New Risk • May 24
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 19% Last year net profit margin: 29% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (19% net profit margin). Announcement • Feb 27
Muhak Co., Ltd., Annual General Meeting, Mar 26, 2026 Muhak Co., Ltd., Annual General Meeting, Mar 26, 2026, at 10:00 Tokyo Standard Time. Location: muhak hall, 6, bongamgongdan 2-gil, masanhoewon-gu, gyeongsangnam-do, changwon South Korea Upcoming Dividend • Dec 22
Upcoming dividend of ₩130 per share Eligible shareholders must have bought the stock before 29 December 2025. Payment date: 15 April 2026. Payout ratio is a comfortable 27% but the company is not cash flow positive. Trailing yield: 6.0%. Within top quartile of South Korean dividend payers (3.6%). Higher than average of industry peers (3.4%). Announcement • Oct 29
Muhak Co., Ltd. announced that it has received KRW 10 billion in funding from Mirae Asset Securities Co., Ltd., NH Investment & Securities Co., Ltd., Shinhan Securities Co. Ltd., Korea Investment & Securities Co., Ltd., IBK Capital Corporation On October 28, 2025, Muhak Co., Ltd. has closed the transaction. Upcoming Dividend • Sep 22
Upcoming dividend of ₩130 per share Eligible shareholders must have bought the stock before 29 September 2025. Payment date: 17 November 2025. Payout ratio is a comfortable 29% but the company is not cash flow positive. Trailing yield: 6.3%. Within top quartile of South Korean dividend payers (3.6%). Higher than average of industry peers (3.5%). Reported Earnings • Aug 19
Second quarter 2025 earnings released: EPS: ₩738 (vs ₩563 in 2Q 2024) Second quarter 2025 results: EPS: ₩738 (up from ₩563 in 2Q 2024). Revenue: ₩38.7b (down 3.6% from 2Q 2024). Net income: ₩19.5b (up 31% from 2Q 2024). Profit margin: 50% (up from 37% in 2Q 2024). Over the last 3 years on average, earnings per share has increased by 56% per year but the company’s share price has only increased by 6% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Jun 20
Upcoming dividend of ₩130 per share Eligible shareholders must have bought the stock before 27 June 2025. Payment date: 14 August 2025. Payout ratio is a comfortable 40% but the company is paying out more than the cash it is generating. Trailing yield: 6.5%. Within top quartile of South Korean dividend payers (3.6%). Higher than average of industry peers (3.4%). Reported Earnings • Mar 22
Full year 2024 earnings released: EPS: ₩1,828 (vs ₩2,470 in FY 2023) Full year 2024 results: EPS: ₩1,828 (down from ₩2,470 in FY 2023). Revenue: ₩152.1b (up 3.7% from FY 2023). Net income: ₩48.4b (down 26% from FY 2023). Profit margin: 32% (down from 45% in FY 2023). Over the last 3 years on average, earnings per share has increased by 78% per year but the company’s share price has fallen by 11% per year, which means it is significantly lagging earnings. Announcement • Feb 27
Muhak Co., Ltd., Annual General Meeting, Mar 26, 2025 Muhak Co., Ltd., Annual General Meeting, Mar 26, 2025, at 10:00 Tokyo Standard Time. Location: conference room, 6, bongamgongdan 2-gil, masanhoewon-gu, gyeongsangnam-do, changwon South Korea Upcoming Dividend • Dec 20
Upcoming dividend of ₩230 per share Eligible shareholders must have bought the stock before 27 December 2024. Payment date: 15 April 2025. Payout ratio is a comfortable 32% but the company is paying out more than the cash it is generating. Trailing yield: 8.0%. Within top quartile of South Korean dividend payers (3.9%). Higher than average of industry peers (4.0%). Reported Earnings • Nov 20
Third quarter 2024 earnings released: EPS: ₩239 (vs ₩102 in 3Q 2023) Third quarter 2024 results: EPS: ₩239 (up from ₩102 in 3Q 2023). Revenue: ₩36.4b (up 1.8% from 3Q 2023). Net income: ₩6.33b (up 133% from 3Q 2023). Profit margin: 17% (up from 7.6% in 3Q 2023). Over the last 3 years on average, earnings per share has increased by 83% per year but the company’s share price has fallen by 12% per year, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Jun 14
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to ₩6,470, the stock trades at a trailing P/E ratio of 4x. Average trailing P/E is 17x in the Beverage industry in South Korea. Total loss to shareholders of 21% over the past three years. Reported Earnings • Mar 22
Full year 2023 earnings released: EPS: ₩2,470 (vs ₩498 loss in FY 2022) Full year 2023 results: EPS: ₩2,470 (up from ₩498 loss in FY 2022). Revenue: ₩146.6b (down 4.1% from FY 2022). Net income: ₩65.4b (up ₩78.6b from FY 2022). Profit margin: 45% (up from net loss in FY 2022). Over the last 3 years on average, earnings per share has increased by 37% per year but the company’s share price has fallen by 9% per year, which means it is significantly lagging earnings. New Risk • Jan 17
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: ₩131.6b (US$97.8m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Large one-off items impacting financial results. Market cap is less than US$100m (₩131.6b market cap, or US$97.8m). Upcoming Dividend • Dec 20
Upcoming dividend of ₩230 per share at 4.2% yield Eligible shareholders must have bought the stock before 27 December 2023. Payment date: 26 April 2024. Payout ratio is a comfortable 6.8% and this is well supported by cash flows. Trailing yield: 4.2%. Within top quartile of South Korean dividend payers (3.5%). Higher than average of industry peers (3.2%). Buying Opportunity • May 25
Now 21% undervalued Over the last 90 days, the stock is up 6.3%. The fair value is estimated to be ₩7,435, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 3.4% over the last 3 years. Meanwhile, the company has become profitable. Reported Earnings • Mar 24
Full year 2022 earnings released: ₩498 loss per share (vs ₩540 loss in FY 2021) Full year 2022 results: ₩498 loss per share (improved from ₩540 loss in FY 2021). Revenue: ₩152.8b (up 20% from FY 2021). Net loss: ₩13.2b (loss narrowed 9.9% from FY 2021). Over the last 3 years on average, earnings per share has fallen by 35% per year but the company’s share price has increased by 3% per year, which means it is well ahead of earnings. Upcoming Dividend • Dec 21
Upcoming dividend of ₩230 per share Eligible shareholders must have bought the stock before 28 December 2022. Payment date: 26 April 2023. The company is not currently making a profit and there are not enough cash flows to support it either. Trailing yield: 4.6%. Within top quartile of South Korean dividend payers (3.3%). Higher than average of industry peers (2.7%). Board Change • Nov 16
Less than half of directors are independent No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 5 experienced directors. No highly experienced directors. 1 independent director (4 non-independent directors). was the last director to join the board, commencing their role in . The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Board Change • Apr 27
Less than half of directors are independent No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 5 experienced directors. No highly experienced directors. 1 independent director (4 non-independent directors). was the last director to join the board, commencing their role in . The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Upcoming Dividend • Dec 22
Upcoming dividend of ₩150 per share Eligible shareholders must have bought the stock before 29 December 2021. Payment date: 26 April 2022. The company is paying out more than 100% of its profits and is cash flow negative. Trailing yield: 1.8%. Lower than top quartile of South Korean dividend payers (2.4%). Lower than average of industry peers (2.4%). Valuation Update With 7 Day Price Move • Sep 01
Investor sentiment improved over the past week After last week's 21% share price gain to ₩8,850, the stock trades at a trailing P/E ratio of 7x. Average trailing P/E is 24x in the Beverage industry in South Korea. Total loss to shareholders of 36% over the past three years. Announcement • Mar 10
Muhak Co., Ltd., Annual General Meeting, Mar 29, 2021 Muhak Co., Ltd., Annual General Meeting, Mar 29, 2021, at 09:00 Korea Standard Time. Is New 90 Day High Low • Mar 10
New 90-day low: ₩6,750 The company is down 2.0% from its price of ₩6,880 on 10 December 2020. The South Korean market is up 6.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Beverage industry, which is up 12% over the same period. Is New 90 Day High Low • Jan 15
New 90-day high: ₩7,490 The company is up 16% from its price of ₩6,450 on 16 October 2020. The South Korean market is up 32% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Beverage industry, which is up 7.0% over the same period. Is New 90 Day High Low • Dec 21
New 90-day high: ₩7,300 The company is up 12% from its price of ₩6,500 on 22 September 2020. The South Korean market is up 15% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Beverage industry, which is down 2.0% over the same period. Announcement • Sep 21
Muhak Co., Ltd.(KOSE:A033920) dropped from S&P Global BMI Index Muhak Co., Ltd.(KOSE:A033920) dropped from S&P Global BMI Index 
