[Click e-Stock] "Leeno Industrial Expected to Achieve Record Q2 Results... Target Price Raised"

On June 17, LS Securities raised its target price for Leeno Industrial by 16.7%, from 48,000 won to 56,000 won, stating that both second-quarter sales and operating profit are expected to reach record highs for a single quarter this year. The investment opinion was maintained as 'Buy'.

Jung Hongsik, a researcher at LS Securities, explained, "Second-quarter sales are projected to reach 100.2 billion won and operating profit 46.3 billion won, significantly surpassing the market consensus of 82.9 billion won in sales and 38.4 billion won in operating profit." He added, "These figures also exceed our previous estimates by 23.1% and 23.7%, respectively."

The key driver behind this upward revision in performance outlook was identified as the strong growth in the IC test socket division. Sales in this division are estimated at 72.3 billion won, representing a 58.5% increase compared to the same period last year. Jung noted, "Following the fourth quarter of last year and the first quarter of this year, the supply of test sockets in the mobile sector continues to rise. In addition, the supply of sockets for new IT devices is also expanding significantly at the same time."

In addition, sales in the medical device division are expected to reach 9.7 billion won, up 31.8%, continuing the strong growth seen in the first quarter. The Leenopin division is forecast to see a slight increase, reaching 18.1 billion won, up just 0.8%.

Beyond short-term performance expectations, there is also an assessment of mid- to long-term growth momentum. Jung stated, "The planned factory relocation in the fourth quarter of 2026 will be more important from the perspective of diversifying R&D IC test sockets to meet the needs of downstream customers, rather than simply expanding production capacity (CAPA)." He further forecasted, "After 2026, the development of various types of IC test sockets will proceed in line with changes in the global IT device environment."