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Q2 FY2026 Earnings ■ DB HiTek Aug.2026 Great People Great Technology Investor Relations 2026
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Review of the Q2 FY2026 financial results has not been finalized. Figures in this earnings release are subject to changes during the independent auditing process. All financial information contained in this document is based on consolidated K-IFRS. This material contains forward-looking statements which can be subject to certain risks and uncertainties that could cause actual results to differ materially. Disclaimer
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Contents 01 02 03 Q2 ‘26 Earning Results • Consolidated Financial Earning Results • Non -consolidated Financial Earning Results • Sales Breakdown Business Outlook Shareholder Return Policy • Business Outlook • China Business Outlook (Foundry ) • Demand Analysis (Foundry ) • Mid to LT Shareholder Return Policy
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Q2’26 Earning Results 01 CHAPTER • Consolidated Financial Earning Results • Non -consolidated Financial Earning Results • Sales Breakdown
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Unit: KRWbn ‘26.Q2 ‘26.Q1 QoQ Revenue 414.5 359.6 +15% - Foundry 347.0 328.9 +6% - Fabless 67.2 32.6 106% Gross Profit 163.3 128.4 +27% Margin 39% 36% +3%pt Operating Profit 105.2 66.9 +57% Margin 25% 19% +6%pt Net Profit 115.6 86.9 +33% Margin 28% 24% +4%pt ‘25.Q2 YoY 337.4 +23% 298.8 +16% 49.9 +35% 125.4 +30% 37% +2%pt 73.8 +43% 22% +3%pt 60.0 +93% 18% +10%pt 4 Q2.‘26 Financial Earning Results _ Consolidated Revenue: KRW414.5 bn(+15% QoQ, +23% YoY), Operating Profit: KRW 105.2 bn(+57% QoQ, +43% YoY) 2025 ‘26 Q2 Q3 Q4 Q1 Q2 Sales Growth (YoY) Gross Margin Operating Margin Net Profit Margin 13% 30% 37% 26% 23% 37% 36% 35% 34% 39% 22% 22% 18% 17% 25% 18% 24% 14% 22% 28% Revenue andOP up by +23% and +43 YoY, Core strengthen intact ; Certainsubsidiariesunderperformed ※ Note: DB World’s ferrosilicon has been classified as a discontinued operation following itssuspension ; 2025 ~ 2026 financials restated accordingly. ※ Note: 1) DB World’s ferrosilicon recognized a KRW 9.8bn impairment loss on PPE in Q425 2) One –off expense of KRW 221bn reflected due to the contribution of treasury shares t to the in house employee welfare fund. In Q126 3) DB World’s ferrosilicon recognized as a KRW 38.9bn impairment loss in Q226
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Unit: KRWbn ‘26.Q2 ‘26.Q1 QoQ Revenue 347.0 328.9 +6% COGS 198.6 208.0 -5% Gross Profit 148.4 120.9 +23% Margin 43% 37% +6%pt Operating Profit 104.6 73.8 +42% Margin 30% 22% +8%pt EBITDA 145.1 113.7 +28% Margin 42% 35% +7%pt Net Profit 104.1 80.8 +34% Margin 30% 24% +7%pt ‘25.Q2 YoY 298.7 +16% 184.4 +8% 114.3 +30% 38% +5%pt 74.2 +41% 25% +5%pt 113.9 +27% 38% +4%pt 56.8 +91% 19% +12%pt Revenue and OP grow 16% and 41% YoY, driven by full-capacity operations and the first post-COVID px hikes partially reflected starting June 5 ※ Note: Treasury stock disposal of 244,991shs(Jan 21, 2026) , for a KRW 22.1bn contribution to the employee welfare Fund. Revenue: KRW347.0 bn(+6% QoQ, +16% YoY), Operating Profit: KRW 104.86bn(+42% QoQ, +41% YoY) Q2.’26 Financial Earning Results _ Non-consolidated 2025 ‘26 Q2 Q3 Q4 Q1 Q2 Sales Growth (YoY) Gross Margin Operating Margin EBITDA Margin Net Profit Margin 13% 27% 34% 21% 16% 38% 42% 39% 37% 43% 25% 29% 24% 22% 30% 19% 32% 20% 24% 30% 38% 42% 37% 35% 42%
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6 Q2.’26 Revenue Breakdown <By Product> <By Application> <By Region> 65% 70% 69% 15% 11% 14% 8% 8% 6% 5% 4% 4% 7% 6% 6% '25.Q2 '26.Q1 '26.Q2 BCD DDI MS SJ MOSFET CIS Others 62% 60% 62% 11% 12% 12% 13% 12% 12% 9% 12% 10% 4% 4% 4% '25.Q2 '26.Q1 '26.Q2 CHN US/EU KOR TWN JPN 55% 48% 52% 18% 15% 12% 11% 18% 19% 12% 12% 12% 2% 4% 3% '25.Q2 '26.Q1 '26.Q2 Consumer Communication Industrial Automotive Computer Medical StrongBCD demand continues, with increasing mix in industrial〮 automotive segment ; DDI andChina expand on subsidiary(DBGC, Fabless) earnings recovery
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Business Outlook 02 CHAPTER • Business Outlook • China Business Outlook (foundry) • Demand Analysis (foundry)
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H2.’26 Business Outlook Parent - Rising UTR for 2nd-tier mature foundries : Projected at 84% in 2026 and 91% in 2027 (Source : UBS, 2nd tier : UMC, SMIC, VIS, PSMC HHS) - High 8-inch foundry UTR : Remains strong starting in China in 2025, expands globally in 2026 - Favorable pricing trends : Price hikes implemented in H1 2026 are mainly being driven by TSMC〮SEC’s 8-inch supply reduction, as supply shortages continue to intensify in H2 - Supply tightness : Intensifying supply allocation constraints for customers, amidst continued full UTR and order backlog growth - Market expansion : Expanding into high-demand markets like data centers〮robotics alongside high value BCD mix - Pricing strategy : Spreading price hikes from BCDs to DDI with a second round scheduled in H2 2026 Affiliated Co. 8 - Revenue impact : TV market weakness persists, while new mobile DDI models drive top-line growth in Q2 and 3Q, through backend cost pressure weighs on profitability from Q3 2026 - Structural improvement : Ferroalloy business suspension in May impacts consolidated revenue, while driving structural improvements in profitability, leverage and cash flow
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✓ China’s semiconductor self-sufficiency drive : 8-inch foundry UTR remains at full capacity, while SMIC 〮 HHG continue 12-inch migration ✓ Mature node demand : Supported by automotive recovery and expanding application including AI server and robotics, etc. ✓ Foundry pricing : Additional price increases under consideration in H2 following initial increases in H1 2026 ✓ Industry pricing : Price increases expanding from foundries to fabless 〮 IDMs in H2 2026 - Infineon 〮 TI : Broad –based price increases implemented across customers (July 2026) ✓ Automotive pricing environment : Lean automotive semiconductor inventories supported price increases in H2 2026, despite automakers’ pricing resistance ✓ FULL UTR : Tightening 8-inch supply and China’s semiconductor self-sufficiency drive expected to sustain full UTR, with allocation shortages intensifying in H2 2026 ✓ Growth strategy : Expanding by BCDs demand in industrial 〮 automotive markets, supported by new design wins in robotics and AI servers ✓ Pricing strategy : Continued px hikes and product-mix enhancement expected to improve ASP〮 profitability - Additional price increase planned in H2 2026 following the initial increase in H1 2026 ✓ Capacity expansion : HV BCDs capacity expansion planned to address growing TI replacement demand and increasing customer demand for HV BCDs 9 China Business Outlook _ Foundry Market Company Strategy
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10 97% 98% Demand Analysis _ Foundry Demand has rebounded since Q1 2025 with utilization projected to remain above 98% beyond 2026 Solid growth on Analog Power, main products Improvement on Specialty CIS Business Strategy Expansion of AI application fields Expansion of high-voltage (HV BCD, MOSFET) lineup Expansion of new processes (Si Capacitor, GaN) ※ Capacitor is a product that temporarily stores electricity: Even if the battery sends current, the distance to the semiconductor means the current cannot be supplied immediately; the capacitor quickly supplies current until it reaches the semiconductor. Utilization for 2025 Utilization for 2026 Growth primarily in HA and Communication segments Growth primarily in Auto and Industrial segments
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Shareholder Return Policy 03 CHAPTER • Mid to LT Shareholder Return Policy
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※ 1) Cancellation of 894K shares in 2025 2) Additional 592K shares scheduled for cancellation in 2026 FY2025Shareholder Return Ratio31% Compliance with FY2023~2027 Shareholder Return Policy, announced on Dec.28 2023 $ Strengthening IR Activities Restricted Stock Unit Compensation (2025) Enhancing Responsible MGMT RCU 30% Dividend PayoutRatio 10% → 10~20% Shareholder Return Ratio Improving Procedure of Dividend Distribution Designating shareholders who will receive dividend payouts after they determine dividend amounts. Disclosure/IR Service in English Share Buyback Providing English Disclosure and quarterly earnings materials in English stating 2024 - Disclosing the quarterly preliminary financial results in 2023 - IR for foreign investors starting 2H 2024 Shareholder Return Policy 12
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Thank you IR Contact Info: hyeyon.park@dbhitek.com