Jaeyoung Solutec Reports 4.9 Billion KRW Operating Profit Last Year... "Improved Performance of AF Business Division"

Net Income Turns Positive with 1 Billion KRW
Impact of Increased High-Value Product Proportion

Jaeyoung Solutec, a specialist company in camera actuators, achieved favorable results despite the smartphone market downturn, thanks to increased supply of high value-added products.

On the 29th, Jaeyoung Solutec announced that its consolidated sales last year reached 107.2 billion KRW, with an operating profit of 4.9 billion KRW. Net profit turned positive at 1 billion KRW. Although overall performance declined compared to the previous year due to the sluggish mold business division, the profitability of the core Nano Optical (AF) business division improved significantly.

The AF business division, which produces camera actuators, recorded sales of 86.1 billion KRW and an operating profit of 6.7 billion KRW. Despite a slight decrease in scale due to the smartphone market slump, operating profit increased by 29.4% year-on-year, marking a strong performance. The increase in sales proportion of high-spec, high-margin actuators such as encoders and optical image stabilization (OIS) devices, along with productivity improvements, greatly enhanced the operating profit margin.

Meanwhile, the mold business division saw declines in both sales and operating profit. The company explained that this was due to a temporary increase in costs related to expanded investments, including new product development aimed at securing future growth engines.

A company representative stated, “Despite the overall industry downturn, we succeeded in improving the AF business division’s profitability and turning net profit positive through productivity enhancements from automation equipment introduction and an increased proportion of high value-added products. We expect to continue this performance improvement trend this year with expanded supply of flagship products to customers and increased adoption of high-spec products.”

They added, “We also anticipate improved performance this year in the mold business division, driven by sales growth in logistics product lines related to distribution and secondary batteries.”