[Public Notice+] PNT Reports One-Time Expense Leading to 4.1 Billion KRW Net Loss... "Turnaround Possible This Year"

[Asia Economy Reporter Yoo Hyun-seok] PNT, a specialized company in secondary battery equipment, announced on the 27th that although its performance turned to a loss last year due to one-time expenses, it expects to return to profitability this year based on its order backlog.

PNT disclosed on the 26th that it recorded a net loss of 4.1 billion KRW last year based on consolidated financial statements. During the same period, sales increased by 26.3% year-on-year to 324 billion KRW, and an operating loss of 300 million KRW was recorded.

A company official stated, "Due to the changed accounting standards, approximately 2 billion KRW was recorded as a warranty provision, about 12 billion KRW as an allowance for doubtful accounts, and around 3.7 billion KRW as miscellaneous losses related to lawsuits, resulting in a net loss. Most of these expenses are one-time costs that did not involve actual cash outflows, so contrary to market concerns, the performance did not deteriorate significantly."

He added, "With this large-scale expense recognition mostly removed this year, we expect to record strong performance based on the significantly increased order backlog."

As demand for electric vehicle batteries rises, domestic and international secondary battery manufacturers plan large-scale production facility expansions through 2023. PNT, the leading domestic company in roll-to-roll equipment for secondary batteries, continues to see increasing orders. As of the end of last year, PNT's order backlog stood at 440 billion KRW, with the secondary battery business division accounting for about 75% of the total.

In particular, due to the increased demand for copper foil used in electric vehicle batteries, PNT, which produces electrolytic copper foil production equipment, is expected to benefit greatly. Electrolytic copper foil production equipment has a low manufacturing cost and is advantageous for weight reduction, leading copper foil manufacturers to actively place orders for equipment. The electrolytic copper foil equipment produced by PNT is also expected to have strong growth potential.

Kim Jun-seop, CEO of PNT, said, "Some of the accounting expenses incurred last year, including certain accounts receivable and miscellaneous losses, are highly likely to be reversed in the future, which could actually help future performance. With active investment in the secondary battery industry this year, we will do our best to make this a year of significant performance growth."

This content was produced with the assistance of AI translation services.