Unison: Sharp Sales Decline and Continued Operating Loss in Q1 2026

Q1 2026 consolidated revenue: KRW 3.8B (down 38% YoY), operating loss KRW 2.6B, net loss KRW 4.6B (EPS -KRW 19)
Credit rating downgraded to B+ in 2025 (from BB-), both corporate and bond ratings at speculative grade
Capacity utilization rate: 3.6% (Sacheon factory for wind turbines), extremely low
Debt-to-equity ratio 143% (total debt KRW 147.4B, equity KRW 103.1B), heavy leverage with borrowings of KRW 66.5B and convertible bonds KRW 41.3B
Contingent liabilities: joint guarantees of KRW 10.1B for Uiryeong and Yeonggwang wind farms, funding obligation for IO Co., etc.
Two ongoing lawsuits (damages claim KRW 813M, indemnity claim KRW 101M), potential losses if unfavorable
R&D expense ratio 148.1% of revenue (KRW 0.56B), mostly capitalized but uncertain commercialization
Inventory of KRW 19.3B with valuation allowance of KRW 14.4B, accumulated impairment losses