Daedong Gear대동기어

Daedong Gear is loss-making on a trailing basis after a rights offering and bonus issue, and its shares have fallen sharply over the past year.

Daedong Gear, a Korean maker of gears and transmission parts for farm machinery, automobiles and industrial customers, reported a trailing twelve-month net loss of about ₩3.0B on revenue of about ₩227B to H1 2026. Its share price is ₩5,590, down 55.1% over one year, with a market capitalisation of about ₩107B. Recent filings show a rights offering, a bonus issue and a half-year report.

What stands out

• Revenue fell 14.1% in 2025 to ₩221B, and trailing revenue to H1 2026 is ₩227B.
• Operating income was roughly break-even on a trailing basis (-₩0.5B), down from ₩4.5B in 2024 and ₩8.1B in 2023.
• Net income was -₩4.7B in 2025 and -₩3.0B trailing, with trailing free cash flow of -₩15.6B.
• Borrowings of ₩122B against cash of ₩4.1B give a liabilities-to-equity ratio of 277.5%.
• Filings in July and August 2026 cover a rights offering, a bonus issue and the half-year report; no news headlines were provided.

What to watch

• The next results and any further filings on the rights offering and securities issuance.
• Whether operating margin recovers from near zero and free cash flow turns positive, given heavy borrowings.
• Foreign ownership rose from 4.0% to 5.9% over 60 days, while retail investors were net sellers over the last 20 days; the data does not explain the cause.