EUCAST Co., Ltd. seeks KOSDAQ listing, accelerates commercialization of defense 5G technology; targets return to profitability in 2027

[Financial News] EUCAST Co., Ltd., which has secured technologies for defense and disaster communications networks, is stepping up efforts to target the industrial 5G private network market. It plans to extend its military tactical communications technology into the smart shipyard and physical artificial intelligence (AI) markets and increase sales of high-value-added equipment, aiming to return to profitability in 2027.
EUCAST held an initial public offering (IPO) press conference in Yeouido, Seoul, on the 12th and announced its growth strategy following its KOSDAQ listing.
Founded in 2011, EUCAST is a specialist in independent mobile communications networks that do not rely on external commercial networks. It has developed full-stack technology in-house, from 5G base stations to core networks and operating software. Its vehicle-mounted, backpack-mounted and drone-mounted mobile base stations enable it to build independent communications networks even in military operation zones and disaster areas. The company has also supplied equipment for the National Disaster Safety Communications Network, maritime networks and Korea Electric Power Corporation’s underground utility tunnel communications networks, and has participated in developing military tactical communications system technology with Hanwha Systems. Recently, EUCAST has focused on commercializing defense technology at industrial sites. It has participated in building a 5G private network at HJ Shipbuilding & Construction’s shipyard and in an industrial complex AX demonstration project. This year, it also signed a contract with J Ocean Heavy Industries to build a smart shipyard in Gunsan. The company plans to target the physical AI infrastructure market, which connects industrial robots and unmanned equipment.
The key challenge is improving profitability. Last year, EUCAST recorded consolidated revenue of 5.934 billion won and an operating loss of 1.826 billion won. In the first half of this year, it also posted revenue of 2.243 billion won and an operating loss of 1.678 billion won. The company plans to move away from a revenue structure centered on development services and increase the share of sales from mobile base stations and large-scale communications network construction projects. Its strategy is to establish a stable revenue base by linking mass production of equipment with maintenance services.
Overseas, the company plans to leverage its U.S. subsidiary and local networks to target public-sector and industrial markets in North America, while pursuing defense demand in Europe and Southeast Asia, focusing on mobile base stations.
EUCAST CEO Kim Jae-hyung emphasized, “We are expanding our business into industrial sites and overseas markets, drawing on the technological capabilities and business experience we have built up in defense and public infrastructure.” He added, “We will lay the foundation for sustained growth by supplying high-value-added products and expanding our global business.”
Meanwhile, EUCAST will offer 800,000 new shares. The indicative offering price is 19,000–23,000 won per share, putting the total offering size at 15.2 billion–18.4 billion won. Institutional bookbuilding will run through the 13th, and retail subscriptions will take place on the 18th and 19th. Eugene Investment & Securities is the lead underwriter.
[email protected] Kim Gyeong-a Reporter