[Click eStock] "Vatech Achieves Record-High Q2 Sales... Target Price Up 25%"

[Asia Economy Reporter Ji-hwan Park] On the 12th, Eugene Investment & Securities maintained a 'Buy' rating on Vatech, stating that profitability is entering a full recovery phase due to achieving the highest quarterly sales, and raised the target price by 25% from 44,000 KRW to 55,000 KRW.

Researcher Jong-sun Park of Eugene Investment & Securities said, "In the second quarter, sales reached 85 billion KRW and operating profit was 20 billion KRW," adding that "these figures represent increases of 80.7% and 908.2% respectively compared to the same period last year, achieving the highest quarterly performance ever recorded." Compared to market expectations, sales exceeded by 9.2% and operating profit by 45.8%, delivering an earnings surprise.

A particularly positive aspect of the second quarter results is that despite the impact of COVID-19, the company achieved the highest quarterly sales and significantly improved profitability. By product, sales of 3D and 2D products increased by 229.7% and 148.8% respectively compared to the same period last year. IOS product sales volume rose by 395.7%,

and Portable X-Ray supply increased by 42.1%.

By region, sales growth was observed in all areas including Europe, North America, and Asia. Excluding domestic sales, the Asian region grew by 38.1%, Europe by 156.0%, and North America by 140.0%.

The recovery trend in performance is expected to continue. Researcher Jong-sun Park said, "Third quarter sales are expected to be 76.6 billion KRW and operating profit 15.1 billion KRW, representing increases of 20.3% and 56.5% respectively compared to the same period last year, indicating continued recovery." He added, "Sales growth continues in North America, Europe, and China, which have high sales proportions, and growth is particularly accelerating due to new products."

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