On the 20th, BNK Investment & Securities forecasted that Doosan Tesna, a comprehensive semiconductor company affiliated with the Doosan Group, will see a significant increase in scale and a recovery in profitability this year.
Lee Min-hee, a researcher at BNK Investment & Securities, stated in a report on the same day, "Doosan Tesna's performance improved thanks to the normalization of the operating rate of automotive semiconductors," adding, "Sales are expected to grow by more than 20% this year, and profitability will improve in the second half of the year as the proportion of semiconductor chip sales with high profitability increases."
Doosan Tesna recorded consolidated sales of 91.8 billion KRW and operating profit of 11.2 billion KRW in the first quarter of this year. Sales and profits increased significantly as the newly acquired subsidiary Engion was included in the consolidated results for the first quarter. Excluding Engion's performance, the separate basis sales were 88.5 billion KRW and operating profit was 12.2 billion KRW, up 19% and 3% respectively compared to the same period last year.
Regarding the improvement in first-quarter performance, the researcher analyzed, "For automotive chips with high profit margins, there were no sales until January due to process improvements at the customer's site, but the operating rate rose to the 90% range from February, leading to improved performance."
He predicted, "As the operating rate of automotive chips fully normalizes, the sales growth trend will accelerate. Most of this year's capital expenditures (CAPEX) will be invested in the automotive semiconductor sector, and considering the combined effects of additional orders and expansion, the proportion of automotive chips in the overall performance will continue to increase."
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
