LOTTE (004990) investor relations material

Executive summary

• Consolidated revenue rose 1.0% year-over-year to KRW 3.62 trillion, with operating profit of KRW 46.1 billion and net profit of KRW 14.5 billion, marking a return to profitability after prior year losses.

• Total assets stood at KRW 23.04 trillion and total equity at KRW 9.58 trillion as of March 31, 2026.

• The group operates through major subsidiaries in retail, chemicals, food, and bio, with diversified revenue streams and global operations.

Financial highlights

• F&B segment revenue grew 4.8% year-over-year to KRW 2.29 trillion; operating profit up 63.6% to KRW 106 billion.

• Retail segment revenue declined 5.9% year-over-year to KRW 1.08 trillion, with operating loss narrowing to KRW 19.7 billion.

• IT Services/Bio CDMO revenue fell 0.4% year-over-year; operating loss widened.

• Cash and cash equivalents at quarter-end were KRW 1.02 trillion, down KRW 554 billion year-over-year.

• Debt ratio improved to 140.5% from 144.9% year-over-year, within bond covenant limits.

Outlook and guidance

• Continued focus on global F&B growth, retail operational efficiency, and new business domains including bio, mobility, and sustainability.

• Ongoing investments in biologics with Songdo and Syracuse campuses; commercial operations expected in 2027.

• Management continues to focus on profitability recovery, cost control, and capital efficiency.

• Ongoing investments in chemical recycling, battery materials, and bio CDMO capacity are expected to support future growth.