1. KNS H1 2025 Performance: What Happened?

KNS reported revenue of KRW 26.6 billion (a slight decrease YoY), operating profit of KRW 1.73 billion (a 114.0% increase YoY), and net income of KRW 2.25 billion for H1 2025. Q2 2025 showed revenue of KRW 13 billion, operating profit of KRW 0.6 billion, and net income of KRW 1 billion. This represents a decrease in both revenue and operating profit compared to Q1 2025, while net income remained stable.

2. What Drove the Performance Changes?

The decline in revenue is attributed to weakness in the secondary battery automation equipment sector. However, robust growth in the automotive parts automation equipment segment partially offset this decline. The substantial increase in operating profit is likely due to successful profitability improvement efforts.

3. Investing in KNS: What Should You Do Now?

KNS demonstrates positive aspects, including improved profitability, growth in the automotive parts automation equipment sector, and pursuit of new business ventures. However, potential risks exist, such as a possible slowdown in the EV market, intensifying competition, and exchange rate volatility. Consider the following factors before making an investment decision:

  • Recovery of the secondary battery automation equipment sector
  • Sustainable growth potential of the automotive parts automation equipment segment
  • Success of new business ventures (direct production of secondary battery components and solar power generation)
  • Macroeconomic environment and exchange rate fluctuations

It’s crucial to analyze the company’s long-term growth potential and business competitiveness rather than focusing solely on short-term stock price fluctuations.