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JONBUR Research · Initiation

Neorigin · 094860 · Software

Neorigin: Loss-Making Software Name Trades Higher on Recent Momentum, With No Model Estimate Available

Why this report

Start of coverage: written when a reader opened this company and there was no report yet.

Neorigin's share price closed at ₩1,676 on 2026-10-23, up 21.1% over one month and 45.2% over one year, while trailing results remain loss-making. A valuation model estimate is not available, and no recent news headlines are in the data.

Written Oct 24, 2026 · Data as of Oct 23, 2026 · 0 views

This is not financial advice. The report does not recommend buying or selling anything.

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Thesis

The data supports a picture of strong share price momentum alongside weak operating results. The stock is up 34.1% over three months and sits near the top of its 52-week range (₩907 to ₩1,859). Foreign investors were small net buyers over the last 20 days (₩147M) and foreign ownership edged up to 62.6% from 62.0% sixty days earlier. Short balance is low at 0.1%.

What the data does not support is a profitability story. Operating income and net income have been negative in every year shown from 2021 to 2025 and in the latest trailing twelve months. The balance sheet looks light on debt, with cash well above borrowings, which gives some cushion. Filings show a change of largest shareholder, a lock-up notice and several share acquisitions, but the data does not explain their purpose or effect.

Business overview

Neorigin is a KOSDAQ-listed software company founded on 2007-02-20 and listed on 2007-04-16. It has 53,110,014 listed shares and a market capitalization of about ₩89.0B. Enterprise value is about ₩65.5B. Revenue has been volatile: ₩20.6B in 2021, ₩36.7B in 2022, ₩25.5B in 2023, ₩35.1B in 2024 and ₩31.0B in 2025. The data gives no information on products or segments.

Financial analysis

These figures come from filed financial statements. Trailing twelve months to H1 2026 show revenue of ₩24.8B, operating loss of ₩4.7B (margin -19.1%) and net loss of ₩8.0B (margin -32.3%). Return on equity is -19.9%.

For 2025, revenue fell 11.6% to ₩31.0B, with an operating loss of ₩4.6B (margin -14.9%) and a net loss of ₩11.1B (ROE -41.8%). In 2024 revenue grew 37.6% to ₩35.1B with an operating loss of ₩5.8B and a net loss of ₩5.3B.

The balance sheet is conservative: liabilities to equity is 18.1%, cash is ₩27.7B and borrowings are ₩4.1B. Trailing free cash flow is negative at ₩3.4B, so cash is being consumed.

Valuation

Price-to-earnings and EV/EBITDA cannot be calculated because earnings are negative. Price-to-book is 1.8 and price-to-sales is 3.6. The company's year-end price-to-book was 2.3 in 2025, 1.8 in 2024, 3.5 in 2023, 3.9 in 2022 and 7.6 in 2021, so the current level is at the lower end of its own history. No dividend is paid.

The listed peers (Hyundai Autoever, Krafton, NC, Netmarble, PearlAbyss) have price-to-book ratios between 0.5 and 4.7 and are much larger, with market caps of ₩2.2T to ₩8.9T. Those peers show positive price-to-earnings ratios of 7.1 to 46.6, which Neorigin cannot be compared against. A valuation model estimate per share is not available for this company, so no comparison with the share price can be made.

Catalysts

  • The half-year report filed on 2026-08-14 gave the latest trailing results, and the next periodic filing will show whether losses are narrowing.
  • Filings in April and May 2026 on a change of largest shareholder and a largest shareholder lock-up could matter for ownership and supply of shares.
  • Several filings on acquisitions of shares in other companies (May 2026) may change the company's asset mix, though the data gives no details.
  • Loan extension and loan provision decisions (May and June 2026) relate to the company's financing activity.
  • Modest foreign net buying over 20 days and a slightly higher foreign ownership share are visible in flows.

Risks

  • The company has reported operating and net losses every year from 2021 to 2025 and in the latest trailing period.
  • Free cash flow is negative at ₩3.4B, so cash of ₩27.7B could decline if losses continue.
  • Revenue has swung sharply year to year, from +77.7% in 2022 to -30.5% in 2023 and -11.6% in 2025, which makes results hard to anticipate.
  • The share price is up 45.2% over one year and near its 52-week high, so it could be sensitive to sentiment shifts; retail investors were net sellers over 20 days (₩136M).
  • No valuation model estimate or recent news is available, so there is limited external context for the price level.

Closing view

The evidence is mixed. Share price momentum and a low-debt balance sheet with ample cash sit alongside persistent losses, negative free cash flow and volatile revenue. Price-to-book of 1.8 is below the company's recent history, but with negative earnings and no model estimate it is hard to judge value from the data alone. Filings on ownership changes and share acquisitions are worth following for context, but the data does not show their effect.

Model estimate of fair value

The valuation model has no estimate for this company yet (not enough data, or no positive value with the base case).

Filings and data used

Report history

  1. Oct 24, 2026InitiationStart of coverage (reader request)Neorigin: Loss-Making Software Name Trades Higher on Recent Momentum, With No Model Estimate Available

Built only from jonbur's own data: prices and investor flows, filed financial statements and filings, and news headlines. Disclosed (filed) data is labelled as such. Written by AI and may contain mistakes.

This is not financial advice. The report does not recommend buying or selling anything.

Source: KRX statistical information