Corporate Logo(source: ecoprobm.co.kr)
KB Securities has revised down its target price for Ecopro BM (247540) by 7%, from 140,000 won to 130,000 won, citing a reduction in European-bound shipment forecasts from key clients and a decline in the won-dollar exchange rate. As a result, the brokerage lowered its 2025 operating profit estimate by 38%. Following the revision, the 12-month forward price-to-earnings ratio (PER) stands at 883.4x and the price-to-book ratio (PBR) at 7.43x.
Changmin Lee, an analyst at KB Securities, projected Ecopro BM’s 2025 annual revenue at 2.69 trillion won, down 3% year-on-year, with operating profit expected to recover to 46.9 billion won. “While demand for NCM (nickel-cobalt-manganese) batteries from SK On is expected to remain solid at second-quarter levels through the second half, shipments to Europe from major clients are recovering more slowly than anticipated, warranting further confirmation of a rebound,” he noted. Lee also pointed out that fluctuations in the won-dollar exchange rate will likely be a key variable for the company’s future earnings.
For the second quarter, Ecopro BM’s revenue is estimated at 702.3 billion won, down 13% from a year earlier, while operating profit is expected to rise 243% to 13.3 billion won, in line with consensus. Lee said, “A surge in SK On-bound shipments, driven by the ramp-up of Hyundai Motor Group’s Meta Plant in the U.S. and preparations at BlueOval SK, is a positive sign, especially considering the low base.”
However, he cautioned that “European-bound shipments from major customers are expected to fall short of market expectations, limiting the quarter-on-quarter improvement in cathode material shipments to around 17%.”
Regarding the exchange rate impact, Lee added, “With the average won-dollar exchange rate falling from 1,453 won in the first quarter to a cumulative average of 1,405 won in the second quarter, the reversal of inventory valuation loss provisions is expected to be modest, estimated in the mid-10 billion won range.”
*[KOSDAQ] EcoPro BM(247540) is the top market capitalization company on the KOSDAQ, specializing in secondary battery cathode materials production. Market capitalization is 10.318 trillion won (as of June 26, 2025, closing price).
Corporate Logo(source: ecoprobm.co.kr)
KB Securities has revised down its target price for Ecopro BM (247540) by 7%, from 140,000 won to 130,000 won, citing a reduction in European-bound shipment forecasts from key clients and a decline in the won-dollar exchange rate. As a result, the brokerage lowered its 2025 operating profit estimate by 38%. Following the revision, the 12-month forward price-to-earnings ratio (PER) stands at 883.4x and the price-to-book ratio (PBR) at 7.43x.
Changmin Lee, an analyst at KB Securities, projected Ecopro BM’s 2025 annual revenue at 2.69 trillion won, down 3% year-on-year, with operating profit expected to recover to 46.9 billion won. “While demand for NCM (nickel-cobalt-manganese) batteries from SK On is expected to remain solid at second-quarter levels through the second half, shipments to Europe from major clients are recovering more slowly than anticipated, warranting further confirmation of a rebound,” he noted. Lee also pointed out that fluctuations in the won-dollar exchange rate will likely be a key variable for the company’s future earnings.
For the second quarter, Ecopro BM’s revenue is estimated at 702.3 billion won, down 13% from a year earlier, while operating profit is expected to rise 243% to 13.3 billion won, in line with consensus. Lee said, “A surge in SK On-bound shipments, driven by the ramp-up of Hyundai Motor Group’s Meta Plant in the U.S. and preparations at BlueOval SK, is a positive sign, especially considering the low base.”
However, he cautioned that “European-bound shipments from major customers are expected to fall short of market expectations, limiting the quarter-on-quarter improvement in cathode material shipments to around 17%.”
Regarding the exchange rate impact, Lee added, “With the average won-dollar exchange rate falling from 1,453 won in the first quarter to a cumulative average of 1,405 won in the second quarter, the reversal of inventory valuation loss provisions is expected to be modest, estimated in the mid-10 billion won range.”
*[KOSDAQ] EcoPro BM(247540) is the top market capitalization company on the KOSDAQ, specializing in secondary battery cathode materials production. Market capitalization is 10.318 trillion won (as of June 26, 2025, closing price).