1. What Happened? Hanjung NCS Q2 2025 Performance Review

Hanjung NCS experienced declining revenue and increased costs in the first half of 2025, leading to an operating loss. While the company secured orders for ESS and EV components, external factors like rising raw material prices and currency fluctuations negatively impacted profitability.

  • Revenue: Decreased compared to the same period last year
  • Operating Income: Turned negative
  • Net Income: Turned negative

2. Why Did This Happen? Analyzing the Factors Behind the Decline

The primary drivers were declining revenue and increased sales and administrative expenses. The global economic slowdown, rising interest rates, and other macroeconomic uncertainties created a challenging business environment. Furthermore, a high dependence on specific customers contributed to the decline.

3. What’s Next? Growth Opportunities and Risks

Expansion of global production facilities and increased R&D investments in the ESS and EV sectors are positive signs. However, short-term profitability concerns, high interest rates, and currency volatility remain significant risks. Future performance will be crucial in determining the stock’s trajectory.

4. What Should Investors Do? Investment Strategy

Investors should closely monitor the company’s efforts to improve profitability and diversify its customer base in the short term. Long-term investors can consider the potential benefits from the growing ESS and EV markets. However, a cautious approach is warranted given the current financial risks and performance challenges.