[Click eStock] "FST Expected to Expand EUV Segment Based on ArF Pellicle Dominance"

On April 6, Yuanta Securities analyzed that FST is entering a full-fledged growth phase with its semiconductor infrastructure equipment and pellicle businesses as dual pillars. In particular, the company is expected to draw attention for its achievements in the EUV segment, based on its unrivaled dominance in the ArF pellicle market.

Baek Gilhyun, a researcher at Yuanta Securities, stated, "This year, FST's expected revenue from chiller equipment is KRW 124 billion, representing an 11.3% increase year-on-year and signaling entry into a growth phase." He added, "We estimate that the company holds over a 50% share in chiller equipment among infrastructure equipment vendors for its major clients." He further explained, "This is due to increased orders resulting from expanded investments in the domestic Pyeongtaek (P4) and Hwaseong plants, at a time when memory semiconductor supply and demand are expected to be tight in 2026–2027."

He also commented, "Considering global component supply chain issues, if investments in the eastern part of Pyeongtaek P4 and P5 are brought forward, or if additional orders are placed for high-value-added new equipment such as eco-friendly chillers for the Taylor fab in the United States, the company’s equipment performance could exceed our estimates, maximizing company-wide profit leverage."

The materials division is also expected to maintain its growth trajectory. In 2026, the division’s revenue is projected to reach KRW 188.5 billion, up 13.3% from the previous year. Among this, pellicle revenue is expected to grow 17.5% to KRW 130 billion, driving overall performance.

Profitability is also expected to improve significantly. On a consolidated basis, FST’s operating profit is forecast to reach KRW 23.1 billion in 2026 (with an operating margin of 7.5%) and KRW 37.1 billion in 2027 (with an operating margin of 10.5%), setting new record highs after turning a profit.

Baek noted, "We have conservatively estimated chiller equipment revenue growth for 2026–2027. However, if major clients further increase chiller demand and the adoption of EUV CNT pellicles begins, future performance estimates could be revised upwards."

In particular, EUV CNT pellicles are expected to serve as a key driver for revaluation. The current annual production capacity for this product is estimated at 5,000 to 6,000 units, and if process optimization leads to yield stabilization, additional revenue growth can be anticipated.

He stated, "Upon entering the yield stabilization phase through process optimization, it is expected that additional annual revenue of KRW 200 billion to 300 billion could be generated from this line alone." He added, "As mass production qualification and supply visibility are secured in the first half of this year, the re-rating momentum based on CNT pellicles will accelerate in earnest."

This content was produced with the assistance of AI translation services.