[Click e-Stock] "KoAsiaCM, Korea's Only Integrated Lens and Module Supplier...Restarting Growth with Automotive Electronics and Robotics"

As the domestic lens industry undergoes a prolonged restructuring phase, there are expectations that KoAsiaCM, which has survived based on its technological competitiveness, will secure new growth drivers. Building on its advanced high-resolution camera lens technology and established presence in the mobile market, the company is projected to continue its performance improvement trend by expanding its business into non-mobile sectors such as automotive electronics and robotics.

Choi Seunghwan, a researcher at Shinhan Investment Corp., stated, "KoAsiaCM is a company that survived the restructuring of the domestic lens industry through technological development. With proactive technology development for high-resolution cameras and expanded supply, the company entered a profitable phase from 2025. Growth is expected to resume through lens supply for non-mobile automotive electronics and robotics sectors."

KoAsiaCM is the only company in Korea that supplies both handset camera lenses and camera modules. Unlike domestic competitors who focus on either the lens or module business, KoAsiaCM is recognized for its competitive advantage in being able to offer an integrated supply chain from lens design to module manufacturing.

Major competitors in the lens sector include Sekonix in Korea and overseas firms such as Largan Precision and Sunny Optical. However, because the camera module market is closely linked to smartphone shipments, it has shown a relatively low-profit business structure.

In this market environment, KoAsiaCM has sought differentiation by focusing on developing high-resolution lens technology. The company began supplying 50-megapixel lenses in 2024, and as high-resolution products are increasingly adopted in major mid-range smartphone lineups such as the A series, KoAsiaCM entered a profitable phase starting in 2025.

The main growth drivers going forward are expected to be non-handset areas such as automotive electronics and robotics. KoAsiaCM is working to enter the electric vehicle and humanoid robot markets by leveraging its optical technology and production capabilities built through its existing smartphone camera business.

The camera module business is also seeking to move beyond exclusive supply for the A series to enter the S series, and by 2027, the company plans to expand its ToF (Time-of-Flight) 3D sensing camera module business in non-handset fields such as automobiles and robots.

Researcher Choi explained, "We have supplied integrated ToF module samples to the world's largest electric vehicle and humanoid robot companies and are targeting mass production next year. For major domestic IT conglomerates, we are jointly developing 3D depth cameras for robotics with affiliates."

KoAsiaCM is said to have secured differentiated competitiveness by utilizing its approximately 30 years of accumulated lens development experience, proprietary lens technology, and the design capabilities of its semiconductor design house affiliate. The structure enabling simultaneous lens and module design and manufacturing is expected to be a significant advantage in entering new markets.

Performance improvement is also expected to continue. Shinhan Investment Corp. forecast KoAsiaCM's sales for 2026 at 309.8 billion won, a 20.0% increase from the previous year. Operating profit is projected to reach 7.1 billion won, up 34.7% year-on-year.

It is expected that new non-handset products will begin to meaningfully contribute to results between 2027 and 2028. Until then, the high-resolution lens business of 50 megapixels and above is anticipated to serve as a stable source of cash flow, supporting improvements in profitability.

Researcher Choi emphasized, "Despite having entered the stage of normalizing profitability, the 12-month forward price-to-earnings ratio is only 4 times due to the company being overlooked by the market. In the absence of meaningful domestic competitors, if demand for lenses from new customers surges, KoAsiaCM is expected to benefit significantly."

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