[Market Focus] Tomato System Surges 15% on Winning Texas Health Insurance System Contract

Tomato System is showing strong performance in early trading.

As of 9:02 a.m. on September 3, Tomato System was trading at 6,790 won, up 15.08% (890 won) from the previous day.

Investor sentiment appears to have been boosted by news that Tomato System's U.S. subsidiary, CyberMDcare, has secured a contract to develop a core system for a new Medicare health plan (health insurance) in Texas. This is being regarded as a significant milestone, as it marks the first time a Korean IT company will build an entire health insurance system approved by the U.S. federal government in the highly competitive U.S. healthcare IT market, which is known for its high barriers to entry.

Harris County, Texas, where the health plan will launch next year, is the third largest in the United States in terms of population and economic scale. The region is considered a strategic hub, attracting considerable industry attention due to its symbolic significance and the scale of the project.

Previously, last month, Tomato System also secured a contract worth approximately 5.8 billion won for Daewoo Engineering & Construction's "Barocon System UI Screen Transition" project. For the second quarter of this year, the company reported consolidated revenue of 5.9 billion won (down 11% year-on-year) and an operating loss of 800 million won (a swing to loss).