1. What Happened? : Ilshin Stone’s Q2 2025 Earnings

Ilshin Stone reported revenue of 15.3 billion KRW and operating profit of 700 million KRW for Q2 2025. This represents a 61.1% and 75% decrease, respectively, compared to the same period last year. Net income also fell sharply by 91% to 500 million KRW. Both building stone manufacturing/distribution and masonry businesses performed poorly.

2. Why Did This Happen? : Analysis of the Decline

The downturn in the domestic construction market is the primary driver of this decline. The slowdown in construction activity led to decreased demand for stone, directly impacting Ilshin Stone’s performance. Volatility in raw material prices also contributed to the challenges.

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

On the positive side, operating cash flow has turned positive, and the company maintains a stable financial structure (debt-to-equity ratio of 44.89%). The increase in other current financial assets may offer future investment opportunities. However, continued revenue decline and a prolonged construction market slump could pose significant risks.

4. What Should Investors Do? : Action Plan

A cautious approach is recommended at this time. Investors should closely monitor signals of recovery in the construction market, a reversal in the declining revenue trend, and the performance of the company’s investments in other current financial assets. Rather than rushing into an investment, it’s crucial to observe Ilshin Stone’s further business plans and efforts to improve performance.