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
INICS grew revenue by double digits in 2025 while operating losses persisted, with the spread of extended-range electric vehicles (EREV) in North America and the outcome of Ford's certification standing out as the next key variables.
2025 revenue rose 17.3% YoY to KRW 122.59bn, but operating loss of KRW 1.0bn marked a second straight year of operating losses
Net income attributable to owners stayed positive in both 2024 and 2025 (KRW 1.02bn and KRW 0.25bn) despite operating losses
Alabama, US plant now operating; secured Hyundai Mobis-routed cell pad orders for Hyundai and North American EREV fire-resistant cell pad orders
Final performance test results for paid samples supplied to Ford are expected to be secured sometime in 2026, per company remarks
Hyundai and Genesis plan to launch EREV models in the US in H1 2027, emerging as a mid-to-long-term demand variable for parts suppliers
INICS is an auto parts maker that pivoted to a secondary-battery safety solutions business in 2016, classified under the KOSDAQ auto new parts manufacturing sector, with core products being cell pads and fire-resistant barriers plus tapes that wrap pouch-type EV battery cells to block heat propagation.
Based on the first quarter of 2024, cell pads accounted for about 41% of revenue and tape about 22.6%, while a small group of customers led by Hyundai Mobis, Hyundai Green Power, and SK On made up roughly 80-85% of sales.
Overseas, the company supplies Volkswagen and has been shipping paid samples of fire-resistance-enhanced cell pads to Ford for a US electric vehicle program, currently under final performance testing.
Company officials said that once Ford certification is completed, the reference case is expected to draw interest from potential customers such as Volvo, Nissan, and Honda.
Production is based domestically and through a US subsidiary in Auburn, Alabama, where a plant built to produce next-generation battery cell pads (TBA) has since been completed and entered production, securing a Hyundai Mobis-routed cell pad order for Hyundai Motor.
The company has emphasized that its multi-region production footprint can work favorably amid shifting US tariff policy, and it is building a strategy to reduce tariff burden by handling production and processing directly within the US if tariffs expand.
Domestically, a pilot line for new fire-resistant materials is being built at the Asan 2 plant, while a Busan 2 plant, backed by roughly KRW 4 billion, has broken ground to produce new items, diversifying production capacity.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩33.1B | ₩68,757,362 | 0.2% |
| 2025Q3 | ₩34.1B | ₩29,975,742 | 0.1% |
| 2025Q4 | ₩26.4B | -₩1.2B | −4.7% |
| 2026Q1 | ₩26.6B | -₩600M | −2.1% |
| 2026Q2 | ₩29.4B | ₩98,190,890 | 0.3% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩114.3B | ₩9.4B | ₩10.8B | 8.2% | 14.8% | 17.0% |
| 2023 | ₩118.9B | ₩10.8B | ₩11B | 9.1% | 13.7% | 14.4% |
| 2024 | ₩104.5B | -₩1.5B | ₩1B | −1.5% | 0.8% | 13.4% |
| 2025 | ₩122.6B | -₩1B | ₩200M | −0.8% | 0.2% | 16.8% |
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
Consolidated revenue in 2025 rose 17.3% year over year to KRW 122.59 billion from KRW 104.52 billion in 2024, but the operating loss widened slightly in absolute cash-flow terms to KRW 1.00 billion, marking a second consecutive year of operating losses following KRW 1.54 billion in 2024.
Net income attributable to owners, however, stayed positive both years at KRW 0.25 billion in 2025 and KRW 1.02 billion in 2024, suggesting non-operating items partly offset the operating shortfall.
This contrasts with 2022-2023, when the company posted KRW 118.89 billion in revenue with KRW 10.79 billion in operating profit (9.1% margin) and KRW 11.02 billion in owners' net income in 2023, and KRW 114.30 billion in revenue with KRW 9.37 billion in operating profit (8.2% margin) in 2022.
Management attributed the 2024 downturn to temporary cost increases tied to the IPO, initial-stage costs from setting up new subsidiaries, and reduced orders from key customers amid an EV demand slowdown.
Over the most recent four quarters (Q3 2025 through Q2 2026), revenue moved KRW 34.11 billion, KRW 26.40 billion, KRW 26.61 billion, and KRW 29.36 billion, with operating results swinging from a KRW 0.30 billion profit to a KRW 1.24 billion loss, a KRW 0.56 billion loss, and back to a KRW 0.98 billion profit.
Owners' net income over the same span alternated between profit and loss at KRW 0.48 billion, negative KRW 0.57 billion, KRW 0.34 billion, and KRW 0.48 billion, totaling roughly KRW 0.73 billion across the four quarters.
Compared with the second quarter of 2025 (revenue KRW 33.09 billion, operating profit KRW 0.07 billion, net loss of KRW 0.01 billion), the second quarter of 2026 (revenue KRW 29.36 billion, operating profit KRW 0.98 billion, net income KRW 0.48 billion) shows smaller revenue but improved profitability.
The balance sheet remains relatively stable, with the debt ratio at 16.8% at end-2025 (versus 13.4% in 2024 and 14.4% in 2023), though operating cash flow turned negative at KRW 2.32 billion in 2025, diverging from the positive net income trend.
The EV market underwent a demand slowdown, often called a chasm, in 2023-2024, and reduced orders from INICS's key customers during that period contributed to weaker results.
Hyundai Motor CEO Jose Munoz stated at the 2026 CEO Investor Day that the company now views the chasm as over and sees only differing paces across markets, signaling a shift toward a hybrid- and EREV-centered electrification strategy.
In particular, EREVs, which carry smaller batteries than pure EVs while still enabling long-distance driving, are emerging as a new alternative in the US market, with Ram, Jeep, Scout, Hyundai, Genesis, Kia, and Ford all preparing related models.
Hyundai and Genesis plan to launch EREV versions of the Santa Fe and GV70, respectively, in the US market, with the Santa Fe EREV to be produced locally at the Alabama plant and targeting a driving range of over 600 miles.
This spread of EREVs is directly tied to demand for battery safety components such as cell pads and fire-resistant barriers, potentially forming a favorable industry backdrop for parts suppliers like INICS.
However, EREV batteries are being developed as separate high-performance, high-output cells, which could require spec changes or re-certification of existing cell pads and fire-resistant materials.
On the competitive front, automakers and battery makers may consider in-house fire-resistant materials or rival components in parallel, meaning INICS's market position depends heavily on the success of new customer certifications such as Ford's.
The company said that through its Auburn, Alabama plant, it has secured, in addition to a Hyundai Mobis-routed cell pad order for Hyundai Motor, a fire-resistant battery cell pad order tied to North American EREV programs.
Final performance test results for the paid samples supplied to Ford are expected to be obtained sometime in 2026, according to company remarks. Domestically, a Busan 2 plant backed by roughly KRW 4 billion has broken ground to expand capacity for new items, with completion approaching.
A pilot line is also being built at the Asan 2 plant to produce products using new fire-resistant materials meant to replace existing raw materials.
On the demand side, Hyundai and Genesis plan to launch the Santa Fe and Genesis EREV models in North America first in the first half of 2027, while Kia intends to roll out EREVs across large SUVs and pickup trucks over time, potentially forming a longer-term growth driver for parts demand.
However, since these new vehicle programs are not slated for mass production and sales until 2027 or later, there could be a lag before they are meaningfully reflected in INICS's revenue.
Genesis also plans to launch the GV80 HEV, its first hybrid model, in the fourth quarter of 2026, another development worth watching as automakers diversify their electrified powertrain portfolios and related parts demand.
Samsung Securities, the lead underwriter when INICS listed on KOSDAQ in February 2024, stated in a report dated June 25, 2024, that the stock was trading at a projected 2024 price-to-earnings ratio of about 15.3x and a price-to-book ratio of about 1.1x.
Given that operating losses have persisted since then and net income has shrunk considerably, the price-to-earnings level implied by current earnings appears to sit above the upper end of that roughly 15x band cited at the time.
On a price-to-book basis, however, the share price relative to equity has fallen below that roughly 1x band cited at the time, trading at a level that does not even reach net asset value. The company currently pays no dividend, leaving limited incentive for shareholder return through distributions.
Even though 2025 revenue grew by double digits year over year, operating results remain in loss territory, meaning future valuation could hinge on the pace of any return to profitability and progress on EREV-related and overseas customer expansion.
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
2025 revenue rose 17.3% year over year to KRW 122.59 billion, and owners' net income was positive in three of the last four quarters. The fact that net income has largely stayed positive even as operating losses persisted points to a degree of financial buffer.
INICS has said it secured a fire-resistant battery cell pad order tied to North American EREV programs through Hyundai Mobis. With Hyundai, Genesis, Ram, Jeep, Scout, and Ford among many automakers preparing EREV models for 2026-2027, the demand base for related components could broaden.
The debt ratio stood at 16.8% at end-2025, similar to the low 13.4-17.0% range seen from 2022 to 2024. The share price relative to net assets also trades below the band cited at the time of listing, suggesting relatively contained balance-sheet risk.
The company posted operating losses in both 2024 and 2025, and even over the most recent four quarters, results alternated between small profits and losses. The failure of the operating margin to stabilize in positive territory even as revenue recovers is a concern.
A handful of customers led by Hyundai Mobis, Hyundai Green Power, and SK On account for 80-85% of revenue, and reduced orders from major customers were a direct cause of weak results in early 2024. Repeated volume adjustments by specific customers could amplify earnings volatility.
Final certification results for the paid samples supplied to Ford have not yet been obtained, and expansion to potential customers such as Volvo, Nissan, and Honda depends on the outcome of that certification.
Since EREV batteries are being developed as separate high-performance cells, existing component specifications may also require re-certification.
With revenue concentrated among a small number of automakers and battery makers, a repeat of production plan changes or an EV demand slowdown at a key customer could again shake revenue and earnings. A recurrence of order cancellations or reductions similar to early 2024 cannot be ruled out.
If expansion timelines for the Alabama plant and Busan 2 plant, or the completion of Ford's certification, slip beyond plan, the reflection of new revenue could also be delayed. The strategy for responding to US tariff policy changes may also need to be recalibrated depending on the direction of future policy.
As a small-cap stock with limited trading volume and market capitalization, the shares can be more sensitive to supply-and-demand-driven price swings. The company currently pays no dividend, leaving relatively limited incentive from a shareholder-return standpoint.
The Q3 2026 earnings release will show whether revenue growth continued and whether operating results turned positive.
Watch for the final certification test results on the Ford paid samples and the completion of the Busan 2 plant. A successful certification could serve as a reference for expanding to potential customers.
Genesis is scheduled to launch the GV80 HEV, worth watching for whether it diversifies component demand as the electrified powertrain portfolio expands.
This marks the planned US launch of the Hyundai Santa Fe EREV and Genesis GV70 EREV and the start of mass production at the Alabama plant, a point at which any reflection of EREV-related revenue at INICS can be checked.
INICS is a small-cap auto parts maker focused on secondary-battery safety solution components such as cell pads and fire-resistant barriers, and while 2025 revenue grew 17.3% year over year in a sign of recovery, operating results remained in loss territory for a second straight year.
Net income attributable to owners stayed positive in both years, however, and the most recent four quarters continued to alternate between profit and loss without reaching full stability.
The customer base is concentrated among a small number of firms including Hyundai Mobis and SK On, and order volatility from this concentration has directly affected results before.
On the other hand, the operating Alabama plant, new North American EREV-related orders, and the ongoing Ford certification process are potential catalysts for diversifying overseas revenue.
The planned US launch of Hyundai and Genesis EREV models in the first half of 2027 remains a key variable for gauging the medium-to-long-term direction of component demand.
The balance sheet maintains a low debt ratio but the company pays no dividend, and its future earnings trajectory appears likely to hinge on the pace of any return to profitability and the outcome of new customer certifications.
Report written 2026-09-05 · Data as of 2026-09-04
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