Record High Sales and New All-Time High
Justem's stock price has reached a new high since its listing. The news that Samsung Electronics is continuing its semiconductor super-gap strategy appears to be influencing the stock price amid last year's record-breaking performance.
As of 10:07 a.m. on the 24th, Justem is trading at 14,400 KRW, up 13.39% from the previous day. Early in the session, it recorded 14,980 KRW, marking the highest price since its listing in October last year.
Justem achieved sales of 46.1 billion KRW, operating profit of 7.1 billion KRW, and net profit of 6.3 billion KRW last year. Maintaining a high operating profit margin of 15.2%, it recorded its best performance ever. Despite the structural downturn caused by production cuts among domestic IDM companies, Justem's outstanding technology led to a 150% increase in sales of BIP (Built In Purge), a semiconductor equipment yield improvement product, compared to 2021. The supply of 6.5GH vacuum logistics equipment for displays also drove performance. Leveraging its technological prowess, Justem quickly secured clients such as Samsung Electronics and SK Hynix. In 2021, it was selected as a strong small and medium enterprise in materials, parts, and equipment (SoBuJang) by the Ministry of SMEs and Startups.
Semiconductors, an essential element of growth industries, require controlling contamination and humidity generated during the manufacturing process due to process miniaturization to improve yield. Justem's N2 Purge system is a core technology that prevents wafer defects and enhances yield. In addition to existing products driving growth, Justem's world-first developed semiconductor yield improvement product, ‘JFS U1 (Justem Flow Straightener Under 1)’, is currently undergoing mass production evaluation by clients, with expected future sales growth through this product.
Moreover, Justem is building a solid portfolio by entering business sectors such as ▲display ▲solar power ▲secondary batteries. Earlier, on the 20th, Justem completed a merger and acquisition (M&A) with Plasma specialist company Plam. Plam provides plasma cleaning modules to various high-growth industries including semiconductors, displays, and solar power. Based on its proprietary specialized plasma technology, Plam enables low-temperature processes below 60 degrees Celsius, offering competitiveness by controlling thermal deformation. Justem expects that the technological fusion with Plam will maximize synergy between the two companies in the display and solar power sectors.
Hyundai Motor Securities analyzed in a report last month that Justem is "significantly undervalued at present considering the expandability of its product portfolio based on semiconductor technology and diversification of its client base." It added, "Despite semiconductor companies reducing investments this year, sales quantum jumps in new businesses are expected due to sales from display and solar power sectors in addition to existing sales."
Samsung Electronics has bet on developing new convergent package technology to secure a 'super-gap' in the system semiconductor field. Kang Moon-soo, Vice President and Head of Samsung Electronics' AVP (Advanced Package) business team, revealed plans to overcome semiconductor limitations with advanced packaging technology. Samsung Electronics intends to accelerate the development of next-generation semiconductor package technology.
In an article posted on Samsung Electronics Newsroom the day before, Vice President Kang emphasized, "As the era of smartphones, mobile internet, artificial intelligence (AI), and big data arrives, the required computing performance is rapidly increasing," adding, "To overcome the limits of semiconductor technology, new methods beyond Moore's Law are necessary." He further explained, "Through heterogeneous integration technology that connects semiconductors horizontally and vertically, more transistors can be integrated into a smaller semiconductor package," and "This can provide more powerful performance that surpasses individual capabilities."
Samsung Electronics Chairman Lee Jae-yong visited Samsung Electronics' Cheonan and Onyang plants on the 17th of last month to inspect next-generation semiconductor package competitiveness and research and development (R&D) capabilities, urging, "Although the situation is difficult, there must be no wavering in nurturing talent and investing in future technologies."
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