Dongwon Fisheries Achieves 92% of Last Year's Operating Profit in Just Half a Year... "Laying the Groundwork for Dividend Resumption"

Dongwon Fisheries Co., Ltd. (030720) has initiated a full-scale improvement in profitability this year, recording performance in the first half of the year close to its annual operating profit for 2025. The company also announced its plan to resume shareholder returns by securing distributable profits based on this recovery in results.

Dongwon Fisheries, in a shareholder letter recently released through its website, stated that for the first half of this year on a consolidated basis, it posted revenue of 89.8 billion won, operating profit of 8.1 billion won, and net profit of 7.5 billion won.

The operating profit for the first half amounts to 92% of last year's annual operating profit of 8.8 billion won. Net profit also reached approximately 97% of last year’s annual net profit of 7.7 billion won. In other words, the company achieved most of last year’s annual profit within just the first six months of 2026.

Dongwon Fisheries explained that, following consecutive years of profitability in 2024 and last year, its ability to generate profit has become even stronger in 2026.

The main factor behind this performance improvement is the profit structure connecting its deep-sea fishing fleet with seafood processing and distribution businesses. Dongwon Fisheries currently operates 17 deep-sea fishing vessels and has enhanced fishing efficiency and productivity by deploying a new trawler, ‘DW NOVA,’ utilizing its quota rights for the pristine fishing grounds of New Zealand.

The company’s expansion from increasing catch volume to broadening into processing and distribution has also contributed to enhanced profitability. Its expertise in tuna fishing and processing, alongside its use of freezing and refrigeration facilities and certification by the Marine Stewardship Council (MSC), is reinforcing global food business competitiveness.

In particular, Dongwon Fisheries is increasing the added value of its catch by expanding business-to-business operations with global partners such as the Japanese boxed meal franchise ‘Hotto Motto’.

The company stated that it established a business structure combining high value-added processing and a global supply chain, rather than relying solely on primary catch, which led to improved profitability in the first half.

With results recovering, Dongwon Fisheries is moving to resume shareholder returns. The company identified, as a key priority, establishing the financial foundation for restarting dividends, based on this first-half performance rebound.

The company’s position is to prioritize securing distributable profits, laying the groundwork to share its management achievements with shareholders going forward.

In its shareholder letter, Dongwon Fisheries asserted, “A company’s value must ultimately be proven with results and those achievements must be shared with shareholders. We will make securing distributable profits one of our top priorities, to establish a foundation where business success is returned to shareholders.”

The securities industry also analyzes that, should performance improvement align with shareholder return policies, a re-evaluation of the company’s value is possible.

An industry official stated, “Although Dongwon Fisheries has shown solid asset value and improved results, it has been relatively overlooked by the market. As the strong first-half performance is confirmed, if concrete shareholder return measures materialize through securing distributable profits, this could lead to a re-rating of the share price.”

Dongwon Fisheries’ strategy is to connect its robust first-half results—on par with last year’s annual profits—and the securing of distributable profits, so that improved performance translates directly into shareholder returns.

This content was produced with the assistance of AI translation services.