HIGEN Motor (160190) Q4 2025 earnings summary

Executive summary

• Revenue for FY2025 was KRW 73.5 billion, down 3.1% year-over-year, with operating loss widening to KRW 8.9 billion from KRW 0.4 billion in FY2024, mainly due to raw material cost increases and R&D investments in new business areas.

• Net loss for FY2025 was KRW 7.1 billion, compared to a net loss of KRW 1.1 billion in FY2024.

• Financial position remains solid with total assets at KRW 166.5 billion (+38.6% YoY), equity at KRW 106.9 billion (+56.4% YoY), and a current ratio of 277.2%.

• The company is expanding into robotics, actuators, and EV mobility, with new production lines and continued R&D investment.

Financial highlights

• FY2025 revenue: KRW 73.5 billion (–3.1% YoY); operating loss: KRW 8.9 billion (vs. loss of KRW 0.4 billion in FY2024); net loss: KRW 7.1 billion (vs. loss of KRW 1.1 billion in FY2024).

• Gross profit margin declined to 4.2% from 9.3% in FY2024.

• Cash and cash equivalents at year-end: KRW 22.7 billion, up from KRW 10.2 billion.

• Total borrowings at year-end: KRW 26.4 billion, down from KRW 29.0 billion.

• Equity ratio improved to 64.2% from 56.9% YoY.

Outlook and guidance

• Management expects new business areas (robotics, actuators, EV mobility) to contribute to revenue and profitability from 2026 as mass production and sales ramp up.

• Continued investment in R&D and production capacity is planned to support future growth.