HK에이치케이

HK's trailing numbers show a small operating loss and a large net profit, while the share price has fallen sharply over the past year.

HK, a Korean maker of laser processing machines, reported trailing twelve-month revenue of ₩52.2B to H1 2026 with an operating loss of ₩1.4B, though net income of ₩13.6B was far higher than operations would suggest. The shares closed at ₩1,182 on 29 October 2026, down 14.7% over one year and well below the 52-week high of ₩1,911. The data does not say what drove the gap between operating and net income.

What stands out

• Trailing operating margin is -2.7%, after a -0.7% margin in 2025 and -4.9% in 2024, while 2022 was a 7.1% margin.
• Net income of ₩13.6B on ₩52.2B revenue is a 26.1% net margin, which is unusual against the operating loss; the data gives no breakdown of the difference.
• Revenue has been broadly flat to down since 2022, moving from ₩81.4B in 2022 to ₩54.2B in 2025, with 2025 growth of 0.3%.
• Valuation metrics are low, with P/E of 1.6, P/B of 0.3 and P/S of 0.4, and the DCF base fair value is ₩1,490 against the ₩1,182 close, with a bear case of ₩1,171 and a bull case of ₩2,175.
• Recent news flow is centred on trade shows and sales: a 76% rise in sales volume of deburring, bending and welding machines was reported on 29 October 2026, and the company said it secured two Polish dealers at EuroBLECH in Germany.

What to watch

• Whether the H1 2026 net income is repeated in upcoming quarterly filings, given the operating loss and the amended half-year report filed on 29 September 2026.
• Foreign ownership, which fell from 4.6% to 3.8% over the last 60 days, and 20-day investor flows that were net negative for foreign and institutional investors.
• Borrowings of ₩12.0B against cash of ₩13.8B, and the progress of the nuclear decommissioning laser technology that the company says it aims to commercialise next year.