[Click e-Stock] Livesmed Anticipated to Gain Surgical Robot Approval... "Undervalued Compared to Global Peers"

"Company Set to Usher in a New Era of Korean Surgical Robots"
Aiming for Quarterly Profitability This Year

Securities industry analysts have reported that if Livesmed's surgical robot STARK obtains product approval this year, its discounted share price compared to global peers could be reassessed.

According to Samsung Securities on June 17, researcher Jung Donghee stated the previous day, "Livesmed's stock price is currently trading at a 50% discount to global peer averages based on next year's estimates." He did not provide an investment opinion or target price. The closing price on the previous day was KRW 44,300.

Livesmed has established a product lineup that includes the handheld laparoscopic device Artisential and vascular suturing device Artiseal, both based on its independently developed 90-degree multi-joint technology. Researcher Jung evaluated, "This is a company that has built a laparoscopic surgical instrument ecosystem grounded in its proprietary multi-joint core technology."

The key future growth driver will be the STARK. STARK began animal trials last month, is planning to apply for product approval from the Ministry of Food and Drug Safety next month, and aims to obtain approval by the end of the year. Jung noted, "Full-scale revenue contribution will begin next year. STARK is planned to be priced at about one-tenth of existing products, providing a strong competitive edge. By combining the advantages of various devices, the volume of the robotic arm has also been reduced by 55%."

Jung also pointed out that while the robotic surgery penetration rate is 46% in the United States, it remains at 17% in Korea and 14% in the European Union. He believes that countries with low penetration but high growth potential could become STARK's initial revenue conversion markets.

In the first quarter of this year, sales reached KRW 10.26 billion, up 5.4% compared to the same period last year, while operating loss was KRW 8.4 billion. Through a recent initial public offering (IPO), the company raised approximately KRW 132.5 billion and, as of the first quarter, holds about KRW 120 billion in cash and cash equivalents, indicating ample funding capacity.

Jung stated, "According to the investment prospectus, the company expects to achieve annual sales of KRW 150.8 billion and an operating profit of KRW 14.3 billion this year, turning profitable. Next year, sales are projected to reach KRW 321.3 billion and operating profit KRW 78.5 billion, continuing steep growth."

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