Business · Companies · 2 hrs ago
Suhyup Distribution’s Capital Impairment Nears 95% as Losses Grow
Suhyup Distribution, a subsidiary of Korea’s National Federation of Fisheries Cooperatives, is facing growing losses.
By the end of August 2026, it had recorded a net loss of 3.447 billion won, more than its 2.78 billion won loss for all of 2025.
Its annual losses have risen each year since 2021.
Its main business, the Badamart store chain, also moved from profit in 2024 to losses in 2025 and 2026.
Its capital impairment rate reached 94.9%, while its total equity fell by 75.1% from the end of 2025 to August.
The parent federation had invested 11.4 billion won in the company by 2024, but a recovery plan involving store closures and other cuts has been slow to take effect.
A lawmaker called for management to be held accountable and for business restructuring to stop losses and protect the company’s role in supporting fishers’ incomes.
Suhyup Distribution’s capital impairment ratio reached 94.9% by the end of August, nearing full capital impairment.
The company reported a net loss of 3.447 billion won in the first eight months of the year, already exceeding its full-year loss of 2.78 billion won in 2025.
Its total equity fell 75.1%, from 4.591 billion won at the end of 2025 to 1.144 billion won at the end of August.
A 2025 business improvement plan included store closures and organizational cuts, but implementation has been slow, according to lawmaker Yoon Jun-byeong.
Yoon called for management accountability, staffing changes and a major restructuring of the business.
- Who
- Suhyup Distribution, a subsidiary of the National Federation of Fisheries Cooperatives, and lawmaker Yoon Jun-byeong.
- What
- The company’s losses have grown and its capital impairment ratio reached 94.9% by the end of August.
- When
- The figures were reported on October 23, 2026, based on data through August.
- Where
- South Korea.
- Why
- Not stated.
This story does not have two clearly opposing sides.
The National Federation of Fisheries Cooperatives invested 5 billion won in Suhyup Distribution.
The federation invested a further 6.4 billion won in the company.
Suhyup submitted a management improvement plan that included store restructuring and organizational cuts.
The Dongdaemun store, which had been scheduled to close in 2025, shut down.
The company’s net loss for the year to date reached 3.447 billion won and its capital impairment ratio was 94.9%.
- Net loss through August 2026
- 3.447 billion won
- Full-year net loss in 2025
- 2.78 billion won
- Capital impairment ratio
- 94.9% at the end of August
- Total equity
- 1.144 billion won at the end of August, down from 4.591 billion won at the end of 2025
- Debt-to-equity ratio
- 1,375.7%
- Investment by the fisheries federation
- 11.4 billion won in total; 5 billion won in 2020 and 6.4 billion won in 2024
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What people are saying
Despite promises to improve management, the company exceeded last year's full-year loss in just eight months this year, and its capital impairment ratio is nearing 95%.
Management must clearly be held accountable for fulfilling its promises and for its performance.