Reported Earnings • Mar 18
Full year 2025 earnings released: EPS: ₩534 (vs ₩826 in FY 2024) Full year 2025 results: EPS: ₩534 (down from ₩826 in FY 2024). Revenue: ₩645.7b (up 2.7% from FY 2024). Net income: ₩12.3b (down 35% from FY 2024). Profit margin: 1.9% (down from 3.0% in FY 2024). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 17% per year but the company’s share price has only increased by 3% per year, which means it is significantly lagging earnings growth. Declared Dividend • Feb 25
Dividend of ₩450 announced Dividend of ₩450 is the same as last year. Ex-date: 30th March 2026 Payment date: 1st January 1970 Dividend yield will be 5.3%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is well covered by both earnings (49% earnings payout ratio) and cash flows (31% cash payout ratio). The dividend has increased by an average of 14% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. Earnings per share has grown by 8.5% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. Reported Earnings • Nov 19
Third quarter 2025 earnings released: EPS: ₩110 (vs ₩110 in 3Q 2024) Third quarter 2025 results: EPS: ₩110 (in line with 3Q 2024). Revenue: ₩155.3b (down 1.2% from 3Q 2024). Net income: ₩2.54b (flat on 3Q 2024). Profit margin: 1.6% (in line with 3Q 2024). Over the last 3 years on average, earnings per share has increased by 24% per year but the company’s share price has only increased by 2% per year, which means it is significantly lagging earnings growth. Reported Earnings • Aug 16
Second quarter 2025 earnings released: EPS: ₩182 (vs ₩123 in 2Q 2024) Second quarter 2025 results: EPS: ₩182 (up from ₩123 in 2Q 2024). Revenue: ₩169.4b (up 9.6% from 2Q 2024). Net income: ₩4.21b (up 49% from 2Q 2024). Profit margin: 2.5% (up from 1.8% in 2Q 2024). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 21% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Reported Earnings • Mar 22
Full year 2024 earnings released: EPS: ₩826 (vs ₩573 in FY 2023) Full year 2024 results: EPS: ₩826 (up from ₩573 in FY 2023). Revenue: ₩628.8b (up 3.7% from FY 2023). Net income: ₩19.0b (up 44% from FY 2023). Profit margin: 3.0% (up from 2.2% in FY 2023). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 9% per year but the company’s share price has fallen by 10% per year, which means it is significantly lagging earnings. Announcement • Feb 22
HDC I-Controls Co., Ltd., Annual General Meeting, Mar 26, 2025 HDC I-Controls Co., Ltd., Annual General Meeting, Mar 26, 2025, at 09:00 Tokyo Standard Time. Location: conference room, 317, hyoryeong-ro, seocho-gu, seoul South Korea Valuation Update With 7 Day Price Move • Jan 21
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to ₩9,700, the stock trades at a trailing P/E ratio of 19.3x. Average trailing P/E is 14x in the Software industry in South Korea. Total returns to shareholders of 17% over the past three years. New Risk • Nov 23
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 23% 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 Risk High level of non-cash earnings (23% accrual ratio). Minor Risk Paying a dividend despite having no free cash flows. Valuation Update With 7 Day Price Move • May 13
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to ₩9,690, the stock trades at a trailing P/E ratio of 16.9x. Average trailing P/E is 17x in the Software industry in South Korea. Total loss to shareholders of 8.6% over the past three years. Upcoming Dividend • Dec 20
Upcoming dividend of ₩450 per share at 6.0% yield Eligible shareholders must have bought the stock before 27 December 2023. Payment date: 22 April 2024. Payout ratio is on the higher end at 79%, and the cash payout ratio is above 100%. Trailing yield: 6.0%. Within top quartile of South Korean dividend payers (3.5%). Higher than average of industry peers (1.6%). Upcoming Dividend • Dec 21
Upcoming dividend of ₩450 per share Eligible shareholders must have bought the stock before 28 December 2022. Payment date: 27 April 2023. The company is paying out more than 100% of its earnings and cash flow. Trailing yield: 5.9%. Within top quartile of South Korean dividend payers (3.3%). Higher than average of industry peers (1.8%). Reported Earnings • May 22
First quarter 2022 earnings released: EPS: ₩127 (vs ₩264 in 1Q 2021) First quarter 2022 results: EPS: ₩127 (down from ₩264 in 1Q 2021). Revenue: ₩133.7b (up 153% from 1Q 2021). Net income: ₩2.83b (down 29% from 1Q 2021). Profit margin: 2.1% (down from 7.5% in 1Q 2021). The decrease in margin was driven by higher expenses. Over the next year, revenue is expected to shrink by 30% compared to a 19% growth forecast for the industry in South Korea. Over the last 3 years on average, earnings per share has increased by 6% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Price Target Changed • Apr 27
Price target decreased to ₩16,400 Down from ₩23,500, the current price target is provided by 1 analyst. New target price is 68% above last closing price of ₩9,790. Stock is down 8.9% over the past year. The company posted earnings per share of ₩593 last year. Upcoming Dividend • Dec 22
Upcoming dividend of ₩400 per share Eligible shareholders must have bought the stock before 29 December 2021. Payment date: 25 April 2022. Payout ratio is a comfortable 55% and this is well supported by cash flows. Trailing yield: 3.3%. Within top quartile of South Korean dividend payers (2.4%). Higher than average of industry peers (1.0%). Announcement • Jun 05
HDC I-Controls Co., Ltd. (KOSE:A039570) agreed to acquire Hdc I-Service Co., Ltd. for KRW 0.01 million. HDC I-Controls Co., Ltd. (KOSE:A039570) agreed to acquire Hdc I-Service Co., Ltd. for KRW 0.01 million on June 4, 2021. Hdc I-Service Co will be merged into HDC I-Controls Co and the name of the merged company will be HDC Labs Co., Ltd. The merger ratio for the transaction is 1 share of HDC I-Controls is to 0.6716833 share of Hdc I-Servicea nd total purchase price is KRW 8,703. The merger is subject to board and shareholder approval of both companies and is expected to take place on December 1, 2021. Valuation Update With 7 Day Price Move • May 12
Investor sentiment improved over the past week After last week's 17% share price gain to ₩12,400, the stock trades at a trailing P/E ratio of 12.3x. Average trailing P/E is 27x in the Software industry in South Korea. Total loss to shareholders of 7.7% over the past three years. Reported Earnings • Mar 21
Full year 2020 earnings released: EPS ₩1,012 (vs ₩358 loss in FY 2019) The company reported a strong full year result with improved earnings, revenues and profit margins. Full year 2020 results: Revenue: ₩260.4b (up 3.2% from FY 2019). Net income: ₩15.7b (up ₩21.6b from FY 2019). Profit margin: 6.0% (up from net loss in FY 2019). The move to profitability was primarily driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 67% per year but the company’s share price has only fallen by 7% per year, which means it has not declined as severely as earnings. Announcement • Mar 10
HDC I-Controls Co., Ltd., Annual General Meeting, Mar 25, 2021 HDC I-Controls Co., Ltd., Annual General Meeting, Mar 25, 2021, at 09:00 Korea Standard Time. Is New 90 Day High Low • Mar 10
New 90-day low: ₩9,580 The company is down 3.0% from its price of ₩9,850 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 Software industry, which is up 4.0% over the same period. Is New 90 Day High Low • Jan 19
New 90-day high: ₩11,200 The company is up 17% from its price of ₩9,580 on 21 October 2020. The South Korean market is up 26% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Software industry, which is up 10.0% over the same period. Is New 90 Day High Low • Dec 28
New 90-day high: ₩10,900 The company is up 19% from its price of ₩9,140 on 29 September 2020. The South Korean market is up 20% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Software industry, which is up 5.0% over the same period. Upcoming Dividend • Dec 22
Upcoming Dividend of ₩350 Per Share Will be paid on the 24th of April to those who are registered shareholders by the 29th of December. The trailing yield of 3.5% is in the top quartile of South Korean dividend payers (2.6%), and it is higher than industry peers (0.8%). Is New 90 Day High Low • Dec 11
New 90-day high: ₩10,400 The company is up 13% from its price of ₩9,240 on 11 September 2020. The South Korean market is also up 13% over the last 90 days, indicating the company’s price trend is similar to the market over that time. However, it outperformed the Software industry, which is down 1.0% over the same period. Is New 90 Day High Low • Oct 27
New 90-day high: ₩10,300 The company is up 28% from its price of ₩8,070 on 29 July 2020. The South Korean market is up 3.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Software industry, which is up 3.0% over the same period. Announcement • Jul 31
An unknown buyer acquired 25% stake in Real Estate 114 Inc. from HDC I-Controls Co., Ltd. (KOSE:A039570) for KRW 13.5 billion. An unknown buyer acquired 25% stake in Real Estate 114 Inc. from HDC I-Controls Co., Ltd. (KOSE:A039570) for KRW 13.5 billion on April 24, 2020. HDC I-Controls Co., Ltd. sold 0.71 million shares.
An unknown buyer completed the acquisition of 25% stake in Real Estate 114 Inc. from HDC I-Controls Co., Ltd. (KOSE:A039570) on April 24, 2020.