1. Seoul Semiconductor’s Q2 Performance: What Happened?
Seoul Semiconductor’s Q2 2025 revenue reached ₩188.1 billion, a 0.1% decrease YoY but a 12.1% increase QoQ. However, operating income remained negative at ₩-0.9 billion, with net income also showing a loss at ₩-3.6 billion.
2. Reasons for Underperformance: Why the Continued Losses?
The main factors contributing to the operating loss are high financial costs and increased selling, general, and administrative expenses. Declining revenue trends and a lack of tangible returns on R&D investment are also contributing factors.
3. Future Growth Drivers and Opportunities: Is There Potential for a Rebound?
- Continued investment in future growth drivers like Micro LED, UV LED, and VCSEL.
- Leading market share in the UV LED market and strong technological competitiveness.
- Potential for synergy with related companies.
4. Action Plan for Investors: What Should You Do?
In the short term, investors should be aware of potential stock price volatility due to weak earnings. A long-term perspective requires careful monitoring of profitability improvements, financial stabilization, and new business performance to formulate an effective investment strategy.
Frequently Asked Questions
What are Seoul Semiconductor’s main businesses?
Seoul Semiconductor specializes in LED chips, developing and manufacturing various products from general lighting LEDs to UV LEDs, Micro LEDs, and VCSELs.
What are the main reasons for the poor Q2 performance?
High financial costs, increased SG&A expenses, and a lack of tangible returns on R&D investments are the primary factors behind the weak performance.
What are Seoul Semiconductor’s future growth drivers?
Micro LED, UV LED, and VCSEL businesses are considered key future growth drivers, with high growth potential anticipated in the Micro LED market.
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