█ Consolidated revenue of KRW 677.5 billion and operating loss of KRW 145.2 billion in 2025; Debt ratio stands at a stable 23.1% as of Q4 2025.
█ Strategic shift from scale-driven growth to profitability enhancement through qualitative growth, along with efficient investment to secure next-generation battery materials and future core competitiveness.
█ CEO Kim Yeon-seop said, “We will focus our capabilities on expanding sales of Elecfoil for PCB for AI applications and preempting the market through industry-standardization of high-end Elecfoil for Secondary Battery,” and added, “In alignment with the localization of the value chain pertaining to AI substrate materials, the Iksan plant—the only Elecfoil for PCB facility in Korea—will expedite the transition to Elecfoil for PCB lines, whereas the Malaysia plant will enhance its operational efficiency through the diversification of its portfolio of high-end Elecfoil for Secondary Battery products tailored for ESS and mobile applications.”

█ Major executives from Korea and overseas, including the CEO, Kim Yeon-seop, attended the meeting, which was held over two days on Tuesday the 13th and Wednesday the 14th at the Iksan Plant.
█ For the Elecfoil for PCB business, the company will respond to growing demand for high value-added circuit foil for AI applications by expanding capacity at the Iksan Plant, the only circuit foil production base in Korea… Through “speed” and “execution capability,” the company aims to rapidly establish customers within the global value chain.
█ For the Elecfoil for Secondary battery business, the company will focus on enhancing execution capabilities at its Malaysia plant and diversifying its product portfolio… By advancing Phase 2 innovation activities under the RISE 1000 project, the company seeks to secure world-class cost competitiveness.
█ The CEO, Kim Yeon-seop stated, “We will strongly promote innovation across our entire operating system by integrating data-driven AI technologies centered on production, quality, and R&D,” and added, “Beyond short-term performance improvements, we will devote ourselves to laying the foundation for a leap forward through the structural transformation of our business.”

█ First TECH DAY since the company’s establishment… Providing customized technologies by product applications such as high-value AI circuit foil and ESS copper foil.
█ Responding to growing demand for high-value AI circuit foil through the Iksan plant, Korea’s only circuit-foil production base… Unveiling five ultra-low-profile AI-network copper foil product lineups enabling maximized power efficiency and ultra-low-latency transimission.
█ Showcasing differentiated technologies of the high-end battery copper foil ‘HiSTEP’… A product that simultaneously delivers high strength and high elongation, enabling early mass production and product specialization aligned with customers’ product roadmaps.
█ Securing next-generation battery materials such as LFP cathode materials, sulfide-based solid electrolytes, and next-generation anode current collectors for all-solid-state batteries to strengthen future core competitiveness.

█ On a consolidated basis, sales recorded KRW 143.7 billion with an operating loss of KRW 34.3 billion… sales declined compared to the previous quarter due to delayed utilization recovery following reduced electric vehicle (EV) sales from major customers.
█ Gradual performance improvement expected through diversification of product applications such as high-value circuit copper foil for AI and battery foil for energy storage systems (ESS)… expansion of AI-related high-value circuit foil business through strategic collaboration with domestic customers and proactive capacity (CAPA) expansion.
█ Expanding high-value circuit foil production capacity for AI by converting the Iksan plant’s battery foil line to circuit foil line for AI… strengthening the competitiveness of the Iksan plant, Korea’s only circuit foil manufacturing base, to meet global big tech companies’ demand for non-China materials and ensure stable supply for customers.
█ Targeting increased sales through differentiated products for various ESS applications… reinforcing collaboration with existing customers centered on the North American region and actively exploring new customers.
█ CEO Kim Yeon-seop stated, “We will swiftly respond to market uncertainties and secure future growth opportunities by transforming our product portfolio to include high-value circuit foils for AI and battery foils for ESS applications.”

█ 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.”