[Edaily Reporter Shin Ha-yeon ] On the 23rd, NH INVESTMENT & SECURITIES projected that i3system, Ind.(214430)will see earnings growth accelerate in earnest starting in the second half of the year, driven by the launch of its new plant in Dun-gok and the expansion of applications for uncooled infrared sensors. In particular, the firm forecast a “quantum leap” in revenue, approaching 200 billion won in 2027, when the full impact of the new plant’s expansion is reflected. No investment rating or target price was provided.

Baek Jun-ki, an analyst at NH INVESTMENT & SECURITIES, stated, “With earnings expected to normalize starting in the second quarter, the launch of the new Dungok plant and the expansion of applications for uncooled infrared sensors (drones, GOP) will serve as growth drivers,” adding, “We expect revenue to increase to around 200 billion won in 2027, when the full impact of the new plant expansion is reflected.”

Analyst Baek noted, “Second-quarter revenue is projected to reach 30.9 billion won, and operating profit 4.1 billion won, representing year-over-year increases of 22.0% and 55.2%, respectively,” adding, “A recovery is expected compared to the first quarter, which was sluggish due to timing differences between revenue recognition and cost incurrence.”

He also viewed positively the expansion of application areas from the existing military platform focus to drones and GOP (General Outpost) surveillance systems. Researcher Baek explained, “In addition to existing tanks, armored vehicles, and guided weapons, the company is expected to actively pursue the drone business based on the expansion of the new plant in Dun-gok,” adding, “We understand the company is currently in contact with European drone clients.” He continued, “For military drones, day-and-night surveillance and target identification capabilities are critical, so uncooled infrared sensors are widely used.”

He also highlighted the modernization of the GOP surveillance system as a new growth driver. Researcher Baek stated, “Since the GOP is an area where surveillance gaps must be minimized even at night and in inclement weather, there is a significant need for infrared sensors,” adding, “The GOP project is expected to contribute to long-term revenue in terms of replacements, maintenance, and follow-on orders.”

He projected that the growth trend in earnings would become even steeper next year. Researcher Baek analyzed, “In 2026, revenue is projected to reach 145.5 billion won and operating profit 20.1 billion won, representing year-over-year increases of 17.1% and 21.9%, respectively,” adding, “Since the yield improvement for uncooled infrared sensors at the new Dun-gok plant is better than expected, the revenue estimate for the new plant—currently projected at 50 billion won—needs to be revised upward.”

He continued, “Revenue growth from the uncooled high-performance line is expected not only from the next-generation infantry modernization program but also from diversified demand, such as drones and GOP surveillance,” adding, “In 2027, when the new Dun-gok plant is fully operational, we anticipate a quantum leap in revenue to 198.9 billion won, a 36.7% increase year-over-year.”