SK IE Technology Co Ltd
KRX:361610
SK IE Technology Co Ltd
In the bustling landscape of high-tech materials, SK IE Technology Co Ltd (SKIET), a powerhouse originating from South Korea, has carved a niche for itself by focusing on advanced material manufacturing that caters to the burgeoning electronic vehicle (EV) and mobile industries. As a spinoff from SK Innovation, SKIET strategically positions itself at the confluence of innovation and sustainability, emphasizing the production of cutting-edge lithium-ion battery separators. These separators are critical components in enhancing the safety and performance of rechargeable batteries, a cornerstone technology within the EV and consumer electronics sectors. Through meticulous manufacturing processes and advanced technology, SKIET ensures that its products feature high heat resistance and efficient ion conduction, both essential for the next generation of energy solutions.
Earnings for SK IE Technology primarily emanate from the high demand for its separators, driven by the global shift toward electrification and digitalization. Leveraging its proprietary technology, the company churns out premium-grade, thin-film separators that are in high demand among battery manufacturers eager to meet the needs of electric vehicle makers and tech companies alike. As a result, SKIET garners substantial contracts with leading battery producers around the world, securing a steady revenue stream. The firm's continued commitment to research and development, alongside strategic partnerships and an expanding global footprint, further bolsters its financial performance by opening doors to new markets and innovative applications, positioning SKIET as a pivotal player in a rapidly transforming industry landscape.
In the bustling landscape of high-tech materials, SK IE Technology Co Ltd (SKIET), a powerhouse originating from South Korea, has carved a niche for itself by focusing on advanced material manufacturing that caters to the burgeoning electronic vehicle (EV) and mobile industries. As a spinoff from SK Innovation, SKIET strategically positions itself at the confluence of innovation and sustainability, emphasizing the production of cutting-edge lithium-ion battery separators. These separators are critical components in enhancing the safety and performance of rechargeable batteries, a cornerstone technology within the EV and consumer electronics sectors. Through meticulous manufacturing processes and advanced technology, SKIET ensures that its products feature high heat resistance and efficient ion conduction, both essential for the next generation of energy solutions.
Earnings for SK IE Technology primarily emanate from the high demand for its separators, driven by the global shift toward electrification and digitalization. Leveraging its proprietary technology, the company churns out premium-grade, thin-film separators that are in high demand among battery manufacturers eager to meet the needs of electric vehicle makers and tech companies alike. As a result, SKIET garners substantial contracts with leading battery producers around the world, securing a steady revenue stream. The firm's continued commitment to research and development, alongside strategic partnerships and an expanding global footprint, further bolsters its financial performance by opening doors to new markets and innovative applications, positioning SKIET as a pivotal player in a rapidly transforming industry landscape.
Revenue Growth: Q4 revenue reached KRW 59.3 billion, up KRW 8.5 billion quarter-over-quarter, mainly from increased sales to key customers.
Large Operating Loss: Operating loss deepened to KRW 91.9 billion in Q4, worsening by KRW 18.9 billion from the previous quarter, largely due to inventory write-downs.
CapEx Cut: 2024 CapEx was reduced to KRW 241.1 billion, less than half of last year's, with most spending focused on Poland expansions; 2025 CapEx is guided at KRW 110 billion.
Significant New Deal: SKIET secured a five-year, KRW 290 billion base film supply deal for prism-type LFP batteries, marking a major entry into a market previously dominated by Chinese suppliers.
Utilization & Volume Outlook: Q4 2024 utilization rates were low, in the early 20% range, but sales volume is expected to increase 70–100% in 2025 due to new orders.
Inventory Reduction: Inventory levels dropped by 24% since Q2, with further reductions expected to reach a safe three-month sales level in 2025.
AI-Driven Cost Savings: The company is rolling out AI in quality control, R&D, and manufacturing to reduce costs and improve yields, with a targeted 5% yield improvement and up to 50% faster product development.
Profitability Timeline: Gradual profitability improvement is expected, but a full turnaround to profit is likely only after 2026.
