Hyundai Industrial Q1 2026: Profitability Improves, US Subsidiary Losses Persist

Consolidated Q1 2026 revenue of KRW 91.2 billion, operating profit of KRW 5.5 billion (operating margin 6.05%), significantly improved from full-year 2025 margin of 3.35%.
Separate financial statements show operating profit of KRW 5.7 billion and net income of KRW 8.7 billion, maintaining stable profitability.
Dividend policy: target payout of at least 20% of consolidated net income for 2023-2025, demonstrating commitment to shareholder returns.
US subsidiary HDI AMERICA INC: net loss of KRW 0.65 billion in Q1, negative equity of KRW 15.4 billion. Ongoing risk factor.
China subsidiary Beijing Hyundai: net profit of KRW 0.05 billion in Q1, equity of KRW 8.3 billion, stable.
Credit rating maintained at A- (NICE), debt-to-equity ratio of approximately 72%, sound financial structure.
In November 2025, issued exchangeable bonds with 395,322 treasury shares as underlying. Proceeds used for US subsidiary investment.
Major shareholder Kang Hyun-seok and related parties hold 50.68% stake.