1. What Happened? Seojin Automotive’s Q2 2025 Performance

Seojin Automotive reported consolidated revenue of KRW 810 billion and operating profit of KRW 17.4 billion in Q2 2025. While revenue increased by 17% compared to the previous quarter, operating profit decreased, and the company recorded a net loss of KRW 22.4 billion. This sudden shift to a net loss has raised concerns among investors.

2. Why Did This Happen? Analyzing the Net Loss

The exact cause of the Q2 net loss is yet to be determined. Several factors are being considered, such as potential one-off expenses and financial issues, but we await the company’s official announcement. Rising raw material prices and increased R&D investment could also have contributed.

3. What’s Next? Outlook and Investment Strategy

Seojin Automotive is focusing on future growth drivers such as expanding its eco-friendly vehicle parts business and entering overseas markets. However, managing financial risks, including high debt ratio and operating cash flow volatility, is crucial. Investors should closely monitor further information regarding the Q2 net loss, the growth of the eco-friendly vehicle parts business, and the company’s efforts to improve its financial health.

4. What Should Investors Do? Action Plan

  • Seek Information: Understand the reasons behind the Q2 net loss by reviewing the company’s official announcements and IR materials.
  • Monitor Progress: Continuously observe the performance of the eco-friendly vehicle parts business and changes in key financial health indicators.
  • Invest Cautiously: Make informed investment decisions after thorough analysis of additional information and risk assessment.