[Click eStock] "Krevers, Equipped with Performance, Dividends, and Momentum"

On the 25th, FS Research analyzed Creverse as a company that possesses the three key factors of performance, dividends, and momentum.

Hwang Se-hwan, a researcher at FS Research, stated in the report that “Based on preliminary results, the company's second-quarter sales amounted to 57.8 billion KRW (+0.8%), and operating profit was 7.6 billion KRW (-15.6%), reflecting somewhat disappointing results,” adding, “It is estimated that profit margins declined as fixed costs increased while sales growth remained flat.”

However, he added, “In the second half of the year, growth is expected to expand due to overseas business growth and the opening of new domestic franchise centers.”

Looking at the mid- to long-term perspective, he predicted that Creverse’s competitiveness will continue to strengthen, as education companies with IT capabilities that enable both online and offline operations have been highlighted after COVID-19.

Researcher Hwang explained, “Creverse is working on creating a metaverse world that appropriately combines educational and entertainment elements,” and added, “Although this is not an immediate factor contributing to sales, if the business succeeds, corporate value is likely to increase due to market share growth.”

He also noted, “Interest in artificial intelligence (AI) has surged since the emergence of Chat GPT,” and forecasted, “The demand for developers is likely to increase further, which will raise attention toward the company, the only listed firm engaged in coding education.”