Korea Computer (054040) Q3 2024 earnings summary

Executive summary

• The company operates primarily in the EMS (Electronics Manufacturing Service) sector, producing QD-OLED PBA for TVs/monitors and OLED PBA for smartphones/tablets, with major customers including Samsung Display and other global electronics firms.

• For the nine months ended September 2024, consolidated revenue was ₩313.95 billion, with operating income of ₩11.12 billion and net income of ₩10.50 billion, reflecting a year-over-year decline.

• The company maintains a strong position in the EMS market, leveraging advanced manufacturing capabilities and a diversified customer base.

Financial highlights

• Consolidated revenue for the period was ₩313.95 billion, down from ₩371.74 billion year-over-year.

• Operating income was ₩11.12 billion, compared to ₩23.80 billion in the prior year.

• Net income attributable to owners was ₩10.50 billion, down from ₩21.70 billion year-over-year.

• Basic EPS was ₩749, compared to ₩1,513 in the previous year.

• Cash and cash equivalents at period-end were ₩35.70 billion.

Outlook and guidance

• The company continues to focus on expanding high-value EMS offerings, investing in advanced SMT and COG/FCOF facilities to support growth in mobile and display modules.

• Market trends indicate ongoing demand for EMS in electronics, with growth expected in OLED and QD-OLED applications.