Hyungkuk F&B: Weak 1Q Results (Sales -14%, OP -54%)… Shareholder Return via Treasury Disposal

Weak 1Q (Jan-Mar 2026): Consolidated sales 20.8B won (-14.3% YoY), operating profit 1.0B won (-54%), net profit 0.15B won (-89%)
On Feb 25, 2026, disposed of all 1.44M treasury shares (approx. 2.6B won) via block deal, reducing capital adjustment deficit
Total borrowings (incl. CB) 131B won; interest expense 1.07B won (+65% YoY), increasing financial burden
Transferred 17.1B won from construction in progress to investment property (Samseong-dong building), expanding assets
Credit rating maintained at BBB+ (NICE D&B)
Seasonal low quarter; expected improvement in summer; subsidiary Taylor Farms (prune) strong (sales 7.2B, net profit 0.63B)