Hanex Corp. (014130.KS) is embarking on a medium- to long-term transformation that reshapes both how it grows its business and how it communicates with shareholders, aligning itself with shifts in the logistics and capital markets.
Hanex disclosed a "value-up plan" on the 14th, according to the Financial Supervisory Service. The plan is built on four pillars: restoring profitability in its core business, shifting toward a growth portfolio centered on high-value-added and global operations, improving capital efficiency and expanding shareholder returns, and strengthening communication with investors.
The company said its first priority is to restore profitability, which has been eroded by a slowdown in key downstream industries, reduced customer volumes, low-price competition and cost pressures. It plans to scale back non-core businesses and optimize its organization and logistics hubs, while pursuing a return to operating profit this year through standardized logistics processes and digital transformation. The company said it aims to shift its management focus toward "profitable growth" that generates stable earnings and cash flow.
Drawing on 47 years of expertise in specialized freight transport, the company will develop specialty chemicals for semiconductors and defense logistics as strategic businesses. It plans to expand its North American logistics network and global customer base through investment in a U.S. hub next year. The company aims to grow at an average annual rate of 10.3% from this year through 2030, reaching revenue of 900 billion won ($660 million) by 2030.
Based on the recovery of core profitability, lower financing costs and an improved financial structure, the company set medium- to long-term targets of a return on equity (ROE) of at least 10% and a price-to-book ratio (PBR) of at least 1.0 by 2030. Starting next year, it will set a target of returning 20% of consolidated net profit attributable to controlling shareholders, using dividends and share buybacks and cancellations flexibly within the range of adjusted free cash flow after accounting for essential growth investment and debt reduction.
Hanex had already begun taking action to enhance shareholder value before announcing the plan. On the 9th of last month, it canceled 182,117 treasury shares it held, and on the 16th of the same month it decided to acquire an additional 400,000 treasury shares, equivalent to about 3.3% of its total outstanding shares. The company plans to continue improving its financial structure, including by completing the liquidation of its fulfillment subsidiary.
The company is shifting its investor communication to a two-way system. It will hold an annual investor briefing on a regular basis and provide semiannual earnings review materials and investor Q&A sessions. It also plans to consolidate its inquiry channels for institutional and individual investors.
Yoo In-chul, chief executive of Hanex, said, "Rather than expanding scale for its own sake, we will focus on profitable growth and create new growth opportunities in semiconductors, defense and global logistics." He added, "We will share the results we generate with shareholders in a predictable way, and rather than a plan that ends with a disclosure, we will build trust through execution and communication."
