KOSDAQEnergy & Power453450

Gridwiz

₩13,370▲ 3.00%2026-10-02 close

Market Cap

₩104.9B

Turnover

₩200M

Volume

20,000 shares

Shares out.

7.9M

PER

86.4×

PBR

0.8×

EPS

₩149

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

Korea's No.1 in DR, Marked Seasonality

Gridwiz is Korea's No.1 demand response (DR) operator that swung to an annual operating profit in 2025, but its earnings remain heavily seasonal, with the first half of 2026 returning to operating losses.

1
2025 consolidated operating profit turned positive at KRW 0.816bn versus a loss of KRW 4.34bn in 2024, but the company posted operating losses again for three straight quarters from 2025Q4 through 2026Q2.
2
In 2025Q3, the peak summer DR season, the company posted its strongest quarter of the year with revenue of KRW 42.69bn, operating profit of KRW 3.34bn, and net profit attributable to owners of KRW 7.83bn.
3
In August 2026 the company issued its first convertible bonds since listing—a KRW 25bn private placement with zero coupon and no repricing—to fund domestic grid-connected ESS and Australian BESS projects.
4
The company signed an MOU with a small modular reactor (SMR) developer to jointly develop integrated power-and-cooling solutions for AI data centers, expanding into new business areas.
5
If the convertible bonds are fully converted, new shares equal to 22.3% of existing shares outstanding would be issued, creating a potential dilution overhang.

Business structure

Founded in 2013, Gridwiz is an energy data technology company built around four business lines: demand response (DR), energy storage systems (ESS), e-mobility (EV charging), and photovoltaic (PV) solutions.

According to the IPO prospectus, demand response accounted for 84% of revenue at the time, functioning as the company's core cash-generating business.

By acquiring IDR Service, which held a 47% share of Korea's power demand management market, Gridwiz became the country's only virtual power plant (VPP) operator holding all four distributed energy resources—DR, EM, ESS, and PV.

Its customer base spans roughly 700 companies across semiconductors, automotive, shipbuilding, steel, and chemicals, with a customer retention rate above 90%. The virtual power plant it operates has a scale of about 4GW, comparable to four nuclear reactors, and is registered in the power market as a Gridwiz generator.

In e-mobility, the company addresses electrification demand through Vehicle-to-Grid (V2G) technology and its 'Skyblue' smart charger lineup, and it participated in the EV Trend Korea event in August 2026.

More recently, the company has proposed an integrated energy management model for data center customers spanning power demand forecasting, grid interconnection, ESS operation, and power market bidding as a new growth axis.

Competitively, Gridwiz holds a leading position in domestic DR, but faces a more fragmented competitive field in the newer ESS, VPP, and V2G segments both domestically and abroad.

Earnings trend

Quarterly revenue · Operating profit

₩26.1B₩1.4B25Q2₩42.7B₩3.3B25Q3₩34.7B-₩600M25Q4₩20.6B-₩2.2B26Q1₩20.9B-₩1.7B26Q2

RevenueOperating profit

Annual revenue · Operating profit

₩131.9B₩1.6B2023₩124.7B-₩4.3B2024₩125.6B₩800M2025

RevenueOperating profit

Quarterly results · Last 5 quarters
Quarter	Revenue	Operating profit	Op. margin
2025Q2	₩26.1B	₩1.4B	5.5%
2025Q3	₩42.7B	₩3.3B	7.8%
2025Q4	₩34.7B	-₩600M	−1.7%
2026Q1	₩20.6B	-₩2.2B	−10.7%
2026Q2	₩20.9B	-₩1.7B	−7.9%

Annual results
Year	Revenue	Operating profit	Net income (parent)	Op. margin	ROE	Debt-to-equity
2023	₩131.9B	₩1.6B	₩4.3B	1.2%	5.6%	59.1%
2024	₩124.7B	-₩4.3B	-₩3B	−3.5%	−2.3%	29.4%
2025	₩125.6B	₩800M	₩2.1B	0.6%	1.6%	41.7%

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

Earnings analysis

Consolidated revenue in 2025 was KRW 125.6bn, a modest increase from KRW 124.7bn in 2024, while operating profit turned positive at KRW 0.816bn, reversing a KRW 4.34bn operating loss in 2024. Net profit attributable to owners also recovered to KRW 2.14bn from a loss of KRW 3.01bn in 2024.

However, compared with 2023, when revenue was KRW 131.9bn, operating profit was KRW 1.59bn, and owners' net profit was KRW 4.31bn, current revenue is actually lower and profitability remains in an early recovery stage. Quarterly results show pronounced seasonality.

In 2025Q3, when summer power demand peaks, the company posted its strongest results of the year with revenue of KRW 42.69bn, operating profit of KRW 3.34bn, and owners' net profit of KRW 7.83bn.

But operating and net losses returned for three consecutive quarters afterward: 2025Q4 (revenue KRW 34.67bn, operating loss KRW 0.60bn, net loss KRW 4.40bn), 2026Q1 (revenue KRW 20.61bn, operating loss KRW 2.20bn, net loss KRW 1.30bn), and 2026Q2 (revenue KRW 20.86bn, operating loss KRW 1.65bn, net loss KRW 0.95bn).

This reflects the structural nature of the DR business, whose earnings are concentrated around summer peak-load management, with fixed costs weighing relatively more heavily during off-peak quarters.

Even summed over the most recent four quarters (2025Q3 through 2026Q2), the first-half losses largely offset the third-quarter profit, meaning the full-year earnings trajectory continues to hinge heavily on second-half—particularly third-quarter peak season—performance.

Industry analysis

Korea's VPP and V2G markets are projected to grow at an average annual rate of 35% through 2030, with platform demand expected to rise further as the 11th Basic Plan for Electricity Supply and Demand increases the share of distributed power sources.

The spread of artificial intelligence and stronger carbon-neutrality policies are elevating the importance of demand response, which is increasingly seen as an efficient alternative to building new generation capacity.

In particular, rapidly rising power demand from AI data centers is creating new business opportunities around integrated energy management covering demand forecasting, grid interconnection, and ESS operation for data center customers.

Since June 2024, the government has piloted real-time markets, reserve markets, and renewable energy bidding systems in Jeju, and the enforcement of the Distributed Energy Activation Special Act signals further structural changes to Korea's power market.

Gridwiz strengthened its leading position in the domestic DR market through the acquisition of IDR Service, but in newer growth areas such as ESS, VPP, and V2G, multiple competitors are also reinforcing their technology and expanding market share, making the competitive landscape more fluid.

From a cycle perspective, structural tailwinds exist from policy support and AI-driven power demand growth, but the domestic ESS market has reportedly gone through a relatively stagnant period, suggesting the new businesses may need more time before their contribution becomes substantial.

Outlook

In June 2026, Gridwiz held an investor relations event in Seoul's Yeouido district for institutional investors and analysts, presenting data center energy management as a future growth axis and unveiling a global expansion strategy centered on Australia, the United States, China, and Japan.

The company plans to build an integrated energy management business model for data center customers spanning power demand forecasting and optimization, demand resource operation, power market bidding, and ESS-linked operation.

On the funding side, in August 2026 the company issued its first convertible bonds since listing, totaling KRW 25bn, to be split between KRW 18bn for facility investment and KRW 7bn for operating funds; of the facility portion, KRW 9bn is earmarked for domestic grid-connected ESS construction, KRW 9bn for an Australian BESS project, with the remaining KRW 7bn allocated to domestic and overseas AI data center businesses and further overseas BESS expansion.

In July 2026 the company was selected as the operator for three distribution lines in the Honam region under the government's 'AI-utilizing ESS Deployment Support Project,' committing to build 12MW/60MWh of ESS capacity.

On the new business front, the company signed an MOU with an SMR developer to jointly develop integrated power-and-cooling solutions for AI data centers, and is also exploring data center cooling technology utilizing low-temperature heat sources.

However, these new initiatives remain at an early stage, and the timing and scale of their contribution to revenue and profit have not yet been confirmed.

Valuation

PER

86.4×

PBR

0.8×

ROE

0.9%

EPS

₩149

BPS

₩16,488

Dividend per share

₩0

Gridwiz's stock exhibits a dual valuation profile: it trades at a discount relative to net asset value, while trading at a substantial premium relative to its recent scale of earnings.

This reflects the fact that although the company turned from a loss in 2024 to a profit in 2025, the absolute size of that profit remains small and highly seasonal, making earnings-based multiples more sensitive than revenue- or asset-based multiples.

There is no confirmed recent dividend payment history, making a dividend-based approach difficult to apply to this stock.

The fact that a price-to-sales (PSR) approach was used to set the IPO offering price also illustrates that the company's valuation has growth-stock characteristics that are not easily captured by traditional earnings-based metrics alone.

Going forward, the stability of earnings-based valuation may shift depending on the pace of profit recovery and whether new businesses—ESS, data centers, and overseas BESS—begin contributing meaningfully to revenue.

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

Bull factors

Structural Growth in Domestic DR/VPP Market

Korea's VPP and V2G markets are projected to grow at a 35% average annual rate through 2030, with distributed power sources expanding under the 11th Basic Plan for Electricity Supply and Demand.

Through its acquisition of IDR Service, Gridwiz secured a 47% share of the DR market and rose to the industry's top position, becoming the only domestic VPP operator holding all four resources—DR, EM, ESS, and PV.

Surging power demand from AI data centers is cited as a factor further increasing the need for demand management services.

2025 Profit Turnaround and Earnings Recovery Path

Consolidated operating profit in 2025 turned positive at KRW 0.816bn, reversing a KRW 4.34bn loss in 2024, and owners' net profit also moved out of loss territory to KRW 2.14bn.

In 2025Q3, the company posted its strongest results of the year with revenue of KRW 42.69bn and operating profit of KRW 3.34bn, demonstrating the profitability of the summer DR peak season. Cost efficiency improvements and business structure changes are cited as drivers of the turnaround.

Diversification into ESS, Data Centers, and Overseas BESS

Through the KRW 25bn convertible bond issued in August 2026, the company plans to allocate KRW 9bn each to domestic grid-connected ESS and an Australian BESS project.

It has proposed an integrated energy management business model for AI data center customers, spanning power demand forecasting through ESS-linked operation, as a new growth axis. Through an MOU with an SMR developer, the company is also expanding into data center cooling technology.

Bear factors

Summer-Concentrated Seasonality and Recurring Off-Season Losses

After posting an operating profit of KRW 3.34bn in 2025Q3, the company recorded operating losses for three consecutive quarters from 2025Q4 through 2026Q2. Because DR revenue is structurally concentrated around summer peak-load management, off-season fixed costs repeatedly erode profitability.

The fact that the full-year earnings trajectory hinges heavily on a single peak quarter reduces earnings predictability.

Dilution Overhang from Convertible Bond Issuance

If the KRW 25bn convertible bonds issued in August 2026 are fully converted, roughly 1.77 million new shares—equal to 22.3% of shares outstanding—would be issued. The conversion price is fixed at KRW 14,116, meaning conversion pressure could rise if the share price exceeds that level.

While the zero-coupon structure limits cash cost, it remains unconfirmed whether the new investments will translate into meaningful revenue and profit.

Early-Stage New Businesses Amid a Stagnant Domestic ESS Market

Most new businesses—Australian BESS, AI data center power-and-cooling solutions, and SMR-linked cooling technology—remain at the MOU or pilot-project stage.

The domestic ESS market has reportedly gone through a relatively stagnant period, meaning there could be a lag before new businesses translate into substantial revenue contribution. Competition may also intensify in the ESS, VPP, and V2G segments, where multiple rivals are reinforcing their technology and market share.

Risk factors

Earnings Seasonality and Volatility

Because DR business revenue is concentrated around summer peak-load management, quarterly results show significant variation. The pattern of three consecutive quarters of losses following a profitable 2025Q3 illustrates how this seasonality can recur.

A structure in which a large share of annual results depends on a specific season makes earnings forecasting more difficult for investors.

Capital Raising and Equity Dilution

The first convertible bond issuance in August 2026 secured funding for new business initiatives, but full conversion would add shares equal to 22.3% of the existing total. If further capital raising is needed as new businesses expand, similar dilution issues could recur.

Dependence on Policy and Regulatory Framework

The DR, VPP, and ESS businesses are heavily dependent on government policy and institutional design, including the Distributed Energy Activation Special Act and the 11th Basic Plan for Electricity Supply and Demand.

Many related systems, such as Jeju's real-time market, remain at a pilot stage, so policy shifts or regulatory delays could affect the pace of business growth.

What to watch next

Around November 2026
2026Q3 earnings are due to be released. A key point to watch is whether summer peak-season results recover to levels comparable to the prior year (operating profit of KRW 3.34bn) and offset accumulated first-half losses.
From September 2026 onward
It is worth tracking how the KRW 25bn convertible bond proceeds issued in August are actually deployed toward domestic grid ESS and Australian BESS projects, and whether related contract or construction disclosures follow.
During Q4 2026
Follow-up disclosures or reports should be checked to see whether the integrated energy management model for AI data centers and the SMR-linked cooling solution progress into concrete contracts or revenue.
Q4 2026 through early 2027
It is worth checking whether concrete details on the Australian BESS project—such as project scale, partners, and start-up timing—are disclosed.

Overall view

Gridwiz holds a structurally distinct position as Korea's No.1 DR operator and the only company holding all four VPP resources—DR, EM, ESS, and PV—and it successfully turned to an annual operating profit in 2025.

However, with profits concentrated heavily in the summer peak-season third quarter, the company recorded operating losses for three consecutive quarters from 2025Q4 through 2026Q2.

In August 2026 the company issued its first convertible bond since listing to fund ESS, overseas BESS, and data-center-related new businesses, but the potential 22.3% dilution if bonds are fully converted is a notable overhang.

Rising power demand from AI data centers and expanding distributed energy policy are cited as structural growth drivers, but most new businesses remain at the MOU or pilot stage, and the timing of their revenue contribution is not yet confirmed.

Investors may wish to monitor the degree of recovery in the upcoming third-quarter peak season, the pace at which new businesses convert into revenue, and share issuance trends related to the convertible bonds.

Sources

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

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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.