Kwangmu Q1 net profit turns to 18.8bn won black, cancels 2.16mn treasury shares
Treasury share cancellation: On March 10, 2026, the company canceled 2,160,732 treasury shares (approx. 5bn won) acquired in open market, as part of shareholder return policy. Post-cancellation outstanding shares: 59,700,351.
Consolidated net profit: Q1 2026 consolidated net profit of 18.8bn won (vs. loss of 40.6bn won in Q1 2025). Operating loss improved to 0.89bn won (vs. 1.11bn won loss). Profit turnaround driven by non-operating gains such as fair value gains on financial assets (36.2bn won) and derivative gains (12.3bn won).
Financial position: Total assets 248.6bn won, liabilities 18.6bn won, equity 230.0bn won. Cash & equivalents 22.9bn won. Debt ratio 8.1%.
Financial investments: Fair value through profit or loss financial assets of 194.9bn won (including Samsung, Hanwha Solutions, etc.). TRS contracts with Meritz Securities: derivative assets 10.3bn won, derivative liabilities 2.2bn won.
Allowance for doubtful accounts: Trade receivables allowance rate 13.55% (year-end 2025: 11.77%), new allowance of 4.08bn won for other receivables.
Litigation: Defendant in case (Korea Technology Finance Corp, 0.095bn won, preparing for appeal); Plaintiff in case (vs. I-Toxi, 3.0bn won, preparing for trial).
Dividends: No dividends for the past 5 years. Possible per articles.
Management dispute: At EGM Nov 2025, minority shareholder proposals (treasury share purchase, etc.) were voted down.