[Click eStock] "Messeisang Strengthens Position as Korea's Top Exhibition Organizer"

KB Securities analyzed on the 8th that Messe Isang will have a year of solidifying its position as the largest domestic exhibition organizer this year. No investment opinion or target price was provided.

Messe Isang recorded sales of 50.8 billion KRW and operating profit of 11.2 billion KRW last year, representing increases of 32.6% and 30.6% respectively compared to the previous year. Hyunkyum Kim, a researcher at KB Securities, explained, "Performance growth continues due to mergers and acquisitions (M&A) and an increase in the number of exhibitions hosted," adding, "Net profit decreased due to SPAC merger costs and increased expenses from new businesses."

KB Securities expects Messe Isang to firmly establish its position as the largest domestic exhibition organizer this year. The expected sales and operating profit for this year are 66.5 billion KRW and 14.3 billion KRW, respectively, marking increases of 30.9% and 28% compared to the previous year.

Researcher Hyunkyum Kim stated, "In September this year, the Ministry of National Defense and the Army Headquarters will officially sponsor the largest domestic international ground weapons exhibition, the ‘Republic of Korea International Defense Industry Exhibition’," adding, "More than 50 overseas military decision-makers from over 50 countries, the largest scale ever, are expected to attend." He continued, "It will be structured as a global defense exhibition that elevates the status of K-defense by creating a networking and business platform with global defense companies."

Additionally, growth is expected through hosting various exhibitions this year as well. He emphasized, "In October, we will co-host the medical IT conference ‘HIMSS APAC 2024’ with the Healthcare Information and Management Systems Society of the United States," adding, "This event will be held concurrently with K-HOSPITAL+HEALTHTECH (KHF), the highest-level medical industry expo annually hosted by Messe Isang, maximizing synergy."

New businesses are also promising. He explained, "Since the second half of last year, we have expanded our scope through hosting B2B-focused international conferences, which is expected to create synergy with existing exhibition hosting," adding, "Through the newly established subsidiary ‘Buildman’ earlier this year, we will expand our business from exhibition hosting to installation and service areas to strengthen competitiveness." He further added, "In November this year, we will hold an exhibition at India’s largest IICC, marking the start of full-scale overseas expansion."