Solum (248070) Q1 2025 earnings summary

Executive summary

• Revenue for Q1 2025 was 397.4 billion KRW, up 3.3% year-over-year from 384.8 billion KRW in Q1 2024.

• Operating income declined to 11.5 billion KRW from 20.3 billion KRW year-over-year, reflecting higher SG&A expenses.

• Net income attributable to owners was 3.0 billion KRW, down from 12.0 billion KRW in Q1 2024.

• Cash and cash equivalents increased to 102.9 billion KRW from 85.9 billion KRW at the previous year-end.

Financial highlights

• Gross profit rose to 66.7 billion KRW from 63.8 billion KRW year-over-year.

• SG&A expenses increased significantly to 55.2 billion KRW from 43.5 billion KRW year-over-year.

• EBITDA and EBIT margins declined due to higher costs and expenses.

• Basic and diluted EPS were 64 KRW, down from 245 KRW year-over-year.

• Operating cash flow was 27.7 billion KRW, a turnaround from negative 8.3 billion KRW in Q1 2024.

Segment performance

• Electronic components segment: Sales of 283.9 billion KRW, operating profit of 5.7 billion KRW.

• ICT segment: Sales of 113.5 billion KRW, operating profit of 5.8 billion KRW.

• Major customer A and affiliates accounted for 199.0 billion KRW in sales, mainly in electronic components.