[Click e-Stock] "Padu Expected to Show Gradual Performance Improvement"

On June 20, NH Investment & Securities analyzed that gradual performance recovery can be expected for Padu.

Ryu Youngho, a researcher at NH Investment & Securities, explained, "Since its listing, Padu experienced a sharp decline in sales due to reduced investments from major clients. However, since the third quarter of last year, when sales recovered to over 10 billion KRW, the company has been showing a gradual improvement trend."

He continued, "The rapidly increasing research and development (R&D) expenses have had a negative impact on performance, but they are essential for mid- to long-term growth. Considering the current order backlog, sales are expected to increase this year as well, following last year." He also predicted, "If Padu secures significant new clients in the future, the company's credibility will improve."

In the first quarter of this year, Padu recorded sales of 19.2 billion KRW and an operating loss of 12 billion KRW. Sales increased by 724.1% compared to the same period last year.

Researcher Ryu stated, "Operating losses continued due to new Gen6-related projects and increased R&D. However, given the product development cycle, the heavy development costs are expected to be concluded within this year." He added, "Following last year's collaboration with overseas NAND companies, the company has expanded cooperation with module companies in Taiwan. Efforts to secure new clients and launch new products will continue."

He said, "The company is moving away from high dependency on a single client. Although new partnerships are still in the early stages, gradual sales growth is expected going forward."

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