Zero to Seven제로투세븐

Zero to Seven is profitable on a trailing basis after a steep share price fall, but free cash flow is negative and the stock trades far below its 52-week high.

The company sells the Gungjung Bichae infant skincare brand and makes POE packaging for powdered foods, mostly for export. On trailing figures to H1 2026 it reports revenue of about ₩70.7B, operating income of ₩2.9B and net income of ₩4.5B, with a 4.0% operating margin. At ₩1,949 the shares are down 53.5% over one year, though the filings data does not explain the drivers of that decline.

What stands out

• Trailing net income of ₩4.5B is well above trailing operating income of ₩2.9B, so non-operating items or other factors may have helped profit; the data does not break this down.
• Trailing free cash flow is negative at about -₩2.5B, even though cash stands at ₩4.9B and borrowings are not reported.
• Annual revenue was ₩71.0B in 2025, up 6.1%, after declines in 2022 to 2024; operating margin recovered to 3.5% from 2.3% in 2024.
• Valuation metrics are low: P/E of 8.7, P/B of 0.5 and a 2.6% dividend yield, while the company's own DCF base value is ₩1,281 and the bear-to-bull range is ₩614 to ₩2,566.
• Foreign ownership is small at 2.7% and has barely changed over 60 days; the data shows recent net buying by foreign and institutional investors and net selling by retail over 20 days.

What to watch

• The half-year report (Jun 2026) was filed as an attachment on 2026-08-14; the next quarterly figures and their cash flow trend will show whether trailing profit is converting to cash.
• A trust contract termination result report (2026-08-10) and an acquisition status report under a trust agreement (2026-05-11) were filed, but the data does not say what they involve; reading the filings directly is advisable.
• The data names no news headlines, so company-specific developments beyond the filings are not visible here.