[Asia Economy Reporter Hyungsoo Park] ResearchAlum forecasted on the 6th that Roche Systems will benefit as Samsung Display proceeds with investment in post-process modules.
Researcher Kim Doyoon of ResearchAlum stated, "Among listed companies, it is the only supplier of bending equipment for OLED module processes," adding, "In 2017, when Samsung Display massively expanded its OLED post-process lines, it exclusively secured orders for this equipment worth 230 billion KRW."
He continued, "Due to the customer's dual sourcing policy, the current market share is estimated to be 70-80%," and added, "Following changes in the North American Company A's smartphone module process and smartphone form factors such as foldable phones, bending equipment sales reached 80.5 billion KRW since last year."
Furthermore, he analyzed, "The order amount per post-process bending equipment line varies significantly depending on customer requirements," but "it is understood to be 3 to 4 billion KRW for expansions and 800 million to 1 billion KRW for modifications."
Researcher Kim explained, "Samsung Electronics is reportedly requesting Samsung Display to expand the post-process module line for foldable phones," and "the shipment volume of foldable phones is expected to increase from 10.38 million units this year to 37 million units in 2023."
He analyzed, "It is estimated that operating one line at 100% capacity can produce 2.4 million modules annually," and "assuming a 90% operation rate, 18 module production lines are required to produce 37 million foldable phones annually."
Additionally, he judged, "Orders worth up to 44 billion KRW are expected solely for foldable phone module lines by next year," and "a reevaluation of the changed profit margin in the display module business division is also imminent."
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