[Click eStock] "Sanil Electric, High Growth Through Aggressive Expansion"

LS Securities forecasted on the 13th that Sanil Electric will continue its growth through expansion. They newly issued a 'Buy' investment rating and a target price of 97,000 KRW.

Seong Jong-hwa, a researcher at LS Securities, explained, "It is estimated that in the fourth quarter of last year, sales reached 93.4 billion KRW and operating profit was 25.5 billion KRW," adding, "This represents an increase of 80% and 432%, respectively, compared to the same period last year."

He continued, "The second plant in Jusang-dong (Jusang and Dansang pads), which began operation in December last year, has not yet reflected its performance," and added, "When the second plant operates at 100% capacity after expansion, the annual production capacity will increase to 600 billion KRW."

He analyzed, "The sales impact from the expansion is planned to be about 100 billion KRW annually for three years until 2027," and "The second phase of the second plant expansion will be completed between 2026 and 2027 and will be reflected in sales by 2030."