[Edaily Reporter Hyera Lee ] On the 24th, KIWOOM Securities stated that URACLE. Co. Ltd is undergoing a structural overhaul by expanding its artificial intelligence (AI) business and projected that earnings improvement will gain momentum starting in the second half of the year.

Kim Hak-jun, an analyst at KIWOOM Securities, stated in a report released that day, “The company is rapidly transitioning into an AI firm, supported by stable revenue from its application development platform ‘Morpheus.’” He added, “Orders for ‘Athena,’ a large language model (LLM) optimization platform, are continuing to come in, and revenue growth centered on ‘Orda’ and ‘Code Assistant’ is expected.”
URACLE. Co. Ltd is rapidly increasing the proportion of its AI business based on its existing mobile platform business. In the first quarter of this year, the company recorded revenue of 8.7 billion won and an operating loss of 800 million won. However, the share of AI revenue in the first quarter was 9.5%, a significant increase compared to the same period last year (3.6%).
Analyst Kim predicted, “While AI revenue is currently driven by Athena, interest in the AI infrastructure management solution ‘Orda’ and the enterprise-specific code automation solution ‘Code Assistant’ is growing, so the share of AI revenue is expected to increase sharply in the second half of the year.”
In particular, he projected that demand for Orda will expand as companies’ AI transformation (AX) gains momentum. Orda is a solution that provides integrated management of the infrastructure for a company’s AI tools, offering features such as graphics processing unit (GPU) resource allocation and integrated management of Agent AI agents.
Analyst Kim noted, “With the recent expansion in the adoption of high-end GPUs, there is a growing need for resource allocation and integrated agent management to maximize GPU utilization.” He added, “We also understand that requests for proposals for ‘CodeAssistant’ are increasing as interest in this enterprise-tailored code automation solution grows.”
KIWOOM Securities forecasts that URACLE. Co. Ltd’s consolidated revenue for this year will reach 46.6 billion won, a 6.5% increase year-over-year. However, it expects the company to remain in the red with an operating loss of 3.5 billion won.
Analyst Kim said, “While the trend of improving performance will continue starting in the second quarter, the increase in AI revenue will not yet fully offset the rise in costs,” adding, “We expect the company to reach the quarterly break-even point (BEP) in the fourth quarter.” He continued, “A full-scale turnaround is expected next year, and the key indicator of the success of the company’s transition to an AI firm will be whether AI revenue continues to grow.”