[Click e-Stock] "Taihan Electric Wire Expands Submarine Cable Orders"

Yuanta Securities stated on October 31 that Taihan Electric Wire's third-quarter performance this year met market expectations. The target stock price was raised to 245,000 won.

Taihan Electric Wire recorded sales of 855 billion won and an operating profit of 29.5 billion won in the third quarter. This represents increases of 6.3% and 8.5%, respectively, compared to the same period last year.

Son Hyunjung, a researcher at Yuanta Securities, explained, "The company maintained its scale thanks to revenue recognition from the Yeonggwang Nakwol submarine cable project and the expansion of overseas subsidiary sales," adding, "The order backlog reached a record high of 3.4175 trillion won."

She further added, "We expect performance to improve in the fourth quarter as high-margin and offshore wind power projects ramp up."

Researcher Son analyzed, "In the third quarter of this year, Taihan Electric Wire secured the largest domestic offshore wind power submarine cable reference by winning the Anma offshore wind power project," and, "The second high-voltage direct current (HVDC) submarine cable plant, scheduled for completion in 2027, is a key strategic investment to support domestic HVDC transmission network projects."

She explained, "Taihan Electric Wire is establishing an in-house production system for high-difficulty products such as submarine cables for HVDC power grids," and, "By investing in the ultra-high voltage cable plant in Vietnam and completing the medium voltage plant in South Africa, the company is diversifying its overseas production bases and strengthening its cost competitiveness."

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