KOAS Reports Q1 2026 Operating Profit Turnaround and Improved Debt Ratio, but Legal and Regulatory Risks Remain

Q1 2026 separate operating profit of KRW 1.99 billion, turning to black from operating loss in the same period last year.
Separate net profit of KRW 0.19 billion for the quarter, compared to a net loss of KRW 0.66 billion in Q1 2025.
Debt ratio improved to 122.9% from 131.2% at year-end 2025; net debt-to-equity ratio at 58.0% (vs 61.5%).
Five pending lawsuits with total claim amount of approximately KRW 12.9 billion, including severance and share issuance invalidation.
Two sanctions from Korea Exchange for delayed/false disclosures, with total fines of KRW 0.632 billion.
Derivative valuation loss of KRW 1.57 billion and FVTPL financial asset valuation loss of KRW 0.22 billion.
Outstanding convertible bonds and bonds with warrants of KRW 2.38 billion, potential equity dilution.