Tinkware Reports Q2 Revenue of 89.8 Billion KRW, Up 70.5% YoY

Black Box Export Growth and Strong Robot Vacuum Sales
However, Operating Profit Declines Due to Raw Material and Logistics Costs
"Will Secure Profitability Through Cost Reduction"

[Asia Economy Reporter Kwak Min-jae] Black box manufacturer Thinkware announced on the 16th that it recorded consolidated sales of 89.8 billion KRW, operating profit of 500 million KRW, and net profit of 16.1 billion KRW in the second quarter. For the half-year cumulative period, sales reached 157.7 billion KRW, operating profit 1.2 billion KRW, and net profit 16.3 billion KRW.

Despite challenging external conditions such as rising raw material prices and inflation, second-quarter sales increased by 70.5% to 89.8 billion KRW, marking the highest sales ever. The start of supply to BMW, growth in overseas black box exports, and strong sales of robot vacuum cleaners launched in the first half drove the performance.

Overseas black box exports recorded 31 billion KRW in the second quarter, a 172% increase compared to the same period last year. In particular, sales to Europe showed strong growth due to black box supply for BMW. Thinkware explained that with the enactment of a law from July this year mandating over 30 advanced safety products such as Event Data Recorders (EDR), rear cameras, and lane-keeping assist systems for new cars in Europe, future sales growth is expected.

However, operating profit plunged 87.3% due to external uncertainties such as rising raw material prices. Net profit increased due to the disposal of subsidiary shares. During the quarter, Thinkware sold 100% of its stake in subsidiary Beagle to secure investment funds for mid- to long-term projects such as autonomous driving high-precision map development. Investment income of approximately 7.8 billion KRW from the stock disposal led to an increase in net profit.

Kang Jung-kyu, Head of Management Division at Thinkware, stated, “Although overseas black box sales grew significantly with the expansion of supply volume to BMW, operating profit decreased due to rising raw material and transportation costs. Despite the uncertain business environment expected in the second half, we will focus on securing profitability through domestic black box new product launches for external growth and cost reduction.”