[Click eStock] "PineMTech, Earnings Improvement to Continue"

Yuanta Securities forecasted on the 8th that Fine M Tech will continue its performance improvement trend this year following its return to profitability last year.

Researcher Kwon Myung-jun of Yuanta Securities explained, "This year, the internal hinge segment is expected to expand the models of major domestic customers," adding, "Internal hinges are supplied to domestic and overseas foldable smartphones through SDC." He continued, "We anticipate an increase in sales volume due to the expansion of foldable smartphone models by domestic customers," and added, "The continued release of foldable smartphones by Chinese smartphone companies is also a positive factor."

Researcher Kwon also analyzed, "There is a high possibility of entering the external hinge market for domestic foldable smartphones," stating, "From the customer's perspective, diversifying component suppliers can lead to stable component supply and strengthened price negotiation power." He emphasized, "At the end of last year, approval for foldable products was obtained from customers," and said, "This can be interpreted as a certification of technological capability."

Furthermore, he explained, "Through secondary battery companies, EV module housing products are being supplied to North American electric vehicle companies," adding, "Sales have been generated since the fourth quarter of last year." He predicted, "The third factory will be completed in the second half of this year," and said, "With the additional installation of production lines, the sales growth trend is expected to continue."

It is estimated to achieve sales of 551.1 billion KRW and an operating profit of 37.9 billion KRW this year, representing increases of 45.0% and 86.7%, respectively, compared to last year.