1. Megatouch Q2 Earnings: What Happened?

Megatouch reported revenue of ₩12.1 billion, operating income of ₩0, and a net loss of ₩0.6 billion in Q2 2025. While revenue increased slightly compared to Q1, profitability remains a concern. Year-over-year revenue declined significantly, primarily due to weakness in the battery business.

2. Analyzing the Decline: Why the Struggle?

The battery segment was impacted by reduced investments and production adjustments by secondary battery manufacturers. The semiconductor business experienced a slight revenue decline due to the overall industry downturn. Increased cost of goods sold also contributed to the decline in profitability.

3. Megatouch’s Future: What’s Next?

Megatouch is focusing on developing next-generation battery components and semiconductor technologies. The long-term growth of the electric vehicle and semiconductor markets presents a positive outlook. However, increasing competition, fluctuating raw material prices, and macroeconomic uncertainty remain risk factors.

4. Action Plan for Investors

  • Short-Term Strategy: Closely monitor Q3 earnings for signs of a turnaround, resolution of bad debt risks, and recovery signals in the semiconductor and secondary battery markets.
  • Long-Term Strategy: Analyze the visibility of new technologies and orders, Megatouch’s competitiveness, and the impact of macroeconomic variables before making investment decisions.