2026 Q1 Operating Loss and Major Capital Increase Decision

2026 Q1 results: Revenue KRW 59.3B (down 2.2% YoY), operating loss KRW 1.4B (swing to loss), net loss KRW 2.0B.
Debt ratio surged: Net borrowings KRW 116.1B, debt-to-equity ratio 151.6% (131.9% at FY2025 end).
On Apr 22, 2026, board approved ~KRW 80B rights offering (shareholder allocation then public offering) and stock dividend (0.3 shares per 1 share). 5,767,800 new shares to be issued.
Customer concentration: Daedong Corp. 48.75% of sales, Hyundai Transys 24.4%; top two customers 73%.
R&D: New projects for EV components underway, R&D expense KRW 0.35B (0.6% of sales).
Inventory KRW 53.6B, tangible assets KRW 173.4B (incl. land revaluation surplus), construction in progress KRW 26.8B.
Holds derivative liability (conversion rights) KRW 6.6B and derivative asset (call option) KRW 1.2B.

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