[Click eStock] "Point Mobile, Operating Profit Expected to Increase 157 Times This Year"

[Asia Economy Reporter Ji Yeon-jin] Hana Financial Investment announced on the 29th that it expects Point Mobile's performance growth to be steep due to a long-term supply contract with Amazon, the largest e-commerce company in the United States, and presented a buy investment opinion with a target price of 36,300 KRW.

Point Mobile, established in 2006, is a developer and manufacturer of industrial PDAs and peripherals. It has a variety of products needed in industrial sites, such as mobile computers, handheld terminals, mobile POS, and Bluetooth scanners, and is the number one company in the domestic industrial PDA sector.

Sales in the second quarter of this year are expected to increase by 52.9% year-on-year to 26 billion KRW, and operating profit is expected to rise by 49.7% to 4.9 billion KRW. Amazon sales are expected to surge to 10.4 billion KRW (155.3%), driving growth. Amazon sales are expected to increase annually, and additional global customers are anticipated to be attracted starting from the Amazon supply record.

Amazon operates 2,427 logistics warehouses in 29 countries worldwide. Looking at the number and distribution ratio of logistics warehouses by country, the United States ranks first with 1,170 warehouses (48.2%), followed by India with 440 warehouses (18.1%). So far, most of Point Mobile's Amazon sales have occurred in India, but full-scale supply to the United States is expected to begin this year. This is because the ‘PM85’ model is scheduled to obtain certification from the U.S. carrier Verizon next month. Obtaining Verizon certification is expected to increase Amazon's U.S. sales, which were 700 million KRW last year and are expected to grow to 4.5 billion KRW this year.

Annual sales this year are projected at 97.6 billion KRW (+99.6%), and operating profit at 15.7 billion KRW (15,600%). Global logistics centers have entered a normalization phase across all industries, and a surge in demand for industrial PDAs due to business recovery is expected to benefit the company. Choi Jae-ho, a researcher at Hana Financial Investment, said, "Amazon product sales are expected to grow rapidly, especially with Point Mobile products scheduled to obtain Verizon certification from the U.S. carrier in July, which is expected to lead to full-scale supply to U.S. logistics warehouses that account for 48.2% of Amazon’s total." He added, "Additional franchisees are expected to be attracted based on global franchise references, and performance growth is expected to continue year after year."

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