B | ₩4.5B | 13.0% | 8.3% | 31.4% |
| 2024 | ₩48.5B | ₩4.9B | ₩4.2B | 10.1% | 7.1% | 34.0% |
| 2025 | ₩63.2B | ₩9.7B | ₩8.9B | 15.4% | 13.1% | 105.7% |
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 reached KRW 63.22 billion, sharply up from KRW 48.54 billion in 2024, while operating profit expanded to KRW 9.75 billion, lifting the operating margin from 10.1 percent to 15.4 percent. Owners' net profit came to KRW 8.94 billion, more than double the KRW 4.16 billion recorded in 2024.
Looking back at 2022 through 2024, revenue rose steadily from KRW 40.97 billion to KRW 47.75 billion to KRW 48.54 billion, even as the operating margin slipped from 17.5 percent to 13.0 percent to 10.1 percent before rebounding in 2025.
On a quarterly basis, revenue climbed from KRW 15.50 billion with operating profit of KRW 2.65 billion in the second quarter of 2025 to KRW 18.41 billion and KRW 2.82 billion in the fourth quarter, and then to revenue of KRW 22.38 billion with operating profit of KRW 6.21 billion in the first quarter of 2026, pushing the operating margin up to 27.7 percent.
However, owners' net profit for that first quarter of 2026 swung to a loss of about KRW 5.13 billion, which the company attributed to a non-cash fair-value valuation loss on previously issued convertible bonds triggered by the rise in its own share price.
In the second quarter of 2026, revenue reached KRW 23.64 billion and operating profit KRW 5.60 billion (a 23.7 percent margin), continuing the operating-level growth trend, while net profit turned positive again at KRW 2.03 billion.
Still, summing the most recent four quarters from the third quarter of 2025 through the second quarter of 2026, owners' net profit totals roughly negative KRW 0.27 billion, illustrating that convertible-bond-related valuation swings have continued to unsettle the bottom line even as operating profit has grown.
The debt ratio jumped to 105.7 percent at the end of 2025 from 34.0 percent in 2024, a move attributable to the recognition of convertible-bond-related derivative liabilities on the balance sheet.
Among end markets, solid oxide fuel cells (SOFC) draw the most attention, emerging as a distributed-power alternative addressing surging electricity demand from AI data centers.
Bloom Energy formed the Bloom SK Fuel Cell joint venture with SK Ecoplant in 2020 and built a manufacturing plant in Gumi, North Gyeongsang Province, constructing a domestic supply chain with smaller Korean specialist firms including Hansun Engineering to localize production.
This joint venture is reported to hold the top share of Korea's stationary fuel-cell power market. Bloom Energy in the United States has continued signing large SOFC supply agreements with data-center operators and power utilities, while also expanding in Europe through contracts with automakers and energy companies.
This growing downstream demand is seen as structurally linked to increased module-supply volumes for Hansun Engineering as the domestic first-tier vendor.
That said, Korea's hydrogen fuel-cell market remains in an early growth stage with a low localization rate, meaning its growth path could shift depending on policy changes or the pace of hydrogen-law related regulatory refinement.
The company's traditional core businesses in petrochemicals and shipbuilding sit in a relatively mature cycle and contribute comparatively less growth than the new businesses.
On competitive positioning, the fact that Hansun Engineering is the only Korean company holding first-tier vendor status with Bloom Energy is viewed as an advantage over later entrants.
In September 2025 the company disclosed a new facility investment of roughly KRW 55 billion to expand its plant and build a storage-logistics system, aimed at increasing production capacity for hydrogen fuel-cell modules.
As of May 2026, reports indicated that the post-listing expansion construction was nearing completion, with expectations that improved production efficiency and quality stability would contribute to profitability going forward.
The company has laid out a plan to exercise call options on its remaining convertible bonds, repurchase them, and retire them, stating an intent to ease share-overhang risk rather than allow conversion into common shares, as part of efforts to enhance shareholder value.
Once this plan is completed, no outstanding bonds from this issuance will remain. Development and patent registration for semiconductor safety valves (PSV) and pressure-relief valves (PRV) have reportedly been completed, making revenue visibility from full-scale mass production a point to watch going forward.
In the secondary-battery ESS segment, the company is known to have prepared for entry into the North American market, so the outcome of that expansion could be a focal point for its new-business portfolio.
Because continued global order growth at Bloom Energy could flow through to domestic module supply volumes via Bloom SK Fuel Cell, disclosure of related contracts is likely to remain an important item to monitor.
The shares trade at a level that reflects a certain premium over net asset value, which can be interpreted as partly pricing in growth expectations for the new businesses.
That said, given that owners' net profit summed over the most recent four quarters came in slightly negative, it is worth noting the gap between the pace of operating-level improvement and the final bottom-line figure.
This gap stems mainly from convertible-bond-related valuation gains and losses that are unrelated to actual cash flow, and the gap could narrow once the planned call-option exercise and bond retirement are completed.
On dividends, the company has maintained a no-dividend policy with no recent cash distributions, meaning shareholder returns currently depend entirely on earnings growth itself.
The sharp rise in the debt ratio relative to 2024 also reflects the accounting recognition of convertible-bond-related liabilities rather than a genuine increase in borrowing, a factor worth weighing when assessing financial soundness.
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 holds sole domestic first-tier vendor status with Bloom Energy, making SOFC plumbing-module supply through Bloom SK Fuel Cell a structural growth axis.
Bloom Energy's continued large-scale contracts with U.S. data centers and power utilities are structurally linked to potential volume expansion for its Korean partner. A roughly KRW 55 billion capacity expansion is underway to prepare for this rising demand.
The operating margin rose to 27.7 percent in the first quarter of 2026 and remained elevated at 23.7 percent in the second quarter, exceeding the roughly 10 to 17 percent range seen from 2022 through 2024.
The growing weight of the higher-margin hydrogen fuel-cell business is cited as the main driver of this margin improvement. There is further room for product-mix improvement once semiconductor valve mass production ramps up.
The company plans to exercise call options on the remaining convertible bonds, repurchase them, and retire them, aiming to reduce dilution concerns from future conversion into new shares.
Once this plan is completed, no bonds from this issuance will remain outstanding, which could reduce future non-cash valuation volatility tied to convertible bonds. This can be read as a move toward greater transparency in the capital structure.
The owners' net loss in the first quarter of 2026 stemmed from a fair-value valuation loss on convertible bonds tied to the share-price increase, and net profit summed over the most recent four quarters was also slightly negative.
This shows that improvements in operating results do not automatically translate into the final net-profit line. Similar valuation swings could recur depending on future share-price movements.
The core of the growth story is concentrated in supply to Bloom Energy and Bloom SK Fuel Cell, making revenue dependence on this single customer relationship structurally high. A slowdown in that customer's orders or a change in contract terms could directly affect results. Diversification into new businesses is underway but has not yet reached a balanced revenue mix.
The debt ratio jumped to 105.7 percent at the end of 2025 from 34.0 percent in 2024, a rise mainly attributable to the recognition of convertible-bond-related liabilities, though the reported balance-sheet burden has genuinely increased.
Given its relatively small market capitalization as a KOSDAQ-listed company, trading liquidity and share-price volatility can be elevated. Should the bond retirement be delayed or additional financing become necessary, this could add further strain to the capital structure.
The core growth narrative depends heavily on expanding supply to Bloom Energy and Bloom SK Fuel Cell, so changes in that customer's order flow could directly affect results. Diversification efforts through semiconductor, defense, and ESS revenue are underway but do not yet represent a large share of the business.
Fair-value gains and losses on convertible bonds have substantially swung quarterly net income, and because this is linked to share-price movements, it is difficult to forecast. The debt ratio has also risen sharply in a short period due to the recognition of convertible-bond-related liabilities.
If the plan to exercise the call option and retire the bonds is delayed or altered, the timing of any balance-sheet improvement could also be pushed back.
If the new plant's start-up and capacity expansion do not proceed as planned, the company's ability to meet demand could be delayed. If the timeline for full-scale mass production of semiconductor valves (PSV and PRV) slips, the point at which new-business revenue becomes visible could also be pushed back.
A downturn in the traditional petrochemical and shipbuilding end markets could also outpace any offsetting growth from the new businesses.
The scheduled disclosure window for the third-quarter 2026 report, when it will be worth checking whether the operating margin holds near the recent 23 to 28 percent range and whether convertible-bond valuation effects again sway net income.
Watch for a disclosure confirming completion of the call-option exercise and retirement of the remaining convertible bonds, to check progress on resolving the share-overhang risk.
Track upcoming earnings releases for the point at which the new second plant's utilization normalizes and the effects of the capacity expansion are reflected in revenue and cost structure.
Continue monitoring for disclosures on additional supply contracts or volume expansion related to Bloom Energy and Bloom SK Fuel Cell.
Check for the point at which mass production of semiconductor PSV and PRV valves fully ramps up and related revenue begins to be reflected in results.
Hansun Engineering is in the process of expanding from its traditional instrumentation fitting and valve business into new areas including hydrogen fuel cells, secondary-battery ESS, and semiconductors.
Consolidated results for 2025 showed improvement in both revenue and operating profit, and in 2026 the operating margin has climbed to the mid-to-high 20 percent range, indicating clear operating-level growth.
However, non-cash valuation gains and losses tied to convertible bonds have significantly swung quarterly net income, leaving owners' net profit summed over the most recent four quarters slightly negative.
Supply to Bloom Energy and Bloom SK Fuel Cell, the core of the growth story, carries both the strength of sole domestic vendor status and the risk of customer concentration.
The company is working to overhaul both its production capacity and capital structure simultaneously through the new plant expansion and the convertible-bond call-option retirement plan, and whether these two initiatives are completed will be an important gauge of future earnings stability.
Investors will want to watch both the pace of operating-level improvement and the volatility in reported earnings driven by convertible-bond valuation effects.
Report written 2026-09-05 · Data as of 2026-09-04
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