█ On a consolidated basis, revenue recorded KRW 204.9 billion with an operating loss of KRW 31.1 billion… The loss narrowed compared to the previous quarter due to increased sales volume from key customers and improved utilization rates driven by higher sales.
█ The company is focusing its full capabilities on securing profitability in the second half of the year through technological and marketing innovation… LOTTE Energy Materials has filed a domestic trademark application for ‘HiSTEP’, Korea’s first hybrid high-end copper foil product brand, featuring the ‘ST5H’ and ‘ST6H’ series.
█ The copper foil market for renewable energy ESS (Energy Storage Systems) is experiencing rapid growth, and the company is concentrating on improving performance through an expanded lineup of high-value-added products and supplying new customers…
█ The Malaysian plant is scheduled to begin production of high-end copper foil for EVs in 2026 to meet increasing demand from customers… The company is establishing a tailored production and supply system that includes existing Korean battery makers as well as clients in North America, Europe, and Greater China.
█ CEO Kim Yeon-Seop stated, “Through the launch of the ‘HiSTEP’ product brand, we plan to strengthen technology-driven sales and marketing targeted at global cell makers and OEMs, aiming to dominate the high-quality copper foil market.”

■ Consolidated sales recorded at 158 billion KRW, with an operating loss of 46 billion KRW due to a decline in sales volume and revenue, primarily driven by continued battery inventory adjustments by key customers.
■ Profitability expected to improve in Q2 as a result of proactive inventory reduction efforts and a gradual recovery in utilization rates following inventory depletion by customers…Turnaround anticipated in the second half with increased sales from new supply of products to North American OEMs and customer joint ventures (JVs).
■ The Company is focused on strengthening profitability and securing leadership in the high-end copper foil market for next-generation batteries… Stable supply through the Malaysian plant is expected to support this, with 2026 sales volume projected to increase 2.5 times compared to this year.

■ Pursuing ‘Copper Mark’ Certification, the responsible sourcing program from the International Copper Association (ICA)… Strengthening credibility as a battery materials supplier and establishing strong business relationships with global clients.
■ Malaysia Plant utilizes renewable hydropower, creating a positive impact for global clients emphasizing ESG (Environmental, Social, and Governance) management.
■ CEO Kim Yeon-Seop states, “To enhance the global competitiveness of our company and clients, we are committed to achieving sustainable management with a responsible supply chain and transition to eco-friendly energy.” He added, “All employees will strive for a higher level of management than global standards to achieve a sustainable business and solidify our position as a leading battery materials supplier.”

█ Recognized for its technology in high-end hybrid copper foil, LOTTE Energy Materials becomes the first Korean copper foil company to win the 2025 Interbattery Awards.
█ The product satisfies ultra-thin, high strength and long elongation at the same time and can be applied to various battery form factors and dry processes.
█ "We will respond so that 'high-end hybrid elecfoil' becomes an essential core material to improve secondary battery performance."

█ Announces preliminary 2024 consolidated sales of KRW 902.3 billion, operating loss of KRW 64.4 billion, and net profit of KRW 54.7 billion
█ Revenue increased due to diversified customer base and increased sales in North America despite industry slowdown due to electric vehicle carmaking
█ Fixed costs increased due to lower utilization rate for inventory adjustment and inventory valuation losses due to exchange rate fluctuations in overseas subsidiaries