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Kolon Industries Q2 2026 Earnings Results August 7 , 2026 KOLON INDUSTRIES
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Disclaimer The Q2 2026 earnings results are preliminary consolidated figures prepared in accordance with Korean International Financial Reporting Standards (K-IFRS). This document has been prepared for the convenience of investors prior to the completion of an external audit review. Some details may be subject to change during the audit process. Forward-looking statements contained herein are based on current business conditions and the Company's management strategies. Actual results may differ materially due to changes in the business environment, strategy revisions, and other uncertainties. The Company assumes no obligation to update any new information or future events. Accordingly, this document may not be used as legal evidence regarding investment outcomes. Kolon Industries Co., Ltd. assumes no liability or responsibility for any investment results arising from the use of information provided in this document.
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P4 Earnings Overview P4 Earnings Overview Earnings Overview 01 Earnings Analysis 02 P5 Business Segment ResultsP9 Debt, Financial Raio P5 Business Segment Results P9 Debt, Financial Raio Appendix 03 P10 Consolidated PLP11 Consolidated BS Consolidated CFP12 Dividend policy P10 Consolidated PL P11 Consolidated BS Consolidated CF P12 Dividend policy Contents
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∙ Revenue: KRW 1,356.5 billion, YoY +7.8%, QoQ +9.6% - YoY: Revenue increased on solid performance across the Chemical segment despite heightened volatility in feedstock costs. - QoQ: Growth momentum continued, supported by wider spreads in the Chemical segment and the semi-peak season effect in the Fashion segment. ∙ Operating Profit: KRW 98.7 billion, YoY +118.0%, QoQ +59.5% - YoY: Operating profit increased, driven by narrower losses in Aramid, improved profitability in Tire Cord and stronger earnings from the Chemical segment. - QoQ: Operating profit increased on robust performance in the Chemical segment and the semi-peak season effect in the Fashion segment. 01. Earnings Overview (Unit : KRW billion) 구분 24.2Q 24.3Q 24.4Q 25.1Q 25.2Q 25.3Q 25.4Q 26.1Q 26.2Q YoY QoQ Revenue 1,257.7 1,144.3 1,298,3 1,231.6 1,258.5 1,180.6 1,202.7 1,237.4 1,356.5 98.0 7.8% 119.1 9.6% Operating Profit (margin) 61.0 (4.9%) 30.8 (2.7%) 35.8 (2.7%) 26.9 (2.2%) 45.3 (3.6%) 26.9 (2.3%) 9.8 (0.8%) 61.9 (5.0%) 98.7 (7.3%) 53.4 118.0% 36.8 59.5% Profit before tax 53.5 13.3 23.0 25.3 28.7 16.0 -24.8 84.0 85.0 56.3 196.2% 1.1 1.3% Continuing business profit 51.3 8.3 20.9 19.7 29.1 10.4 -8.2 79.7 66.0 36.9 126.7% -13.7 -17.2% Suspended business profit or loss -7.4 -12.6 29.7 0.1 0 -0.2 -0.1 0 0 0 - 0 - Net profit 43.9 -4.3 50.6 19.8 29.1 10.2 -8.3 79.7 66.0 36.9 126.7% -13.7 -17.2% * The 2024 financial statements are the reclassification of Deck Composite and the Company's film business division as a disc ontinued business. Earnings Overview Earnings Analysis Appendix Page 4
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✓ Despite spread compression caused by a sharp rise in POM feedstock costs in the ENP segment and weak performance in the automotive interior materials business, ✓ Earnings increased on a lower fixed-cost burden from higher Airbag sales, an improved mix of high-value- added Tire Cord products, and narrower Aramid losses driven by full capacity utilization and increased sales. - Revenue: KRW 581 billion, YoY -4.9%, QoQ -2.3% - Operating profit: KRW 23 billion, YoY +133.8% QoQ +16.3% Summary Page 5 02. Business Segment Results : Industrial Materials Earnings Overview Earnings Analysis Appendix Business Segment Results Borrowings, Financial Raio (Unit : KRW billion)
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- Revenue KRW 440 billion, YoY +43.2%, QoQ +28.1% - Operating profit KRW 70 billion, YoY +248.8%, QoQ +58.9% ✓ Petroleum Resin earnings increased on wider spreads and higher sales volume, supported by a favorable lag effect amid tight supply-demand conditions. ✓ mPPO, phenol and epoxy resins maintained solid profitability, while a higher CPI utilization rate contributed to earnings growth. Page 6 02. Business Segment Results : Chemical Summary Earnings Overview Earnings Analysis Appendix Business Segment Results Borrowings, Financial Raio (Unit : KRW billion)
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- Revenue KRW 311 billion, YoY +4.9% - Operating profit KRW 16 billion, YoY +110.7% ✓ Broad-based sales growth across the outdoor, golf and menswear portfolio. ✓ Operating profit improved on strong new product sales and operational efficiencies from organizational integration. Page 7 02. Business Segment Results : Fashion Summary Earnings Overview Earnings Analysis Appendix Business Segment Results Borrowings, Financial Raio (Unit : KRW billion)
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- Revenue KRW 24.3 billion, YoY -43.8%, QoQ +4.6% - Operating profit KRW -9.5 billion remaining in the red both YoY and QoQ ✓ Despite the seasonal boost from the peak golf season at subsidiary Green Narae, revenue and operating profit declined due to the termination of the operating agreement for La Vie Est Belle and the recognition of one-off expenses. Page 8 (Unit : KRW billion) Summary 02. Business Segment Results : Other Earnings Overview Earnings Analysis Appendix Business Segment Results Borrowings, Financial Raio
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02. Net Debt, Financial Ratio Borrowings & Net Debt Ratio 2,348 2,357 2,294 2,310 72% 64% 25FY 26. 2Q 2,563 2,585 2,299 2,356 57% 54% 25FY 26. 2Q Total Borrowings Net Debt Net Debt Ratio (Consolidated Basis) (Standalone Basis) 구 분 24FY 25FY 26. 2Q Debt to Equity Ratio(%) 92% 89% 87% Equity Ratio(%) 52% 53% 54% Borrowings-to Total Assets Ratio(%) 34% 33% 32% Financial Ratio Profitability Indicators (Unit : KRW billion) Page 9 Earnings Overview Earnings Analysis Appendix Business Segment Results Borrowings, Financial Raio Gross profit Margin Operating Margin EBITDA Margin (Unit : KRW billion)
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03. Appendix: Consolidated PL 24.1Q 24.2Q 24.3Q 24.4Q 24FY 25.1Q 25.2Q 25.3Q 25.4Q 25FY 26. 1Q 26. 2Q Revenue 1,142.7 1,257.7 1,144.3 1,298.3 4,843.0 1,231.6 1,258.5 1,180.6 1,202.7 4,873.4 1,237.4 1,356.5 Industrial materials 547.1 573.7 559.4 570.6 2,250.8 590.0 611.4 593.3 507.5 2,302.2 595.0 581.3 Chemical 297.3 319.7 321.5 315.4 1,253.9 343.3 307.5 316.7 282.4 1,249.9 343.7 440.2 Film/Electronic materials 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Fashion 274.0 326.6 230.5 380.8 1,211.9 262.9 296.4 227.6 377.9 1,164.7 275.5 310.9 Other 24.3 37.7 32.9 31.5 126.4 35.4 43.2 43.1 34.9 156.6 23.2 24.3 * 2023 and 2024 financial statements have been restated to reclassify the Film division as a discontinued operation, and Q1 –Q3 2024 figures have been restated to reclassify the former Deck Composite as a discontinued operation. Operating Profit 31.1 61.0 30.8 35.8 158.7 26.9 45.3 26.9 9.8 108.9 61.9 98.7 Industrial materials 32.2 40.6 29.5 25.6 127.9 10.7 9.7 22.2 -12.0 30.7 19.5 22.7 Chemical 9.6 11.1 14.3 17.0 52.0 39.1 20.0 24.1 28.1 111.4 43.9 69.8 Film/Electronic materials 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Fashion 2.4 16.1 -14.9 12.8 16.4 -0.7 7.5 -16.5 12.6 3.0 3.3 15.8 Other -13.1 -6.8 1.9 -19.7 -37.7 -22.2 8.1 -2.9 -19.1 -36.2 -4.8 -9.5 Other Gains and Losses 2.2 3.1 -5.8 -4.1 -4.8 -3.9 -13.0 -1.3 -17.4 -39.3 6.3 -9.4 Net Finance Income -6.5 -18.4 -17.0 -21.6 -64.0 -7.6 -17.8 -17.6 -43.8 -87.2 -13.3 -21.7 Profit/Loss of Associates and Gain/Loss on Disposal 4.8 7.9 6.0 12.9 31.6 9.8 14.3 7.9 26.6 58.6 29.1 17.4 Profit before tax 31.6 53.5 13.3 23.0 121.4 25.3 28.7 16.0 -24.8 41.0 84.0 85.0 Net Profit 20.3 43.9 -4.3 50.6 110.5 19.8 29.1 10.2 -8.3 51.6 79.7 66.0 (Unit : KRW billion) Page 10 Earnings Overview Earnings Analysis Appendix Consolidated PL Consolidated BS Consolidated CF Dividend policy
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03. Appendix: Consolidated BS, CF 2024FY 2025FY 26. 2Q Assets 7,248.0 7,682.5 8,074.2 Current assets 2,401.8 2,376.2 2,561.3 Non-current assets 4,846.2 5,306.3 5,512.9 Liabilities 3,475.1 3,617.5 3,745.8 Current Liabilities 2,357.1 2,245.6 2,737.0 Non-current Liabilities 1,118.0 1,371.9 1,008.8 Equity 3,773.0 4,065.0 4,328.3 Equity attributable to owners of parent 3,645.9 3,927.6 4,308.5 Capital stock 151.4 151.4 163.6 Hybrid bonds 447.2 447.2 447.2 Capital surplus 990.7 990.7 1,094.7 Retained earnings 1,525.0 1,467.7 1,569.9 Elements of other stockholder’s equity 531.6 870.6 1,033.1 Non-controlling interests 127.1 137.4 19.8 2024FY 2025FY 26 2Q Cash and cash equivalents at beginning of period 174.1 252.4 263.8 Profit (loss) 110.6 51.6 145.7 Adjustments for depreciation expense 252.4 252.4 123.9 Adjustments for amortisation expense 8.4 7.0 3.6 Purchase of property, plant and equipment, classified as investing activities -256.0 -160.5 -109.7 Purchase of intangible assets, classified as investing activities -3.6 -23.5 -2.8 Dividends paid -41.5 -59.6 -23.9 Others 8.0 -56.0 -171.4 Cash and cash equivalents at end of period 252.4 263.8 229.3 (Unit : KRW billion) Consolidated BS Consolidated CF Page 11 Earnings Overview Earnings Analysis Appendix Consolidated PL Consolidated BS Consolidated CF Dividend policy (Unit : KRW billion)
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03. Appendix: Dividend policy * Dividend payout ratios for 2021–2025 have been recalculated from a separate basis to a consolidated basis. • Dividend Source: Up to 30% of consolidated net income • Base Dividend: KRW 1,300 per common share (KRW 1,350 per preferred share) • Dividend Timing : Twice annually (Interim: KRW 600/share, Year-end: KRW 700/share + additional) • Applicable Period : 2025~2027 (3year policy) • Other : Policy subject to change based on business environment and market conditions; any changes will be re-disclosed Dividend Policy Dividend History 2025FY 2024FY 2023FY 2022FY 2021FY DPS Common share 1,300 KRW 1,300 KRW 1,300 KRW 1,300 KRW 1,300 KRW Preferred share 1,350 KRW 1,350 KRW 1,350 KRW 1,350 KRW 1,350 KRW Total Dividend 39.5 Billion KRW 39.5 Billion KRW 39.5 Billion KRW 39.5 Billion KRW 39.5 Billion KRW Dividend Yield Common share 2.1% 4.4% 2.9% 3.0% 1.8% Preferred share 4.7% 6.8% 5.6% 5.5% 3.8% Dividend Payout Ratio 103.2% 40.1% 92.4% 22.1% 20.9% Page 12 Earnings Overview Earnings Analysis Appendix Consolidated PL Consolidated BS Consolidated CF Dividend policy