Kiwoom Securities analyzed on the 21st that attention should be paid to the growth of the automotive electronics sector, which is gaining momentum for Optrontec. No investment opinion or target price was provided.
Optrontec recorded sales of 232.1 billion KRW and an operating profit of 15 billion KRW last year. Sales increased by 16% compared to the previous year, and operating profit turned positive. Oh Hyunjin, a researcher at Kiwoom Securities, stated, "The company's performance improvement, which showed a turnaround in 2023, appears to be continuing this year," adding, "This is due to strong sales of the Galaxy S series and steady demand for folded zoom-related parts from domestic and Greater China smartphone manufacturers."
Kiwoom Securities emphasized that attention should be paid to the growth of the automotive electronics sector for Optrontec. He explained, "Optrontec is expanding its optical component lineup beyond its mobile optical filter-centered business structure to include automotive electronics," and added, "Optrontec is also expected to expand supply of vehicle camera lenses and IR filters to global electric vehicle manufacturers this year." He further noted, "The sales proportion of the optical lens and module sector is expected to rapidly increase from 17% last year to 27% in 2024 and 38% in 2025."
Researcher Oh forecasted that Optrontec's sales and operating profit this year will increase by 14% and 22% year-on-year to 264 billion KRW and 18.3 billion KRW, respectively. He explained, "Having stably produced optical filters and modules for a long time, the company has developed precision optical systems technology for automotive electronics and optical components for 3D depth implementation," adding, "As the use of optical components expands within the automotive electronics and IT industries, demand for the company's optical-related parts is expected to steadily increase."
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