Hwail Pharm화일약품

Hwail Pharm's share price has fallen sharply over the past year, while its trailing numbers show a small operating loss but a net profit on a TTM basis.

Hwail Pharm, a Korean pharmaceutical ingredient and antibiotic maker, reported trailing twelve-month revenue of ₩90.8B to H1 2026, with an operating loss of ₩2.6B and net income of ₩4.2B. The shares closed at ₩5,920 on 2026-10-23, down 47.7% over one year, and the company has a market value of about ₩49.8B. Filings in September and October 2026 cover a rights offering, a convertible bond issue, a change of largest shareholder and a shareholders' meeting.

What stands out

• Revenue has fallen for three straight years, from ₩132.1B in 2022 to ₩90.8B on a TTM basis, and 2025 operating income was negative at about -₩2.3B.
• TTM net income of ₩4.2B is positive while operating income is negative, a gap the data does not explain.
• The company reports cash of ₩71.0B and no borrowings, with liabilities at 4% of equity.
• The DCF fair value model gives a base of ₩9,351 versus the ₩5,920 close, but the data does not provide the assumptions behind it, so it should be read with caution.
• Filings in September 2026 include a rights offering, a convertible bond decision, a largest-shareholder change and a major management matter, though the data gives only the titles.

What to watch

• Details of the rights offering and convertible bond issue, including dilution, which the data does not provide.
• The full-year 2026 results and whether operating income turns positive, since TTM operating margin is -2.9%.
• The outcome of the shareholders' meeting and the management and largest-shareholder changes named in recent filings.