[Click eStock] "JNTC, Annual Turnaround Is Visible"

Hana Securities forecasted on the 23rd that JNTC is expected to achieve a clear annual performance turnaround. No investment opinion or target price was provided.

JNTC recorded sales of 55.6 billion KRW in the second quarter, a 47.3% increase compared to the same period last year. Operating profit also turned positive to 4.1 billion KRW during the same period. Kyu-sang Kim, a researcher at Hana Securities, said, "Following the first quarter, the company succeeded in turning a profit again in the second quarter, demonstrating visibility in this year's performance," adding, "The market share increased as the sales volume of 4G smartphones from major client Huawei rose in the second quarter."

Additionally, benefits are expected from the launch of Huawei's flagship smartphone. He stated, "The Mate 60 Pro, scheduled for release in September, is a large-screen flagship model expected to achieve high sales," and "With the adoption of the high-end cover glass Kunlun Glass, it is anticipated to drive performance in the second half of the year."

He evaluated, "The supply of smartphones is expected to increase further due to the rise in adoption of special cover glass and the start of supply to domestic clients' budget models," and "For automotive cover glass, a cumulative order backlog of 700 billion KRW has already been secured through 2028, ensuring a stable cash cow."

Hana Securities expects JNTC's sales this year to reach 346.8 billion KRW, a 115.0% increase from the previous year, and operating profit to turn positive at 48.6 billion KRW. He forecasted, "Following a full-scale turnaround this year, in 2024, benefits from increased adoption of high-end cover glass for automotive electronics, smartwatches, and smartphones are expected to lead to a sharp rise in sales and operating profit margin."

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