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3Q 2026 Earning Release 2026 Oct 28th
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Disclaimer This report has been prepared by HD Hyundai Heavy Industries Co., Ltd., indicated as "Company" below for the purpose of promoting understanding of the company's business activities and it is prohibited to export, copy or redistribute the report. "Predictive information" contained in this report is information that has not been subjected to individual verification. This refers to information related to future events, such as expected future management status and financial performance of the company. In terms of expressions, vocabulary such as ' prediction',' forecast ',' plan ',' expectation’, ‘(E) ' are inclu ded. The above "forecast information" is influenced by changes in the future business environment and inherently contains uncertainties. As a result of such uncertainties, actual future performance may significantly differ from those stated or implied in the "forecast information". Furthermore, the outlook is based on current market conditions and the direction of the company management. Please be advised that changes may occur due to changes in the market environment and strategies, and are subject to change without notice. Please note that the Company and its employees do not bear any responsibility for any loss resulting from the use of this material. (Including negligence and other cases) Please do not copy or distribute this material as it contains the confidential information of the Company.
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Contents 1. 3Q 2026 HD HHI Consolidated Earnings 2. Consolidated Financial Results by Business Segments 3. Non-operating Profit and Net Income 4. Financial Ratios
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4 1. 3Q 2026 HD HHI Consolidated Earnings 3Q26 Earnings Sales : Sales decreased -9.1% QoQ, due to fewer working days and KRW appreciation. Categories 3Q25 2Q26 3Q26 QoQ(%) Y o Y(%) Sales 4,417.9 6,332.2 5,753.6 -9.1 30.2 Operating Profit 557.3 1,039.9 899.2 -13.5 61.3 OPM(%) 12.6% 16.4% 15.6% -0.8p 3.0p Non-operating Income 13.5 116.4 -424.3 - - Net Income 430.8 822.1 354.3 -56.9 -17.8 Net Income in Controlling Interest 430.8 822.1 354.3 -56.9 -17.8 OP: OP decreased -13.5% QoQ drivenby weaker profitability of Shipbuilding from fewer working days, FXimpact and one-off costs. (Unit: bn KRW) Note1 : K-IFRS Consolidated Financial Statements Basis Note2 : HD Hyundai Mipo’s performance results are not reflected in 2Q25 since HD Hyundai Mipo was merged as of December 1, 2025
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5 2. Consolidated Financial Results by Business Segments Financial Results by Business Segments Categories 3Q 2025 2Q 2026 3Q 2026 Sales Operating Profit Sales Operating Profit Sales Operating Profit % % % Ship- building Commercial Shipbuilding 2,683.5 345.9 12.9 4,677.3 833.2 17.8 4,141.8 607.7 14.7 Naval Shipbuilding 371.3 51.1 13.8 301.0 18.0 6.0 257.0 38.6 15.0 Sub-Total 3,054.8 397.0 13.0 4,978.3 851.2 17.1 4,398.8 646.3 14.7 Offshore Plant 280.8 0.5 0.2 377.2 60.1 15.9 379.9 126.5 33.3 Engine & Machinery 1,060.3 220.2 20.8 952.2 236.4 24.8 951.1 229.9 24.2 Others 22.0 -60.4 - 24.5 -107.8 - 23.8 -103.5 - Total 4,417.9 557.3 12.6 6,332.2 1,039.9 16.4 5,753.6 899.2 15.6 (Unit: bn KRW) Note1 : K-IFRS Consolidated Financial Statements Basis Note2 : HD Hyundai Mipo’s performance results are not reflected in 2Q25 since HD Hyundai Mipo was merged as of December 1, 2025
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6 YoYQoQ Shipbuilding Offshore Plant Engine & Machinery Decreased due to fewer working days and unfavorable FX impact Increased due to higher progress on the Ruyaproject Remained flat supported by higher ASP andimproved product mix, despite KRW appreciation -11.6% 44.0% -0.6% 33.6% -0.1% -10.3% (Unit: bn KRW) Sales Analysis by Segments 3,054.8 4,978.3 4,398.8 280.8 377.2 375.1 1,060.3 952.2 951.1 3Q25 2Q26 3Q26 Shipbuilding Offshore Plant Engine & Machinery 6,332.2 5,753.6 Note1 : K-IFRS Consolidated Financial Statements Basis Note 2 : HD Hyundai Mipo’s performance results are not reflected in 2Q25 since HD Hyundai Mipo was merged as of December 1, 2025 Note 3 : HD Hyundai Heavy Industries Shipbuilding Segment includes mid-sized vessels(formerly HD Hyundai Mipo) and naval vessels(formerly the special vessel segment) 4,417.9 2. Consolidated Financial Results by Business Segments
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7 397.0 851.2 646.3 0.5 60.1 126.5 220.2 236.4 229.9 3Q25 2Q26 3Q26 Shipbuilding Offshore Plant Engine & Machinery YoYQoQ Shipbuilding Offshore Plant Engine & Machinery Decreased due to sales decline from FX impact and fewer working days Increased significantly on higher revenue and C/O recognition from Offshore (KRW 18bn) Maintained solid profitability despite lower sales, supported by a high proportion of D/F engine -24.1% 62.8% 110.5% -2.7% 4.4% (Unit: bn KRW) 2. Consolidated Financial Results by Business Segments Operating Profit Analysis by Segments Note1 : K-IFRS Consolidated Financial Statements Basis Note 2 : HD Hyundai Mipo’s performance results are not reflected in 2Q25 since HD Hyundai Mipo was merged as of December 1, 2025 Note 3 : HD Hyundai Heavy Industries Shipbuilding Segment includes mid-sized vessels(formerly HD Hyundai Mipo) and naval vessels(formerly the special vessel segment) 25,200% 899.2 557.5 1,039.9
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8 3Q26 Operating Profit Financial Cost Gain/Loss on Foreign Exchange Etc. Income before Income Taxes Income Taxes Net Income 3. Non-Operating Profit and Net Income (Unit: bn KRW) 3Q26 Non-operating Profit and Net Income -10.5 334.2 Main breakdown of Gain/Loss on Foreign Exchange Foreign Exchange Profit and Loss -698.0 bn KRW Derivative Gains and Losses 3,421.2 bn KRW Firm Contract Valuation Gains and Losses -3,123.8 bn KRW 899.2 25.9 -400.6 474.9 120.6 354.3 -49.6
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9 4. Financial Ratios Consolidated Liabilities Ratio 13,686.5 16,821.4 17,733.0 239.9% 180.1% 173.5% 2024 2025 3Q26 -238.0 -2,927.0 -5,072.0 -4.2% -31.3% -49.6% 2024 2025 3Q26 Net Borrowings Ratios Total Liabilities Total Liabilities Ratio Net Borrowings Net Borrowings Ratio Categories 3Q26 2025 2024 Current Assets 16,740.2 14,980.0 10,403.1 Cash & Cash Equivalents 5,537.5 3,572.4 1,388.9 Total Assets 27,951.6 26,163.0 19,390.9 Current Liabilities 16,501.3 15,332.6 11,796.2 Debt 465,5 645.4 1,150.9 Total Liabilities 17,733.0 16,821.4 13,686.5 Others 6,932.3 6,947.7 4,416.1 Retained Earnings 3,286.3 2,393.9 1,288.3 Total Equity 10,218.6 9,341.6 5,704.4 Consolidated Statement of Financial Positions (Unit: bn KRW) (Unit: bn KRW) (Unit: bn KRW) Note1 : K-IFRS Consolidated Financial Statements Basis Note 1 : The Financial Statements as of the end of 2025 were prepared on a post-merger basis following the merger of HD Hyundai Mipo and HD Hyundai Heavy Industries