Areit Files Quarterly Report: Going Concern Uncertainty from Continued Losses and Delisting Risk

Net loss of KRW 849 million in Q1 2026, widening from a loss of KRW 345 million in the same period last year.
Net debt-to-equity ratio 178.63%, up from 171.02%, indicating increased leverage.
Filed for suspension of delisting decision by Korea Exchange; effect suspended pending final court ruling.
Material uncertainty regarding going concern; depends on successful implementation of business improvement and funding plans.
No dividend declared due to deficit in retained earnings (accumulated deficit of KRW 3.79 billion).
Short-term borrowings of KRW 31.56 billion all due within one year, posing high liquidity risk.
Daegu senior residence development project delayed; still in pre-construction stage.
Investment property fair value (KRW 40.8 billion) significantly exceeds carrying value (KRW 13.6 billion), but monetization timing uncertain.