1. What Happened?: Sensorview H1 2025 Earnings Breakdown

Sensorview’s H1 2025 revenue decreased by 37.7% year-over-year to KRW 9.723 billion, with an operating loss of KRW 6.848 billion, widening the deficit. Q2 2025 preliminary results also show declining sales and increasing losses, further exacerbating capital erosion.

2. Why?: Analyzing the Causes of Underperformance

  • Struggling Civilian Telecommunications Sector: Sales decline in the core business segment is severe due to delayed 5G investments.
  • High R&D Expenses: While crucial for future growth, R&D costs are burdensome given the current financial situation.
  • Global Economic Slowdown: The slowdown is leading to decreased demand for Sensorview’s products.

3. What’s Next?: Stock Outlook and Investment Strategy

Sensorview currently carries high investment risk. The stock price is likely to decline in the short term, and the investment value is at risk of further decline in the mid-to-long term if earnings don’t improve. Investors should exercise extreme caution and closely monitor funding plans and new business performance.

4. Investor Action Plan

  • Caution Advised: Be aware of the very high investment risk and make investment decisions carefully.
  • Risk Management: Pay attention to the dilution effect from convertible bonds and increasing debt ratio.
  • Continuous Monitoring: Keep a close eye on changes in the company’s financial status and business outlook.