[Click e-Stock] "Atom to Turn Profitable This Year... Secures New Demand Sources and Enters Shipbuilding Industry"

On June 30, Hana Securities projected that Atom would achieve a turnaround to profitability this year, driven by securing new demand sources for electric vehicle parts and entering the shipbuilding industry.

Han Yugun, a researcher at Hana Securities, stated, "This year, Atom is expected to see improved profitability in the second half, thanks to securing new demand sources and entering the shipbuilding industry. On a separate basis, we expect Atom's sales this year to reach 70 billion KRW and operating profit to reach 4 billion KRW, marking a turnaround to profitability."

Atom manufactures transformers for electronic device chargers, electric vehicle parts and chargers, and is composed of transformer (manufacturing) and MLCC (distribution) business divisions. The company also owns two subsidiaries: a Vietnamese corporation and Cheonghanelectronics, which handles MLCC distribution.

Transformers are essential components for all products that use electricity. However, conventional wound-type transformers have stagnated in growth due to their large size and weight, low yield, and limitations in mass production. To overcome these issues, Atom recently developed a planar transformer, which excels in high output and lightweight design.

In particular, Atom succeeded in developing new products such as OBC transformers, LDC transformers, and SPMS by applying molding coil technology to the "secondary coil" for electric vehicles (EVs), achieving high output, miniaturization, and weight reduction. Han noted, "Currently, Atom is in discussions with at least two companies, so initial supply is expected in the second half of the year. The contribution of sales for electric vehicles (EVs), which have a higher average selling price (ASP) than existing products, is expected to increase."

Additionally, in May, Atom entered the shipbuilding industry by acquiring a 50% stake in DST, a partner of HD Hyundai Heavy Industries, for approximately 14.5 billion KRW. DST counts Hyundai Heavy Industries and Hyundai Marine Solution as major clients. Transformer supply for cylinders in ships is expected to yield visible results starting in 2026. Han commented, "Considering the boom in downstream industries, it is reasonable to expect improved consolidated profitability for Atom."

Meanwhile, Atom issued convertible bonds (CB) to finance the DST acquisition, but the management risk is assessed as limited. Han stated, "In 2026, Atom's consolidated sales are expected to reach 200 billion KRW (separate: 120 billion KRW), and operating profit is projected to reach 21.5 billion KRW, indicating a sharp acceleration in growth."