Samlip: Thin Margins and a Swing to TTM Loss, With the Shares Below Book Value

Thesis

The data supports a picture of a large, low-margin food business whose profitability has weakened for two years. Operating margin fell from 2.8% in 2024 to 1.1% in 2025 and 0.3% on a trailing basis, while ROE went from 19.2% to 2.9% and then to -2.0%. Revenue has been flat to slightly down, so the pressure appears to be on earnings rather than sales.

On the other side, free cash flow over the trailing period was positive at ₩62.4B, and the stock trades at 0.8x book value with a 2.5% dividend yield. The data does not explain why profits fell, and no news headlines are available. Filings show a serious accident report on 2026-06-26 and a designation as a company for unfaithful disclosure on 2026-06-30, which are governance and operational flags the data does not quantify.

Business overview

Samlip is a KOSPI-listed Food & Beverage company, founded in 1968 and listed in 1975. It has 8,629,009 listed shares and a market capitalization of about ₩349.5B. It is led by two co-CEOs, 도세호 and 정인호. Revenue has grown from ₩2.9T in 2021 to ₩3.4T in 2025, with a peak of ₩3.43T in 2023. Growth was 12.5% in 2022, then 3.6%, -0.2% and -1.7% in the following years. Foreign ownership is low at 2.0%, down from 2.1% sixty days earlier.

Financial analysis

These figures come from filed financial statements. Annual revenue was ₩3.37T in 2025 against ₩3.43T in 2024. Operating income fell from ₩95.0B in 2024 to ₩38.7B in 2025, and net income from ₩86.5B to ₩14.0B. For the trailing twelve months to H1 2026, operating income was ₩9.7B and net income was -₩9.3B, giving margins of 0.3% and -0.3%.

The balance sheet shows liabilities to equity of 153.6%, borrowings of ₩69.9B and cash of ₩19.0B. Free cash flow was ₩62.4B. A filing on 2026-08-21 shows a decision on a debt guarantee for another party, with no amount in the data.

Valuation

The trailing P/E is not available because of the net loss. P/B is 0.8x, P/S is 0.1x and EV/EBITDA is 4.0x, with enterprise value of about ₩400.4B. Year-end P/B was 0.9x in both 2024 and 2025 and 1.3x to 1.8x in 2021 to 2023, so the current level is at the low end of its own history. Year-end P/E was 5.0x in 2024 and 31.9x in 2025, reflecting falling earnings.

Among the listed peers, P/B ranges from 0.4x (CJ Cheiljedang) to 6.0x (Samyang Foods). Nongshim is at 0.8x, Orion at 1.1x and Otoki at 0.6x. Peer P/E ranges from 10.2x to 19.0x.

The valuation model is a 5-year discounted cash flow at a 7.1% rate. It gives a model estimate based on the assumptions shown of ₩107,803 per share in the base case, with a bear case of ₩0 and a bull case of ₩318,710, against a share price of ₩40,500. The very wide range shows how sensitive the result is to thin and volatile margins, so it should be treated with caution. It is not a target.

Catalysts

• The half-year report filed on 2026-08-14 set the latest trailing figures, and the next periodic filing will show whether margins recover from 0.3%.
• Filings on 2026-10-13 (5%+ holding report) and 2026-10-08 (change in largest shareholder's holdings) point to ownership changes that could matter.
• The Future Business and Management Plans disclosure of 2026-09-29 and the IR event of 2026-09-22 may give details on direction, though their contents are not in the data.
• Over the last 20 days institutions were net buyers of about ₩14.0M and foreigners of about ₩3.5M, while retail investors were net sellers of about ₩9.2M.
• The shares are up 8.7% over three months, which may reflect improving sentiment despite weak earnings.

Risks

• Profitability has fallen for two years, with a trailing net loss of ₩9.3B and ROE of -2.0%.
• The operating margin of 0.3% leaves very little cushion against cost or price changes.
• The designation as a company for unfaithful disclosure and the serious accident report in June 2026 point to governance and operational risk.
• Liabilities are 153.6% of equity, with borrowings of ₩69.9B against cash of ₩19.0B, and a guarantee of another party's debt was approved in August.
• Revenue has declined for two consecutive years, and the valuation model range of ₩0 to ₩318,710 shows high uncertainty.

Closing view

The data shows a business with stable sales but sharply weaker earnings, a trailing loss, and several filing-based warning signs. Against that, the shares trade at 0.8x book value and free cash flow is positive. The model estimate of ₩107,803 per share is far above the price, but its bear case of ₩0 shows how fragile the inputs are. The picture is mixed and depends on whether margins recover, which the data cannot confirm.

Model estimate of fair value

Bear

₩0

-100%

Base

₩107,803

+176%

Bull

₩318,710

+717%

Model estimate based on the assumptions shown. Not a price target and not a buy or sell signal.

Base case of the 5-year discounted cash flow model on the stock's Valuation tab (statements TTM to H1 2026; discount rate 7.1%). Bear and Bull move the main assumptions by fixed steps. See and change the assumptions

Filings and data used

• 5%+ holding reportOct 13, 2026
• Change in largest shareholder's holdingsOct 8, 2026
• Insider shareholding reportOct 8, 2026
• Future Business and Management Plans (Fair Disclosure)Sep 29, 2026
• Investor relations (IR) eventSep 22, 2026
• Decision on Guarantee of Debt for Another PartyAug 21, 2026
• Half-year report (Jun 2026)Aug 14, 2026
• 5%+ holding reportJul 24, 2026
• Designation as Company for Unfaithful DisclosureJun 30, 2026
• Occurrence of Serious AccidentJun 26, 2026
• Change in largest shareholder's holdingsJun 25, 2026
• Insider shareholding reportJun 25, 2026
• Daily prices up to 2026-10-16
• Financial statements, trailing 12 months as of H1 2026
• Our fair value model, statements as of TTM to H1 2026

Report history

1. Oct 18, 2026InitiationStart of coverage (reader request)Samlip: Thin Margins and a Swing to TTM Loss, With the Shares Below Book Value