Telechips is showing strong performance. Its stock price appears to be influenced by the second-quarter earnings surpassing market expectations.
As of 9:33 AM on the 11th, Telechips was trading at 20,550 KRW, up 2,540 KRW (14.10%) from the previous trading day.
Telechips announced the day before that it recorded sales of 48.3 billion KRW and an operating profit of 5.5 billion KRW in the second quarter of this year. These figures represent increases of 48.6% and 287.7%, respectively, compared to the same period last year.
Jongseon Park, a researcher at Eugene Investment & Securities, explained, "The market expectations were sales of 40.9 billion KRW and an operating profit of 3.4 billion KRW. The operating profit exceeded market expectations by 60.3%."
He added, "Sales increased due to rising demand from domestic automobile manufacturers and increased supply to overseas global customers, mainly in Japan." He further emphasized, "The sales price rose due to an improved product mix of vehicle infotainment AP (Application Processor) products. Profitability improved thanks to cost reduction efforts such as product mix enhancement and yield improvement."
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