[Click e-Stock] "Javis, Clear Recovery in Orders Since Early Year... Visible Improvement in Performance"

[Asia Economy Reporter Park Jihwan] IBK Investment & Securities evaluated on the 22nd that Javis has shown a clear recovery in orders since the beginning of the year, raising expectations for improved performance.

Javis is a specialized manufacturer of X-ray inspection equipment that performs internal inspections of electronic components and detects metallic and non-metallic foreign substances in food. In April 2019, it formed a strategic partnership with Japan's Ricoh and received an investment of 3.3 billion KRW. In November 2019, it was listed on the KOSDAQ market through a SPAC merger under a technology special case. As of last year, sales composition by business division was divided into Xscan (semiconductors, secondary batteries, PCBs, etc.) 34%, Fscan (food foreign substance inspection) 43%, and others 23%.

Researcher Minhee Lee of IBK Investment & Securities stated, "Due to the impact of the COVID-19 pandemic, the company experienced negative growth last year," adding, "Last year's sales amounted to 12.3 billion KRW, a 28% decrease compared to the previous year." At the beginning of the year, there were high expectations for new orders of medium-to-large secondary battery Xscan for Chinese customers and semiconductor Xscan orders through the Yantai joint venture, as well as increased exports via Ricoh, but overseas sales activities were suspended or postponed due to COVID-19.

However, since the beginning of the year, orders have shown a clear recovery trend, raising expectations for performance improvement. Researcher Minhee Lee said, "First-quarter order performance increased by 21% compared to the previous year, showing a clear recovery," and added, "It is estimated that orders for small secondary battery Xscan nearly tripled compared to the previous year, and semiconductor inspection equipment, which had no significant order performance in recent years, is expected to see high orders this year."

However, it is regrettable that export activities of Fscan through Ricoh and order activities for medium-to-large secondary battery and semiconductor Xscan for China are still delayed without clear results.