Hyundai Department Store (069960) investor relations material

Executive summary

• Foreign customer sales growth accelerated in 2Q 2026, supporting robust department store sales and expected to further increase in 2H.

• Strategic new store openings and major investments in key global and domestic locations, including new shopping malls in Busan and Gwangju, are planned through 2029 to drive mid- to long-term growth.

• Duty Free segment achieved economies of scale and margin improvement after securing the No.1 operator position at Incheon International Airport.

• Zinus segment bottomed out in 1H 2026, with operational transformation underway for sustainable profitability.

• Revenue for the first half of 2026 was KRW 2,018.1 billion, with operating income of KRW 178.1 billion and net income attributable to controlling interests of KRW 136.97 billion.

Financial highlights

• 2Q 2026 consolidated gross sales rose 1.2% YoY to KRW 25,029bn; net sales fell 1.1% YoY to KRW 10,681bn.

• 2Q 2026 operating profit declined 8.7% YoY to KRW 793bn; net profit increased 11.7% YoY to KRW 608bn.

• 1H 2026 consolidated gross sales decreased 4.4% YoY to KRW 48,084bn; net sales dropped 7.4% YoY to KRW 20,181bn.

• 1H 2026 operating profit fell 10.7% YoY to KRW 1,781bn; net profit declined 11.9% YoY to KRW 1,257bn.

• Cash and cash equivalents at period end: KRW 158.0 billion; total assets: KRW 11,941.9 billion; total equity: KRW 6,365.7 billion.

Outlook and guidance

• Foreign customer sales mix expected to further expand in 2H 2026, supporting continued department store growth.

• Continued expansion with new shopping malls and outlets planned through 2029, focusing on premium customer experience, digital transformation, and sustainability.

• Dividend policy targets stable and predictable shareholder returns, with interim and year-end dividends.