1. What Happened? : Ubiquitous Q2 Earnings Analysis

Ubiquitous recorded sales of KRW 31.7 billion, operating profit of KRW 5.5 billion, and net profit of KRW 5.3 billion in Q2 2025, significantly exceeding market expectations. However, on a half-year basis, both sales and profits have decreased compared to the same period last year.

2. Why These Results? : Fundamental Analysis

Declining investments from domestic telecom operators and saturated internet subscriber growth continue to impact sales negatively. While the secured order backlog with LGU+ is positive, sluggish exports and declining profitability remain challenges. High R&D investment is crucial for future growth, but it hasn’t translated into short-term profit improvement.

3. What’s Next? : Investment Strategy

A short-term stock price increase is expected due to the strong Q2 results. However, from a mid-to-long-term perspective, investors should be cautious of the declining sales and profitability trends. Closely monitoring overseas market expansion, new business performance, and macroeconomic changes is crucial for developing an effective investment strategy.

4. Investor Action Plan

  • Short-term investors: Consider short-term investment strategies leveraging the Q2 earnings momentum.
  • Mid-to-long-term investors: Make investment decisions after confirming fundamental improvements; monitor sales growth, profitability improvement, and new business performance.