S-1 (012750) Q1 2025 earnings summary

Executive summary

• Q1 2025 consolidated revenue was KRW 674.1 billion, up 2% year-over-year but down 12% sequentially from 4Q'24, with operating income of KRW 55.1 billion and net income of KRW 42.0 billion, up 3% year-over-year and 9% sequentially.

• Security and infrastructure divisions contributed nearly equally to sales, with security at KRW 346.6 billion and infrastructure at KRW 375.3 billion.

• The company maintained its leadership in the Korean security and real estate service markets, leveraging advanced technology and a broad service network.

Financial highlights

• Gross profit margin improved to 24% in 1Q'25 from 23% in 1Q'24, with a consolidated operating margin of 8.2% and net margin of 6.2%.

• EBITDA for 1Q'25 was 98.2 billion KRW, up 8% year-over-year and 8% sequentially.

• Cash and cash equivalents at quarter-end were KRW 278.9 billion, up from KRW 213.1 billion at the previous year-end.

• Total assets stood at KRW 2.31 trillion, with liabilities of KRW 699.5 billion and equity of KRW 1.61 trillion.

• Basic and diluted EPS for Q1 2025 were KRW 1,243.

Outlook and guidance

• Results are preliminary and unaudited, subject to change after external audit.

• The security market is expected to continue growing, driven by demand for AI, IoT, and cloud-based solutions.

• Infrastructure services anticipate steady demand from the increasing number of high-rise and intelligent buildings.

• The company plans to expand smart building management and integrated security solutions, targeting both domestic and overseas markets.