1. TES Co., Ltd.’s H1 2025 Earnings Analysis: Exceeding Expectations

TES recorded sales of KRW 82 billion, operating profit of KRW 20.3 billion, and net profit of KRW 18.8 billion in Q2 2025, significantly surpassing market expectations. Both sales and operating profit increased substantially compared to the same period last year, and the operating profit margin also improved significantly to 22.0% from 12.1% in the same period last year.

2. Reasons Behind the Earnings Surge: Semiconductor Market Recovery and Strong Technological Capabilities

This strong performance is attributed to the synergy between the recovering semiconductor equipment market and TES’s outstanding technological capabilities. Robust sales of core equipment such as PECVD, Gas Phase Etch & Cleaning have continued, and the company has further strengthened its competitiveness through internalizing essential equipment technology and diversifying its customer base for 3D NAND and DRAM processes.

3. Future Growth Drivers: New Business Ventures and R&D Investment

TES is securing future growth potential through new business ventures such as thin-film encapsulation equipment for displays and MOCVD equipment for UVC LEDs. Furthermore, the high ratio of R&D expenses to sales (11.5%) demonstrates its commitment to continuous technological innovation, and the development achievements in Low-k PECVD, BSD PECVD, and Dry Clean equipment will serve as additional growth drivers.

4. Action Plan for Investors: Positive Outlook with Cautions

While TES currently possesses attractive investment potential, there are points to consider before investing. Careful investment decisions are necessary, considering the uncertainties in global macroeconomic variables and the possibility of intensified market competition. Continuous monitoring of new business performance, commercialization of R&D achievements, and strengthening partnerships with key customers will be crucial.