[Edaily, Reporter Kim Hyung-il ] ShinyoungSecurities forecasts that TAIHAN Fiberoptics Co.,LTD(010170)will see a full-scale improvement in earnings in the second half of the year, driven by rising fiber-optic prices and an expansion in the supply of high-density cables for data centers.

On the 28th, Jeong Won-seok, an analyst at ShinyoungSecurities, stated, “TAIHAN Fiberoptics Co.,LTD recorded a consolidated operating profit of approximately 1 billion won in the second quarter of this year, successfully returning to profitability for the first time in 13 quarters,” adding, “International optical fiber prices, which have the greatest impact on earnings, are continuing their steep upward trend.” He added, “The international price of G.652.D, a general-purpose optical fiber product, rose from $2 to $4 per kilometer last year to over $10 in the second quarter of this year, and is estimated to have reached $12 in July—a level similar to the boom years of 2017–2018.”

The company continued, “Since TAIHAN Fiberoptics Co.,LTD’s break-even point for optical fiber is estimated to be around $6, the prospects for improved earnings have significantly increased,” and predicted, “Because there is a lag of about three months before fluctuations in optical fiber prices are reflected in actual earnings, the positive impact of the first-half price increases will begin to be fully reflected starting in the second half of the year.”

He also noted, “The data center optical cables TAIHAN Fiberoptics Co.,LTD has secured through orders are expected to be supplied to customers starting in the third quarter and will be reflected in earnings,” adding, “The 864-core cable has six times the fiber density of the company’s existing flagship product, the 144-core cable, and can meet the demand for high-density, high-capacity data transmission in data centers.”

Research Analyst Jeong noted, “The G.657A1 and G.657A2 optical fibers used in high-core-count cables are highly resistant to bending, making them approximately 40–50% more expensive than the existing general-purpose G.652.D fibers,” and “As we expand the supply of products for data centers, we expect an increase in the average selling price (ASP) and improved profitability; securing a reference project through this supply will also heighten the likelihood of winning additional orders,” he assessed.

He also emphasized, “TAIHAN Fiberoptics Co.,LTD’s order backlog for the second quarter of this year stood at 126.9 billion won, up 52% from the previous quarter and 82% year-over-year,” adding, “In particular, driven by rising optical fiber prices and entry into the data center market, the order backlog in the telecommunications sector also increased by 58% compared to the previous quarter.”

Analyst Jeong stated, “While demand for optical cables is increasing due to expanded capital expenditures (CAPEX) in data centers, it takes global leading manufacturers approximately two years to expand production capacity, making it highly likely that the supply shortage will persist for the time being.” He added, “Consequently, as optical fiber prices remain high, TAIHAN Fiberoptics Co.,LTD’s orders for data center cables are also likely to continue expanding.”

Finally, he added, “TAIHAN Fiberoptics Co.,LTD is a company that produces optical cables for various applications—including telecommunications, power, and defense—as well as optical fiber, the raw material for these cables.” He continued, “As of 2025, the breakdown of revenue by product is 58% from telecommunications and 42% from power. The company is entering a phase of earnings recovery, driven by the recent expansion of its sales to the U.S. market and rising global optical fiber prices.”