[Featured Stock] Golfzon Surges Over 10% on Strong Q1 Performance

[Asia Economy Reporter Eunmo Koo] Golfzon is showing a strong gain of over 10% in early trading. This is interpreted as being influenced by strong first-quarter earnings.

As of 9:28 a.m. on the 27th, Golfzon was trading at 50,700 KRW, up 17.91% (7,700 KRW) compared to the previous trading day.

Earlier, Golfzon announced that its sales in the first quarter of this year increased by 20.2% year-on-year to 72.7 billion KRW. Operating profit during the same period also rose 3.3% to 15.3 billion KRW.

SK Securities estimated that Golfzon's sales for this year would reach 271.8 billion KRW, a 10% increase from last year despite the impact of the novel coronavirus. Operating profit is also expected to increase by 13.4% to 36.6 billion KRW.

Yoon Hyuk-jin, a researcher at SK Securities, forecasted, "The number of rounds is continuously increasing due to the rise in screen golf users, and hardware sales from new franchise openings are expected to perform well in the second half." He also predicted, "Losses related to GDR directly managed stores, which recorded a deficit of over 15 billion KRW last year, will reach the break-even point around the fourth quarter due to restraint in expanding directly managed stores and efforts to secure profitability, contributing to the overall increase in operating profit."

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