[Asia Economy Reporter Hyungsoo Park] As secondary battery-related stocks continue to show strong performance in the domestic stock market, the stock price of Yuil Energy Tech is also rising. Since Ecopro BM signed a large-scale supply contract with SK Innovation, its stock price surged, drawing attention to Yuil Energy Tech, which supplies secondary battery equipment to SK Innovation.
As of 2:41 PM on the 14th, Yuil Energy Tech is trading at 20,900 KRW, up 10.58% from the previous day.
Yuil Energy Tech is a manufacturer of equipment for producing secondary batteries used in electric vehicles and energy storage systems (ESS). It mainly produces cutting machines and laminators for the assembly process of secondary battery manufacturing. The company also develops, manufactures, and sells module & pack lines that assemble battery module packs installed in electric vehicles, and simultaneously operates businesses manufacturing hydrogen fuel cell material production equipment, flexible displays, and solar module equipment.
According to Yuil Energy Tech’s semi-annual report, SK Innovation plans to expand its global battery production capacity to over 200 GWh by 2025 and over 500 GWh by 2030. LG Energy Solution and Samsung SDI have also announced aggressive investments. LG Energy Solution is expected to expand its facilities to 260 GWh by 2023, and Samsung SDI to 54 GWh.
Jongwon Lee, a researcher at Sangsangin Securities, explained in a report last month, "We have secured orders for notching machines to be installed at SK Innovation’s Georgia Plant 1 in the U.S.," adding, "As SK Innovation’s expansion targets increase, the volume of benefits is also expected to grow."
He continued, "The current production capacity is around 70 billion KRW, but there are plans to expand it more than fourfold based on public offering funds," and explained, "They plan to maximize production capacity to enhance order response capabilities."
He added, "With order recovery continuing into the second half of this year, sales improvement is expected," and "They are steadily accumulating order backlogs this year, so the order backlog is expected to increase significantly by the end of this year."
Yuil Energy Tech plans to achieve business advancement by expanding the application fields of secondary battery equipment and to actively enter the hydrogen fuel cell equipment market as a new business. The goal is to become a leading company in eco-friendly energy equipment such as electric vehicles, ESS, hydrogen fuel cells, and solar power. The company has supplied mass production equipment for catalyst coating of hydrogen fuel cell materials for power generation to domestic hydrogen fuel cell manufacturers. By miniaturizing the scale, it can also be used for manufacturing hydrogen vehicle batteries.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
