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(Photo= Yonhap news) |
[Alpha Biz= Reporter Kim Sangjin] On the 4th, KB Securities lowered its target price for EcoPro BM (247540) from 210,000 KRW to 200,000 KRW, citing limited potential for performance improvement in Q4 due to slowing growth in the downstream market.
KB Securities analyst Changmin Lee stated in a report, "EcoPro BM's operating loss in Q3 was 41.2 billion KRW, marking a transition to a loss compared to the same period last year and falling short of market consensus." He explained that the decline in cathode material shipments, a drop in lithium hydroxide prices, and the impact of a lower exchange rate at the end of the quarter led to a 18.8 billion KRW inventory valuation loss.
Previously, EcoPro BM had reported on the 1st that its Q3 revenue was 521.9 billion KRW, down 71.1% year-on-year. The company also posted an operating loss of 41.2 billion KRW and a net loss of 49.5 billion KRW, both marking a shift to negative figures compared to the previous year.
Lee further projected that the slower growth in the downstream market and anticipated inventory adjustments by customers would limit performance improvements in Q4 as well. He forecasted a Q4 operating loss of 12.6 billion KRW. Consequently, he revised the annual operating loss estimate for this year to 43 billion KRW, widening from the previous estimate of 27 billion KRW. Additionally, he lowered the operating profit forecast for next year by 28%, from 157 billion KRW to 113 billion KRW.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
