Good morning. I am Jung So-hyung from the IR team at SK Innovation. Thank you for joining the Company's Third Quarter 2025 Earnings Presentation. On the call today, I have with me SK Innovation's Seo Gong-hee, Head of Corporate Finance Planning Office, Tae Gi-rak, and the management from each of the business areas. For the call today, CFO Seo Gong-hee will first run through the company-wide business results for the third quarter of 2025, followed by presentations from each business division, after which we will have a Q&A session. Please note that the numbers that we are presenting today have yet to be audited by the external auditor and thus are subject to change upon review. With that, let me invite CFO Seo Gong-hee to present the third quarter performance. Good morning. This is Seo Gong-hee, CFO of SK Innovation. Allow me to start by thanking the shareholders, investors, and analysts on this call for your continued interest in the company, and I will begin with the highlights of the third quarter. First, last September, SK On signed a one GW -hour ESS supply agreement with U.S. renewable energy company Flatiron Energy Development. Under this agreement, SK On will supply ESS units with LFP batteries to Flatiron's Massachusetts projects in 2026. Moreover, until 2030, SK On has secured the right of first refusal for 6.2 GW-hours of projects in the U.S. that Flatiron is pursuing. Based on this agreement, for four years from 2026, SK will be supplying a maximum of 7.2 GW-hours of ESS products. This agreement is symbolic because it represents an expansion of SK On's battery chemistry and business portfolio. Going forward, leveraging its advanced battery technology and local production capabilities, the company will secure additional customers to further solidify its position in the North American ESS market. Second, on November 1st, the combined entity of SK On and SK Enmove will officially launch. Through this merger, we expect SK On to enjoy a stronger financial position and generate synergies to create a foundation on which it will be able to survive independently. In particular, it is planning to enter into new markets such as the immersion cooling system and battery package business and expand into related business areas to actively strengthen business synergies. This will wrap up the highlight portion of the presentation. Now, let me go over the third quarter business performance in more detail. First, on the top line in the third quarter, SKI E&S, the refinery and petrochemical business, increased their revenue, leading to sales rising KRW 1,226.6 billion quarter-over-quarter to KRW 20,533.2 billion. On operating profit, higher crude prices and stronger refining margins turned the refining business into the black, and the LNG power generators enjoyed a high season. Thus, operating profit was up KRW 991.1 billion quarter-over-quarter to a positive KRW 573.5 billion. On the non-operating side, the low base effect from factors including FX-related losses and product derivatives in the second quarter resulted in the losses narrowing by KRW 338.7 billion to record a non-operating loss of KRW 504.5 billion. In detail, FX-related losses were KRW 88.8 billion, product derivative losses KRW 38 billion, net interest expenses KRW 296.4 billion, equity method gains KRW 41.5 billion, and other expenses KRW 39.8 billion. Next, let me discuss our financials. As of the third quarter 2025 end, total assets stood at KRW 107.9 trillion. A decrease in cash and trade receivables in the battery and IET business and decline in tangible and intangible assets triggered by the stronger won led to an approximately KRW 2.6 trillion decline versus the end of last year. On liabilities, it was KRW 96.1 trillion. As trade receivables for the battery materials business declined, liabilities decreased by KRW 1.8 trillion versus last year's end, while the debt-equity ratio was down 1% point at 178%. Now, we will go into the performance of each business line for the third quarter. For the performance and outlook for each area, it will be presented by management from the respective business. First, for the refinery business, Choo Yong-gyu, Head of Corporate Planning from SK Energy, will give the presentation. Good morning. This is Choo Yong-gyu, Head of Corporate Planning from SK Energy, and let me go over our refinery business in the third quarter. For the third quarter, operating profit for the refining business was KRW 304.2 billion, up by KRW 770.5 billion quarter-over-quarter. The performance improvement was driven by stronger refining margins on the back of lower OSP from oil-producing countries and an improved market backdrop for refinery products. In addition, inventory losses recognized in the second quarter reversed. Refining margins improved quarter-over-quarter on the back of higher concerns about possible supply issues for petroleum products such as diesel, since Russian refiners showed lower utilization as Ukraine struck Russian refineries. Next, let me discuss the market outlook for the fourth quarter. As OPEC+ decided to increase production, many institutions are forecasting a decline in crude prices. If this happens, the U.S. and China will continue to build up SPR, while geopolitical uncertainties surrounding key oil-producing countries like Russia, Iran, and Venezuela continue. Thus, we believe crude will continue to be range-bound. In addition, there are also shutdowns and close-downs in the U.S., so we do believe that there will be a tight diff in petroleum products, and also there will also be some seasonality that we will be able to see, leading to a firmer market backdrop. Next, on the petrochemical business, Kim Yong-su, Head of Management and Planning Office of SK Geocentric, will present the presentation. This is Kim Yong-su, Head of Management and Planning Office of SK Geocentric. Let me discuss the petrochemical business. In the third quarter, PF spread improved slightly, but naphtha prices increased, resulting in PE and PP product spreads and weaker spreads. In addition, U.S. tariffs led to a lower regional benzene spread, and thus the petrochemical business recorded an operating loss of KRW 36.8 billion. Next, in addition, to talk about the outlook for PX, reform or troubles in the region will lessen supply, which is expected to support the lower band of PX spreads, but the market is expected to remain weak due to U.S.-China trade conflicts. In addition, on the olefin side, the U.S.-China trade conflict is resulting in a delayed recovery and productive event, which is expected to result in a slightly weakening in product spreads. Amid an unfavorable business environment, the company will continue to improve profitability by optimizing capacity utilizations and operations. Next, for the lubricants business, Kim Mi-kyung, Head of Corporate Planning and Development Office, will present the business. Yes. I am Kim Mi-kyung, Head of Corporate Planning and Development Office at SK Enmove. Let me discuss the lubricant business. Higher crude prices in the third quarter led to weaker margins. However, we were able to grow sales volume quarter-over-quarter as we entered into the high season and by actively addressing the market. In addition, higher feed prices led to inventory-related gains, and operating profit quarter-over-quarter increased KRW 36 billion to reach KRW 170.6 billion. In the fourth quarter, we expect demand to soften as we enter the low season, which should lead to a flat to moderately weaker market. Next, for the third quarter business, SK Earthon, Head of Planning and Support Office, Kim Gyeong-joon, will present the E&P business. Good morning. This is Kim Gyeong-joon. I am Head of Planning and Support at SK Earthon. I will present on the E&P business. Q3 operating profit was down KRW 19.7 billion QoQ to KRW 89.3 billion, which is due to declines in export gas price from the Peruvian block versus Q2 and lower complex selling price and higher proportion of gas. For the E&P business, China's 17-03 Block is currently under production, and based on good productivity that we see from two wells drilled in Q1, we plan to complete drilling of two additional production wells in Q4 to commence production. Also, development of LDV structure for block 15-105 in Vietnam is ongoing smoothly, with production well drilling starting in Q4 and production commencement slated for Q4 of 2026. For Vietnam block 15-217, at the HSV structure, where we made successful finds back in January, we are drilling one evaluation well at this point, including which we will drill a total of three wells back- to- back, assessing overall feasibility of the entire structure. For Malaysia's SK427 exploration block, where we hold the operatorship from January 2026, we are planning on drilling two exploratory wells on two prospective sites inside the block. Next, on the battery business, I will invite Chun Hyeon-uk, Head of Financial Support Office at SK On. Good morning. This is Chun Hyeon-uk, Head of Financial Support Office at SK On. Let me run through Q3 results and Q4 outlook for our business. Despite higher sales volume driven by good EV sales at key customers in Europe due to base effect following the removal of the EV subsidies around last quarter and conservative inventory stance taken by customers, which pushed down U.S. sales volume, Q3 revenue fell 14% QoQ, reporting KRW 1 trillion 807.9 billion. On decline in sales volume, which constrained the run rate, and AMPC in Q3 reported operating loss of KRW 124.8 billion. Nevertheless, on a consolidated entity basis, we sustained the profit trend following last quarter's trajectory driven by all-around cost efficiency efforts. We expect sales to the European market will continue to uptrend, but in the U.S., with subsidy removed and tariff impacting consumption sentiments on EVs and unfavorable environment, including the year-end holidays scheduled at OEM plants, there is concern that decline in sales volume may be inevitable. Under this backdrop, we are strengthening fundamental resilience through operation improvement activities, discussing with our partners to share the tariff burden and minimizing upfront expense for BOSK, Kentucky number one plant, whose operation just commenced, endeavoring to defend bottom line to the extent possible. We are also actively finding ways to further strengthen profitability by expanding the ESS business in the rapidly growing U.S. market. In Q3, we had one GW-hour order win from U.S.-based ESS project developer and operator Flatiron, followed by capacity expansion for LFP batteries for ESS use as we place momentum behind growing the order backlog and the pipeline. As of November 1st we will complete the merger process with SK Enmove. Based upon stronger financial stability and earnings capacity and development of coolant solutions for EV and ESS using liquid immersion cooling technology, we will drive synergies to solidify competitiveness. Thank you. Next is on the results of SK IE Technology. Material business saw its operating loss narrow Q over Q on company-wide cost-saving efforts. We plan to further drive improvement in losses through cost enhancements and ESS wins amid rising policy uncertainties coming out of North America. Next, presenting on the third quarter's SK Innovation ENS results, I invite Kang Nyoong-won, Head of Management Planning Office. This is Kang Nyoong-won, Head of Business Planning at SK ie Technology. I will run through the update on our business. Driven by higher plant run rate underpinned by stronger competitiveness in cargo delivery during the summer season, SK ie 's Q3 operating profit was up KRW 140.4 billion Q on Q, coming in at KRW 255.4 billion. In Q4, with crude price decline coming under full swing and typically lower seasonal demand in autumn, we expect S&P to trend downwards, but with the commencement of Kalita Barossa gas field production and higher city gas sales in the winter season, we intend to sustain stable earnings capacity. This ends the presentation, and now we move on to Q&A session. We want to first address several questions that we received in advance through our website. For this earnings call, we've received questions from the investors and analysts ahead of time and pre-selected the ones that were of most interest. For those frequently asked questions, we will provide the answers through simultaneous interpretation. The first question is on. China's supply-side reform and impact that this will bring on the company's refining business performance. I will ask Head of Strategy Operation Division, Choo Yong-gyu of SK Energy to take this question. Yes, this is Choo Yong-gyu. The objective of their reform is to resolve the issues regarding low efficiency, and China's refinery business actually forms part of that. Some of the products have become export items, and many teapot operations are stimulating circumventing different laws. Basically, COTC-focused capacity expansion will take place, but small-scale teapots will be phased out. In upcoming March, there's going to be a general people's plenary, and after that session is ended, there will be more detailed plan. The facility is going to be phased out, so it may look positive for us, but there's not going to be any increase in the demand for LNGs and others. It impacts China's economy, so it's quite difficult to say whether this is positive or negative. Depending on the speed at which these facilities will be shut down, the impact will be different. We move on to the second question. Second question is on SK Innovation and Affiliates' net debt status and any additional financing plan being considered. I will ask Head of Finance Division, Seo Gong-hee, to take this question. Yes, this is Seo Gong-hee. Now, our company considers solidifying the financial stability as our foremost priority. As per corporate value enhancement plan, we are cutting down on net debt. Moving from net debt in Q2 of KRW 33 trillion to Q3 end figure of KRW 28.8 trillion, a decline of around KRW 4 trillion. Considering KRW 9.5 trillion financing plan for 2025, as previously announced, we are not considering more add-on funding other than for refinancing purposes. Also, for SK On, large-scale Capex is nearing its completion, so we expect Capex to only gradually decline. We We expect Capex to gradually decline as well. We will be carrying out in parallel portfolio rebalancing and securitization and monetization of assets to ensure financial stability and to have clear focus on enhancing corporate value. Thank you very much for these answers. This ends the session on entertaining your pre-selected questions. We will now switch to live Q&A, and please note that this session will be conducted through a consecutive interpretation, and please state your name and affiliation when asking your question. [Foreign language] Now Q&A session will begin. Please press star one, that is star and one, if you have any questions. Questions will be taken according to the order you have pressed the number star one. For cancellation, please press star two, that is star and two on your phone. [Foreign language] The first question will be provided by Hongju Shin from Shenyang Securities. Please go ahead with your question. [Foreign language] Yes, thank you for the opportunity to ask questions. This is Hongju Shin from Shenyang Securities, and I would like to ask you three questions. The first question that I would like to ask is about the refinery business. If you look at next year for the global refinery business market as a whole, what is the outlook that you have with regards to new additions? Also, what would be the outlook for demand for various petroleum products? In addition to that, in China and also India, there are some restrictions that are going to be in place for the import of Russia crude. How do you think that that would have a business impact, if at all, on your business, and what would be the outlook related to that? The second question that I would like to ask is about your battery business. It does seem to be in North America that there is an increasing demand for electricity that is taking place, and people are trying to decrease their dependency on China with regards to the overall supply chain. I do believe that this is relating to more interest on the ESS side. For the company's ESS business, what are your plans there? In terms of capacity, what capacity are you planning to utilize in the U.S. to service this business? The third question that I would like to ask is that in the case that you are planning to use some of your EV capacity and convert that for ESS purposes, then with regards to the line conversion, what would be the cost and also time that would be required for the conversion to take place? [Foreign language] This is Choo Yong-gyu, Head of Strategy and Operation Division at SK Energy, and maybe I can take your first question about the overall expectations that we would have for global net additions that would be taking place on the refinery side. If you just look at mechanically the announcements that have been made, in total the size would represent around 1 million bbl/day in terms of the overall amount. It's slightly above that. However, if we were to look at the net additions, because we do expect that there would be a lot of shutdown and capacity that is also going to take place, at the end of the day, we think that the net amount will be around 700,000 to 800,000. [Foreign Language] In addition, if you look at the outlook for petroleum products in terms of demand for next year, if you look at the likes of institutions like the IE, I think that the level that they are looking at would be at around 700,000. However, we actually believe that the economic recovery will be a bit stronger to support, so our view would be slightly higher than that. [Foreign language] If you look at the amount of Russian crude that is being imported by both the likes of China and India, in China it's about 1.3 million, in the case of India it would be around 1.8 million bbl/day. That is the overall volume. However, in the fourth quarter, because of the various regulations that the EU and the U.S. is putting into place against Russia, we do think that the overall import volume will decline. [Foreign language] However, as we saw in news reports before, there are some cases in which there are asset sales taking place to the likes of Lukoil. I think that there are ways that the Russians are trying to avoid the sanctions that they would be subject to. Whether this situation and the overall market will lead to a structural difference or structural change is something that we will have to wait and see. [Foreign language] With regards to the outlook about refining margins as a whole for the Russian crude or the Russian products, because of the supply issues that we have mentioned during the presentation, there is a possibility that it won't come into the market. As a result of that, when we take this into consideration for 2026, we do think that the refining margins will be stronger than what we have seen for this year. [Foreign language] In addition to that, in the fourth quarter, as mentioned for the U.S., for some of the refinery facilities, there are some closures that are expected, and this is a trend that we see also taking place into next year. As a result of that, for U.S. outlets, we do think that there will be some business opportunities for us to expand our presence. Thank you. [Foreign language] Yes, this is Chun Hyeon-uk, the Head of the Financial Support Office from SK On. Maybe I can take your second and third question together. [Foreign language] As you have mentioned, in the U.S. market right now, we do believe that the overall outlook for ESS demand continues to be upgraded to higher levels and adjusted to higher levels. We do think that for the overall market opportunities, there will be a lot of opportunities available. From the company side at SK On, of course, we're actively trying to utilize these opportunities, and there are various ongoing discussions that we have with our customers about orders. As we mentioned during the presentation, first with Flatiron we have already secured a project that would represent 1 GW hour, and up to 2030, we have secured the right of first refusal for up to 6.2 GW hours. [Foreign language] In addition to that, outside of Flatiron, with multiple other customers right now, there are discussions that are ongoing to supply ESS. The maximum amount that we're looking at right now would be 10 GW hours. With this discussion and the evolutions that are taking place, we do think that this will overall expand the pipeline that we have for this product. [Foreign language] With regards to where we would actually produce the ESS batteries, I think that this is still a discussion that is ongoing. Internally it is being discussed. What we're looking at as of now is the orders that we're already supplying to, the orders that we have recently won, and also the expected pipeline going forward. I think that we want to have a comprehensive view about all the schedules that would be required and then be able to look at how we would allocate capacity and look at what sites we would utilize. [Foreign language] However, rather than building out new capacity, we want to utilize the existing capacity as much as possible to expand our ESS production. Therefore, in the case of Flatiron, right now the target timeline that we're looking at is to supply in the second half of 2026. We're expecting to use the existing facilities that we have so that we can provide the ESS units that are supporting LFP battery pouches. [Foreign language] With regards to the battery chemistry, it will change to LFP based. However, the form factor itself remains the same as a pouch type battery. In terms of the time that is required and also other factors, we don't think that there will be any meaningful increase. As mentioned, we are planning to supply in the second half of 2026, and we don't believe that there will be any issues in satisfying this timeline. [Foreign language] At the end of the day, once we make our determination about which production sites will be utilized, we will make sure to convey this to the market. Thank you. [Foreign language] The following question will be presented by Henny Jung from Daiwa Capital Markets. Please go ahead with your question. [Foreign language] Thank you. I'm from Daiwa Capital Markets. I would like to ask you two questions. This question may overlap with the previous question that was just posed, but we see that your competitors, the JVs that have been set up, are in the process of converting their lines to produce ESSs. We'd like to understand what your capacity breakdown is. If you were to look at your own capacity versus the joint venture-based capacity, if you could provide me with that split and how much of that JV capacity you are planning for a conversion for ESS use. Companies, OEMs like Hyundai Motor, are also projecting that the EV market is going to slow down as we go forward. We'd like to understand as to what the production line planning is for the Hyundai Motor Company joint venture? Second question is there will also be some tariff-related impact on the materials used for batteries. I understand that the burden sharing with your customers for EV versus ESS is quite different. We'd like to understand and gain some insight. How are you discussing this topic with your customers? Could you provide us with an update on this? [Foreign language] Responding to your question, I am Chun Hyeon-uk, Head of Finance Support Office from SK On. For our U.S. capacity, we have in Georgia 20 GW hours. So SK BA, that is our own capacity. Through the joint venture, we have joint venture with Ford and Hyundai Motor Company. With Ford, we have one in Kentucky and Tennessee, which is 37 GW and 45 GW in their respective capacity. With Hyundai Motor, there's 35 GW hour that is currently being planned. In terms of the production site for ESS, as I've mentioned before, because we are in the process of talking to our JV partners and nothing has yet been confirmed, we are talking about the production cap or the line conversions and the production sites with respect to the projects that we have already owned and the projects that are upcoming and prospective. At this point, it's quite difficult to give you a definitive answer on how the capacity will be split. Now, having said that, if we look at the amount of ESS orders that we've been, we have already won. One GW hour that has already been won in terms of the project, and there's 6.2 GW hour where we have the right of first refusal, and there is about 10 GW hour capacity that is in the pipeline. Consideration of all of these orders and projects, we have the capacity that we could support through a consecutive line conversion of the existing production lines that we have. [Foreign language] As you have mentioned, other competitors are planning to make use of their joint venture capacity for the production for the ESS business, and the same applies to us as well. We will also be able to consider the use of the joint venture-based capacity, and we will not preclude that possibility of using our joint venture capacity. We will be mindful of driving an optimal production, and that is incorporated into our plan. Once we decide on the specific sites, we will come back to you and communicate that information when that time comes. [Foreign language] I am An Gon. I'm Head of Planning Office of SK On. With regards to the impact from the U.S. tariff, it does, yes, have impact not just on the EV but ESS business as well. On the EV automobile side, with the increase in the prices, that will have impact on curbing down on the demand from the consumers, and there would also have an implication in terms of the demand coming out of the OEMs. [Foreign language] For the EV side, from a short-term perspective, there will obviously be a cost item impact with regards to the overall supply chain operations. We are in the process of talking to the OEMs so that we could actually share the risk that may arise from the tariff impact by way of asking for assignment or allocation of the credits that the OEMs are to take. [Foreign language] On the ESS side, we are looking at what the short-term impact would be at this point, and once we gain that information, we will update you. [Foreign language] I would also like to highlight the fact that we at this point are operating our battery plants in the United States quite stably. Also, for the batteries and for the ESS business, there is a significant amount of U.S. production capacity that is at this point installed and that will be added going forward. Our customers are very much focused on U.S.-based production and manufacturing, and we are in the process of setting up a North American regional headquarters so that we can very nimbly respond to their needs. [Foreign language] The following question will be presented by Woo-Je Chun from KB Securities. Please go ahead with your question. [Foreign language] Yes, thank you for the opportunity to ask questions. The first question that I would like to ask is about your petrochemical business. We do understand that under the leadership of the government, there is a restructuring that is being planned that will be completed by the end of the year. I do understand that it would be difficult to share the details with us, but what type of options does the company have at hand with regards to this restructuring? In addition to that, if we look at the scope of restructuring that is being considered, would the benzene and PX business be part of that? The second question that I would like to ask is about your lubricants business. If we were to look at the market outlook for 2026, 2027, and also the supply outlook, would we actually see an increase in such a situation, or do you actually believe that the market dynamics will be similar to this year? In addition to that, in the case of the battery-related coolants that you are looking at right now, when do you think revenue will start to be derived for this business, and when do you think it will be at the peak? [Foreign language] This is the Head of the Planning Office at SK Geocentric, and maybe I can take the first question. First, to address the second part of your question in terms of the scope that is being looked at for the restructuring right now. The aromatic products, including benzene and PX, are not part of the scope that is currently being considered. In addition to that, for the overall restructuring scheme right now, if you look at the regions that are subject to the restructuring, it would be the complexes that are located in Ulsan, Yeosu, and Daesan. The overall principles under which the government is conducting the restructuring are to curb down on the oversupply situation or overproduction situation as much as possible, ensure that the portfolio is more geared to the high-value-added products, ensure that the companies can secure their financial soundness, and also to ensure that the overall efforts are conducted in a way in which the impact on the local economies and also employment situation in the region is minimized as much as possible. [Foreign language] If you look at Ulsan specifically, including ourselves, there are three companies that are located there. We are in a discussion as of now. However, in terms of any detailed options, they have not been formulated yet. It would be difficult to share with you any information. [Foreign language] This is Mi-kyung Kim from SK Enmove. Maybe I can address the second question that you have on the outlook for the lubricants business. [Foreign language] For 2026 and 2027, for the base oil market in general, we do think that it will be very flat to the current condition in terms of the overall demand. We do think that it will be similar to this year. For the key markets in terms of supply, we do think that the current supply volume will be maintained. In addition to that, we don't foresee any changes on the production side or with regards to logistics. [Foreign language] In terms of supply, some of the companies are planning to expand their capacity. However, in the Group three product area, due to the characteristics of the market, we don't think that the impact would be very large. [Foreign language] In addition to that, if we look at the second quarter of 2026, our competitor is planning a turnaround. We do think that this will provide a favorable backdrop for our operations and over the mid to long term. Focused on the automobile market, we do think that there will be an increasing demand for higher fuel efficiency, more greener vehicles, and also more regulations in terms of environment-related policies, which should lead to more demand for higher quality base oil. [Foreign language] To move on to the second part of your question, which was with regards to the immersion cooling systems for batteries, when would the actual revenue start to be derived with regards to the lubricants business? I think that the view that we currently have is that for the revenue contribution to come in in a full-fledged manner, the timing that we're currently looking at would be at around 2030 to 2031. [Foreign language] Even before the 2030 timeline, we do think that in a small scale, there will be revenue that we will be able to generate. However, we do think that there will be more pack-level verification that is required, also step-by-step testing, and also more preparations for mass production. In terms of the full commercialization or full mass production of this product, we do think that 2030 would probably be the right timeline. In addition to that, for the immersion cooling technology in itself, we do think that as time passes, the application of this will expand to a broader scope. [Foreign language] In terms of the last part of your question, which was about when we expect the revenue to actually peak, as of now, I think that's a difficult question to answer, so please understand. Thank you very much. [Foreign language] The following question will be presented by Vicky XI from J.P. Morgan. Please go ahead with your question. I'm from J.P Morgan. Sorry about the mess up in the registration. Firstly, congratulations on your U.S. ESS order win. I think it's very encouraging. Just to clarify, the order backlog you mentioned earlier, which is 7.2 GW hours plus potential 10 additional, so total 17.2, is that for just the U.S. market, or is it global, including Korea? Could you just elaborate on what you think are your competitive advantages versus LG and SDI? All three battery makers are increasingly aggressive on ESS, so just wondering what type of margin profile you think you can secure. For example, are you going to make use of your AMPC in the U.S., whereas SDI doesn't have a fully fledged, fully owned plant? or do you have other cost advantages? For the Flatiron Energy Development contract, is it just ESS cell or cell plus module, or does it include systems? What kind of margins do you expect? The second question is on EV. GM has been right-sizing its EV business and Ultium plant. Does SK Innovation see any risk from your U.S. EV customers? Maybe just give us a rough sense of your expectation on demand in the fourth quarter in 2026 or your shipment trend. If you decide to right-size Blue Oval, what do you think will be the impact on your P&L and balance sheet, please? Thank you. [Foreign language] [Foreign language] [Foreign language] This is Chun Hyeon-uk. I'm Head of Financial Support Office at SK On. Just to first quickly respond to your first question and the third point together, the order volume, although the backlog that you've mentioned, that is specifically for the U.S. market. [Foreign language] The arrangement with Flatiron Energy Development is cell-based. It actually includes the module, but it does not include system integration (SI). [Foreign language] In terms of the competitive edge that we have against our peers, it's not that our competitors do not do this. That is not what I'm saying. What I can tell you is that we have a very clear focus based upon the BMS system. We provide an early fire detection, fire prediction system as well. In terms of making our operational costs more efficient, we basically have an approach where we do a design based upon an integrated module design, based on which we build a solution package. [Foreign language] Also, we use liquid immersion cooling technology to prevent against a fire dissipation. By using the SK Group AI data center, we will be leveraging that capabilities and expanding our business so that we can solidify our bottom line. [Foreign language] Another key differentiator in terms of the strategy is that our competitors have their system integration division in-house, and they utilize that as a way for them to provide the package solution. For us, we have a clear focus on cell and module-based packaging. [Foreign language] The ESS market is growing very rapidly, and out in the market, there are many system integrators and already quite big in size. We have decided that in order not to be in head-to-head competition with these SI providers and to have a structure where we focus on the supply of our products to our customers, we've decided to, for the time being, focus on manufacturing the cells. [Foreign language] If we take on this approach, that gives us the benefit of lowering other ancillary expenses and the investment that is required. As I've mentioned before, we will be able to develop an ESS unit using the LFP technology. This is a form factor where we have very strong capabilities, which will enable us to push down on additional Capex spending. [Foreign language] Because the ESS market is only at its infant stage in terms of the growth trajectory, up until the time the market becomes much more stabilized, we will, for the time being, focus on efficiency and minimizing the investment that is required so that we can maximize ROIC, return on invested capital. That is our strategy at this point. [Foreign language] Moving to your second question, you're asking whether, and you've mentioned GMs, with a change in the EV-related strategies at the OEMs and customers, I think you were asking whether there would also be right-sizing taking place in BOSK and whether that would have an impact on the fair value of that asset. If you look at our joint venture partner and our customer, Ford. Also, if we think about that, yes, there have been news bites and mentions of changes in the strategies for these companies in terms of their EV business, but this is not new news. Starting last year when CASM started to really play out in full swing, it was from that point on when we started to hear of such movements. [Foreign language] For Ford, in the face of changes in the regulation on the exhaust gas requirement in the United States and change in the overall market backdrop, there's been cancellation of certain EV model launches or delays in the new launches, and they have started to shift their focus on IC engines and hybrid vehicles. There were signs that there were certain adjustments and changes made to the short-term electrification strategies of these OEM companies. [Foreign language] Upon this change or the shift in the strategy, both companies have been engaging in discussions and have rescheduled and pushed back the timeline for the commencement of new production lines. In alignment with the needs at our customer, Ford, we have also made adjustments to our launching plans and have set up the plans accordingly. [Foreign language] I can tell you that our partnership is sound and solid, and there continues to be very close discussion and collaboration with Ford in regards to the development and the relationship. [Foreign language] capacity, because it is a joint venture structure, we don't necessarily have to fill everything with Ford's requirement. We could use it for the purposes of supplying to third parties for ESS purposes, for customers other than Ford. That is possible if that needs to happen. [Foreign language] In the spirit of continuous collaboration, we will, of course, carry on with the partnership. If there is any significant change in the strategy, if there needs to be a change to the plan, the new plan, and for any reason, if the installed capacity and the feasibility of it, if there are any factors that will impact the use of that capacity and create a certain impairment, we cannot rule out that possibility 100%. However, when that will happen and to what extent, it's hard to say at this point. [Foreign language] If there are any significant changes to the strategy going forward that we are able to identify as we discuss with our customers, we will, of course, come back to you and share that with you. [Foreign language] The last question will be presented by Dong Jin Kang from Hyundai Motor Securities. Please go ahead with your question. [Foreign language] Yes. Thank you for the opportunity to ask questions. The first question that I would like to ask about is your Capex. From From next year, we do understand that because SK On will be requiring less, the Capex requirement for the company as a whole will be trending down. What would be the expected Capex size or budget that you are looking at? The second question is related to the ESS business. A lot has been mentioned today, and I think that one of the things that you have mentioned is that the focus will be on the cell and pack business. Can we interpret that to mean that for the company, you're not interested in providing ESS container finished goods? On the ESS side, if you have not made a determination on whether or not you would engage in this business yet, for just producing cells only, what is the type of margin? What type of margin does the company believe it can enjoy? [Foreign language] To answer your question first about Capex, I think that from the perspective of business planning, right now we're actually in the process of formulating the business plan for next year. In actuality, we will not be able to share with you any specifics, but I think that what we can say is that based upon the actual Capex that we have executed for this year, next year looks like it will be around 50% of what we have had for this year. I think that there will be approximately around 50% savings that we will see. The reason for that is that for the key investments that are required, again, we do have a lot of investments that we have completed in 2025. For 2026, it cannot help but be a year in which the Capex would significantly decrease. In terms of the overall Capex requirement, we do think that, again, next year will represent a year in which the overall required Capex will be much lower. [Foreign language] To move on to the second question, as we have mentioned before, I think that the priority that we have right now for ESS is our time to market. Therefore, right now, the focus for us would be the development and mass production of the cells, modules, and packs. For that reason, within the short-term horizon, I don't think that we have any intention to enter into the system integration side. [Foreign language] I think that if we focus on cell production alone, I think that what you're assuming is that the margins that we would be able to enjoy would be limited. However, not only will it be the cell, but there are auxiliary other basic systems that we would actually be adding on, such as the DC block. That is also part of the production scope that we would be providing. I think that if you look at our customers who we are facing, which would be the system integrators, there is a value that we are presenting that they are recognizing for what we are doing. That is why for high-quality names like Flatiron, we have been able to win contracts. [Foreign language] Securing the system integration capabilities, we don't believe that this is a very challenging capability to acquire if we wanted to do so. I think that the approach that we believe would be right would be to first try to position ourselves well and very effectively within the current market, build up our capabilities in facing customers, and also doing the customization that is needed. Strengthening there and then create the customized solutions that are required so that if we do deem necessary later down the road, we would be able to expand into the system integration area. I do think that this could be an option that we would consider. [Foreign language] With this, we would like to wrap up the Q&A session and also the overall earnings conference call for the third quarter of 2025 for SK Innovation. Once again, for those of you who have taken time out of your busy schedule and who have stayed with us for this long call, thank you once again. We would like to thank all of the investors and analysts that were present today. Thank you.