Korea New NetworkKNN

KNN's trailing earnings look strong on paper, but they rest on a one-off style jump in net income while operating profit stays thin.

KNN is a Busan and Gyeongnam regional commercial broadcaster with revenue of about ₩68B over the trailing twelve months to H1 2026, roughly flat with recent years. Operating income is small at about ₩3.3B (4.9% margin), well below the 2021 level of ₩9.9B, while reported net income of about ₩34B is far higher than operating profit and is not explained in the data. The share price has fallen 28.6% over the past year and sits well below its 52-week high.

What stands out

• Revenue has been broadly flat, moving from ₩65.0B in 2021 to ₩68.5B in 2025, with 2025 down 0.5%.
• Operating margin has narrowed from 15.2% in 2021 to 4.7% in 2025, and 4.9% on a trailing basis.
• Trailing net income of about ₩34B is more than ten times operating income; the data does not say what drove the gap, so it should be checked in the filings.
• The balance sheet looks light: liabilities are 7.2% of equity, with cash of about ₩16B against borrowings of about ₩4.6B.
• Valuation metrics are low (P/E about 2, P/B 0.3), and the DCF base value in the data is ₩5,767 versus a ₩5,040 close, but this is a model output, not a forecast.

What to watch

• Whether the large gap between operating income and net income is explained in the half-year report or later filings.
• Any further trading halts or insider shareholding reports, which appeared several times in recent filings.
• Foreign ownership is 0% and short balance is 0% in the data, and there are no recent news headlines, so the next catalyst is not clear from the data.