Mezoo Expected to Swing to an Operating Profit This Year... Multi-Biosignal Patch Draws Attention

[Financial News] Hana Securities said on the 28th that Mezoo is likely to turn an operating profit this year, based on its remote patient monitoring device that measures multiple vital signs with a single small patch. The brokerage did not provide an investment opinion.
Park Chan-sol, a researcher at Hana Securities, projected Mezoo's revenue this year at KRW 19 billion, up 157.5% from the previous year, and its operating profit at KRW 4 billion. The expected operating margin is approximately 21%. The analyst said expanded sales through collaboration with Dong-A ST would support earnings growth.
Founded in 2007 and listed on KOSDAQ in March this year, Mezoo is a medical device company specializing in mobile remote patient monitoring. It is focusing on integrating patients' vital signs, which were previously measured using multiple devices, into a single small patch device.
Park said, "The 70-mm-long, 15-mm-thick, 34-gram 'M350' can currently measure electrocardiograms, heart rate, body temperature and oxygen saturation, and the company aims to launch and sell a product capable of measuring at least five vital signs by adding a blood pressure function by the end of this year." He added, "Validation and sales are taking place simultaneously at hospitals in South Korea."
Approval from the Ministry of Food and Drug Safety for oxygen saturation measurement has been secured. Park explained, "Adding a blood pressure measurement function would enhance the product's competitiveness," adding, "Blood pressure is a key vital sign checked several times a day even in general wards and continuously or regularly in intensive care units."
Hospitals' transition to smart wards was also cited as a growth driver. As the importance of securing and retaining medical staff grows, demand is increasing for the use of artificial intelligence (AI) to reduce workloads and remotely monitor patients' conditions. Mezoo has supplied hospitals with AI algorithm-based biosignal monitoring solutions and the 'HiCardi' series.
The South Korean market was considered to be in its early stages. Hana Securities estimated that fewer than 50,000 of the approximately 600,000 hospital beds in South Korea have wearable devices. Although several companies are competing in the market, the market itself could expand as competition unfolds because there is substantial room for broader adoption.
Park assessed, "Considering the existing growth trend and the use of new sales channels, next year's revenue could exceed the approximately KRW 28.5 billion 2027 guidance the company presented when it went public," adding, "Given the possibility of overseas expansion for the M350 in 2028 and 2029, a market capitalization of approximately KRW 136 billion, based on the report, is an attractive level."

[email protected] Choi Do-seon Reporter