Pinetek Secures 6.2 Billion KRW OLED Equipment Order... "Signal of Performance Improvement"

FineTec announced on the 7th that it has signed a supply contract worth 6.2 billion KRW for organic light-emitting diode (OLED) manufacturing equipment with Samsung Display Vietnam (SAMSUNG DISPLAY VIETNAM).

Since August last year, FineTec has been actively receiving orders mainly for secondary battery and OLED equipment. The cumulative order amount to date is 25 billion KRW, all of which is expected to be reflected in this year’s sales. This accounts for 56% of the previous year’s cumulative sales (44.7 billion KRW).

With the expansion of upstream industry investments, FineTec’s OLED equipment orders are expected to continue increasing. This is because Samsung Display and LG Display are preparing to expand their facilities, driven by the Apple effect. Apple is known to have adopted a strategy of gradually expanding OLED adoption from mobile devices such as iPhones and tablets to electric devices.

According to SK Securities, Apple’s OLED-applied models are expected to reach 10 million units this year, expanding to 40 million units annually for general iPad models in 2025?2026, and further expanding to all products including MacBook, iPad, and foldable iPhones in 2026?2027.

Additionally, through Apple Vision Pro, the commercialization of the next-generation display technology ‘OLEDoS’ has been initiated. As the global XR (extended reality) market begins to blossom, the related industrial ecosystem including OLEDoS manufacturing equipment is expected to grow simultaneously, raising expectations for securing related orders.

A company official stated, “Despite having the lowest orders since the establishment of the equipment division last year, instead of artificial restructuring to reduce costs, we strengthened R&D to prepare for the future,” and added, “If the orders secured since the second half of last year are supplemented by additional orders this year, sales are expected to recover to the 2022 level (81.4 billion KRW).”

He continued, “This year, we plan to focus on improving shareholder value and corporate value through performance improvement based on the expansion of OLED and secondary battery businesses.”