Hanwha Solutions (009830) investor relations material

Executive summary

• Q1 2026 revenue reached KRW 3.882 trillion, up 3.3% quarter-on-quarter and 25% year-over-year, with operating profit turning positive at KRW 92.6 billion, though a net loss of KRW 38.2–48.9 billion was recorded due to pretax losses.

• Profitability improved across renewable energy, chemicals, and advanced materials segments, driven by volume recovery, margin enhancement, and favorable market conditions.

• Net loss narrowed significantly from the previous quarter, reflecting operational recovery and one-off IRA-related gains.

• Comprehensive income improved to KRW 458.9 billion from a loss of KRW 70.5 billion in the prior year.

Financial highlights

• Total assets increased to KRW 34.93 trillion, with cash and cash equivalents at KRW 2.477 trillion.

• Total liabilities rose to KRW 22.93 trillion, and net debt increased to KRW 13.57 trillion.

• Total equity grew to KRW 11.99 trillion.

• EBITDA margin improved to 7.9%, and operating profit margin turned positive at 2.4%.

• Cash flow from operations was negative at KRW -363.7 billion, with investing outflows and financing inflows.

Key financial ratios and metrics

• Liabilities to equity ratio stood at 191%.

• Net debt to equity ratio was 113–133%.

• Q1 2026 gross margin: 14.1%; operating margin: 2.4%; net margin: -1.3%.

• Basic EPS from continuing operations: KRW -345.

• Inventory turnover (annualized): 2.3x.