Hanjin Kal (A180640) Q2 2025 earnings summary

Executive summary

• Consolidated revenue for Q2 2025 was 706 billion KRW, up 0.6% year-over-year.

• Operating income declined 32.4% year-over-year to 98 billion KRW.

• Net income attributable to shareholders decreased 17.9% year-over-year to 1,127 billion KRW.

• The group operates as a holding company with major subsidiaries in aviation, logistics, hospitality, and real estate, focusing on dividend income, brand royalties, and management of affiliates.

• The company maintains a stable governance structure, with recent board and executive changes, and upholds robust internal controls and compliance systems.

Financial highlights

• EBITDA for Q2 2025 was 153 billion KRW, down 25% year-over-year.

• Operating margin for Q2 2025 was 13.9%, down 6.8 percentage points year-over-year.

• Cash and cash equivalents at quarter-end were 2,199 billion KRW, down 47.3% from the previous year.

• Consolidated revenue for H1 2025 was KRW 133.3 billion, down from KRW 292.2 billion in FY2024.

• Net income attributable to owners for H1 2025 was KRW 182.4 billion, with basic EPS of KRW 2,728.

Outlook and guidance

• Management notes that future performance is subject to significant uncertainties and may differ materially from forecasts due to changes in the business environment.

• The group plans to maintain a dividend payout policy of returning around 50% of separate net income (excluding one-offs) to shareholders through FY2026, subject to business conditions.

• The airline subsidiary expects continued recovery in passenger demand, but faces uncertainties from global economic and geopolitical risks.