[Alpha Biz= Reporter Kim Sangjin] FADU, a system semiconductor company, has begun to show signs of recovery in its performance. On the 27th, FADU announced that it had secured a contract worth 192 billion won from an overseas SSD specialist company for enterprise-grade SSD (Solid State Drive).
Delivery will commence sequentially from the second quarter and is expected to be completed by the end of the year. On the same day, FADU disclosed its first-quarter sales of 23.32 billion won based on the Korean International Financial Reporting Standards (K-IFRS).
With first-quarter sales and the recent order contract, FADU has already exceeded 95% of its previous year's sales performance with just the order backlog expected to be converted into revenue within the year. Despite concerns about weak sales at the time of its listing under the technology special listing last year, FADU embarked on an expansion of its order intake.
As the global enterprise SSD market moves beyond its historic low point in 2023 and enters a gradual recovery phase, demand for FADU's SSD controllers and SSDs is expected to resume gradually.
Furthermore, with the recent growth of the global data center market driven by artificial intelligence (AI), along with the surge in demand for GPUs and HBM (High Bandwidth Memory), expectations are rising for increased demand for SSDs to store generated data.
In line with this, FADU, which supplies low-power, high-efficiency solutions optimized for AI performance, is also anticipating the possibility of a significant recovery in performance in the second half of the year.
AlphaBIZ Kim SangJin(letyou@alphabiz.co.kr)
