COSMO Advanced Materials posts net loss and 19.9% revenue decline in 2025, but operating cash flow improves to 138.2B KRW and capacity expansion completed
Recorded net loss of 5.2B KRW in FY2025 (vs net profit of 17.6B KRW in prior year), revenue down 19.9% to 456.3B KRW
Operating profit plunged 90.5% to 2.4B KRW due to sluggish NCM cathode material orders and metal price declines
Operating cash flow surged to 138.2B KRW from 9.1B KRW a year ago, driven by reduction in inventories and receivables
Cash and cash equivalents jumped to 34.98B KRW (from 1.98B KRW), a 16.7x increase, significantly improving liquidity
Debt ratio improved to 45.1% (from 58.3%), equity ratio at 68.9%, maintaining a stable financial structure
Completed expansion of cathode material production line to 100,000 tons annual capacity, including precursor plant
Issued 68th convertible bonds in January 2026 for investment in domestic and overseas cathode material projects (subsequent event)
No dividend distribution (no dividends for the past 5 years), prioritizing investment for long-term growth
Major customers include Samsung Electro-Mechanics, Samsung SDI, LG Chem; cathode material accounts for 71.8% of revenue
Positive outlook for release film business driven by AI server and automotive MLCC demand, developing high-value products
[AI Summary]COSMO Advanced Materials experienced a sharp decline in revenue and profit in 2025 due to the prolonged EV chasm, resulting in a net loss. However, financial stability improved with a strong operating cash flow and lower debt ratio. The completion of capacity expansion provides a medium-to-long-term growth catalyst, but near-term demand recovery risks remain, warranting caution on investment.
KOSPI Filing Information
Filing: [Correction of Description] Business Report (2025.12)