Korea Electric Power (015760)

**Business Overview** Korea Electric Power Corporation (KEPCO) is a key public enterprise in South Korea's electricity industry, primarily engaged in power source development, stable electricity supply and sales, and related research and technology development. Its main business areas include power generation (through its subsidiaries), transmission, transformation, distribution, and electricity sales. Notably, it holds a monopolistic position in the domestic electricity sales market. Its core product and service is electricity sales, accounting for 95.7% of revenue as of 2025. Furthermore, KEPCO is actively involved in new technology and new business areas such as renewable energy (solar, wind), smart grids, overseas nuclear power plant exports, and hydrogen businesses. Its main customers include all domestic households, industrial sectors (semiconductors, steel, automobiles, etc.), and the service sector. **Core Competitiveness** Korea Electric Power Corporation's core competitiveness lies in its monopolistic position in the domestic electricity market and its stable electricity supply infrastructure. As a government-backed public enterprise, it builds and operates an extensive transmission and distribution infrastructure based on high reliability. Moreover, through its abundant technological prowess and R&D capabilities, it is leading the development of new energy technologies such as DC distribution, next-generation Advanced Distribution Management Systems (ADMS), and Intelligent Digital Power Plants (IDPP). It is also expanding its overseas business through its experience in exporting nuclear power plants and its global network. **Performance Analysis** Korea Electric Power Corporation's revenue increased by 23.8% from KRW 71.2579 trillion in 2022 to KRW 88.2195 trillion in 2023, showing a consistent growth trend of 5.9% to KRW 93.3989 trillion in 2024 and 4.3% to KRW 97.4293 trillion in 2025. In terms of profitability, the company recorded significant losses with an operating income of KRW -32.6552 trillion in 2022 and KRW -4.5416 trillion in 2023. However, it achieved a substantial improvement by turning profitable with KRW 8.3647 trillion in 2024 and KRW 13.4906 trillion in 2025. This is attributable to the effect of electricity tariff hikes and a decrease in purchased electricity costs due to the stabilization of international raw material prices. **Financial Soundness** Examining financial soundness indicators, the debt-to-equity ratio peaked at 543.28% in 2023 and is gradually improving to 496.69% in 2024 and 416.85% in 2025. The current ratio has remained low, at 66.83% in 2022, 48.22% in 2023, 45.73% in 2024, and 45.77% in 2025, indicating a need for short-term liquidity management. ROE was low at -58.16% in 2022 and -12.66% in 2023, but it turned profitable at 8.76% in 2024 and significantly improved to 17.57% in 2025, demonstrating that the recovery in profitability is positively impacting financial soundness. **Outlook** In line with strengthening carbon neutrality and energy transition policies, Korea Electric Power Corporation aims to leap forward as a global energy solutions leader. It is actively pursuing new businesses such as clean hydrogen projects, smart grid construction, and expanding exports of overseas nuclear power plants and electricity infrastructure. Furthermore, it plans to accelerate digital transformation by building an AI-based next-generation operational distribution system, thereby enhancing operational efficiency and customer service quality. However, fluctuations in international energy prices and electricity tariff regulations could still act as factors affecting the company's profitability.