1. What Happened? Aptochrome Announces Name Change and Poor Performance
AP Healthcare officially changed its name to Aptochrome at its shareholders’ meeting on August 22, 2025. While the company stated that this decision was made to diversify its business, the first-half 2025 earnings released on the same day were disappointing. Revenue decreased by 70.4% year-on-year to 4.851 billion won, and operating income turned to a loss of 1.371 billion won.
2. Why Did This Happen? Struggles Across Pharmaceuticals, Leasing, and Insulation
The decline in performance is attributed to decreased sales across all business segments: pharmaceuticals, leasing, and insulation. The slowdown in the pharmaceutical distribution market after the pandemic, intensified competition in the real estate leasing market, and decreased demand for specialized insulation materials for nuclear power plants all contributed to the decline.
3. What’s Next? Uncertainty and a Glimmer of Hope for Aptochrome
- Positive Aspects: The name change can potentially refresh the company’s image and stimulate investment. The recovery of the shipbuilding industry and expansion into new markets could become long-term growth drivers for the insulation business.
- Negative Aspects: If the poor performance continues, the effect of the name change will be limited. The specifics and feasibility of the new business plan remain unclear, and financial uncertainties related to convertible bonds and derivatives persist.
4. What Should Investors Do? Proceed with Caution, Monitor New Business Plans and Performance Improvements
Investing in Aptochrome currently requires extreme caution. Reducing investment exposure in the short term is recommended. Investors should closely monitor the specifics of the new business plan and the performance improvement trend of existing businesses.