Huons Announces Preliminary Results for Q2 2026: Sharp Decline in Operating Profit, Net Loss

Huons (243070) has announced its preliminary consolidated results for the second quarter of 2026 (April-June). Revenue reached 146.9 billion won, a 3.6% increase compared to the previous quarter's 141.8 billion won, but a 5.8% decrease compared to the same period last year's 156 billion won. Operating profit was 29 billion won, turning from a loss of 6 billion won in the previous quarter to a profit, but a sharp 77.6% decrease compared to 130 billion won in the same period last year, indicating a significant decline in profitability. Earnings before income tax from continuing operations were 5 billion won, similar to the previous quarter's 6 billion won, but a 96.2% decrease compared to 152 billion won in the same period last year. Net income was -10 billion won, turning from a profit of 1 billion won in the previous quarter to a loss, and also a loss compared to 118 billion won in the same period last year. Net income attributable to the parent company also turned to a loss of -2 billion won, compared to 115 billion won in the same period last year. Looking at the cumulative results for the first half of the year (January-June), the decline in performance is even more pronounced. Revenue was 288.8 billion won, a 4.3% decrease compared to the same period last year's 301.8 billion won, and operating profit was 22 billion won, a 91.2% decrease compared to the same period last year's 259 billion won. The cumulative net income was -8 billion won, turning from a profit of 241 billion won in the same period last year to a loss, and the cumulative net income attributable to the parent company was only 1 billion won, a 99.6% decrease compared to the same period last year's 238 billion won. Based on the separate financial statements, the company recorded relatively good results. In the second quarter, separate revenue was 117.5 billion won, operating profit was 72 billion won, and net income was 40 billion won. For the cumulative first half of the year, separate revenue was 228.1 billion won, operating profit was 85 billion won, and net income was 58 billion won. The fact that the separate operating profit significantly exceeds the consolidated figures suggests that the poor performance of subsidiaries is negatively impacting the consolidated profitability. This announcement represents the preliminary consolidated results based on K-IFRS standards, and the figures may be subject to change during the external audit process. Given the significant decline in consolidated profitability throughout the first half of the year, investors are likely to focus on whether the second half of the year will see an improvement in performance, as well as the performance trends of its subsidiaries.