Hanall Biopharma Co Ltd

Hanall Biopharma maintains a strong liquidity position with a current ratio of 3.14, indicating the company can cover its short-term liabilities more than three times over. The company holds KRW 17.74 billion in cash and equivalents, which is a significant portion of its total assets of KRW 212.91 billion. However, the company reported negative operating cash flow of KRW -1.44 billion and negative free cash flow of KRW -9.61 billion, suggesting ongoing cash burn despite its liquidity buffer.

Profitability metrics show Hanall Biopharma is currently unprofitable, with a net loss of KRW -3.32 billion and an operating loss of KRW -3.06 billion in the latest reporting period. The company's return on equity (ROE) is -1.95%, and return on assets (ROA) is -1.56%, both significantly below the industry median for pharmaceutical firms. These metrics indicate the company is not generating returns for shareholders or efficiently utilizing its assets.

The company's revenue of KRW 31.59 billion is concentrated in a single business segment, with no disclosed geographic diversification in the latest financials. This lack of diversification increases exposure to market-specific risks, particularly in South Korea, where the company is headquartered and likely derives the majority of its sales.

Looking ahead, Hanall Biopharma is expected to continue facing financial challenges. The company's operating income and net income are both negative, and with capital expenditures of KRW -11.17 billion, it is investing heavily in growth initiatives. While this may signal long-term potential, it also indicates that the company is not yet generating sufficient revenue to cover its costs and investments.

Risk factors for Hanall Biopharma include its unprofitable operations and negative cash flows, which could pressure liquidity if the company's cash burn continues at current levels. The company has a low dilution risk, with no immediate filing-based flags for equity issuance, and shares outstanding remain unchanged between basic and diluted counts. However, the company's debt-to-equity ratio of 0.01 suggests minimal leverage, which is a positive for financial stability.

Recent filings and transcripts do not indicate any major corporate events or strategic shifts in the past quarter. The company remains focused on its core biopharmaceutical development pipeline, with no disclosed material changes in business strategy or regulatory status.

Hanall Biopharma Co Ltd (009420.KS) has been formally classified within the Healthcare economic sector, with its primary activity identified as Pharmaceuticals. This taxonomic update provides a clearer structural definition of the company’s operational focus, aligning its market positioning with the broader healthcare industry landscape. Alongside this classification, the company’s risk profile has been updated to reflect low levels of both dilution and liquidity risk. These assessments indicate a stable capital structure and adequate market depth, suggesting that investors face minimal immediate threats from share dilution or trading illiquidity. The combination of a defined pharmaceutical identity and low-risk metrics offers a more transparent view of Hanall Biopharma’s fundamental standing. By establishing these baseline characteristics, the analysis removes previous ambiguities regarding the company’s sector alignment and financial stability. This synthesis relies on tracked field changes regarding taxonomy and risk assessment, supported by available financial data sources. The updates serve to refine the understanding of Hanall Biopharma’s market context without introducing new operational events or performance figures. [doc:009420.ks-ha-financials] [doc:009420.ks-ha-estimates]

Revenue grew 11.7% year-over-year to 155.2 billion KRW in FY2026, demonstrating consistent top-line expansion.

Analysts project 33.1% upside to a mean price target of 61,500 KRW, signaling strong market confidence.

Gross profit increased to 80.9 billion KRW in FY2026, indicating maintained pricing power despite operating losses.

The company maintains a low debt-to-equity ratio of 0.01, suggesting a conservative capital structure relative to peers.

Dilution and liquidity risks are assessed as low, providing stability for existing shareholders and operations.

Free cash flow deteriorated to -21.8 billion KRW in FY2025, highlighting significant cash burn and liquidity pressure.

Long-term debt surged to 31.9 billion KRW in FY2026, increasing financial leverage and credit risk exposure.

Revenue KRW 40.03B, +10,7% YoY.

• ▍Revenue KRW 40.03B, +10,7% YoY

Revenue KRW 37.55B, +3,1% YoY; Operating income −182,1% YoY.

• ▍Revenue KRW 37.55B, +3,1% YoY
• ▍Operating income −182,1% YoY
• ▍Net income −485,7% YoY
• ▍Free cash flow −147,5% YoY
• ▍Net margin -16.6%

Revenue KRW 40.80B, +10,8% YoY; Operating income −15,0% YoY.

• ▍Revenue KRW 40.80B, +10,8% YoY
• ▍Operating income −15,0% YoY
• ▍Net income +34,7% YoY
• ▍Free cash flow +58,3% YoY
• ▍Net margin 0.7%

Revenue KRW 40.68B, +28,8% YoY; Operating income +137,5% YoY.

• ▍Revenue KRW 40.68B, +28,8% YoY
• ▍Operating income +137,5% YoY
• ▍Net income +118,0% YoY
• ▍Free cash flow +78,0% YoY
• ▍Net margin 1.5%

Revenue KRW 36.15B; Operating income -KRW 394.5M.

• ▍Revenue KRW 36.15B
• ▍Operating income -KRW 394.5M
• ▍Net margin -0.6%

Revenue KRW 36.42B; Operating income KRW 2.79B.

• ▍Revenue KRW 36.42B
• ▍Operating income KRW 2.79B
• ▍Net margin 4.4%

Revenue KRW 36.84B; Operating income KRW 430.6M.

• ▍Revenue KRW 36.84B
• ▍Operating income KRW 430.6M
• ▍Net margin 0.6%

Revenue KRW 31.59B; Operating income -KRW 3.06B.

• ▍Revenue KRW 31.59B
• ▍Operating income -KRW 3.06B
• ▍Net margin -10.5%

Revenue KRW 155.18B, +11,7% YoY; Operating income −513,2% YoY.

• ▍Revenue KRW 155.18B, +11,7% YoY
• ▍Operating income −513,2% YoY
• ▍Net income −208,0% YoY
• ▍Free cash flow +25,9% YoY
• ▍Net margin -3.6%

Revenue KRW 138.94B, +3,0% YoY; Operating income −87,0% YoY.

• ▍Revenue KRW 138.94B, +3,0% YoY
• ▍Operating income −87,0% YoY
• ▍Net income −151,4% YoY
• ▍Free cash flow −790,7% YoY
• ▍Net margin -1.3%

Revenue KRW 134.91B, +22,6% YoY; Operating income +44,9% YoY.

• ▍Revenue KRW 134.91B, +22,6% YoY
• ▍Operating income +44,9% YoY
• ▍Net income +1 295,2% YoY
• ▍Free cash flow +44,1% YoY
• ▍Net margin 2.6%

Revenue KRW 110.00B, +8,3% YoY; Operating income −85,1% YoY.

• ▍Revenue KRW 110.00B, +8,3% YoY
• ▍Operating income −85,1% YoY
• ▍Net income −97,2% YoY
• ▍Free cash flow −266,8% YoY
• ▍Net margin 0.2%