1. TP Corporation H1 2025 Earnings Analysis: What Happened?

TP Corporation reported consolidated revenue of KRW 515.32 billion (down 51.6% YoY), operating profit of KRW 26.62 billion (down 45.6% YoY), and net income of KRW 18.56 billion (down 16.9% YoY) for H1 2025. While the apparel business segment experienced significant growth of 114.8% YoY, overall performance was sluggish.

2. Analysis of Sluggish Performance: Why These Results?

  • Decreased demand due to the global economic slowdown
  • Profitability decline due to rising raw material and labor costs
  • Recognition of KRW 747.37 billion in investment property valuation losses
  • Deterioration of financial soundness with a debt-to-equity ratio of 133%

3. Future Outlook and Investment Strategy: What’s Next?

Positive Factors

  • Continued robust growth in the apparel business segment
  • Shareholder value enhancement through the introduction of the RSU system and treasury stock disposal plan

Negative Factors

  • High debt-to-equity ratio and increasing financial burden
  • Risk of profit fluctuation due to increased exchange rate volatility

Investor Action Plan

A cautious approach is necessary in the short term, considering financial risk factors. In the medium to long term, investment decisions should be made by comprehensively considering the growth potential of the apparel business, improvements in financial structure, and changes in the macroeconomic environment.