DB HiTek(000990) is showing early gains as it posted strong second-quarter results and improved investor sentiment from a surge in U.S. semiconductor stocks added support.
At 9:27 a.m. on the 5th, DB HiTek was trading at 93,100 won on the Korea Exchange, up 8,100 won (9.53%) from the previous session.
DB HiTek disclosed that on a consolidation basis for the second quarter of this year, operating profit was 105.2 billion won, up 42.5% from a year earlier. Revenue rose 22.8% to 414.5 billion won, and the operating margin was 25.4%.
Compared with the previous quarter, revenue increased 15.3% and operating profit rose 57.3%. The share of high value-added products expanded as demand grew for automotive and industrial power semiconductors and as volumes increased in new growth areas such as artificial intelligence (AI) data centers and robots.
Overnight, a broad surge in U.S. semiconductor stocks also appeared to bolster the share price. The Philadelphia Semiconductor Index closed at 12,179.26, up 6.55% from the previous session. Intel jumped 10.84%, while Micron, AMD, and Broadcom each rose around 7%.
DB HiTek primarily produces power semiconductors based on high-voltage bipolar-CMOS-DMOS (BCD) technology. Recently, it has been expanding its process scope to next-generation compound semiconductors such as silicon carbide (SiC) and gallium nitride (GaN).