[Click eStock] "Genoco, Global Expansion Expected in the Second Half"

On the 20th, Eugene Investment & Securities predicted that Zenoco would be able to expand globally in the second half of the year. No investment opinion or target price was provided.

Zenoco recorded sales of 11.5 billion KRW and an operating loss of 300 million KRW in the second quarter. Jongseon Park, a researcher at Eugene Investment & Securities, said, "The positive aspect of the second-quarter performance is that despite some project delays, sales remained at the same level as the previous year’s quarter," adding, "The operating loss was due to provisions for losses on some projects in the satellite communication sector and valuation losses on inventory assets."

However, a return to profitability is expected in the third quarter. Eugene Investment & Securities forecasted that Zenoco’s sales and operating profit in the third quarter would reach 15.6 billion KRW and 1.1 billion KRW, respectively. Sales would increase by 41.5% compared to the same period last year, with a turnaround to operating profit.

He emphasized, "Based on an order backlog of 98.5 billion KRW as of the end of the first half, not only will there be a stable growth in performance in the second half, but the highest annual sales will be achieved," and added, "Global expansion in various fields such as aviation, space, and defense is expected to accelerate in the second half."