1. What Happened? Wonik’s Q2 2025 Performance Review

Wonik recorded revenue of KRW 80,499 million in Q2 2025, demonstrating robust growth. However, operating profit margins decreased compared to the same period last year. The decline in profitability within the Trading/Healthcare segment and decreased sales in the Electronic Components segment were the primary factors contributing to this result.

2. Why These Results? Unpacking the Underlying Causes

  • Trading/Healthcare: Despite growth in the healthcare sector, rising raw material prices and increased competition negatively impacted profitability.
  • Electronic Components: Sales declined due to weakened demand in downstream industries.
  • Decreased Operating Cash Flow: Operating cash flow significantly decreased due to increased inventory and delays in accounts receivable collection.

3. What Now? Investment Strategies for Wonik

  • Short-Term Strategy: Closely monitor the sustainability of growth and profitability improvement in the Healthcare segment, as well as the impact of macroeconomic indicators.
  • Long-Term Strategy: Focus on securing long-term growth drivers such as new business ventures and investments in affiliated companies, as well as ESG management efforts.

4. Investor Action Plan

Investors should thoroughly understand Wonik’s segment performance and risk factors, and continuously monitor the impact of changing market conditions and macroeconomic indicators. Evaluate management’s strategic execution capabilities and long-term growth potential to make informed investment decisions.