[Click eStock] "Unisem, Steady Sales in Second Half... Benefits from Strengthened ESG Activities of Clients"

[Asia Economy Reporter Hyunseok Yoo] Hana Financial Investment expects that Unisem's performance in the second half of this year will be solid compared to last year. No investment opinion or target price was provided.

Kim Kyungmin, a researcher at Hana Financial Investment, said, "Sales in the second half of 2021 are expected to be solid compared to the previous year," adding, "Sales in the third and fourth quarters of 2020 were 45.9 billion KRW and 55.3 billion KRW respectively, and sales in the third and fourth quarters of 2021 are expected to exceed these figures, potentially changing the leading digit."

He explained, "The increased use of scrubbers in processes that previously did not use scrubbers will contribute to third-quarter sales following the second quarter," and "The expansion of DRAM production lines with the introduction of EUV lithography equipment and investment in the transition to 7th generation V-NAND will also contribute to second half sales."

In particular, he expected that the ESG activities of client companies would have a positive impact. He said, "The atmosphere suggests that sales in the second, third, and fourth quarters are likely to exceed consensus, which is positive," and added, "What feels most positive is that the strengthening of ESG activities by client companies in semiconductor processes actually contributes to Unisem's sales growth."

He stated, "There is a growing need for the raw materials of refrigerants used in chillers for temperature control in semiconductor processes, as well as the introduction of scrubbers into existing processes to reduce harmful gas emissions, to be produced in an eco-friendly manner."

He emphasized, "Unisem's growth drivers have been the semiconductor equipment facility investments of client companies and strengthened sales to overseas clients," and added, "It is expected that investors' interest will continue as Unisem is rare among semiconductor equipment companies in that its performance growth is driven by clients' ESG activities."