Pulmuone has posted its first net profit in China in 10 years of operations, marking a turning point of its food business in China, the company announced on June 1.Pulmuone said that Pumeiduo Foods, a Chinese business unit of the company, turned a profit in the first quarter of 2020 with quarterly p
South Korean securities companies’ assets have more than tripled in years based on financial deregulation and the government’s policy for investment banking growth acceleration. The increase in assets has come with expanded derivatives-linked securities (DLS) and shadow banking in the real estate se
The authors are analysts of Shinhan Investment Corp. They can be reached at sh.kim@shinhan.com and jongseon@shinhan.com. -- Ed. 25bp policy rate cut to lower annual NIM by around 3-4bpThe Bank of Korea cut the policy rate earlier than expected at the May 28meeting, down by 25bp from 0.75% to 0.50%.
Treatments for genetic diseases worth about US$500,000 were air shipped to Iran on May 29 as the first case of the export of humanitarian goods to Iran that resumed on April 6, the Ministry of Foreign Affairs said on May 29.The South Korean government continued close consultations with the United St
Korea East-West Power announced on May 28 that it has signed a joint development agreement (JDA) with Hana Financial Investment and Samchully Asset Management to promote a large-scale solar power project in Queensland, Australia.Australia is rich in solar and wind power resources. The nation’s conve
LG Display, which posted an operating loss of 361.9 billion won in the first quarter, is enjoying a surge in orders for LCD panels for tablet PCs and laptop monitors in the wake of the new coronavirus outbreak.Apple has recently asked LG Display to supply LCD panels for the iPad fast. LG Display is
The South Korean government announced on May 28 that it would provide special guarantees worth 500 billion won, along with a one-year customs inspection exemption, for auto parts manufacturers.Specifically, automakers will provide 20 billion won, Korea Credit Guarantee Fund or Korea Technology Finan
SK Hynix has regained the fifth spot in the global NAND flash market based on sales, beating Intel. However, as SK Hynix's NAND flash business is still in the red, some experts point out that the Korean chipmaker needs to increase investment to upgrade its technologies such as controller technol
The authors are analysts of Shinhan Investment Corp. They can be reached at sungjun.na@shinhan.com and doyeon@shinhan.com, respectively. -- Ed. Domestic production of large batch-type ALD equipment draws nearEugene Technology’s large batch-type atomic layer deposition (ALD) equipment is currently un
The author is an analyst of Shinhan Investment Corp. He can be reached at shawn1225@shinhan.com. -- Ed. Potential value of SC formulations and expansion of Hybrozyme licensingThe value of biosimilar versions that can be administered subcutaneously has been in the spotlight for some time. Subcutaneou
The author is an analyst of Shinhan Investment Corp. He can be reached at msbond@shinhan.com. -- Ed. Base rate cut in May meeting and likely to be kept low for long timeThe Monetary Policy Board of the Bank of Korea (BOK) decided at the May meeting to lower the base rate by 25bp to 0.50%. The Board
The South Korean government will organize a nationwide sales event, as big as the Korea Sale Festa held in autumn, from June 26 to July 12 to stimulate the domestic economy, the Ministry of Economy and Finance said on May 28.The plan is part of the government's economic policies for the second h
South Korea's industrial output fell 2.5 percent in April from a month earlier and 5 percent from a year ago due to the COVID-19 pandemic.According to the industrial data released by Statistics Korea on May 29, the April manufacturing output index slipped 6.0 percent on-month and 4.7 percent on
The Bank of Korea cut the key rate by 0.25 percentage point on May 28. As a result, the interest rate reflecting the rate of inflation, 0.3 percent to 0.6 percent, has become zero.Since the central bank cut the key rate two months ago, the market liquidity has increased a lot and the South Korean go
The South Korean government is planning to increase its corporate structure innovation fund for the purpose of market-led corporate restructuring.“Corporate liquidity crises leading to insolvency crises and turning of normal enterprises into restructuring targets are unlikely to be few in number,” s
The author is an analyst of NH Investment & Securities. He can be reached at dongyang.kim@nhqv.com. -- Ed. SK Holdings’ fundamental value as a holding company remains valid, anticipating: 1) further strengthening in shareholder value via rising cash flow; and 2) brisk earnings momentum from new grow
The author is an analyst of NH Investment & Securities. He can be reached at kyuha.lee@nhqv.com. Smartphone sales plummeted in April due to global shutdowns owing to the Covid-19 outbreak. However, as major markets have begun to open from May, sales are set to recover. We recommend increasing exposu
Hyundai Mobis will invest about 1 trillion won in about 2,000 R&D projects in 2020, according to the company’s latest sustainability report published on May 27.The report said that Hyundai Mobis will invest 983.1 billion won in R&D this year, which is a 60 percent increase from 625.8 billion won in
Shinhan Financial Group announced on May 27 that it will participate in a project aimed at creating a startup park in Tomorrow City located in Songdo, Incheon.The project is designed to set up an open innovation startup base like Zhong Guan Cun in China, Silicon Valley in the United States and Stati
Bando Construction bought 1,225,880 Hanjin KAL shares, 2.1 percent of the total, on May 26. The company, former Korean Air vice president Cho Hyun-ah and activist private equity fund KCGI called for Hanjin Group chairman Cho Won-tae to step down at the ordinary shareholder meeting of Hanjin KAL in M