Ecopro Co (086520) Q4 2025 earnings summary

Executive summary

• Q4 2025 saw a recovery in core earnings and significant revenue growth, with subsidiaries returning to profitability as metal prices rebounded and operational improvements took effect.

• Strategic investments in Indonesian nickel smelters and upstream raw materials contributed to a turnaround in operating profit and are expected to drive significant growth and cost competitiveness from 2026.

• The group is expanding its next-generation battery materials portfolio, including solid-state battery value chain advancements and proprietary technology development.

Financial highlights

• Q4 2025 consolidated revenue was KRW 7,336 billion, with EBIT of KRW 662 billion (9.0% margin), rebounding from prior losses.

• Ecopro Materials Q4 2025 revenue reached KRW 115.2 billion (up 82% QOQ), with operating profit of KRW 3.3 billion, marking a turnaround.

• Ecopro HN Q4 2025 revenue was KRW 39.2 billion (up 38% QOQ), with flat operating profit at KRW 2.3 billion.

• Cash and cash equivalents surged 111% QOQ to KRW 1.1866 trillion, driven by a KRW 800 billion PRS transaction.

Outlook and guidance

• 2026 is expected to be a year of full-scale growth, with all four Indonesian smelters operational and contributing over KRW 200 billion in annual profit.

• Upward revision of profit estimates is anticipated due to higher metal prices, exchange rates, and Indonesian smelter investments.

• Ecopro HN projects over 50% YoY revenue growth in 2026, driven by semiconductor and environmental businesses.

• Ecopro Materials expects precursor sales volume to rise by 90% YoY, with external sales ratio targeted to double to 70%.