[Click eStock] "Meatbox Expected to Improve Performance in Second Half"

Yuanta Securities analyzed on September 5 that Meatbox is expected to see improved performance in the second half of the year. The company did not provide an investment opinion or target price.

Since 2014, Meatbox has launched and operated an online direct transaction platform for livestock products. Its main focus is on B2B business. The platform aims to solve the complex structure and information asymmetry issues in the livestock distribution market.

The platform has shown steady growth since its launch. Looking at sales trends over the past five years, revenue grew from 20.7 billion won in 2020 to 110.3 billion won in 2024, representing an average annual growth rate of 51.9%. During the same period, the annual number of orders increased from 1.08 million to 1.84 million, a 14.3% rise. The cumulative number of registered customers grew from 180,000 to 389,000, up 21.2%, and the average monthly number of annual buyers increased from 18,000 to 29,000, a 12.7% rise.

Yuanta Securities expects Meatbox's performance to improve in the second half of the year. First, the company anticipates a positive impact from consumption coupons. Kwon Myungjun, a researcher at Yuanta Securities, explained, "According to a survey by the Rural Development Administration, 83.5% of respondents said they plan to use consumption coupons to purchase food items such as fruit and meat," adding, "Transaction amounts and performance related to B2C customers, such as butcher shops, are expected to improve."

In addition, a seasonal effect is also expected. He noted, "Meatbox tends to perform better in the second half of the year compared to the first half," and explained, "Peak seasons for livestock consumption include Lunar New Year, vacation season, Chuseok, and the end of the year, with most major consumption periods, except for Lunar New Year, concentrated in the second half."

He also expects one-off costs to decrease. He emphasized, "Although costs related to the initial public offering (IPO), the establishment of Meat Match Dae-Bu, and inventory asset provisions have been reflected, these related expenses are expected to decrease in the second half of the year."