[Click e-Stock] "Dentium Maintains Strong Performance Outside China... Target Price Raised"

Raised by 5.6% from 54,000 won

On March 4, Kiwoom Securities raised its target price for Dentium from 54,000 won to 57,000 won.

Minsoo Shin, a researcher at Kiwoom Securities, gave a positive assessment of Dentium's fourth-quarter performance last year. He stated, "Although revenue was 109.1 billion won and operating profit was 26.5 billion won, which fell short of expectations for top-line growth, the gross profit margin improved due to enhanced manufacturing efficiency, and bad debt expenses decreased by 2.1 billion won year-on-year, leading to higher profit margins. In terms of selling and administrative expenses, recurring R&D expenses were 900 million won and advertising expenses were 6.6 billion won, both contributing to margin improvement."

Researcher Shin also evaluated Dentium's overseas business conditions, noting the company's decreased dependence on China and robust business in regions outside China, such as Vietnam and Russia. He said, "In China, the dental implant market has been sluggish due to an economic slowdown. While implant shipments increased, the decline in unit price led to muted revenue growth." He continued, "Vietnam maintained high growth, Thailand exceeded its annual revenue target of 10 billion won, and revenue in India grew by 35%. The shipping issues to Russia were resolved from the second quarter of last year, resulting in annual revenue of 58.6 billion won. Dealer sales in other regions are increasing each quarter, and, in connection with implant sales, the company also plans to expand dental equipment sales, which had previously been sluggish."