[BizLeader] Majomrae MOT CEO "Preparing for Post-Chasm... Breaking Through Head-On with Technology"

Record-high Sales Despite Last Year's Chasm Concerns
Continuous Performance Improvement to Overcome Undervaluation
Ongoing Efforts for Shareholder Returns

"The secondary battery market for electric vehicles is expected to be reorganized around solid-state, ternary, and lithium iron phosphate (LFP) batteries. New facility investments for mass production of solid-state batteries are increasing, and existing ternary and LFP batteries are also expected to see continued investments to improve performance, safety, and cost-effectiveness."

In an interview with , Majumrae, CEO of MOT, a secondary battery assembly equipment company, stated, "Even if mass production of solid-state batteries begins, it will not completely replace existing lithium-ion batteries," adding, "Coexistence with improved-performance ternary batteries and safe, cost-effective LFP batteries is inevitable for a considerable period."

He also expected continued demand for various equipment developed by MOT. MOT is strengthening its competitiveness through steady technological development. Recently, in line with customers developing next-generation batteries such as solid-state batteries, LFP batteries, and 46mm cylindrical batteries, MOT has begun commercializing assembly technology. For solid-state batteries, they have supplied development lines and are expected to participate in pilot line development this year.

CEO Majumrae said, "Our self-developed stacking equipment enables high-speed stacking compared to competitors," and added, "It can be commonly used for pouch-type and prismatic batteries, which will contribute to increased sales." He also explained, "Having experience in developing the entire pouch-type solid-state assembly process, we are open to collaboration with other global companies."

Concerns about poor performance of secondary battery equipment companies due to the electric vehicle chasm (temporary demand stagnation) are high. However, CEO Majumrae expressed confidence that MOT will not stop growing. MOT achieved its highest-ever sales last year, recording KRW 84.9 billion in revenue and KRW 6.5 billion in operating profit on a consolidated basis, up 15% and 51% year-on-year, respectively.

Majumrae explained, "According to market research firms and battery manufacturers, the electric vehicle chasm is expected to ease between the second half of this year and next year," adding, "Battery manufacturers sign equipment supply contracts about two years in advance, considering the supply timing and the time required to build battery mass production facilities." He further noted, "MOT's major customers are expanding production capacity through aggressive facility investments in preparation for the post-chasm period."

He also promised to continue efforts to enhance shareholder value. MOT was listed on the KOSDAQ market on November 18 last year with an initial public offering price of KRW 10,000. At the time of listing, investment sentiment for new shares was weak, resulting in poor stock performance. The stock hit bottom last month and recently recovered to the IPO price. CEO Majumrae judged that MOT is currently undervalued. He said, "The recent stock price weakness is due more to external domestic and international factors such as politics and the economy than intrinsic factors of MOT," adding, "Most listed companies related to secondary batteries and secondary battery equipment in the domestic stock market are undervalued."

He continued, "We will actively carry out shareholder returns and investor relations (IR) activities for value-up," emphasizing, "We will improve management performance so that the company’s value can be fairly evaluated in the stock market."