Reported Earnings • Mar 25
Full year 2025 earnings released: EPS: ₩1,416 (vs ₩2,560 in FY 2024) Full year 2025 results: EPS: ₩1,416 (down from ₩2,560 in FY 2024). Revenue: ₩520.9b (up 12% from FY 2024). Net income: ₩12.5b (down 47% from FY 2024). Profit margin: 2.4% (down from 5.1% in FY 2024). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 1.8% p.a. on average during the next 2 years, compared to a 5.1% growth forecast for the Luxury industry in South Korea. Over the last 3 years on average, earnings per share has fallen by 18% per year but the company’s share price has only fallen by 2% per year, which means it has not declined as severely as earnings. Upcoming Dividend • Dec 22
Upcoming dividend of ₩400 per share Eligible shareholders must have bought the stock before 29 December 2025. Payment date: 27 April 2026. Payout ratio is a comfortable 20% and the cash payout ratio is 77%. Trailing yield: 4.7%. Within top quartile of South Korean dividend payers (3.6%). Higher than average of industry peers (2.4%). Declared Dividend • Nov 08
Dividend of ₩400 announced Dividend of ₩400 is the same as last year. Ex-date: 29th December 2025 Payment date: 27th April 2026 Dividend yield will be 5.2%, which is higher than the industry average of 2.8%. Sustainability & Growth Dividend is covered by earnings (23% earnings payout ratio) but not covered by cash flows (384% cash payout ratio). The dividend has increased by an average of 8.1% per year over the past 6 years. However, payments have been volatile during that time. Earnings per share has grown by 40% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. Announcement • Nov 07
Hojeon Limited announces Annual dividend, payable on April 27, 2026 Hojeon Limited announced Annual dividend of KRW 400.0000 per share payable on April 27, 2026, ex-date on December 29, 2025 and record date on December 31, 2025. Announcement • Sep 17
Hojeon Limited (KOSE:A111110) announces an Equity Buyback for KRW 2,500 million worth of its shares. Hojeon Limited (KOSE:A111110) announces a share repurchase program. Under the program, the company will repurchase up to KRW 2,500 million worth of its shares pursuant to a trust contract with NH Investment & Securities Co., Ltd. The purpose of the program is to enhance the shareholder value and to stabilize stock price. The repurchase program is valid until March 17, 2026. As of September 16, 2025, the company had 497,472 shares in treasury within scope available for dividend and had no shares in treasury through other repurchase. Valuation Update With 7 Day Price Move • Aug 18
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to ₩6,880, the stock trades at a trailing P/E ratio of 2.4x. Average trailing P/E is 9x in the Luxury industry in South Korea. Total loss to shareholders of 9.7% over the past three years. New Risk • May 29
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 25% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (currently running at an operating cash loss). High level of non-cash earnings (25% accrual ratio). Minor Risks Paying a dividend despite having no free cash flows. Market cap is less than US$100m (₩74.2b market cap, or US$53.8m). Announcement • Feb 28
Hojeon Limited, Annual General Meeting, Mar 28, 2025 Hojeon Limited, Annual General Meeting, Mar 28, 2025, at 10:00 Tokyo Standard Time. Location: conference room, 19, mapo-daero, mapo-gu, seoul South Korea Upcoming Dividend • Dec 20
Upcoming dividend of ₩300 per share Eligible shareholders must have bought the stock before 27 December 2024. Payment date: 28 April 2025. Payout ratio is a comfortable 32% but the company is not cash flow positive. Trailing yield: 3.8%. Lower than top quartile of South Korean dividend payers (3.9%). Higher than average of industry peers (3.0%). Announcement • Sep 24
Hojeon Limited (KOSE:A111110) announces an Equity Buyback for KRW 3,000 million worth of its shares. Hojeon Limited (KOSE:A111110) announces a share repurchase program. Under the program, the company will repurchase up to KRW 3,000 million worth of its shares pursuant to a trust contract with NH Investment & Securities Co., Ltd. The purpose of the program is to enhance the shareholder value and to stabilize stock price. The repurchase program is valid until March 24, 2025. As of September 23, 2024, the company had 497,472 shares in treasury within scope available for dividend and had no shares in treasury through other repurchase. Announcement • Jun 13
Hojeon Limited (KOSE:A111110) agreed to acquire an additional 30.22% stake in PT. YONGJIN JAVASUKA GARMENT for KRW 12.5 billion. Hojeon Limited (KOSE:A111110) agreed to acquire an additional 30.22% stake in PT. YONGJIN JAVASUKA GARMENT for KRW 12.5 billion on June 12, 2024. A cash consideration of KRW 12.51 billion will be paid by Hojeon Limited for 54,425 shares. For the period ending December 31, 2023, PT. YONGJIN JAVASUKA GARMENT reported total revenue of KRW 18.88 billion and net loss of KRW 6.67 billion. As of December 31, 2023, PT. YONGJIN JAVASUKA GARMENT reported total debt of KRW 74.42 billion, total assets of KRW 84.98 billion and total common equity of KRW 46.43 billion. The expected completion of the transaction is June 14, 2024. New Risk • May 27
New major risk - Financial position The company's interest payments are not well covered by earnings. Net interest cover: 2.6x This is considered a major risk. If the company is unable to fund interest repayments on its debt through profits, it may be forced into reducing its debt burden through selling assets, undertaking a potentially costly capital raising or even into bankruptcy in the worst case scenario. Currently, the following risks have been identified for the company: Major Risk Interest payments are not well covered by earnings (2.6x net interest cover). Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Profit margins are more than 30% lower than last year (2.8% net profit margin). Market cap is less than US$100m (₩68.2b market cap, or US$50.0m). Upcoming Dividend • Dec 20
Upcoming dividend of ₩300 per share at 3.7% yield Eligible shareholders must have bought the stock before 27 December 2023. Payment date: 29 April 2024. Payout ratio is a comfortable 16% but the company is not cash flow positive. Trailing yield: 3.7%. Within top quartile of South Korean dividend payers (3.5%). Higher than average of industry peers (2.7%). New Risk • Nov 21
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: 3.7% Last year net profit margin: 6.6% 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: Major Risk Debt is not well covered by operating cash flow (currently running at an operating cash loss). Minor Risks Paying a dividend despite having no free cash flows. Profit margins are more than 30% lower than last year (3.7% net profit margin). Market cap is less than US$100m (₩75.8b market cap, or US$58.6m). Upcoming Dividend • Dec 21
Upcoming dividend of ₩250 per share Eligible shareholders must have bought the stock before 28 December 2022. Payment date: 28 April 2023. Payout ratio is a comfortable 7.1% and this is well supported by cash flows. Trailing yield: 3.0%. Lower than top quartile of South Korean dividend payers (3.3%). Higher than average of industry peers (2.1%). Valuation Update With 7 Day Price Move • Jun 23
Investor sentiment deteriorated over the past week After last week's 16% share price decline to ₩7,500, the stock trades at a trailing P/E ratio of 4.7x. Average forward P/E is 6x in the Luxury industry in South Korea. Total loss to shareholders of 38% over the past three years. Upcoming Dividend • Dec 22
Upcoming dividend of ₩200 per share Eligible shareholders must have bought the stock before 29 December 2021. Payment date: 26 April 2022. The company is not currently making a profit but it is cash flow positive. Trailing yield: 1.9%. Lower than top quartile of South Korean dividend payers (2.4%). In line with average of industry peers (1.8%). Reported Earnings • Nov 16
Third quarter 2021 earnings released: EPS ₩1,965 (vs ₩526 in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: ₩129.5b (up 38% from 3Q 2020). Net income: ₩16.0b (up 274% from 3Q 2020). Profit margin: 12% (up from 4.6% in 3Q 2020). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 92 percentage points per year, which is a significant difference in performance. Is New 90 Day High Low • Mar 03
New 90-day high: ₩11,150 The company is up 20% from its price of ₩9,330 on 03 December 2020. The South Korean market is up 12% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Luxury industry, which is up 17% over the same period. Announcement • Feb 27
Hojeon Limited, Annual General Meeting, Mar 26, 2021 Hojeon Limited, Annual General Meeting, Mar 26, 2021, at 10:00 Korea Standard Time. Is New 90 Day High Low • Dec 09
New 90-day high: ₩10,100 The company is up 14% from its price of ₩8,850 on 10 September 2020. The South Korean market is up 13% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Luxury industry, which is up 5.0% over the same period. Is New 90 Day High Low • Oct 19
New 90-day low: ₩7,780 The company is down 17% from its price of ₩9,390 on 21 July 2020. The South Korean market is up 7.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Luxury industry, which is up 7.0% over the same period. Is New 90 Day High Low • Sep 22
New 90-day low: ₩8,120 The company is down 18% from its price of ₩9,930 on 24 June 2020. The South Korean market is up 13% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Luxury industry, which is up 5.0% over the same period. 
