[Click eStock] "Gamsung Corporation, Promising Growth Expected in Q4"

Yuanta Securities analyzed on the 19th that Gamsung Corporation is expected to grow in the fourth quarter due to new products and overseas expansion. No investment opinion or target price was presented.

Gamsung Corporation recorded sales of 87.26 billion KRW and operating profit of 14.65 billion KRW in the first half of this year. These represent increases of 22.6% and 20.1%, respectively, compared to the same period last year. Myungjun Kwon, a researcher at Yuanta Securities, said, "The mobile division, including chargers, experienced a decline compared to last year, but sales of Snow Peak apparel products grew by 32.3% year-on-year," adding, "This indicates that the popularity of Snow Peak apparel is continuing and expanding."

He added, "Due to the characteristics of clothing, the second half of the year, especially the fourth quarter, has a high sales proportion of F/W products with a high ASP," and "Starting in September, TV advertisements will promote F/W products." He also emphasized, "As confirmed by the sales growth trend, the brand has high recognition and easy accessibility," and "The increased likelihood of La Ni?a occurring in 2024 is also a factor expected to drive sales growth."

Additionally, the planned overseas expansion is a positive factor. He said, "Overseas expansion will also begin in earnest in the second half of the year. After the first export to Taiwan last year, the initial supply volume was completely sold out," and "This year, the roadmap for expansion into Japan and the Chinese-speaking regions is being concretized, and related sales are expected to blossom from the fourth quarter."

He added, "This is expected to be a factor for valuation upgrades, making the fourth quarter the second point to watch."