[Public Notice+] Truewin Q2 Operating Profit 1.9 Billion KRW... "Successful Turnaround to Profit"

[Asia Economy Reporter Jang Hyowon] Sensor specialist company Truewin has succeeded in turning a profit through business diversification.

Truewin announced on the 13th that it achieved an operating profit of 1.9 billion KRW in the second quarter of this year, marking a return to profitability. Sales rose 22% year-on-year to 9.6 billion KRW. Net profit also turned positive at 1.7 billion KRW. The first half results also showed growth. Sales increased by 14% to 16.7 billion KRW, and both operating profit and net profit returned to the black.

Truewin cited increased sales of thermal imaging cameras as the key factor for this turnaround. After the outbreak of COVID-19, the company expanded its business area with thermal imaging cameras, essential items for quarantine. Truewin’s infrared thermal imaging cameras have superior price competitiveness compared to market products, which helped quickly secure distribution channels and significantly improve profitability.

A Truewin representative said, “The impact of COVID-19 increased sales of thermal imaging cameras, which helped improve our performance. Although the existing automotive sensor business was somewhat sluggish due to the pandemic, it is showing signs of recovery, so we expect to continue growth in the second half of the year.”

Truewin launched its own thermal imaging camera brand, 'Thermo_B (Thermobi)'. The company completed registration with the Public Procurement Service to supply government agencies and public offices and is focusing on general retail and B2B sales. The company supplies finished cameras as well as sensor chips and camera modules, and is expected to maintain steady growth in the third and fourth quarters.

Meanwhile, Truewin’s financial situation is also improving alongside visible business achievements. As of the first half, the debt ratio stands at about 130%. Although there was a temporary increase due to the issuance of 20 billion KRW worth of BW, it is expected to decrease further through repayment of existing CBs and bond substitution payments during the exercise of warrants. The company also recently canceled rights on 8 billion KRW worth of convertible bonds that it had issued and repurchased, eliminating the risk of stock value dilution from stock conversion.