1. What Happened? H1 2025 Performance Analysis

Kangnam Jevisco recorded sales of KRW 161.6 billion, operating profit of KRW 6.4 billion, and net income of KRW 5.3 billion in H1 2025. Both sales and profitability decreased compared to the same period last year, with a particularly noticeable decline in the paint segment. Conversely, the synthetic resin segment maintained solid profitability, and the composite molding materials segment showed improved efficiency.

2. Why These Results? Reasons for the Underperformance

The sluggish performance of the paint segment is primarily attributed to declining demand in downstream industries due to macroeconomic factors such as the global economic slowdown, increased trade barriers, and deteriorating financial conditions. The downturn in paint-demanding industries like construction, shipbuilding, and automotive directly impacted the results. On the other hand, the strong performance of the synthetic resin segment can be attributed to successful strategies in developing eco-friendly and high-value-added products and expanding overseas markets.

3. What’s Next? Future Outlook and Opportunities

The performance in the second half hinges on the recovery of the paint segment. The steady growth of the synthetic resin segment and efficiency improvement efforts in the composite molding materials segment are positive factors. Increased liquidity from the stock split and continuous R&D investment are expected to act as mid- to long-term growth momentum.

4. What Should Investors Do? Action Plan

Investors should closely monitor the recovery of the paint segment, the performance of new products, and the maintenance of competitiveness in the synthetic resin segment. It is crucial to make informed investment decisions by continuously monitoring quarterly earnings announcements and changes in macroeconomic indicators.