Chunbo (27828) Q3 2024 earnings summary

Executive summary

• Revenue for Q3 2024 was KRW 37.5 billion, with cumulative 9-month sales of KRW 113.2 billion, down 38% year-over-year.

• Operating loss for the 9-month period was KRW 25.3 billion, compared to a loss of KRW 8.0 billion in the prior year.

• Net loss attributable to controlling interests was KRW 50.1 billion for the 9 months, versus a loss of KRW 41.8 billion a year earlier.

Financial highlights

• Gross margin for the 9-month period was negative, with cost of goods sold exceeding sales.

• Operating margin deteriorated due to a sharp decline in sales and persistent high costs.

• Net loss per share for the 9 months was KRW -5,048, compared to KRW -4,205 in the prior year.

• Cash and cash equivalents at quarter-end were KRW 25.5 billion, down from KRW 60.8 billion at the end of 2023.

Outlook and guidance

• Management notes ongoing market challenges but expects to maintain sufficient liquidity and capital for operations and investments.

• No material risks identified that would impact financial stability as of the reporting date.