Elentec Expands New Business to Boost Profits

Mar.28.2023
Elentec Expands New Business to Boost Profits
Korean phone accessory maker, ELENTEC, expects profit growth with new focus on e-cigarettes and home energy systems.

On March 27, according to South Korean media reports, the well-known cell phone accessories manufacturer ELENTEC is diversifying its income sources by adding new business ventures such as electronic cigarettes and home energy storage systems (ESS), alongside its established mobile communication business, to increase profits.


In the fourth quarter of last year, Elentec's sales revenue was 205.4 billion Korean won (approximately RMB 1.1 billion), a decrease of 7% year-on-year, and operating profit was 13.5 billion Korean won (approximately RMB 72 million), a decrease of 21% year-on-year. In 2022, the sales revenue and operating profit are expected to increase by 31% and 125% year-on-year respectively, reaching 997.9 billion Korean won (approximately RMB 5.3 billion) and 79.8 billion Korean won (approximately RMB 420 million).


According to Shinhan Investment & Securities researcher Shim Won-yong, Elentec's product sales show that phone cases account for 33%, electronic cigarettes account for 31%, and battery packs account for 17%.


This year marks a turning point as the full launch of e-cigarettes and household energy storage systems has led to an increase in sales percentage. It is expected that new businesses will become the main source of income next year and will result in revenue growth.


Shim Won-yong predicts that Elentec's electronic cigarette sales will decrease by 5% year-on-year to 289.4 billion Korean won (approximately 1.53 billion yuan) this year, and will increase by 10% to 319.3 billion Korean won (approximately 1.7 billion yuan) next year.


References:


IRANTECH to expand electronic cigarette and home-use ESS business" - Shinhan


This document has been generated through artificial intelligence translation and is provided solely for the purposes of industry discourse and learning. Please note that the intellectual property rights of the content belong to the original media source or author. Owing to certain limitations in the translation process, there may be discrepancies between the translated text and the original content. We recommend referring to the original source for complete accuracy. In case of any inaccuracies, we invite you to reach out to us with corrections. If you believe any content has infringed upon your rights, please contact us immediately for its removal.

U.S. State of Delaware Advances Tobacco Tax Hike Bill, New Rates Could Take Effect in September
U.S. State of Delaware Advances Tobacco Tax Hike Bill, New Rates Could Take Effect in September
Lawmakers in the U.S. state of Delaware have introduced a bill proposing a $1.50 increase in the tax on each pack of cigarettes and raising the tax rate on other tobacco products from 30% to 45%. The measure aims to boost state revenue and curb tobacco use, particularly among youth.
Jun.10 by 2FIRSTS.ai
Central Asia Anti-Vaping Campaign Gains Momentum
Central Asia Anti-Vaping Campaign Gains Momentum
Kazakhstan's 2024 e-cigarette ban spawned a black market. Despite fines up to 18.4 million tenge and imprisonment, illegal sales continue via encrypted apps. It hiked prices, pushed some to traditional cigs. Critics and supporters have opposing views, and other Central Asian nations face similar issues.
May.12
Goldman Sachs: Chinese Brands Geek Bar and Breeze Surge in U.S. Market as Juul, Vuse Lose Share
Goldman Sachs: Chinese Brands Geek Bar and Breeze Surge in U.S. Market as Juul, Vuse Lose Share
Chinese brands Geek Bar, Raz, and Breeze are quickly rising in the U.S. e-cigarette market, now holding a combined 25.1% share, Goldman Sachs reports. While Vuse and Juul lost ground, Geek Bar Pulse jumped 729%, Raz 233%, and Breeze 105% over the past year.
May.22 by 2FIRSTS.ai
Supreme Court affirms FDA's authority to review flavored e-cigarettes
Supreme Court affirms FDA's authority to review flavored e-cigarettes
U.S. Supreme Court sends SWT case back for retrial, affirms FDA's authority over flavored e-cigarette regulation in favor of FDA.
Apr.22 by 2FIRSTS.han
German Court: ELFPRO Infringed ELFBAR Trademark; Offender to Cease Operations
German Court: ELFPRO Infringed ELFBAR Trademark; Offender to Cease Operations
The Düsseldorf Regional Court ruled that the use of "ELFPRO" infringed on ELFBAR's trademark. The court supported iMiracle’s claims during the interim injunction phase. The infringing party plans to cease operations under legal pressure.
Apr.29 by 2FIRSTS.ai
Polish Customs Seize 2,000 Illegal E-Cigarettes Worth Around $50,000
Polish Customs Seize 2,000 Illegal E-Cigarettes Worth Around $50,000
Polish customs in Białystok have seized 2,000 disposable e-cigarettes lacking excise tax labels, with an estimated value of 200,000 złoty (around \$50,000). The products were found to exceed legal e-liquid volume limits and lacked ingredient information and health warning labels.
May.13 by 2FIRSTS.ai