DI Dongil: Q1 Operating Profit Turns Positive, Net Income Up, Dividend Slashed, Regulatory Penalty Lingers

Consolidated Q1 2026 operating profit turned positive to KRW 672M (vs. -1,545M for FY2025), net income KRW 2,796M (vs. -9,969M for FY2025)
Consolidated sales KRW 169.79B, EPS KRW 141 (vs. -469 for FY2025)
Dividend sharply cut: FY2025 cash dividend KRW 100/share, stock dividend KRW 25/share (60% decrease from KRW 250 cash in FY2024)
Fined KRW 4.246B by FSS for accounting violations, auditor designated for 3 years (2025-2027), criminal referral dismissed
KRX imposed trading halt and delisting review due to accounting issues
Merger with subsidiary Dongil Aluminium completed (Aug 2025), expected synergies
Aluminum segment: Growth driven by ESS market, investment in carbon coating for LFP batteries, new Cheongju plant expanding rolling mills 6,7,8
Textile segment: Slight sales increase and operating profit turnaround due to higher selling prices
Debt ratio: Consolidated 109.8% (liabilities KRW 573.9B, equity KRW 522.5B)
Contingent liabilities: Guarantees for overseas subsidiaries, ongoing litigation (minority shareholder actions, management dispute)