COMMAX Reports Q1 Turnaround to Profit and Drastic Financial Improvement (New Majority Shareholder Kyungdong Navien)
Turnaround to net profit (consolidated): Revenue 19.7B (vs 23.3B yoy), operating profit 3.24B (vs -2.22B), net profit 2.29B (vs -2.67B).
Dramatic improvement in financial structure: Debt ratio fell from 819% to 202%. Capital increase (27.66M shares, ~20B KRW) and acquisition of existing shares by Kyungdong Navien boosted equity from 10.1B to 33.0B.
Majority shareholder change to Kyungdong Navien (80.77%). Capital increase paid on Feb 5, 2026; new shares locked up for 1 year.
Planned absorption merger: To merge subsidiary COMMAX CS Co., Ltd. on July 1, 2026 (small-scale merger).
Pending 71 lawsuits; management believes no material financial impact.
No share buyback/cancellation or dividend announced.