Shin Jin's Q2 EPS rises to NT$1.30 on growing low-orbit satellite share

Precision component maker Shin Jin (1582) saw its earnings per share (EPS) rise to NT$1.30 in the second quarter, a notable increase from NT$0.84 in the same period last year. This growth was bolstered by a continuously increasing revenue share from low-orbit satellite (LEO) products. However, the company's consolidated revenue for the quarter dipped 6.9% year-on-year to NT$2.006 billion. This decline is attributed to a conservative overall industry demand and adjustments in customer order timelines. Factors such as reduced revenue scale, shifts in product mix, and rising raw material costs also impacted the gross profit margin, which stood at 14.2%, resulting in an operating loss of NT$37 million. Despite these operational challenges, Shin Jin recorded a net profit attributable to the parent company of NT$187 million, supported by non-operating income. Looking ahead, the global satellite industry is poised for substantial growth, with market research firms forecasting its value to reach US$447 billion by 2027, experiencing a 14% annual increase. The number of low-orbit satellite launches and active satellites is expected to maintain double-digit growth, simultaneously fueling strong demand for user-terminal equipment. Shin Jin's LEO product revenue and proportion have steadily increased in the first half of the year, with positive development in this segment. The company is actively pursuing projects for both launch and user-end equipment, anticipating their gradual integration into mass production, which is expected to drive its medium-to-long-term operational growth.

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Shin Jin Chairman Chiu-Lang Chen led the company to successfully enter the new field of low-orbit satellites.