Samsung Electro-Mechanics Co Ltd

Samsung Electro-Mechanics maintains a conservative capital structure with a debt-to-equity ratio of 0.24 and a current ratio of 1.86, indicating strong short-term liquidity coverage. The balance sheet reflects total assets of 14.6 trillion KRW against total liabilities of 5.1 trillion KRW, resulting in total equity of 9.5 trillion KRW. Cash and equivalents stand at 2.7 trillion KRW, while long-term debt is 2.3 trillion KRW. Operating cash flow is robust at 1.5 trillion KRW, though free cash flow is compressed to 246 billion KRW due to significant capital expenditures of 1.25 trillion KRW.

Profitability metrics show a return on equity of 8.61% and a return on assets of 5.63%. The company generated net income of 706 billion KRW on revenue of 11.3 trillion KRW, yielding a net margin of approximately 6.2%. Gross profit was 2.3 trillion KRW, and operating income was 913 billion KRW. While specific cohort medians are not provided for direct comparison, the valuation multiples are elevated, with a price-to-earnings ratio of 154.4 and an EV/EBITDA of 127.3, suggesting the market is pricing in significant future growth or recovery potential relative to current earnings.

Revenue concentration and segment details are not explicitly broken down in the available data, but the classification as Integrated Circuits within the Semiconductors industry implies exposure to global electronics supply chains. The company’s activity is centered on electronic components, which are critical inputs for consumer electronics, automotive, and industrial applications. Without specific geographic or segment revenue splits, the analysis relies on the broader industry context of semiconductor cyclicality and demand drivers.

Growth trajectory analysis is limited by the absence of historical period data in the input. The current financial snapshot shows a revenue base of 11.3 trillion KRW, but year-over-year or multi-year trends cannot be quantified from the provided information. The high valuation multiples (P/E 154.4, EV/Revenue 10.73) imply that investors expect substantial revenue and earnings expansion in the near term, diverging from the current profitability levels.

Risk assessment indicates low liquidity risk and low dilution risk, with no immediate filing-based flags detected. The company’s strong cash position and manageable debt levels mitigate financial distress risks. However, the high valuation multiples present a market risk, as any disappointment in future earnings growth could lead to significant multiple compression. The absence of historical data limits the ability to assess operational consistency or cyclical vulnerability.

Recent events and analyst sentiment are positive, with a mean recommendation of 1.63 (strong buy) and a mean price target of 725,417 KRW, which is below the current market price of 1,745,000 KRW. The high price target of 1.2 million KRW and low of 180,000 KRW indicate a wide dispersion in analyst expectations. The strong buy consensus (11 strong buys, 19 buys, 0 holds) suggests confidence in the company’s future prospects, despite the current premium valuation.

Samsung Electro-Mechanics Co Ltd (009150.KS) has been formally classified within the Technology sector, specifically under the Technology Equipment activity. This medium-severity update establishes the company’s economic positioning, moving from an unclassified state to a defined industry category. The classification aligns the firm with its operational reality as a manufacturer of electronic components, providing a clearer framework for sector-specific analysis. Alongside the sectoral definition, the company’s risk profile has been initialized with low ratings for both dilution and liquidity risks. These new fields indicate that, based on current thresholds, the firm presents minimal immediate threat regarding share dilution or cash flow constraints. This low-risk assessment offers a baseline for investors evaluating the stability of the company’s capital structure and financial operations. The significance of these updates lies in the establishment of a comprehensive analytical baseline for Samsung Electro-Mechanics. With 17 analysts currently covering the stock, the formalization of sector and risk metrics enhances the comparability of the company against peers in the Technology Equipment space. This structured data supports more precise valuation models and risk-adjusted return calculations for market participants. Currently, the company reports one officer and no top holders or index memberships in the tracked data. The absence of prior values for the newly added fields suggests this is an initial or refreshed data capture rather than a shift in existing conditions. Investors should monitor how these foundational metrics evolve as the company continues to operate within the broader technology equipment landscape.

Operating income surged 24.3% year-over-year to 913 billion KRW, demonstrating strong top-line momentum and operational efficiency.

Revenue grew 9.9% to 11.3 trillion KRW, indicating robust demand for electronic components and successful market expansion.

Operating and net margins exceed cohort medians, highlighting superior profitability relative to 475 peers in the electronic equipment sector.

Cash conversion ratio of 2.12 significantly outperforms the cohort median of 1.04, reflecting high-quality earnings and efficient cash management.

Debt-to-equity ratio of 0.24 is below the cohort median of 0.26, suggesting a conservative capital structure with lower financial risk.

Net income CAGR is negative at -5.7% over four years, indicating a long-term deterioration in bottom-line profitability despite recent revenue growth.

Return on equity of 2.28% falls below the cohort median of 2.42%, suggesting less efficient use of shareholder capital than peers.

Long-term debt increased to 2.28 trillion KRW in FY2026, rising steadily from 1.08 trillion KRW in FY2022, increasing leverage exposure.

Revenue KRW 3.21T, +17,2% YoY; Operating income +39,9% YoY.

• ▍Revenue KRW 3.21T, +17,2% YoY
• ▍Operating income +39,9% YoY
• ▍Net income +86,3% YoY
• ▍Free cash flow +29,7% YoY
• ▍Net margin 7.8%

Revenue KRW 2.90T, +16,4% YoY; Operating income +108,2% YoY.

• ▍Revenue KRW 2.90T, +16,4% YoY
• ▍Operating income +108,2% YoY
• ▍Net income +6,9% YoY
• ▍Free cash flow −153,2% YoY
• ▍Net margin 7.7%

Revenue KRW 2.89T, +10,5% YoY; Operating income +15,7% YoY.

• ▍Revenue KRW 2.89T, +10,5% YoY
• ▍Operating income +15,7% YoY
• ▍Net income +90,8% YoY
• ▍Free cash flow +37,6% YoY
• ▍Net margin 7.6%

Revenue KRW 2.78T, +8,2% YoY; Operating income +0,7% YoY.

• ▍Revenue KRW 2.78T, +8,2% YoY
• ▍Operating income +0,7% YoY
• ▍Net income −24,8% YoY
• ▍Free cash flow −52,1% YoY
• ▍Net margin 4.7%

Revenue KRW 2.74T; Operating income KRW 200.55B.

• ▍Revenue KRW 2.74T
• ▍Operating income KRW 200.55B
• ▍Net margin 4.9%

Revenue KRW 2.49T; Operating income KRW 115.03B.

• ▍Revenue KRW 2.49T
• ▍Operating income KRW 115.03B
• ▍Net margin 8.4%

Revenue KRW 2.62T; Operating income KRW 224.88B.

• ▍Revenue KRW 2.62T
• ▍Operating income KRW 224.88B
• ▍Net margin 4.4%

Revenue KRW 2.57T; Operating income KRW 211.45B.

• ▍Revenue KRW 2.57T
• ▍Operating income KRW 211.45B
• ▍Net margin 6.7%

Revenue KRW 11.31T, +9,9% YoY; Operating income +24,3% YoY.

• ▍Revenue KRW 11.31T, +9,9% YoY
• ▍Operating income +24,3% YoY
• ▍Net income +4,0% YoY
• ▍Free cash flow −56,4% YoY
• ▍Net margin 6.2%

Revenue KRW 10.29T, +15,8% YoY; Operating income +17,4% YoY.

• ▍Revenue KRW 10.29T, +15,8% YoY
• ▍Operating income +17,4% YoY
• ▍Net income +60,6% YoY
• ▍Free cash flow +573,1% YoY
• ▍Net margin 6.6%

Revenue KRW 8.89T, −5,7% YoY; Operating income −47,1% YoY.

• ▍Revenue KRW 8.89T, −5,7% YoY
• ▍Operating income −47,1% YoY
• ▍Net income −56,9% YoY
• ▍Free cash flow −133,3% YoY
• ▍Net margin 4.8%

Revenue KRW 9.42T, −2,6% YoY; Operating income −20,4% YoY.

• ▍Revenue KRW 9.42T, −2,6% YoY
• ▍Operating income −20,4% YoY
• ▍Net income +9,9% YoY
• ▍Free cash flow −60,4% YoY
• ▍Net margin 10.4%