Songwon Industrial송원산업

Songwon Industrial's first-half 2026 profit recovered from a weak 2025, but the shares have fallen sharply over the past three months.

Songwon Industrial makes specialty chemicals such as polymer stabilizers and additives, selling mainly to petrochemical and PVC producers, with most revenue from outside Korea. On trailing twelve-month figures to H1 2026 it reports revenue of ₩1.10T, operating income of ₩68.7B and net income of ₩46.7B, well above its 2025 net income of ₩2.3B. The share price closed at ₩10,180 on 2026-10-23, down 19.8% over three months but up 2.4% over one year.

What stands out

• Trailing operating margin is 6.3% and net margin 4.3%, against 2.1% and a thin profit in 2025, though still below the 2022 peak when net income was ₩131.9B.
• Borrowings of ₩161.1B exceed cash of ₩134.6B, and liabilities are 60.9% of equity; trailing free cash flow is ₩32.6B.
• The shares trade at about 5.2 times earnings and 0.3 times book, with a 2.9% dividend yield, according to the data provided.
• The company's DCF-based fair value model gives a base of ₩33,372, a bear case of ₩17,029 and a bull case of ₩64,178; these are model outputs, not forecasts or targets.
• Recent filings include a preliminary consolidated earnings release on 29 July, a half-year report on 13 August, and a corporate value-up plan in March 2026. No recent news headlines were provided.

What to watch

• The Q3 2026 results and any update to the value-up plan, which will show whether profit recovery is holding.
• Retail and foreign investor flows: over the last 20 days retail investors were net sellers of about ₩430M while foreign investors were net buyers of about ₩287M.
• Debt levels relative to cash, given borrowings exceed cash; the data does not include interest expense or the reasons for the share price decline.