TEMC Q1 2026 Operating Profit Plunges 98%, Credit Rating Downgraded

Consolidated Q1 2026 operating profit of 141 million KRW (98% drop vs. 6,746 million KRW in Q1 2025)
Credit rating downgraded from BBB- to BB+ (NICE D&B, Feb 11, 2026)
Semiconductor specialty gas sales 33,025 million KRW (66.7% of total); 2nd battery equipment sales plummeted to 1,077 million KRW
Top customer (Company A) accounts for 72% of sales, concentration risk
Ongoing lawsuit with Korean Matheson Special Gas for trade secret infringement (claim amount 15.18 billion KRW)
Convertible bond balance 10.5 billion KRW (maturity 2028, conversion price 19,153 KRW)
Inventory 72.7 billion KRW (26% increase from year-end 2025)
Cash dividend for FY2025: 150 KRW per share
Separate debt-to-total capital ratio 11.46% (10.39% at year-end 2025)
R&D expense 104 million KRW (0.41% of sales)