Techwing (089030) Q4 2024 earnings summary

Executive summary

• Revenue for FY2024 was KRW 185.5 billion, up 38.9% year-over-year, with operating income of KRW 23.4 billion and a net loss of KRW 22.0 billion, reflecting a significant improvement in operating profit but a continued net loss due to non-operating expenses and financial costs.

• The company remains a global supplier of semiconductor and display test equipment, with major clients including Micron, SK Hynix, and Samsung Display.

• The board approved a cash dividend of KRW 130 per share for FY2024, maintaining the payout from the previous year despite the net loss.

Financial highlights

• FY2024 consolidated revenue: KRW 185.5 billion (+38.9% YoY); operating income: KRW 23.4 billion (+640.7% YoY); net loss: KRW 22.0 billion (vs. net loss of KRW 11.1 billion in FY2023).

• Gross margin improved to 38.5% from 36.9% in FY2023.

• Cash and cash equivalents at year-end: KRW 25.5 billion, up from KRW 13.6 billion.

• Total assets: KRW 506.2 billion; total liabilities: KRW 317.9 billion; equity: KRW 188.3 billion.

• R&D expenses were KRW 29.3 billion, representing 17.9% of sales.

Outlook and guidance

• Management expects continued demand for semiconductor test equipment, driven by AI, IoT, and 5G trends.

• The company is expanding into HBM and wafer-level test solutions and expects further growth in export markets.

• A new solar power business was added to the corporate charter, with installation planned for 2025.