COWAY (021240) Q1 2025 earnings summary

Executive summary

• Achieved double-digit revenue growth of 17.3% year-over-year, reaching historical highs in both quarterly revenue and operating profit for 1Q'25.

• Overseas subsidiaries, especially Malaysia, U.S., and Thailand, delivered robust revenue and profit growth, with the U.S. turning to operating profit.

• Total rental accounts grew 8.5% YoY to 10.6 million, with overseas accounts now comprising 36% of the total.

Financial highlights

• 1Q'25 consolidated revenue: KRW 1,174.9bn (+17.3% YoY); operating profit: KRW 211.2bn (+9.0% YoY); net profit: KRW 138.8bn (+8.8% YoY).

• Domestic business revenue: KRW 678.6bn (+10.8% YoY); overseas subsidiaries revenue: KRW 446.7bn (+25.8% YoY).

• Gross profit margin: 64.4%; operating margin: 18.0% (down 1.4pp YoY); net margin: 11.8% (down 0.9pp YoY).

Outlook and guidance

• Reached 26% of annual revenue guidance and 25% of operating profit guidance in 1Q'25, indicating strong progress toward full-year targets.

• Plans to continue strengthening market confidence and shareholder-friendly policies.