HB Solution Q1 2026: Operating loss turns to net profit on financial gains

Consolidated revenue in Q1 2026: KRW 14.7B (down 27% YoY from KRW 20.1B), operating loss of KRW 1.1B (vs operating profit of KRW 2.4B in prior year)
Financial income of KRW 32.2B (including fair value gains of KRW 20.9B) led to net profit of KRW 13.4B
Cash dividend declared: KRW 30 per share (total KRW 2.2B, payout ratio 16.3%)
Credit rating maintained at BBB (eCredible), debt ratio low at 27.26%
Cash and cash equivalents: KRW 81.8B, strong liquidity
Inventories: KRW 5.5B, with allowance for inventory valuation of KRW 20.0B
Allowance for doubtful accounts on trade receivables and contract assets: KRW 7.0B (trade receivables KRW 2.7B, contract assets KRW 4.3B)
Convertible bonds: KRW 12.0B (maturity Oct 2026), derivative liabilities: KRW 0.5B
R&D expenses: KRW 0.9B (6.35% of revenue)
Completion of relocation to new Sejong headquarters, ongoing facility investments
Major customers: China Company C (KRW 7.3B), Company D (KRW 2.4B); declined from Samsung Display (KRW 18.1B) in prior year