Koramco Life Infra Reit: Falling Profit, Low Return on Equity and a Share Price Near the Model Estimate

Thesis

The data supports a picture of a real estate investment trust with high operating margins but weak bottom-line returns. Operating margin was 60.9% over the latest twelve months, yet net margin was only 12.5% and return on equity was 1.0%. The gap suggests heavy costs below the operating line, though the data does not break these down.

The share trades at 0.8 times book value, in line with SK Reit and below Lotte Reit (1.1) and Hanwha Reit (1.4). The price-to-earnings ratio of 76.9 is high because earnings are low, and the data does not show whether earnings will recover. The dividend yield is 4.1%.

The filings show a convertible bond issue decision and early acquisition of its own convertible bonds on 2026-09-22, and a borrowing filing on 2026-10-16. News on 2026-10-14 says the company is moving to sell 19 gas stations. The data does not give prices, timing or the effect on earnings, so the impact cannot be judged.

Business overview

Koramco Life Infra Reit is a real estate company listed on KOSPI since 2020-08-31, founded on 2019-12-10, with 97,335,354 listed shares. Market capitalisation is about ₩383.0B and enterprise value is about ₩491.3B. The CEO is listed as 이성균.

Revenue has ranged between ₩31.5B (2023) and ₩48.5B (2024) over the last five reported years. News headlines mention gas stations, but the data does not give a breakdown of its assets or revenue sources.

Model estimate of fair value

Bear

₩2,317

-38%

Base

₩3,768

+1%

Bull

₩6,164

+66%

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 6.7%). Bear and Bull move the main assumptions by fixed steps. See and change the assumptions

Filings and data used

• Real Estate Investment Company Borrowing of FundsOct 16, 2026
• Insider shareholding reportOct 15, 2026
• Half-year report (Aug 2026)Oct 15, 2026
• Matters Related to Timely Disclosure Obligations (Fair Disclosure)Oct 14, 2026
• Insider shareholding reportOct 8, 2026
• 5%+ holding reportOct 8, 2026
• 5%+ holding reportOct 8, 2026
• Insider shareholding reportOct 1, 2026
• Insider shareholding reportSep 23, 2026
• Material Matters Report (Decision on Acquisition of Own Convertible Bonds Before Maturity)Sep 22, 2026
• Material Matters Report (Decision on Acquisition of Own Convertible Bonds Before Maturity)Sep 22, 2026
• Convertible bond issue decisionSep 22, 2026
• Cushman & Wakefield selected as adviser for sale of 19 gas stations of Korames Life Infra REIT [Real Estate A to Z]Oct 14, 2026
• Corامco Life Infra REIT moves to sell 19 gas stations nationwideOct 14, 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 27, 2026Update noteModel fair value changeKoramco Life Infra Reit: Model Fair Value Estimate Rises 21% to ₩4,556 as Share Price Falls
2. Oct 19, 2026InitiationStart of coverage (reader request)Koramco Life Infra Reit: Falling Profit, Low Return on Equity and a Share Price Near the Model Estimate