1. What Happened?: Motrex H1 2025 Earnings Analysis

Motrex’s H1 2025 earnings saw a decline in both sales and operating profit compared to the same period last year. The downturn in the automotive electronics division significantly impacted the overall results. Rising raw material prices and intensifying competition also contributed to the decline in profitability.

2. Why Did This Happen?: Analysis of the Causes of the Downturn

The decline in sales in the automotive electronics division is due to the volatility of the global automotive market and intensifying competition. Rising raw material prices and exchange rate fluctuations also had a negative impact on profitability. On the other hand, the construction machinery business maintained solid performance and stable growth.

3. So What Will Happen?: Future Growth Engines and Outlook

Motrex is striving to secure future growth engines through investments in new businesses such as EV charging and battery businesses. However, the success of these new businesses remains uncertain, and market competition is fierce. In addition, the possibility of a global economic slowdown and volatility in raw material prices are still risk factors.

4. What Should Investors Do?: Action Plan

Investing in Motrex requires a cautious approach. It is crucial to closely monitor the performance of new businesses, global economic conditions, and changes in the competitive landscape, and to make investment decisions by comprehensively considering the company’s future growth potential and risks.