# Lotte Shopping (023530.KO)

Canonical: https://gigainvestors.com/s/023530.KO

Analysis as of: 2026-10-16T07:41:29.133Z. Financial observations: FY2018–FY2026.

Listing currency: KRW. Reporting currency: KRW.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: KRW 82,400.00 per share; close as of 2026-10-15.

## Checklist

### understandable: fail

- 7 revenue declines in the last 10 years

- more than 5 revenue declines in ten years

- more than 2 net loss years

- Financial history: 9 years

- Years with declining revenue: 7

- Years with a net loss: 6

- Operating margin variation: 0.34×

Chart: Operating margin; fiscal year observations.

- FY2018: 0.03×

- FY2019: 0.02×

- FY2020: 0.02×

- FY2021: 0.01×

- FY2022: 0.02×

- FY2023: 0.04×

- FY2024: 0.03×

- FY2025: 0.04×

- LTM to Jun 2026: 0.05×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 1.5%

- ROIC, second-lowest year: 1.3%

- Typical minus recent gross margin: -5.0 pp

- Typical gross margin (annual median): 43.1%

- Recent gross margin (lower of latest and 3-year median): 48.2%

- Years with nonpositive capital: 0

- Capital spending / revenue: 5.3%

- ROIC including acquisitions, ten-year median: -5.1%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2018: 3.1%

- FY2019: 1.6%

- FY2020: 1.3%

- FY2021: 0.8%

- FY2022: 1.5%

- FY2023: 2.4%

- FY2024: 1.4%

- FY2025: 1.8%

### economics: fail

- owner earnings cash conversion below threshold

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: KRW -4.72T

- Net income, five-year total: KRW -1.36T

- Return on incremental invested capital: >100%

- Working capital / revenue, annual change: 0.2 pp

Chart: Owner earnings · five years; fiscal year observations.

- FY2021: KRW -1.31T

- FY2022: KRW -971B

- FY2023: KRW -410B

- FY2024: KRW -1.65T

- FY2025: KRW -384B

### management: pass

- Historical market-dollar context (not the management verdict): 2018 to 2025 (7 years)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 1.6% vs 1.8%

- Per-share earnings: -27800.56 to 1824.00 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 5-year annual growth: -0.0%

- Market cap gain: KRW -3.85T

- Cumulative retained earnings: KRW -3.55T

- Diluted shares, 5-year annual growth: -0.0%

- $1 test, starting fiscal year: FY2018

- $1 test, ending fiscal year: FY2025

- Per-share value change: KRW 30K

- Per-share value, starting three-year median: KRW -28K

- Per-share value, ending three-year median: KRW 2K

- Buybacks concentrated in cheaper years (correlation): -0.80

- Average buyback yield: 2.2%

- Buyback history: 4 years

- Debt-funded buybacks: No

- ROIC, first three-year median: 1.6%

- ROIC, last three-year median: 1.8%

Chart: Earnings per share; fiscal year observations.

- FY2018: KRW -19K

- FY2019: KRW -32K

- FY2020: KRW -28K

- FY2021: KRW -10K

- FY2022: KRW -12K

- FY2023: KRW 6K

- FY2024: KRW -34K

- FY2025: KRW 2K

### accounting: pass

- Sloan accruals: -4.4%

- Receivables to sales index (DSRI): 0.78×

- Restructuring years, last five: 0

- Earnings backed by cash: Yes

- Operating cash / earnings: 33.43×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.05×

Chart: Sloan accruals; fiscal year observations.

- FY2018: -2.7%

- FY2019: -7.5%

- FY2020: -6.9%

- FY2021: -6.3%

- FY2022: -6.2%

- FY2023: -3.8%

- FY2024: -6.6%

- FY2025: -4.4%

## Holders

## Price story

Down 51% since Jun 2026 · sales +1.9%

Story as of 2026-10-16T10:00:11.935Z; price observation 2026-10-15.

### Sales · FY2025–2026

sales +1.9%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2018: KRW 17.82T 

- FY2019: KRW 17.62T 

- FY2020: KRW 16.18T 

- FY2021: KRW 15.57T 

- FY2022: KRW 15.48T 

- FY2023: KRW 14.56T 

- FY2024: KRW 13.99T 

- FY2025: KRW 13.74T 

- FY2026: KRW 14.00T 

### Gross margin · FY2025

gross margin 48.5%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2018: 42.1% 

- FY2019: 42.2% 

- FY2020: 40.4% 

- FY2021: 42.0% 

- FY2022: 44.0% 

- FY2023: 46.5% 

- FY2024: 48.2% 

- FY2025: 48.5% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in department stores; annual sales are KRW 13.7 trillion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:41:29.133Z); FY2025: revenue 13738354725830; grossProfit 6663194521870; margin = grossProfit / revenue.

### Why customers stay

Margins ranged from 46.5% to 48.5% during 2023–25; it earns 1.5% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:41:29.133Z); FY2023: grossProfit / revenue = 46.5%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:41:29.133Z); FY2024: grossProfit / revenue = 48.2%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:41:29.133Z); FY2025: grossProfit / revenue = 48.5%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:41:29.133Z); 8-year return on capital observations [[2018,0.031366213918712055],[2019,0.015527153239872873],[2020,0.013084710506220287],[2021,0.008059736792283567],[2022,0.014786193487648],[2023,0.02356102724607246],[2024,0.013767543504177446],[2025,0.018282301188211426]]; median 0.015156673363760437. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 8 of 8 years; bought back KRW 376.3 million of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:41:29.133Z); Dividend observations: [[2018,185603815700],[2019,183888981820],[2020,160451516190],[2021,138686751510],[2022,147997896970],[2023,149536700580],[2024,143195554790],[2025,194606655020]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:41:29.133Z); FY2025: cash repurchases 376326000 KRW.

### Are managers owners

Insiders own 59% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 023530.KO SharesStats.PercentInsiders = 59.035000000000004 percentage points; cache date 2026-10-16.

### What the price says

The price is 0.2 times annual sales; cash earnings are negative.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:41:29.133Z); Closing price 82400 KRW; reporting-to-trading FX 1; FY2025 annual sales per share 486053.2955752532; price multiple 0.16952873429749726. FY2025 cash earnings/share -13576.34158609622. Closing-price date 2026-10-15.

## Monthly share-price history (KRW per share)

- 2016-10: KRW 204,055.56 per share

- 2016-11: KRW 193,785.80 per share

- 2016-12: KRW 197,804.40 per share

- 2017-01: KRW 202,269.51 per share

- 2017-02: KRW 206,288.11 per share

- 2017-03: KRW 194,232.31 per share

- 2017-04: KRW 234,418.31 per share

- 2017-05: KRW 255,850.84 per share

- 2017-06: KRW 271,032.21 per share

- 2017-07: KRW 234,864.82 per share

- 2017-08: KRW 229,506.69 per share

- 2017-09: KRW 220,129.95 per share

- 2017-10: KRW 225,000.00 per share

- 2017-11: KRW 210,000.00 per share

- 2017-12: KRW 199,000.00 per share

- 2018-01: KRW 241,500.00 per share

- 2018-02: KRW 206,500.00 per share

- 2018-03: KRW 234,500.00 per share

- 2018-04: KRW 256,000.00 per share

- 2018-05: KRW 224,000.00 per share

- 2018-06: KRW 210,000.00 per share

- 2018-07: KRW 206,000.00 per share

- 2018-08: KRW 180,000.00 per share

- 2018-09: KRW 209,500.00 per share

- 2018-10: KRW 193,500.00 per share

- 2018-11: KRW 215,500.00 per share

- 2018-12: KRW 211,000.00 per share

- 2019-01: KRW 196,000.00 per share

- 2019-02: KRW 191,000.00 per share

- 2019-03: KRW 178,000.00 per share

- 2019-04: KRW 178,000.00 per share

- 2019-05: KRW 160,000.00 per share

- 2019-06: KRW 160,500.00 per share

- 2019-07: KRW 136,000.00 per share

- 2019-08: KRW 136,000.00 per share

- 2019-09: KRW 129,000.00 per share

- 2019-10: KRW 124,500.00 per share

- 2019-11: KRW 132,500.00 per share

- 2019-12: KRW 135,500.00 per share

- 2020-01: KRW 115,500.00 per share

- 2020-02: KRW 95,200.00 per share

- 2020-03: KRW 75,000.00 per share

- 2020-04: KRW 99,800.00 per share

- 2020-05: KRW 89,000.00 per share

- 2020-06: KRW 79,500.00 per share

- 2020-07: KRW 77,900.00 per share

- 2020-08: KRW 76,000.00 per share

- 2020-09: KRW 78,500.00 per share

- 2020-10: KRW 83,400.00 per share

- 2020-11: KRW 101,500.00 per share

- 2020-12: KRW 102,500.00 per share

- 2021-01: KRW 105,500.00 per share

- 2021-02: KRW 118,500.00 per share

- 2021-03: KRW 126,000.00 per share

- 2021-04: KRW 124,000.00 per share

- 2021-05: KRW 121,500.00 per share

- 2021-06: KRW 115,500.00 per share

- 2021-07: KRW 107,500.00 per share

- 2021-08: KRW 107,500.00 per share

- 2021-09: KRW 102,500.00 per share

- 2021-10: KRW 105,000.00 per share

- 2021-11: KRW 83,500.00 per share

- 2021-12: KRW 87,200.00 per share

- 2022-01: KRW 79,700.00 per share

- 2022-02: KRW 84,200.00 per share

- 2022-03: KRW 95,800.00 per share

- 2022-04: KRW 94,500.00 per share

- 2022-05: KRW 101,500.00 per share

- 2022-06: KRW 104,000.00 per share

- 2022-07: KRW 95,400.00 per share

- 2022-08: KRW 98,800.00 per share

- 2022-09: KRW 86,500.00 per share

- 2022-10: KRW 87,400.00 per share

- 2022-11: KRW 84,500.00 per share

- 2022-12: KRW 91,000.00 per share

- 2023-01: KRW 94,000.00 per share

- 2023-02: KRW 87,000.00 per share

- 2023-03: KRW 81,900.00 per share

- 2023-04: KRW 79,800.00 per share

- 2023-05: KRW 80,000.00 per share

- 2023-06: KRW 68,600.00 per share

- 2023-07: KRW 70,000.00 per share

- 2023-08: KRW 71,000.00 per share

- 2023-09: KRW 71,500.00 per share

- 2023-10: KRW 72,100.00 per share

- 2023-11: KRW 76,500.00 per share

- 2023-12: KRW 75,000.00 per share

- 2024-01: KRW 82,200.00 per share

- 2024-02: KRW 77,600.00 per share

- 2024-03: KRW 72,200.00 per share

- 2024-04: KRW 69,700.00 per share

- 2024-05: KRW 65,900.00 per share

- 2024-06: KRW 63,500.00 per share

- 2024-07: KRW 61,800.00 per share

- 2024-08: KRW 62,400.00 per share

- 2024-09: KRW 61,500.00 per share

- 2024-10: KRW 66,000.00 per share

- 2024-11: KRW 57,200.00 per share

- 2024-12: KRW 54,100.00 per share

- 2025-01: KRW 54,000.00 per share

- 2025-02: KRW 63,100.00 per share

- 2025-03: KRW 60,600.00 per share

- 2025-04: KRW 67,800.00 per share

- 2025-05: KRW 80,600.00 per share

- 2025-06: KRW 74,200.00 per share

- 2025-07: KRW 71,800.00 per share

- 2025-08: KRW 66,100.00 per share

- 2025-09: KRW 70,800.00 per share

- 2025-10: KRW 65,100.00 per share

- 2025-11: KRW 71,500.00 per share

- 2025-12: KRW 72,500.00 per share

- 2026-01: KRW 84,000.00 per share

- 2026-02: KRW 107,700.00 per share

- 2026-03: KRW 108,200.00 per share

- 2026-04: KRW 135,300.00 per share

- 2026-05: KRW 147,700.00 per share

- 2026-06: KRW 169,700.00 per share

- 2026-07: KRW 117,300.00 per share

- 2026-08: KRW 106,400.00 per share

- 2026-09: KRW 101,400.00 per share

- 2026-10: KRW 94,000.00 per share

## Annual estimated value (KRW per share)

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.