Hanwha Systems (272210) Q1 2026 earnings summary

Executive summary

• Revenue increased 17% year-over-year in 1Q 2026, driven by higher export and mass production in Defense and captive sales in ICT.

• Operating profit rose 2% year-over-year, with margin improvement to 4.3%.

• Net profit turned negative at -95.8 bn KRW, down from 24.4 bn KRW a year ago.

• Significant developments include a joint research center for defense semiconductors and participation in the U.S. Navy NGLS program.

Financial highlights

• Consolidated revenue: 807.1 bn KRW (+17% YoY), operating profit: 34.3 bn KRW (+2% YoY).

• EBIT and net profit both negative, with net profit margin at -11.9%.

• Operating profit margin improved by 1.9 percentage points year-over-year.

Outlook and guidance

• Dividend policy for 2025–2027 targets a minimum payout of KRW 350 per share, with 2025 planned at KRW 500 per share.

• Focus on stable and predictable shareholder returns, including periodic policy announcements.