New Risk • Apr 21
New minor risk - Dividend sustainability The company has an unstable dividend paying track record. The dividend has had an annual drop of over 20% in the past. Dividend yield: 3.6% This is considered a minor risk. If the company has cut or reduced its dividend in the past, it may be a sign that the underlying business is too cyclical to consistently maintain or grow the dividend over the long-term. It may also indicate the company prioritizes other outcomes instead of maintaining the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 40% per year over the past 5 years. 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 (0.5% net profit margin). Market cap is less than US$100m (₩36.5b market cap, or US$24.8m). New Risk • Apr 01
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: 0.5% Last year net profit margin: 1.6% 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 Earnings have declined by 40% per year over the past 5 years. Minor Risks Profit margins are more than 30% lower than last year (0.5% net profit margin). Market cap is less than US$100m (₩32.7b market cap, or US$21.7m). Duyuru • Mar 06
System and Application Technologies Co., Ltd, Annual General Meeting, Mar 30, 2026 System and Application Technologies Co., Ltd, Annual General Meeting, Mar 30, 2026, at 09:00 Tokyo Standard Time. Location: conference room, 175, ls-ro, gyeonggi-do, gunpo South Korea Duyuru • Feb 14
System and Application Technologies Co., Ltd announces Annual dividend System and Application Technologies Co., Ltd announced Annual dividend of KRW 50.0000 per share, ex-date on December 29, 2025 and record date on December 31, 2025. Buy Or Sell Opportunity • Jan 02
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 10% to ₩1,430. The fair value is estimated to be ₩1,177, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has declined by 3.3% over the last 3 years. Meanwhile, the company has become profitable. Reported Earnings • May 20
First quarter 2025 earnings released: ₩56.00 loss per share (vs ₩43.00 profit in 1Q 2024) First quarter 2025 results: ₩56.00 loss per share (down from ₩43.00 profit in 1Q 2024). Revenue: ₩35.5b (down 9.6% from 1Q 2024). Net loss: ₩1.45b (down 231% from profit in 1Q 2024). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 70 percentage points per year, which is a significant difference in performance. Valuation Update With 7 Day Price Move • Apr 02
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to ₩1,695, the stock trades at a trailing P/E ratio of 17.5x. Average trailing P/E is 9x in the Communications industry in South Korea. Total loss to shareholders of 45% over the past three years. Reported Earnings • Mar 22
Full year 2024 earnings released: EPS: ₩97.00 (vs ₩62.00 in FY 2023) Full year 2024 results: EPS: ₩97.00 (up from ₩62.00 in FY 2023). Revenue: ₩155.1b (up 1.9% from FY 2023). Net income: ₩2.53b (up 56% from FY 2023). Profit margin: 1.6% (up from 1.1% in FY 2023). The increase in margin was driven by higher revenue. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 53 percentage points per year, which is a significant difference in performance. Duyuru • Mar 08
System and Application Technologies Co., Ltd, Annual General Meeting, Mar 26, 2025 System and Application Technologies Co., Ltd, Annual General Meeting, Mar 26, 2025, at 09:00 Tokyo Standard Time. Location: conference room, 175, ls-ro, gyeonggi-do, gunpo South Korea Upcoming Dividend • Dec 20
Upcoming dividend of ₩50.00 per share Eligible shareholders must have bought the stock before 27 December 2024. Payment date: 09 April 2025. The company is not currently making a profit and is not cash flow positive. Trailing yield: 3.1%. Lower than top quartile of South Korean dividend payers (3.9%). Higher than average of industry peers (1.7%). New Risk • Dec 16
New major risk - Financial data availability The company has not reported any financial data. This is considered a major risk. With no or incomplete audited reported financial data, it is virtually impossible to assess the company's investment potential. Currently, the following risks have been identified for the company: Major Risk No financial data reported. Minor Risk Market cap is less than US$100m (₩43.3b market cap, or US$30.1m). Buy Or Sell Opportunity • Dec 10
Now 33% overvalued Over the last 90 days, the stock has fallen 4.0% to ₩1,452. The fair value is estimated to be ₩1,092, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has declined by 3.7% over the last 3 years. Meanwhile, the company became loss making. Reported Earnings • Nov 20
Third quarter 2024 earnings released: ₩74.00 loss per share (vs ₩12.00 loss in 3Q 2023) Third quarter 2024 results: ₩74.00 loss per share (further deteriorated from ₩12.00 loss in 3Q 2023). Revenue: ₩34.1b (down 7.8% from 3Q 2023). Net loss: ₩1.94b (loss widened ₩1.85b from 3Q 2023). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 47 percentage points per year, which is a significant difference in performance. Buy Or Sell Opportunity • Nov 18
Now 27% overvalued Over the last 90 days, the stock has fallen 20% to ₩1,419. The fair value is estimated to be ₩1,121, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has declined by 48%. Valuation Update With 7 Day Price Move • Jun 25
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to ₩2,450, the stock trades at a trailing P/E ratio of 33.7x. Average trailing P/E is 15x in the Communications industry in South Korea. Total loss to shareholders of 29% over the past three years. Reported Earnings • Mar 21
Full year 2023 earnings released: EPS: ₩62.00 (vs ₩350 in FY 2022) Full year 2023 results: EPS: ₩62.00 (down from ₩350 in FY 2022). Revenue: ₩152.2b (down 13% from FY 2022). Net income: ₩1.62b (down 82% from FY 2022). Profit margin: 1.1% (down from 5.2% in FY 2022). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 18% per year but the company’s share price has increased by 1% per year, which means it is well ahead of earnings. Upcoming Dividend • Dec 20
Upcoming dividend of ₩50.00 per share at 1.8% yield Eligible shareholders must have bought the stock before 27 December 2023. Payment date: 11 April 2024. 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 (3.5%). Higher than average of industry peers (1.3%). New Risk • Nov 26
New major risk - Revenue and earnings growth Earnings have declined by 3.8% 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 Risks Dividend is not well covered by earnings and cash flows. Dividend per share is over 7x earnings per share. Paying a dividend despite having no free cash flows. Earnings have declined by 3.8% per year over the past 5 years. Minor Risks Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (0.1% net profit margin). Market cap is less than US$100m (₩73.4b market cap, or US$56.3m). Upcoming Dividend • Dec 21
Upcoming dividend of ₩50.00 per share Eligible shareholders must have bought the stock before 28 December 2022. Payment date: 05 April 2023. Payout ratio is a comfortable 12% but the company is not cash flow positive. Trailing yield: 2.2%. Lower than top quartile of South Korean dividend payers (3.3%). Higher than average of industry peers (1.2%). 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. 4 experienced directors. No highly experienced directors. 1 independent director (3 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. Valuation Update With 7 Day Price Move • May 18
Investor sentiment improved over the past week After last week's 15% share price gain to ₩3,000, the stock trades at a trailing P/E ratio of 11.9x. Average trailing P/E is 15x in the Communications industry in South Korea. Total returns to shareholders of 41% over the past three years. 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. 4 experienced directors. No highly experienced directors. 1 independent director (3 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. Reported Earnings • Mar 17
Full year 2021 earnings: Revenues and EPS in line with analyst expectations Full year 2021 results: EPS: ₩253 (up from ₩147 in FY 2020). Revenue: ₩163.1b (up 30% from FY 2020). Net income: ₩6.60b (up 72% from FY 2020). Profit margin: 4.0% (up from 3.1% in FY 2020). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Over the last 3 years on average, earnings per share has fallen by 13% per year but the company’s share price has increased by 9% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Feb 14
Investor sentiment deteriorated over the past week After last week's 15% share price decline to ₩2,685, the stock trades at a trailing P/E ratio of 11.1x. Average trailing P/E is 17x in the Communications industry in South Korea. Total returns to shareholders of 32% over the past three years. Upcoming Dividend • Dec 22
Upcoming dividend of ₩50.00 per share Eligible shareholders must have bought the stock before 29 December 2021. Payment date: 12 April 2022. Payout ratio is a comfortable 21% but the company is not cash flow positive. Trailing yield: 1.7%. Lower than top quartile of South Korean dividend payers (2.4%). Higher than average of industry peers (0.8%). Reported Earnings • Nov 18
Third quarter 2021 earnings released: EPS ₩109 (vs ₩48.00 in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: ₩42.4b (up 37% from 3Q 2020). Net income: ₩2.86b (up 128% from 3Q 2020). Profit margin: 6.7% (up from 4.1% in 3Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 6% per year but the company’s share price has increased by 16% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Oct 27
Investor sentiment deteriorated over the past week After last week's 17% share price decline to ₩2,540, the stock trades at a trailing P/E ratio of 14.1x. Average trailing P/E is 15x in the Communications industry in South Korea. Total returns to shareholders of 47% over the past three years. Valuation Update With 7 Day Price Move • Oct 12
Investor sentiment improved over the past week After last week's 15% share price gain to ₩2,700, the stock trades at a trailing P/E ratio of 15x. Average trailing P/E is 15x in the Communications industry in South Korea. Total returns to shareholders of 44% over the past three years. Valuation Update With 7 Day Price Move • Aug 18
Investor sentiment deteriorated over the past week After last week's 16% share price decline to ₩3,130, the stock trades at a trailing P/E ratio of 17.9x. Average trailing P/E is 24x in the Communications industry in South Korea. Total returns to shareholders of 39% over the past three years. Valuation Update With 7 Day Price Move • Jul 08
Investor sentiment improved over the past week After last week's 18% share price gain to ₩4,235, the stock trades at a trailing P/E ratio of 24.3x. Average trailing P/E is 29x in the Communications industry in South Korea. Total returns to shareholders of 98% over the past three years. Is New 90 Day High Low • Mar 08
New 90-day low: ₩2,360 The company is down 3.0% from its price of ₩2,430 on 08 December 2020. The South Korean market is up 8.0% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Communications industry, which is down 10.0% over the same period. Upcoming Dividend • Dec 22
Upcoming Dividend of ₩50.00 Per Share Will be paid on the 1st of April to those who are registered shareholders by the 29th of December. The trailing yield of 2.0% is below the top quartile of South Korean dividend payers (2.6%), but it is higher than industry peers (0.7%). Valuation Update With 7 Day Price Move • Oct 12
Market bids up stock over the past week After last week's 39% share price gain to ₩3,110, the stock is trading at a trailing P/E ratio of 11x, up from the previous P/E ratio of 7.9x. This compares to an average P/E of 24x in the Communications industry in South Korea. Total returns to shareholders over the past three years are 115%. Is New 90 Day High Low • Sep 25
New 90-day high: ₩2,250 The company is up 36% from its price of ₩1,655 on 26 June 2020. The South Korean market is up 7.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Communications industry, which is up 16% over the same period.