New Risk • Jun 12
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of South Korean stocks, typically moving 14% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 24% per year over the past 5 years. Minor Risks Share price has been volatile over the past 3 months (14% average weekly change). Market cap is less than US$100m (₩33.8b market cap, or US$22.2m). New Risk • May 26
New major risk - Revenue and earnings growth Earnings have declined by 24% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 24% per year over the past 5 years. Minor Risk Market cap is less than US$100m (₩24.0b market cap, or US$15.9m). Reported Earnings • Mar 20
Full year 2025 earnings released: ₩49.00 loss per share (vs ₩24.00 loss in FY 2024) Full year 2025 results: ₩49.00 loss per share (further deteriorated from ₩24.00 loss in FY 2024). Revenue: ₩45.1b (up 26% from FY 2024). Net loss: ₩985.0m (loss widened 107% from FY 2024). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 82 percentage points per year, which is a significant difference in performance. Announcement • Mar 07
Seosan Corporation, Annual General Meeting, Mar 24, 2026 Seosan Corporation, Annual General Meeting, Mar 24, 2026, at 09:00 Tokyo Standard Time. Location: conference room, 143, hanamsandan 4beon-ro, gwangsan-gu, gwangju South Korea Reported Earnings • Mar 20
Full year 2024 earnings released: ₩24.00 loss per share (vs ₩78.00 profit in FY 2023) Full year 2024 results: ₩24.00 loss per share (down from ₩78.00 profit in FY 2023). Revenue: ₩35.7b (down 14% from FY 2023). Net loss: ₩476.0m (down 131% from profit in FY 2023). Over the last 3 years on average, earnings per share has fallen by 46% per year but the company’s share price has only fallen by 23% per year, which means it has not declined as severely as earnings. Announcement • Mar 12
Seosan Corporation, Annual General Meeting, Mar 25, 2025 Seosan Corporation, Annual General Meeting, Mar 25, 2025, at 09:00 Tokyo Standard Time. Location: conference room, 143, hanamsandan 4beon-ro, gwangsan-gu, gwangju South Korea New Risk • Dec 07
New minor risk - Financial data availability Less than 3 years of financial data is available. This is considered a minor risk. If the company has been trading for less than 3 years, then it has not had the opportunity to establish a long-term track record. This makes it difficult for investors to assess the true growth potential, sustainability and resilience of the business under different economic conditions. Currently, the following risks have been identified for the company: Minor Risks Less than 3 years of financial data is available. Large one-off items impacting financial results. Market cap is less than US$100m (₩23.4b market cap, or US$16.5m). Reported Earnings • Nov 20
Third quarter 2024 earnings released: EPS: ₩25.00 (vs ₩7.00 in 3Q 2023) Third quarter 2024 results: EPS: ₩25.00 (up from ₩7.00 in 3Q 2023). Revenue: ₩7.29b (down 14% from 3Q 2023). Net income: ₩494.7m (up 247% from 3Q 2023). Profit margin: 6.8% (up from 1.7% in 3Q 2023). Over the last 3 years on average, earnings per share has fallen by 34% per year but the company’s share price has only fallen by 23% per year, which means it has not declined as severely as earnings. Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to ₩1,031, the stock trades at a trailing P/E ratio of 13.2x. Average trailing P/E is 8x in the Basic Materials industry in South Korea. Total loss to shareholders of 66% over the past three years. New Risk • May 24
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 29% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Minor Risks Large one-off items impacting financial results. Market cap is less than US$100m (₩28.1b market cap, or US$20.6m). Reported Earnings • Mar 20
Full year 2023 earnings released: EPS: ₩78.00 (vs ₩59.00 in FY 2022) Full year 2023 results: EPS: ₩78.00 (up from ₩59.00 in FY 2022). Revenue: ₩41.3b (down 16% from FY 2022). Net income: ₩1.56b (up 32% from FY 2022). Profit margin: 3.8% (up from 2.4% in FY 2022). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 79% per year but the company’s share price has fallen by 17% per year, which means it is significantly lagging earnings. Reported Earnings • Nov 19
Third quarter 2023 earnings released: EPS: ₩7.00 (vs ₩11.00 in 3Q 2022) Third quarter 2023 results: EPS: ₩7.00 (down from ₩11.00 in 3Q 2022). Revenue: ₩8.51b (down 28% from 3Q 2022). Net income: ₩142.8m (down 33% from 3Q 2022). Profit margin: 1.7% (in line with 3Q 2022). Over the last 3 years on average, earnings per share has increased by 92% 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 • Jul 26
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to ₩1,547, the stock trades at a trailing P/E ratio of 23.8x. Average trailing P/E is 11x in the Basic Materials industry in South Korea. Total loss to shareholders of 41% over the past three years. Reported Earnings • May 19
First quarter 2023 earnings released: EPS: ₩8.00 (vs ₩2.00 in 1Q 2022) First quarter 2023 results: EPS: ₩8.00 (up from ₩2.00 in 1Q 2022). Revenue: ₩10.1b (down 15% from 1Q 2022). Net income: ₩165.9m (up 236% from 1Q 2022). Profit margin: 1.6% (up from 0.4% in 1Q 2022). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 84% per year but the company’s share price has fallen by 8% per year, which means it is significantly lagging earnings. Reported Earnings • Mar 23
Full year 2022 earnings released: EPS: ₩59.00 (vs ₩197 in FY 2021) Full year 2022 results: EPS: ₩59.00 (down from ₩197 in FY 2021). Revenue: ₩49.2b (down 12% from FY 2021). Net income: ₩1.19b (down 70% from FY 2021). Profit margin: 2.4% (down from 7.0% in FY 2021). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has increased by 73% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Sep 28
Investor sentiment deteriorated over the past week After last week's 18% share price decline to ₩1,630, the stock trades at a trailing P/E ratio of 19x. Average trailing P/E is 12x in the Basic Materials industry in South Korea. Total loss to shareholders of 46% over the past three years. Buying Opportunity • Jul 12
Now 22% undervalued after recent price drop Over the last 90 days, the stock is down 28%. The fair value is estimated to be ₩2,497, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 9.8% over the last 3 years. Meanwhile, the company has become profitable. Valuation Update With 7 Day Price Move • Jun 23
Investor sentiment deteriorated over the past week After last week's 18% share price decline to ₩1,785, the stock trades at a trailing P/E ratio of 10.8x. Average trailing P/E is 14x in the Basic Materials industry in South Korea. Total loss to shareholders of 48% over the past three years. Buying Opportunity • Jun 20
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 25%. The fair value is estimated to be ₩2,526, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 9.8% over the last 3 years. Meanwhile, the company has become profitable. Is New 90 Day High Low • Feb 03
New 90-day high: ₩2,760 The company is up 17% from its price of ₩2,365 on 05 November 2020. The South Korean market is up 28% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Basic Materials industry, which is up 41% over the same period. Is New 90 Day High Low • Oct 27
New 90-day low: ₩2,335 The company is down 11% from its price of ₩2,620 on 29 July 2020. The South Korean market is up 3.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Basic Materials industry, which is up 1.0% over the same period.