[Click eStock] "Hansung Clean Tech Expected to Rebound Sharply as Semiconductor Investments Resume in 2025"

On May 8, Hanyang Securities analyzed that Hansung Clean Tech is attracting market attention this year amid expectations for a turnaround in its core business.

Hansung Clean Tech, an industrial water treatment specialist that supplies ultrapure water and wastewater treatment facilities for semiconductor and display manufacturing processes through engineering, procurement, and construction (EPC), has secured a competitive edge based on its experience with EPC projects for major conglomerates and over 30 years of accumulated technological expertise.

Lee Joonseok, a researcher at Hanyang Securities, stated, "From 2025, CAPEX investments in downstream industries are expected to resume, leading to an anticipated industry rebound, and the company is estimated to have returned to profitability in the first quarter of this year." He further emphasized, "With the completion of bad debt write-offs for unbilled receivables last year, if orders linked to large-scale semiconductor projects become visible this year, a full-fledged turnaround in the core business is expected."

Last year, the company recorded consolidated sales of 183.4 billion won, a 14.2% decrease compared to the previous year, and an operating loss of 50.7 billion won due to the recognition of large-scale bad debt write-offs. However, a clear improvement trend is expected this year.

Hansung Clean Tech is particularly at the forefront of localization in the ultrapure water business and is focusing on internalizing ultrapure water technology, a key material for semiconductor processes. Ultrapure water is high-purity industrial water used in wafer processing, requiring extremely high impurity removal levels and directly affecting process yield. Previously, there was high dependence on foreign companies such as Japan's Kurita and Nomura, but the need for localization has grown since Japan's export restrictions in 2019.

Researcher Lee explained, "The company has been promoting technology internalization as the lead contractor for the government's ultrapure water localization project since 2021, and in 2022, it secured a reference by signing an EPC contract worth 83.6 billion won with SK Siltron." He added, "Going forward, the necessity and pace of ultrapure water localization are expected to accelerate further in line with the government's advanced semiconductor industry promotion policies. Bidding for ultrapure water EPC within the Yongin Semiconductor Cluster is also likely to become active in 2025, which is expected to benefit the company."

Hansung Clean Tech is also accelerating business expansion through its subsidiaries. Through EN Water, EN Water Solution, and EClean Water, the company is developing facility operation and maintenance (O&M), high-concentration wastewater treatment, and resource recycling businesses. In particular, EN Water Solution has secured technology to extract fluorite and ammonium sulfate from high-concentration liquid waste at its Dangjin plant, converting waste recycling into a revenue model.

Researcher Lee analyzed, "Fluorite is a strategic mineral used as a core raw material in the semiconductor and display industries, and currently, about 80% of domestic demand is dependent on imports from China. The fluorite recycling technology not only generates profits but also holds high strategic value in terms of resource security and supply chain diversification."

In addition, the company is strengthening its integrated capabilities in the environmental value chain based on synergies among its subsidiaries. This is evaluated as a sustainable competitive advantage that meets ESG requirements while structurally responding to the increasing demand for semiconductor waste treatment.