1. What Happened at 3S?

3S recorded KRW 9.8 billion in revenue (up 84.2% YoY), KRW 200 million in operating profit (turning to profit), and KRW 0 in net income (turning to profit) in Q2 2025. The growth in the environmental business segment was particularly noteworthy, positively influenced by growth in the global HVAC market, strengthening environmental regulations, and entry into the secondary battery testing equipment market.

2. Why These Results?

  • Environmental Business Strength: Explosive growth fueled by the expanding global HVAC market and eco-friendly trends. The entry into the secondary battery testing equipment market also proved successful.
  • Wafer Carrier Business Weakness: Directly impacted by the semiconductor market downturn, this segment saw declining revenue and operating losses.
  • FA Business Potential: Entering the logistics automation market provides a new growth engine, though it’s still in its early stages with minimal financial impact.

3. What’s Next for 3S?

3S can anticipate a positive future based on the continued growth of its environmental business and the potential of its FA business. However, uncertainties surrounding the wafer carrier business, ongoing litigation, and low production capacity utilization pose risks.

4. What Should Investors Do?

A conservative approach is recommended in the short term, closely monitoring developments in the wafer carrier business. However, long-term investors may consider 3S based on the growth potential of the environmental business and the FA segment. Careful consideration of the company’s earnings announcements and disclosures is crucial for informed investment decisions.