Sunic Invests Nearly RMB 100 Million in Expanding Evaporation Equipment Production as 8th-Generation OLED Project Accelerates

According to South Korean media reports on September 30, Sunic System will significantly increase its production capacity for evaporation equipment to cater to the expansion of the 8.6th-generation OLED market—a segment viewed as the next-generation organic light-emitting diode (OLED) technology.

Industry sources indicate that at its board meeting on the 24th, Sunic System decided to build a new factory in the general industrial complex of Pyeongtaek Naeseong, South Korea. The investment amounts to 19 billion won (approximately RMB 96.52 million), accounting for about 41% of the company’s equity capital. The investment period will start on the 25th of next month and is expected to end on June 24, 2026, with actual construction slated to begin in the first half of next year. The new factory will manufacture a variety of next-generation equipment, including 8.6th-generation OLED evaporation machines, OLEDoS (OLED on Silicon) devices, and perovskite-related equipment.

Industry insiders believe this investment is tied to the growing global demand for evaporation equipment. Samsung Display took the lead in announcing investments in 8th-generation OLEDs for IT applications; shortly after, major panel manufacturers such as BOE, Visionox, and TCL Huaxing also unveiled their investment plans for 8th-generation OLEDs. As such, Sunic System is seen as making advance arrangements to secure production capacity for evaporation equipment. Additionally, considering BOE’s second-phase investment in 8.6th-generation OLEDs and the potential adoption of Fine Metal Mask (FMM) technology by Visionox, Sunic System’s decision also reflects its confidence in future orders.

Kang Min-gyu, a researcher at IBK Investment & Securities, stated in a recent note: “Through this investment, Sunic System will gain the capacity to produce 4 mass-produced evaporation machines annually. Mass-produced evaporation machines typically measure dozens of meters in size, so a dedicated factory is essential to ensure stable production.”

He further noted that the global expansion cycle of panel manufacturers’ 8th-generation production lines is accelerating. “Samsung Display was the first to decide on expanding a 32K-scale IT OLED production line, followed by BOE and Visionox, which opted for 32K-scale expansions, and TCL Huaxing, which decided on a 22.5K-scale expansion.”

The securities market’s expectations for Sunic System’s performance improvement are also on the rise. According to data from financial information firm FnGuide, Sunic System’s operating revenue in the third quarter of this year is expected to reach 87.9 billion won, a year-on-year increase of 584%, while its operating profit is projected to turn positive at 13.3 billion won. For the full year, revenue is expected to hit 351.4 billion won and operating profit 57.6 billion won, representing year-on-year growth of 211.2% and 628.9% respectively. Net profit is also forecast to reach 60.3 billion won, shifting from a loss last year to a profit.

Furthermore, an industry insider commented: “While the core of this new factory investment is 8.6th-generation OLED evaporation machines, the broader goal is to expand overall production capacity, not just limit it to specific equipment. Since the factory will cover 6th-generation OLEDs, OLEDoS, and perovskite equipment, it can be seen as preparation for potential future order growth. This decision demonstrates the company’s confidence in future orders, and clients also want to ensure there is sufficient production capacity to fulfill orders—so expanding capacity will have a positive impact.”

Post time: Oct-09-2025