[Asia Economy Reporter Park Jihwan] Remote work and telecommuting software developer RSUPPORT has reached its highest price of the year. Due to the prolonged COVID-19 pandemic, demand for remote work and remote education has surged, and untact (contactless) lifestyle is expected to become established, driving a sharp upward trend.
According to the Korea Exchange on the 7th, RSUPPORT closed at 6,120 KRW on the 6th, up 18.38% from the previous trading day. This surpassed the previous record high of 6,070 KRW set on the 30th and 31st of last month, when the government announced plans for online school openings for elementary, middle, and high schools, hitting the daily price limit for two consecutive days. Compared to the lowest price of 2,395 KRW on the 19th of this year, the stock surged 155.53% in just half a month.
RSUPPORT is Asia's number one and the world's fifth largest remote support and control software company, providing remote services such as RemoteCall (remote support), RemoteView (remote control), and Remote Meeting (video conferencing). Remote support resolves customer issues remotely, remote control allows office PCs with work environments to be controlled remotely, enabling the same work environment anywhere. Video conferencing helps facilitate communication online as if offline.
RSUPPORT reported last year sales of 28.5 billion KRW, operating profit of 5.8 billion KRW, and net profit of 8.9 billion KRW. Recently, due to the spread of COVID-19, more companies in traditional industries such as manufacturing are adopting remote work systems. RSUPPORT is capitalizing on this increased demand by offering its video conferencing and remote control services free of charge until the end of this month to secure users. With over 3,500 companies applying for video conferencing, RSUPPORT expanded its servers about 50 times in two months. Approximately 40% of total data traffic is related to the education sector. In particular, untact methods are attracting customers, and financial services such as various certificates and asset management status are also being conducted through non-face-to-face video consultations, causing a rapid increase in related service usage.
RSUPPORT's estimated sales for this year are 33 billion KRW, and operating profit is expected to increase by 15.79% and 72.41% respectively compared to the previous year, reaching 10 billion KRW. However, a blemish is the one-time derivative disposal loss of 16.1 billion KRW recorded in the first quarter from non-operating activities.
Lee Sangheon, a researcher at Hi Investment & Securities, said, "Even after the free promotion ends at the end of this month, some companies will continue to implement remote work systems after switching to paid services, which could be a turning point for RSUPPORT's future performance improvement," adding, "Especially after the end of COVID-19, growth is expected due to the increase in untact services between remote work and business-to-consumer (B2C) transactions."
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