Sungchang Autotech성창오토텍

Sungchang Autotech shows a profitable first half of 2026 after a strong 2025, but its shares have fallen about 36% over the past year.

The company makes automotive parts, mainly HVAC systems in Korea and injection-molded parts overseas, selling largely to carmakers and large auto suppliers. Trailing twelve-month figures to H1 2026 show revenue of about ₩236.7B, operating income of ₩7.9B and net income of ₩5.0B, below the full-year 2025 level. The share price is ₩2,755, near the lower part of its 52-week range of ₩2,595 to ₩4,785.

What stands out

• 2025 revenue rose 25.3% to about ₩243.5B, with operating income of ₩11.6B, but trailing figures to H1 2026 are lower than that year.
• Trailing operating margin is 3.3% and net margin 2.1%, compared with 4.8% operating margin for 2025.
• The balance sheet carries liabilities at 180% of equity, while cash is about ₩39.5B against borrowings of only ₩0.2B.
• Valuation metrics are low, with a P/E of about 4 and a P/B of 0.3, and a 2.5% dividend yield is listed, though the data gives no reasons for the discount.
• Foreign ownership eased from 9.3% to 8.6% over 60 days, and 20-day foreign flows were net negative.

What to watch

• The Q3 2026 quarterly report and the full-year 2026 results, to see whether margins recover from the trailing 3.3%.
• The string of insider shareholding and trading plan filings from executives and major shareholders in recent months.
• Customer concentration with Hyundai Motor, Kia and large system suppliers, as well as overseas exposure in the US and China, which the data does not quantify further.