[Click eStock] "North America, Europe, and China All Sailing Smoothly... Vatech Forecasts Strong 2Q Performance"

All Regions with High Sales Shares Show Upward Trend... New Products Also Sailing Smoothly

[Asia Economy Reporter Minwoo Lee] Vatech, a dental imaging equipment specialist, is expected to achieve strong performance in the second quarter of this year. This is attributed to continued growth in key markets such as North America, Europe, and China, where sales proportions are high, and especially the rapid growth of new products.

On the 8th, Eugene Investment & Securities forecasted that Vatech would record consolidated sales of 76.5 billion KRW and operating profit of 13.7 billion KRW in the second quarter of this year. These figures represent increases of 62.8% and 593.9%, respectively, compared to the same period last year.

First, significant growth is expected due to product diversification in the Chinese market. While maintaining the number one market share in 2D products within China, Vatech's 3D products have risen to second place. The gap with the first place is also narrowing. Researcher Jongseon Park of Eugene Investment & Securities stated, "'GreenSmart' product 'Green18' obtained manufacturing certification last November, and the 'Green16' product is also pursuing certification in the first half of this year," adding, "Key products will be produced and sold in China, which will expand market share."

In the U.S. market, sales of existing 'GreenSmart' and 'Green16' products are active, and the new product 'GreenX' is scheduled for release. This product, designed for endodontic treatment, reduces radiation exposure by 60%. It received FDA approval in October last year and is expected to be sold in July to August this year. It is analyzed to be positive not only in terms of average selling price increase but also profitability.

Entry into the medical equipment market is also actively progressing. Researcher Park explained, "Sales of portable medical X-ray products surged from 2.7 billion KRW to 4.6 billion KRW due to differentiated customer response," adding, "Compared to competitors' products, it weighs half as much, increasing its use in various medical fields such as home visits, the sports industry, and animal hospitals."

Against this backdrop, Eugene Investment & Securities maintained its 'Buy' rating and target price of 44,000 KRW for Vatech. The closing price on the previous day was 34,250 KRW.

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