Polaris AI Pharma폴라리스AI파마

Polaris AI Pharma is profitable on a trailing basis but its operating margin is thin, and the share price is well below its 52-week high.

Polaris AI Pharma is a Korean API and CDMO maker with more than 100 customers, mainly selling to finished-drug companies and exporting largely to Japan. For the twelve months to H1 2026 it reported revenue of ₩57.4B, operating income of ₩2.6B and net income of ₩11.6B, with revenue down 6.8% in 2025. The shares closed at ₩5,680 on 23 October 2026, a market value of about ₩75.4B.

What stands out

• Trailing operating margin is 4.5%, and net income of ₩11.6B is far above operating income, so the bottom line likely reflects items below operations; the data does not explain what they are.
• Revenue fell in 2024 (-7.2%) and 2025 (-6.8%), and operating income dropped to ₩0.2B in 2024 before recovering partly.
• Balance sheet shows cash of ₩34.5B against borrowings of ₩36.5B, with liabilities at 33% of equity.
• The shares are up 5.4% over one month and 8% over three months, but down 12.1% over one year and trade about 45% below the 52-week high of ₩10,200.
• Filings in 2026 include a conversion price adjustment, a convertible bond issue, a CEO change and several 5%+ holding reports; foreign ownership rose from 1.2% to 1.7% over 60 days.

What to watch

• The half-year report (filed 14 August 2026) details and the next quarterly results, to see whether operating margins hold.
• Effects of the convertible bond and conversion price adjustment on share count and dilution, which the data does not quantify.
• The internal fair value model gives a base of ₩3,050 against the ₩5,680 close; the data includes no analyst targets and the model's assumptions are not explained.