EcoPro BM (247540) Q1 2026 earnings summary

Executive summary

• Q1 2026 consolidated revenue reached KRW 605.4 billion, up 22% QoQ, driven by strong EV sales in Europe and steady non-EV demand.

• Operating profit was KRW 20.9 billion, down 50% QoQ due to a high base effect from a one-time gain in Q4 2025.

• Manufactures and sells high-nickel cathode materials for lithium-ion batteries, maintaining a global market share leader position for two consecutive years (2022–2023).

• Consolidated Indonesian subsidiary GEN, boosting both revenue and asset base.

• Notable valuation gain from derivatives linked to BM's stock price.

Financial highlights

• Q1 2026 consolidated revenue: KRW 605.4 billion, down from KRW 629.8 billion in Q1 2025.

• Q1 2026 operating income: KRW 20.9 billion; net income: KRW 12.2 billion.

• EV-related revenue rose 24% QoQ, led by shipment recovery to Europe.

• Power applications revenue grew 20% QoQ, supported by AI-related construction and e-bike demand.

• Total assets at Q1-end were KRW 5.1854 trillion (+6.2% QoQ); liabilities KRW 3.1005 trillion (+8.2% QoQ); equity KRW 2.0849 trillion (+3.4% QoQ).

Outlook and guidance

• Annual guidance remains unchanged; Q2 expected to see continued growth, especially in Europe, despite North American market risks.

• Hungary plant to ramp up in 2026, with production volume targeted at 10,000 tons, scaling to 30,000 tons in 2027.

• Continues to expand product portfolio to include mid-nickel, LMR, LFP, and sodium-ion cathode materials.

• Market expects global EV sales to reach 68 million units by 2035, driving demand for high-nickel cathode materials.

• Expansion of customer base expected through new OEM cathode sales.