Cybersecurity corporation Genians reported on the 1st that its consolidated revenue for the second quarter decreased by 3.9% compared to the same period last year, recording 11.426 billion won. Cumulative revenue in the first half surpassed 20 billion won for the first time since its establishment in 2005.
Genians' operating profit for the second quarter was 1.057 billion won, a decrease of 43.4% from a year ago. A Genians representative noted that the reason for the poor second-quarter performance was due to the impact of expanding research and development for securing new growth drivers, such as zero trust, and the expenses associated with securing excellent talent.
Looking only at the first half of the year, revenue recorded 2.08 billion won, an increase of 10.1% compared to the same period last year. It is the first time since its establishment in 2005 that first-half revenue has exceeded 20 billion won.
The increased demand for security, particularly in the private sector, drove revenue growth. Notably, the private adoption of Network Access Control (NAC) solutions has increased, and demand in the EndPoint Detection and Response (EDR) field has also expanded, particularly among large corporations, having a positive impact on performance.
However, operating profit for the first half was 1.1 billion won, and net profit for the period was 1.8 billion won, both down 22.6% and 27.7%, respectively. Company officials explained that external factors such as global economic uncertainty and cuts to information security budgets in the institutional sector have pulled down operating profit.
Genians expects performance improvement in the second half of the year, given the series of large hacking incidents at home and abroad in the first half. A Genians official said, "The need for practical security investment is rapidly spreading not only in the private sector but also in public institutions," adding that market interest in Genians' Endpoint Detection and Response (EDR) solution is rising, and with the restructuring of security budgets in the second half, it is expected to lead to actual opportunities for market expansion.
Lee Dong-beom, the representative of Genians, said, "In the second half of the year, we will create practical results in line with the government's supplementary budget formulation and the strengthening of cybersecurity efforts."