MFM Korea, Audit Opinion 'Unqualified'... Separate Basis Operating Profit Turns Positive

MFMC Korea announced on the 22nd that it has submitted an audit report with an unqualified opinion.

The company explained that although it was designated as a management item due to continuous business losses before income tax exceeding 50% of equity on a consolidated basis for two fiscal years out of the last three years caused by the poor performance of its subsidiaries, it is encouraging that it recorded an operating profit of approximately 5.7 billion KRW on a separate basis, turning profitable for the first time in four years since 2019.

Regarding this, a company representative stated, “The reason for the designation as a management item was due to sales discounts from our U.S. subsidiary,” adding, “In 2024, we will do our best to quickly resolve the management item designation by improving profitability through sales expansion, financial structure improvement, and business restructuring of the subsidiary, aiming to return to profitability on a consolidated basis as well.”

Meanwhile, MFMC Korea also revealed that it is continuously reviewing new business ventures and believes that the new businesses to be undertaken in the future will have an impact on escaping the management item status this year.