Daelim Paper

Daelim Paper maintains a strong liquidity position with a current ratio of 5.81, indicating a robust ability to meet short-term obligations. The company's liquidity FPT (free cash flow to total liabilities) is supported by a cash and equivalents balance of 13,504,075,040 KRW, which is 29.7% of total liabilities. The price-to-book ratio of 0.3 suggests the company is trading at a significant discount to its book value, potentially indicating undervaluation or asset-heavy operations. Profitability metrics show a return on equity (ROE) of 2.26% and a return on assets (ROA) of 1.95%, both below the industry median for Paper Packaging. The operating margin of 3.13% (calculated from operating income of 5,280,796,440 KRW on revenue of 168,837,382,050 KRW) is also below the industry average, suggesting room for improvement in cost control or pricing power. The company's revenue is split between two segments: Paper and Corrugated Cardboard. While the exact revenue contribution of each segment is not disclosed, the dual-segment model provides diversification within the packaging value chain. Geographically, the company is concentrated in South Korea, with no material international revenue disclosed, which may limit exposure to global demand shifts. Daelim Paper's growth trajectory is modest, with no significant revenue growth or decline reported in the latest period. The company's capital expenditures of -12,657,312,200 KRW (negative due to accounting convention) suggest a period of asset write-downs or reduced investment. The outlook for the current fiscal year shows no material change in revenue direction, with a stable operating cash flow of 23,156,624,880 KRW. Risk factors are minimal, with low liquidity and dilution risk scores. The company has no immediate filing-based liquidity or dilution flags, and the debt-to-equity ratio is effectively zero, indicating a conservative capital structure. No dilution sources were identified in the latest filings, and the probability of near-term dilution is low. Recent events include the latest actual EPS of 280.00 KRW, as reported by analysts. No material changes in business strategy or regulatory exposure were disclosed in the latest filings, and the company remains focused on its core packaging operations.