R&Two Technology, a manufacturer of multilayer ceramic substrates, is accelerating its management normalization efforts as its performance improves following a change in its largest shareholder.
On August 14, R&Two Technology announced that its standalone sales for the second quarter of this year reached 4.4 billion KRW, marking a 72.9% increase compared to the same period last year. During the same period, net profit turned positive at 1.1 billion KRW, and operating loss improved by 33.3% to 400 million KRW.
This improvement in performance was primarily driven by the stable growth of its core business, including components for wireless communication equipment and ceramic materials for electronic parts based on LTCC materials and multilayer ceramic processes, as well as efficient selling and administrative expense management. In addition to reducing non-operating expenses, the company secured cash by selling non-core assets it held, which also had a positive impact on net profit. The company noted that it achieved meaningful results even after excluding one-off costs such as various expenses related to the change in its largest shareholder.
A representative from R&Two Technology explained, "This performance improvement is the result of a strong push to grow our core business and manage costs following the change in our largest shareholder, leading to both organizational efficiency and effective cost management." TS No.1 Fund became the largest shareholder in March this year by acquiring an 18.71% stake through a paid-in capital increase.
R&Two Technology plans to further strengthen its management stability and accelerate growth in the second half of the year by leveraging its all-solid-state battery business and recently acquired investment company as new growth engines. In fact, during the process of changing its largest shareholder, the company established a solid growth foundation by including a wide range of new businesses, such as electrolyte materials for all-solid-state batteries, raw materials for secondary batteries, and new materials for e-mobility. Additionally, through HRZ, a new technology business finance company acquired in July, the company aims to discover various investment opportunities and further strengthen collaborations with promising technology firms.
A representative from R&Two Technology stated, "Through business diversification, we are strengthening the competitiveness of our existing core business while actively pursuing growth in new business areas," adding, "Based on this strategic expansion, we plan to maximize synergy between our core and new businesses, thereby enhancing both corporate and shareholder value."
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