RnT Technology Reports 600 Million KRW Operating Profit in Q1... "Will Drive Performance Growth"

[Asia Economy Reporter Yoo Hyun-seok] RN Technology announced on the 17th that it achieved an operating profit of 600 million KRW in the first quarter, an 89% increase compared to the same period last year. Sales reached 6.8 billion KRW, up 47%.

The company cited increased sales of 5G communication-related materials (LTCC powder) and MCP components (Termination) as factors behind the strong performance. Material sales amounted to 1.6 billion KRW, a 152% increase year-on-year, while MCP component sales reached 2 billion KRW, up 312% compared to the same period last year. Additionally, sales of network equipment components to major domestic conglomerates surged 897% year-on-year, driving the results. This is interpreted as a result of the recent expansion of global 5G infrastructure investments, which boosted sales of related components and materials.

Going forward, the expansion trend of 5G communication networks is expected to continue centered on several countries including North America, Europe, Japan, and China. In particular, major domestic conglomerates, which are key clients of RN Technology, have been selected as suppliers to numerous global telecommunications companies, including major US telecom operators.

Moreover, the expansion of 5G networks is leading to increased demand not only for smartphones, tablet PCs, laptops, and wireless routers but also for related components such as RF filters. RN Technology, which supplies LTCC powder to major Taiwanese RF filter companies like Walsin Technology, is expected to maintain the upward trend in material sales.

RN Technology is also pursuing sales diversification in the secondary battery and mobility industries. Last year, the company completed registration as a supplier and component provider to major domestic and international automobile parts manufacturers with MLC components and is currently supplying small quantities of products.

An RN Technology official stated, “With the entry into the global 5G investment cycle, we expect sustained demand for our LTCC materials and network equipment components. We will do our best to satisfy customers in supplying 5G-related materials and components and secure new clients to drive long-term performance growth.”