As audit opinion disclaimers and delays in submitting audit reports by domestically listed companies pile up, corporations facing delisting risks are emerging in droves. Combined, companies with disclaimed opinions and delayed reports number around 60, expanding risk across the market.
According to the Korea Exchange (KRX) on the 29th, as of the 25th, a total of 29 listed companies were found to have triggered delisting grounds after receiving an external auditor's "disclaimer of opinion" in the "2025 fiscal year audit report." In the KOSPI market, seven companies were included: e-STARCO, KC GreenHoldings, STX, Daeho AL, Kumyang, The WillBes, and Hands Corporation. In the KOSDAQ market, 22 companies, including RFsemi Technologies, OptiCore, Enzychem Lifesciences, MEDICOX, and TOBESOFT, received disclaimers.
A disclaimer of opinion is when an external auditor determines it cannot form a judgment on the financial statements, and it is the lowest level among unqualified, qualified, adverse, and disclaimer. It is issued when the audit scope is limited, there are violations of accounting standards, or there is uncertainty about the corporation's ability to continue as a going concern. KOSDAQ-listed companies face immediate delisting grounds if they receive an adverse, disclaimer, or scope-limited qualified opinion, and KOSPI-listed companies if they receive an adverse or disclaimer. If the corporations do not file an objection within seven business days from the notice date, delisting procedures begin.
There are also about 30 corporations that failed to submit their audit reports within the deadline. As of the 25th, a total of 34 companies had missed the submission deadline—seven on the KOSPI and 27 on the KOSDAQ. Audit reports must be submitted at least one week before the shareholders' meeting, and delays are interpreted as possible delays in corporations' submission of financial data or disagreements with the auditor. In the market, concerns are being raised that additional modified opinions could emerge among the companies with delayed reports.
If these corporations fail to attach their audit reports by the 31st, the deadline for filing business reports, they will be designated for administrative issue, and if they still do not submit within 10 days thereafter, they become subject to delisting. The delay in audit reports is acting as a factor increasing stock-price volatility. In fact, IT-CHEM's share price plunged after its delay disclosure, and Enchem hit the lower limit after the delay disclosure and then surged after submitting an "unqualified" opinion report, amplifying volatility.