1. RF Semi’s 2025 Half-Year Results: Far Below Market Expectations
RF Semi’s 2025 half-year revenue was 5.9 billion KRW, slightly below expectations (6.1 billion KRW). However, operating profit and net income were significantly lower than expected at 0.4 billion KRW and 0.3 billion KRW, respectively, compared to projections of 1.4 billion KRW and 1.5 billion KRW.
2. Analyzing the Causes of Underperformance: Ongoing Going Concern Uncertainty
Despite a decline in semiconductor sales, the overall revenue decline was limited due to strong performance in the LED lighting segment. However, the auditor’s opinion of ‘substantial doubt about the company’s ability to continue as a going concern’ remains unresolved, raising doubts about the company’s fundamentals. High debt ratios and convertible bonds maturing in 2026 also pose a financial burden.
3. Key Information for Investors: Assessing the Delisting Risk
The most significant risk factor is the possibility of delisting. If the Korea Exchange decides to delist RF Semi, investors could lose their entire investment. Furthermore, macroeconomic uncertainties such as a global economic slowdown, rising interest rates, and raw material price volatility also pose investment risks.
4. Investment Strategies: Extreme Caution Required
- New Investments: Under the current circumstances, new investments should be considered with extreme caution. Investing in RF Semi while the delisting risk remains is highly risky.
- Existing Investments: Closely monitor the company’s financial restructuring efforts and the Korea Exchange’s review results. Consider cutting losses if negative outcomes are anticipated.