[Click eStock] "Emro, AI Software Overseas Expansion Expected"

Hana Securities analyzed on the 28th that Emro has secured references for overseas orders.

Seongho Kim, a researcher at Hana Securities, stated, "The 49.4 billion KRW system development contract with Samsung Electronics in May is expected to focus on the advancement of purchase supply chain management projects," adding, "the revenue will be recognized based on the progress of the implementation, reflecting in the performance from the second half of this year through the third quarter of next year."

He continued, "In August, Emro won the ‘Purchase Integrated System PI Consulting and System Construction’ project for HL Mando," adding, "the system will be built for the domestic headquarters and eight overseas subsidiaries including those in the United States and China."

He emphasized, "The integrated supply chain management SaaS platform of Emro, Samsung SDS, and Onine Solutions has been officially launched under the ‘Cadencia’ brand," and currently sales activities are underway targeting North American companies.

Researcher Kim predicted, "The recent reference of securing Samsung Electronics as a client through Emro’s software will facilitate expansion in the North American market," adding, "the overseas supply chain management (SCM) market size is also more than 40 times larger than the domestic market," and analyzed that "this will have a positive impact on pricing advantages and profitability."

It is estimated that Emro will achieve consolidated sales of 78.5 billion KRW and operating profit of 6.4 billion KRW this year, which represents an increase of 24.2% and 35.3%, respectively, compared to last year.