Global SM Posts Q2 Operating Profit of KRW 2.7 Billion, Up 85% from Previous Quarter

In the second quarter of this year, Global SM posted an operating profit of USD 1.81 million (approximately KRW 2.7 billion), up 85.2% compared to the previous quarter.

According to Global SM on September 1, consolidated revenue for the second quarter reached USD 24.62 million (approximately KRW 37 billion), representing a 5.9% increase from the previous quarter. The operating margin rose from 4.2% in the first quarter to 7.4% in the second quarter, a 3.2 percentage point increase.

Global SM initially started with ultra-small precision components for electronic devices and has expanded its business to include automotive electrical components. Recently, the company has been accelerating new business development by applying its precision metal processing technology and production facilities, accumulated through the automotive electronics business, to the secondary battery and robotics sectors.

The automotive electronics business continues its growth, primarily through its subsidiaries in China and Vietnam. The Vietnam subsidiary has increased its supply of precision components to global automaker VinFast, while the Dongguan subsidiary in China has participated in Huawei's electronic and smart car supply chains. Production bases established in Malaysia, Spain, and other countries—including China and Vietnam—are also being utilized to respond to global customers.

The precision machining technology acquired through the automotive electronics business is also being applied to the secondary battery business. The Tianjin subsidiary in China has developed cutting bolts for electric vehicle battery cells and is currently supplying them to domestic battery companies. Components for battery cell fastening, which require high thermal durability and precision, can benefit from existing precision manufacturing technology, and supply is expected to expand in the future.

The company is also broadening its business scope in the robotics field by securing new orders. In July, it was selected as a primary partner in a quadruped robot development project led by a global automotive and robotics parts company, thus expanding its robotics business. The company plans to supply precision components for robots in October and intends to expand its applications to humanoid robots going forward.

A Global SM official stated, “We are expanding into new businesses by leveraging the technology and manufacturing expertise accumulated in the automotive parts sector—including electric vehicles—and applying them to the secondary battery and robotics fields. We will continue our efforts to ensure sustainable growth in our performance and enhance both corporate and shareholder value.”

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