DA Technology Reports Q1 Revenue of 26.3 Billion KRW, Achieving 50% of Last Year's Sales

DA Technology recorded sales growth in the first quarter of this year equivalent to 50% of last year's total sales.

DA Technology announced on the 16th that its consolidated first-quarter sales reached 26.3 billion KRW, a 271.1% increase compared to the same period last year. During the same period, operating loss and net loss were significantly reduced to 5.6 billion KRW and 3.1 billion KRW, respectively.

This external growth is interpreted as the full-scale recognition of sales following the commencement of delivery of secondary battery equipment worth 120 billion KRW, which was ordered last year. Since it generally takes about six months from order to supply, the orders signed by December last year are expected to be fully recognized as sales this year.

DA Technology started the first shipment of secondary battery equipment worth 40 billion KRW, which was signed by December last year, and is currently proceeding with the second shipment. The supply contract worth 83.4 billion KRW signed after December is planned to be completed by the fourth quarter.

Since orders exceeding 100 billion KRW this year are expected to be reflected in sales, not only external growth but also profitability improvement is anticipated. The company explained that costs temporarily increased in the first quarter due to workforce expansion and raw material procurement to respond to the surge in orders and deliveries last year.

A company representative said, “Although investment costs increased somewhat due to initial development and workforce expansion to handle large-scale orders, we are focusing on improving profitability by disposing of idle assets such as non-operating factories,” adding, “We expect profitability to be strengthened significantly from the second quarter through payment receipts from deliveries, internal resource optimization, and financial structure improvement.”

Further performance improvement is also expected. This year, the company continues its order streak centered on notching, stacking, and cylindrical assembly equipment. As of May, DA Technology has secured orders for secondary battery equipment worth approximately 38 billion KRW. Additionally, the cylindrical equipment group has established itself as a core product following notching and stacking equipment, securing orders from LG Energy Solution.

A company representative explained, “As domestic and overseas battery companies are expanding aggressive investments, equipment demand is also increasing, and we believe we can establish a stable profit structure by strengthening market responsiveness,” adding, “Based on the stable growth of the secondary battery equipment business, we aim to secure the largest-ever orders this year.”

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