Solum솔루엠

Solum's H1 2026 profit is thin and its shares have rallied over the past month, though they are still down over one year.

Solum is an electronic components maker with power modules, 3IN1 boards, electronic shelf labels and IoT products, selling largely to customers such as Samsung Electronics. Trailing results to H1 2026 show revenue of about ₩1.87T but an operating margin of 3.5% and a net margin of 0.6%, with borrowings of ₩489B against cash of ₩132B and negative free cash flow. The share price closed at ₩14,560 on 2026-10-23, up 12% over one month but down 14.4% over one year.

What stands out

• Trailing revenue of ₩1.87T is up from ₩1.70T in 2025, but net income fell to ₩10.9B from ₩13.4B in the year-to-H1 comparison of the annual figures shown, and 2025 net income was far below 2023's ₩120B.
• Annual results have been volatile: operating margin ran from 7.9% in 2023 to 2.7% in 2025.
• Trailing free cash flow is negative at about -₩67.7B, and liabilities are 151.5% of equity.
• Valuation is high on earnings: P/E of 63.9 against P/B of 1.2, and the data's DCF base value is ₩2,725, well below the current price, while the bull value is ₩27,077.
• Foreign ownership eased to 19.3% from 20.9% over 60 days, while institutions were net buyers over the last 20 days and retail net sellers. The filings list a rights offering decision and share acquisitions in August 2026.
• A 22 October 2026 Herald Business headline says Solum is pursuing entry into next-generation power infrastructure for AI data centres.

What to watch

• The rights offering (paid-in capital increase) decided in August 2026 and its terms, which the data does not detail.
• Progress on the share acquisition and the planned entry into power infrastructure, which the data does not detail.
• Next earnings and whether margins and free cash flow recover from current levels.