TC Materials티씨머티리얼즈

TC Materials shows thin profit margins and negative free cash flow over the last twelve months, while the share price has fallen sharply over the past month.

TC Materials makes copper-based materials and products for electrical industries, including power cable materials, enameled copper wire and motor repair services. Over the twelve months to H1 2026 it reported revenue of about ₩380B, operating income of about ₩13.2B and net income of about ₩7.6B, with free cash flow of about -₩34.4B. The share price closed at ₩4,515 on 2026-10-23, down 26.8% over one month but up 9.1% over one year.

What stands out

• Trailing operating margin is 3.5% and net margin is 2.0%, both low, while 2025 full-year operating margin was 2.3%.
• Free cash flow over the trailing twelve months was negative at about -₩34.4B, against borrowings of about ₩41.4B and cash of about ₩21.3B.
• Liabilities are 80.7% of equity and trailing ROE is 8.9%, up from 2.2% in 2025.
• Valuation metrics are P/E 20.9 and P/B 1.9, with no dividend yield; the filing-based DCF base value in the data is ₩1,013, well below the current price.
• Foreign ownership fell from 6.1% to 1.3% over about 60 days, and institutions were net sellers over the last 20 days while retail investors were net buyers.
• Recent filings are mostly routine: the half-year report (June 2026), a quarterly report, an AGM result and IR events. No news headlines are included in the data.

What to watch

• The next quarterly or annual results, to see whether margins hold and free cash flow turns positive.
• Changes in borrowings and cash, given the negative trailing free cash flow and the 80.7% liabilities-to-equity ratio.
• Further 5%+ holding reports or foreign ownership changes, since foreign ownership has already dropped sharply.