SEWON Q1 2026: Operating Loss and Management Stock Designation, Credit Rating Upgrade and Dividend Increase
Q1 2026 results: Net sales 54.3 billion KRW (+19.3% vs previous period), operating loss 1.96 billion KRW, net income 1.68 billion KRW (EPS 201 won, down from prior year same period)
Credit rating: Upgraded to BBB0 by NICE (from BB+ in Apr 2025, maintained BBB0 in Apr 2026) - Positive
Shareholder return: Decided cash dividend of 200 won per share for FY2025 (payout ratio 40%, up from 150 won in prior year) - Positive
Designated as management stock: On Apr 15, 2026 due to insufficient share distribution; measures being reviewed (e.g., expanding minority shareholder stake) - Negative
Debt guarantees: For related parties Sewon America ($10,000 thousand), JM Auto 14.5 billion KRW, total 15.134 billion KRW
Debt ratio: 27.8% (up from 22.4% at year-end), equity 396.09 billion KRW maintained
Customer concentration: Hyundai Motor sales share 63.2% (down from 83.6% in prior period) - still high
R&D expenses: 2.85 billion KRW (significant increase from 0.84 billion in Q1 2025)
Auditor change: Changed from Hanmi Accounting Corp. to Sunjin Accounting Corp.