PER, EPS, PBR and BPS are calculated in-house from the last 4 quarters (2025Q1–2025Q4) · Dividend yield is based on ₩0 per share · Prices as of the 2026-10-02 close
KGA's electrode process equipment revenue has been recovering gradually on a quarterly basis, but on a full-year 2025 basis, revenue fell sharply and operating profit swung into a loss.
Full-year 2025 revenue fell 64.7% to KRW 18.1 billion from KRW 51.4 billion in 2024, and operating profit swung from a KRW 3.4 billion gain to a KRW 3.7 billion loss.
Quarterly revenue rose sequentially from KRW 345 million to KRW 899 million to KRW 1.66 billion between Q3 2025 and Q2 2026, but operating and net losses actually widened over the same period.
Completion of the new Pyeongtaek plant expanded annual production capacity for electrode process equipment and related businesses to around KRW 200 billion.
The company is pursuing multiple new businesses including solid-state battery equipment, dry electrode processes, humanoid robot power solutions, and drone batteries, with subsidiary KGA Robotics dedicated to robot power solutions.
As a recently listed small-cap stock, trading value has been relatively low, warranting attention to liquidity risk.
KGA, founded in 2017, is a specialist in electrode process equipment for secondary batteries that listed on KOSDAQ in June 2025 through a SPAC merger.
Its core business is the development and production of electrode process equipment—coaters, presses, and slitters—used in battery manufacturing, alongside a separate air-conditioning duct automation and engineering business.
New businesses under development include electrode process equipment for solid-state batteries, dry electrode process equipment, and Gel-Casting process equipment, and the company has also expanded into aerogel equipment for aerospace and defense applications, battery restoration equipment, and anode flake materials.
Through subsidiary KGA Robotics, the company is pursuing extended power solutions dedicated to robots including humanoids, and it signed a technology agreement with robot system integrator Gosung Engineering to develop an integrated cover-battery solution for AI drones, merging its expandable power solution with drone case covers.
In the cathode materials segment, the company said it commercialized an eco-friendly aqueous processing technology that replaces organic solvents with water, applying it to LFP cathode active material.
Revenue mix has shifted substantially by year: in 2024, Coater accounted for 55.6%, Press 11.5%, Slitter 7.6%, and other 25.2%, while in 2025 the composition changed markedly to Coater 20.1%, Press 13.9%, Slitter 0.6%, and other 65.4%.
Completion of the new Pyeongtaek plant expanded annual production capacity for electrode equipment and related businesses to around KRW 200 billion, positioning the company to handle future commercial-scale orders.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | — | — | — |
| 2025Q3 | ₩300M | -₩1.7B | −486.0% |
| 2025Q4 | — | — | — |
| 2026Q1 | ₩900M | -₩1.2B | −136.0% |
| 2026Q2 | ₩1.7B | -₩1.9B | −115.9% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2024 | ₩51.4B | ₩3.4B | ₩2.8B | 6.6% | 11.6% | 201.2% |
| 2025 | ₩18.1B | -₩3.7B | -₩9.6B | −20.4% | −22.9% | 142.5% |
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 fell 64.7% to KRW 18.1 billion from KRW 51.4 billion in 2024, while operating profit swung from a KRW 3.4 billion gain (operating margin of 6.6%) in 2024 to a KRW 3.7 billion loss (operating margin of -20.4%) in 2025.
Net income attributable to owners also swung from a KRW 2.8 billion profit in 2024 to a KRW 9.6 billion net loss in 2025, with the loss magnitude exceeding the pace of the revenue decline.
Operating cash flow, however, improved from -KRW 2.8 billion in 2024 to KRW 1.3 billion in 2025, diverging from the reported net loss trend.
Total equity rose from KRW 24.1 billion to KRW 42.0 billion and total liabilities rose from KRW 48.6 billion to KRW 59.8 billion, yet the debt ratio actually declined from 201.2% to 142.5%, suggesting the capital increase effect outweighed the impact of the net loss.
On a quarterly basis, the company posted revenue of KRW 345 million with an operating loss of KRW 1.68 billion and a net loss of KRW 1.65 billion in Q3 2025, followed by revenue of KRW 899 million with an operating loss of KRW 1.22 billion and a net loss of KRW 1.57 billion in Q1 2026, and revenue of KRW 1.66 billion with an operating loss of KRW 1.92 billion and a net loss of KRW 1.98 billion in Q2 2026.
Revenue rose for three consecutive quarters, yet operating and net losses widened further, indicating that the pace of revenue recovery has not kept up with rising fixed costs such as depreciation from the new plant and higher personnel expenses.
Securities analysts have attributed the revenue weakness partly to delays in equipment purchase timing by certain customers and lingering effects following a prior-year revenue surge.
Some analysis suggests that whether profitability improves going forward will depend on securing meaningful new orders for commercialized equipment.
The global secondary battery industry is assessed to have passed through a period of slower equipment order cycles between 2024 and 2025, driven by pacing adjustments in capital investment and inventory corrections among automakers and cell manufacturers.
Accordingly, analysts have suggested that KGA, as an electrode process equipment supplier, was affected by delays in equipment purchase timing from certain customers.
Meanwhile, the industry is undergoing a transition toward next-generation battery technologies such as solid-state batteries, dry electrode processes, and sodium batteries, which could generate new equipment demand.
Expectations for growing demand for robot power solutions, tied to the expanding humanoid robot market, are also being discussed broadly across the industry.
KGA is a small to mid-sized domestic equipment maker that develops and manufactures core electrode process equipment—coaters, presses, and slitters—in-house; while its revenue scale is smaller than larger equipment makers, it is attempting portfolio diversification by simultaneously pursuing multiple new businesses spanning solid-state, dry electrode, and robot power solutions.
However, commercial-stage order volumes remain limited so far, leaving the timing and scale at which these new businesses convert into actual revenue as a key variable for gauging the company's relative position going forward.
Following its listing, the company set a target of surpassing KRW 100 billion in annual orders for the first time, designating solid-state batteries and expandable power solutions for humanoid robots as its two growth pillars while expanding operations centered on the new Pyeongtaek plant.
It has been reported that the company completed a first-stage factory acceptance test (FAT) for its coater and slitter electrode process equipment with a U.S.-based global solid-state battery specialist, making the subsequent site acceptance test (SAT) and progress toward mass production key items to monitor.
In December 2025, the company announced it had secured two consecutive orders for secondary battery electrode process equipment from multiple firms, and stated that discussions with prospective customers were ongoing for its newly launched battery restoration business.
A brokerage report indicated that in the first quarter of 2026 the company secured two orders for electrode and assembly process equipment, though the timing and scale at which these orders will be recognized as revenue still require confirmation.
In January 2026, the company signed an agreement with Gosung Engineering to develop an integrated cover-battery solution for AI drones, continuing efforts to broaden its application areas into mobility and drones.
Brokerage analysts have noted that while the company built a new plant capable of handling commercial-scale orders, order volumes secured so far remain limited, and they view securing meaningful new orders as a precondition for fundamental recovery.
The current share price appears to trade at a discount to the company's disclosed per-share net asset value, which can be interpreted as reflecting the recent swing to a net loss and ongoing earnings uncertainty.
The company did not pay a cash dividend in its most recent fiscal year, meaning shareholder returns through dividends are currently absent. Given the swing from a profit in 2024 to a loss in 2025, traditional earnings-based valuation yardsticks are difficult to apply at this stage.
As a small-cap stock, trading value has been relatively low, so liquidity considerations should also be factored into any interpretation of valuation metrics. How the market assesses the share price relative to net asset value going forward may shift depending on the pace of new order intake and revenue recovery.
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
Quarterly revenue rose sequentially from KRW 345 million in Q3 2025 to KRW 899 million in Q1 2026 and KRW 1.66 billion in Q2 2026. This can be interpreted as the company having passed a revenue trough and entered a recovery phase, making it worth watching whether this trend continues. However, more time appears needed before this recovery pace translates into improved profitability.
The company is simultaneously pursuing multiple new businesses spanning solid-state batteries, dry electrodes, humanoid robot power solutions, drone batteries, aerogel, and battery restoration equipment.
Completion of the new Pyeongtaek plant expanded annual production capacity to around KRW 200 billion, providing infrastructure to handle commercial-scale volumes. As the business portfolio diversifies, dependence on revenue from any single product line could decrease.
Operating cash flow in 2025 was KRW 1.3 billion, an improvement from -KRW 2.8 billion in 2024. This represents a divergent signal on cash generation relative to the widening net loss reported for the same period.
This may reflect factors such as inventory changes and non-cash income adjustments, so it will be important to confirm whether this trend is sustainable.
Full-year 2025 revenue fell 64.7% to KRW 18.1 billion from KRW 51.4 billion the prior year, and operating profit swung from a gain to a KRW 3.7 billion loss. The net loss attributable to owners reached KRW 9.6 billion, exceeding the magnitude of the revenue decline. The earnings structure reversed entirely within a single year, suggesting recovery may take time.
Although revenue increased for three consecutive quarters, the operating loss widened from KRW 1.68 billion in Q3 2025 to KRW 1.92 billion in Q2 2026, and the net loss widened from KRW 1.65 billion to KRW 1.98 billion over the same period.
Fixed cost burdens from operating the new plant may have outpaced the rate of revenue recovery. If this trend continues, the need for additional capital could grow.
Brokerage analysts have assessed that despite building a new plant capable of handling commercial-scale orders, order volumes secured so far remain limited. Analysis suggests that meaningful new orders must be secured for revenue and profit to recover.
Since delays in equipment purchase timing by certain customers were cited as a major cause of the past revenue decline, uncertainty around the timing of customer orders remains.
Revenue is structurally exposed to the equipment purchase timing of a limited number of customers, meaning order delays or cancellations from any single customer could directly affect results. Delayed equipment purchase timing by certain customers was previously cited as a major cause of the sharp revenue decline.
New businesses also remain at an early commercialization stage, adding uncertainty around the timing of revenue recognition.
The debt ratio declined to 142.5% in 2025 from 201.2% the prior year, but the net loss attributable to owners of KRW 9.6 billion represents a significant earnings burden. If the trend of widening quarterly losses continues, the need for additional funding or capital raises could increase. Operating cash flow improved, but whether this trend is sustainable requires further confirmation.
According to a brokerage report, the 60-day average trading value has been relatively low at around KRW 200 million, a factor that can amplify price volatility in the event of large trades. As a stock listed for just over a year, it may take more time for float ratios and trading patterns to stabilize.
Given the limited liquidity typical of small-cap stocks, attention should be paid to the potential for price distortions driven by information asymmetry or short-term supply-demand imbalances.
The Q3 2026 report is expected to be disclosed around this time; investors should check whether the quarterly revenue recovery trend (from KRW 345 million to KRW 899 million to KRW 1.66 billion) continues and whether the widening operating loss trend stabilizes.
It will be important to check for disclosures of large commercial-scale orders alongside rising utilization at the new Pyeongtaek plant, with a key focus on whether the 'meaningful new orders' cited by analysts materialize.
Progress on commercializing KGA Robotics' extended power solutions for robots and any announcements on prototype results from the drone battery collaboration with Gosung Engineering should be monitored.
This marks the timing of the 2026 annual audit report disclosure, when full-year profitability trends and further changes in financial soundness metrics such as total equity and the debt ratio should be reviewed.
KGA is a KOSDAQ-listed small to mid-sized equipment maker specializing in electrode process equipment for secondary batteries, and its full-year 2025 results showed a clear downturn marked by a sharp revenue decline and a swing to an operating loss.
That said, the sequential increase in quarterly revenue from Q3 2025 through Q2 2026 could be interpreted as a signal that revenue has passed a trough, though operating and net losses widened over the same period, suggesting that further time is needed before profitability improves.
Completion of the new Pyeongtaek plant expanded production infrastructure, and the company continues to pursue portfolio diversification through multiple new businesses spanning solid-state batteries, dry electrodes, humanoid robot power solutions, and drone batteries.
However, brokerage analysts have flagged the absence of meaningful new orders for commercialized equipment as a precondition for earnings recovery that has yet to be met.
On the financial side, some positive signals emerged, including a lower debt ratio and improved operating cash flow, but the scale of the net loss and the relatively low trading value typical of small-cap stocks remain points of caution.
Going forward, quarterly results, new order disclosures, and the progress of new business commercialization are likely to be the key variables shaping the company's trajectory.
Report written 2026-09-05 · Data as of 2026-09-04
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