Vatech Reports its Strongest Quarterly Results Ever
- 84.97bn KRW revenue and 19.97bn KRW operating profits, its highest ever quarterly results, with a profit margin of 23.5%
- Uniform growth in all continents - Europe, North America, Asia, etc., with exports making up 88.9% of total revenue.
- Expects to increase the number of countries where Vatech claims the highest market share this 2H, fuelled by the launch of new products and businesses
Vatech(043150, CEO: Hyun Jung-hoon, www.vatech.co.kr), a global leader in the dental imaging market, has recorded its highest ever quarterly revenue and operating profits. Through a preliminary report, Vatech reported its results for Q2 2021. Sales increased by 80.7% to 84.97bn KRW compared to the previous year, and operating profits increased by 908.2% to 19.97bn KRW. Quarterly sales surpassed 80bn KRW for the first time ever, and profit margins were reported at 23.5%.
These figures are even higher than pre-COVID-19 years. Compared to 2Q 2019, sales and operating profits increased by 17.0% and 54.6% respectively. As a result, Vatech’s results for the first half of 2021 were its highest ever, with sales of 159.96bn KRW and operating profits of 33bn KRW. Operating profits for the first half of 2021 has already surpassed the operating profits for 2020, which was 31.6bn KRW.
With increasing COVID-19 vaccination rates, the global dental market seems to be on the road to recovery. Vatech credits its increased global sales to carrying out customer service and sales efforts even amidst the COVID-19 pandemic, increasing customer trust in its quality and services.
Exports, amounting to 75.53bn KRW, for this quarter were its highest ever, making up 88.9% of total revenue. Sales increased in all continents, including North America (140% over previous year), Europe (156%), Asia (38.1%), etc. Notable is the fact that sales increased drastically in premium markets such as North America and Europe, contributing to a large improvement to its operating profits. Vatech also expanded its market share in developing markets such as Russia(129.9%) and India(149.8%).
2D panoramic and 3D CT imaging devices recorded growth of two figures while sales for intraoral sensors, popular in developing countries, increased by 395.7%. Carbon nanotube (CNT) intraoral x-ray devices (IOX) also reported high growth (42.1%) thanks to its popularity in the international market, resulting in marked growth all across the product portfolio.
Vatech aims to increase the number of countries where it holds the number 1 position in market share in the second half of 2021. In its largest market, North America, Vatech will be launching “Green X 18”, a premium dental imaging equipment for endodontic treatment. In China, it will be strengthening its premium product lineup, while setting up manufacturing facilities to respond to increasing demand. For the intraoral sensor and x-ray market, Vatech plans to strengthen its distribution channels and extend product warranty periods.