DB HiTek, Order Backlog Shows Increasing Trend

[Asia Economy Reporter Park Hyungsoo] DB HiTek's performance is expected to continue improving for the time being.

Hana Financial Investment analyzed on the 16th that DB HiTek is expected to operate its production facilities at 100% capacity until the end of this year, and that the environment centered on foundry suppliers continues.

Kim Kyungmin, a researcher at Hana Financial Investment, explained, "Looking at DB HiTek's order backlog, the supply shortage situation has intensified," adding, "The order backlog for the first quarter of this year is 100,153 wafers and 58.8 billion KRW in value."

He continued, "This is an increase compared to 96,071 wafers and 53.4 billion KRW at the end of last year, and 84,439 wafers and 46.8 billion KRW in the first quarter of last year," adding, "It is estimated that orders for next year have also begun."

Researcher Kim said, "The reason for the strong performance appears to be the rise in foundry manufacturing prices due to supply shortages," and predicted, "Due to recent fires in Japan, droughts in Taiwan, and power outages, customers using East Asian foundries will actively pursue diversification of manufacturers to prepare for uncertain environments."

He analyzed, "DB HiTek, which has manufacturing lines in Korea, will continue to benefit," and forecasted, "This year, it will achieve sales of 1.0635 trillion KRW, operating profit of 268.1 billion KRW, and net profit of 175.5 billion KRW."