[Click eStock] "Shinsung ENG, Front Industry Growth... Performance Increase Expected"

On the 26th, SK Securities analyzed that the growth of the upstream industry will lead to improved performance for Sinseong ENG.

Sinseong ENG operates in the Clean Environment (CE) business, which involves constructing semiconductor cleanrooms and dry rooms within secondary battery processes, as well as the Renewable Energy (RE) business, including solar module production and solar power plant construction. As of last year, the sales composition was 83.2% from Clean Environment, 16.5% from Renewable Energy, and 0.3% from others.

Na Seungdoo, a researcher at SK Securities, stated in a report on the same day, “Due to the resumption and expansion of investments by major customers in the upstream industry, better performance is expected in the second half of the year compared to the first half,” adding, “Regarding semiconductor cleanrooms, as news of major customers resuming new factory construction has been confirmed from various angles, it is expected to positively impact performance starting from the third quarter of this year.”

Furthermore, it is anticipated that performance related to overseas factory construction will also have an impact in the second half, making significant performance growth worth expecting.

Researcher Na said, “The dry rooms for secondary batteries are also expected to generate continuous performance mainly from major customers’ overseas factories,” explaining, “Along with the expansion of overseas factories by domestic secondary battery cell makers, the company’s dry rooms are being applied to overseas factory expansions of key material producers as well, which is expected to increase sales in the export sector.”

He continued, “Although the Renewable Energy business segment currently does not have a large sales scale, it is generating profits,” analyzing, “The successive RE100 declarations by domestic companies are highly likely to stimulate demand for distributed solar power generation such as BIPV, making this a segment that cannot be overlooked.”

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