Korea Zinc고려아연

Korea Zinc's shares have fallen sharply over the past year, while the company is in a governance dispute and trades well below its 52-week high.

Korea Zinc, a Korean non-ferrous smelter best known for zinc and lead, reported trailing twelve-month revenue of about ₩21.4T and operating income of about ₩2.0T to H1 2026, with free cash flow negative at roughly -₩1.1T. The share price closed at ₩845,000 on 26 October 2026, down 27.5% over one year and near its 52-week low of ₩836,000. Recent attention centres on a management control dispute involving the chairman, an audit committee review, and a shareholder fight with MBK and Youngpoong.

What stands out

• Revenue grew strongly in 2025 (up 37.6% to about ₩16.6T), but net income of ₩775B was well below 2021's ₩811B level on a lower operating margin of 7.4%.
• Trailing operating margin is 9.5% and net margin 4.6%; ROE is 10.7%, against a 96% liabilities-to-equity ratio.
• Borrowings of about ₩3.4T exceed cash of about ₩0.9T, and free cash flow was negative over the period.
• The DCF-based fair value model gives a base of ₩1,023,018, with a bear case of ₩499,162 and a bull case of ₩1,907,322; the model's inputs and assumptions are not detailed in the data.
• Recent filings include several lawsuit-related entries, securities registration statements and an insider shareholding report; news coverage is dominated by the audit committee review of alleged fund misuse and conflicts of interest involving the chairman.
• Foreign ownership eased to 27.6% from 28.1% over 60 days, and 20-day flows were net negative for foreign and institutional investors while retail was net buyers.

What to watch

• The outcome of the audit committee review and the ongoing dispute with MBK and Youngpoong over management control.
• Upcoming results and any updates on the securities registration statements and lawsuits named in recent filings.
• Debt levels and negative free cash flow, which the data shows as current pressure points.