HANA Tech Q1 Swings to Operating Loss, Debt Ratio Soars; Contract Cancellation & CB Early Redemption Weigh
Q1 2026 consolidated revenue: KRW 8.26bn (down 42.4% YoY from KRW 14.34bn), operating loss of KRW 3.65bn (vs profit of KRW 3.9bn YoY), net loss of KRW 3.73bn.
Debt ratio surged to 281.2% from 161.7% at end-2025, mainly due to increase in derivative liabilities (KRW 60.8bn) from convertible bonds.
Order backlog stands at KRW 339.3bn, but a KRW 28.4bn contract (USD 19.34mn) signed in March 2025 was cancelled at customer's request (disclosed on May 4, 2026).
Issued 4th series CB of KRW 54bn in Feb 2026 (conversion price KRW 31,402), boosting cash to KRW 79.8bn; put option exercisable from Feb 2028.
Repaid KRW 29.1bn on April 30, 2026 upon early redemption request of 3rd series CB (post-reporting event).
Credit ratings remain speculative: BB- (KED) and B- (NICE).
No dividends or share buybacks during the period; no shareholder return.
R&D spending of KRW 0.62bn (7.5% of sales), focused on all-solid-state battery equipment and glass processing technologies.