Black Yak I&C

Black Yak I&C started in 2013 as an online shopping mall selling BYN Black Yak products, then transformed into a dedicated safety-equipment maker in 2018 by taking over BYN Black Yak's industrial safety division.

Its core products are safety footwear, safety workwear, and other protective gear, marketed through the premium 'Black Yak Workwear' brand and the casual 'Worxone' line, primarily on a B2B basis, while recently expanding into B2C channels such as Costco and Traders.

Safety footwear accounts for a substantial share of sales, with workwear and other protective gear making up the rest.

The company listed on KOSDAQ in January 2025 through a merger with Mirae Asset Vision SPAC No.1, and its first move as a listed entity was the roughly KRW74.2 billion acquisition of Hanju Chemical, a gas-based fire suppression equipment maker.

Hanju Chemical has supplied Halon gas domestically since 1998 and provides nitrogen- and halocarbon-based gas suppression systems and cabinet-type automatic extinguishers to customers including Samsung Electronics and SK hynix, typically installed at data centers, semiconductor fabs, and power plants where water-based suppression is unsuitable.

The acquisition was financed with KRW18 billion from the parent, KRW17 billion from financial investors, and the remainder through borrowings by the special purpose company St.Veta 1st.

The largest shareholder is Kang Jun-seok, eldest son of BYN Black Yak Group chairman Kang Tae-sun, holding a 53.22% stake, while his sister Kang Young-soon holds 22.98%, a structure closely watched in the context of second-generation succession.

The domestic safety equipment market is an oligopoly led by K2 Safety, Zeben Safety, and Black Yak I&C, with newer entrants such as Boldest, Eider Safety, Arkerd, and C&Tous's workwear specialty store 'Aer Works' intensifying competition.

Consolidated revenue for 2025 reached KRW57.26 billion, up 51.9% from KRW37.69 billion in 2024, and operating profit rose 13.4% to KRW9.28 billion from KRW8.30 billion. However, the operating margin declined to 16.2% in 2025 from 22.0% in 2024 and 22.9% in 2023, meaning profitability retreated even as scale expanded.

The more striking shift was at the net income line: consolidated net loss in 2025 was KRW-5.64 billion, a clear swing to loss versus net income of KRW6.98 billion in 2024 and KRW6.21 billion in 2023.

Net income attributable to the controlling shareholder, however, remained barely positive at KRW92 million, as most of the loss was absorbed by non-controlling (financial investor) interests tied to the special purpose vehicle used for the Hanju Chemical acquisition.

On a quarterly basis, net income attributable to owners was KRW-7.38 billion in 2025Q2, reflecting concentrated one-off costs from the SPAC merger and subsidiary acquisition, before recovering to KRW1.58 billion in Q3 and KRW8.16 billion in Q4.

In 2026, owner net income eased to KRW0.99 billion in Q1 before rebounding to KRW4.84 billion in Q2, with revenue climbing to a quarterly record of KRW24.88 billion.

As a result, combined owner net income over the most recent four quarters (2025Q3-2026Q2) reached KRW15.57 billion, indicating a substantial profit recovery once the initial one-off acquisition costs passed.

On the cash-flow side, operating cash flow turned negative at KRW-4.73 billion in 2025, reversing the positive flows of KRW0.83 billion in 2024 and KRW7.54 billion in 2023, reflecting acquisition-related cash outlays and temporary funding pressure from consolidating the new subsidiary.

The domestic safety equipment market surpassed KRW1 trillion for the first time last year at KRW1.0301 trillion and is forecast to grow at a 6.3% CAGR to KRW1.2352 trillion by 2027.

A key structural driver has been the Serious Accidents Punishment Act, whose enforcement was expanded to workplaces with five or more employees starting in 2024, pushing up demand for premium safety footwear and workwear.

The global industrial safety footwear market is also projected to expand from $8.24 billion this year to $15.89 billion by 2035, suggesting further medium-term growth potential.

Competition, however, is intensifying as new entrants join the traditional three-way oligopoly of K2 Safety, Zeben Safety, and Black Yak I&C, including newer brands such as Boldest, Eider Safety, and Arkerd, along with Hyungji Elite's 'Willbee Workwear,' C&Tous's 'Aer Works,' and Trading Post's 'Workup' outlet chain.

The gas-based fire suppression market where Hanju Chemical operates is directly tied to capital spending on facilities that cannot use water-based systems, such as data centers, semiconductor fabs, and power plants, with AI-driven data center investment emerging as a new demand driver.

That said, Hanju Chemical's own revenue fell from KRW41.1 billion in 2024 to KRW31.4 billion in 2025, underscoring that its results carry volatility tied to the data-center capex cycle.

The company said proceeds from the KRW15 billion second-round private convertible bond issued in May 2026 will be used for general operating funds and to improve the financial structure of its Hanju Chemical subsidiary over 2026-2027.

On the dividend front, it has implemented a differential dividend favoring general shareholders for two consecutive years, and has also flagged plans to raise dividend payouts and introduce an interim dividend, signaling continued emphasis on shareholder returns.

On the product side, following earlier hit items such as Korea's first GPS-enabled safety shoe and heated vests, the company unveiled the wearable smart PPE 'Sky Shield' and pursued a CES 2026 Innovation Award, while stating plans to expand direct sales activity toward global buyers at CES 2027.

On distribution, it is broadening from a B2B focus toward B2C by entering large retail channels such as Costco and Traders.

Since Hanju Chemical's results have only been consolidated since June 2025, 2026 will be the first year reflecting a full twelve months of consolidation, and some market commentary has suggested this could push annual revenue above KRW80 billion.