Topco Media: 1Q26 Consolidated Revenue KRW 11.9B (+112%), Loss Narrowed, Financial Structure Improved

Consolidated revenue KRW 11.9B, up 112% YoY (KRW 5.59B in Q1 2025)
Consolidated operating loss KRW 0.08B (vs. loss of KRW 2.29B in prior year) → significant loss reduction
Consolidated net loss KRW 0.13B (vs. loss of KRW 1.82B in prior year) → loss continues but narrowed
Debt-to-equity ratio 80.12% (FY2025 year-end: 86.08%) → slight improvement
No capital impairment (equity KRW 32.8B, debt KRW 26.3B)
R&D expenses KRW 1.2B (9.9% of revenue), continued investment in IP and AI content
Largest shareholder Enkey Holdings holds 68.7%, potential dilution from exchangeable bonds
Three pending lawsuits (total approx. KRW 0.09B) → not material
No dividend, holds 143,470 treasury shares
Synergy from merger with Toptoon expected to materialize