[Click eStock] "Hancom, AI Driving Corporate Growth"

On May 20, IBK Investment & Securities stated that although Hancom's first-quarter results fell short of market expectations, its AI (artificial intelligence) business is expected to be a clear driver of corporate growth. The firm maintained its 'Buy' investment rating and a target price of 33,000 won.

In the first quarter, Hancom's consolidated revenue was 60.9 billion won (up 11.5% year-on-year), and operating profit was 8.4 billion won (up 31.7%), both below market expectations (revenue of 65.1 billion won and operating profit of 10.2 billion won). However, this was due to increased losses from subsidiaries. On a standalone basis, revenue was 45.4 billion won (up 34.3% year-on-year) and operating profit was 17.1 billion won (up 41.3%), marking the highest first-quarter revenue growth rate in the past 10 years.

Lee Seunghoon, a researcher at IBK Investment & Securities, explained, "Consolidated operating profit decreased as losses from Hancom Lifecare and other subsidiaries expanded. However, profitability in subsidiary businesses is expected to improve in the second half of the year, reducing the scale of losses."

Hancom is currently restructuring its business focus around AI. Lee noted, "Through proof-of-concept (PoC) projects centered on 'Hancompedia' and 'Hancom Assistant,' which were launched last year, the company is supplying AI solutions to the National Assembly and the Ministry of the Interior and Safety." He added, "Within this year, Hancom plans to launch an advanced version of 'Hancom Assistant' and a new 'Hancom AI Agent.' In addition, the company aims to introduce advanced AI services that support document creation, summarization, and decision-making, integrated with various enterprise systems such as ERP, electronic approval, and CRM."

Hancom is also preparing for a full-scale entry into global markets, including Japan. Lee commented, "Hancom has signed a business agreement for AI initiatives with Kiraboshi Financial Group, which provides financial services through Kiraboshi Bank and internet-only banks centered in Tokyo. The company is expected to accelerate its overseas expansion through AI business, overcoming the traditional limitations of its office business, not only in Japan but also in Taiwan, Europe, and other global markets in partnership with global partners."