Hanssem Reports Q1 Operating Profit of 6.4 Billion KRW, Down 50.4% Year-on-Year

Impact of Weakened Consumer Sentiment

Hanssem announced on May 12 that it recorded sales of 443.4 billion KRW and operating profit of 6.4 billion KRW in the first quarter of this year. These figures represent decreases of 8.7% and 50.4%, respectively, compared to the same period last year.

Net profit for the period was 9.6 billion KRW, down 80.2% year-on-year.

Hanssem explained, "Sales and operating profit decreased compared to the same period last year due to weakened consumer sentiment resulting from domestic and global economic uncertainty, delayed recovery in the real estate market caused by a reduction in large-scale housing supply, and the impact of rising exchange rates."

Hanssem plans to continue implementing strategies to strengthen competitiveness across all business divisions. In the Rehaus division, the company aims to further advance the completion of the only remodeling value chain in the domestic interior market and to enhance its nationwide sales, logistics, and construction systems. In addition, Hanssem intends to increase the average transaction value and improve profitability by strengthening its portfolio focused on mid- to high-priced product lines.

For home furnishing, the company will continue to reinforce product competitiveness, focusing on key categories such as built-in wardrobes, hotel beds, student rooms, and Saem Kids.

Hanssem stated, "Based on our strong brand power in the B2C (business-to-consumer) market, we plan to solidify our position as an industry-leading company by pursuing simultaneous growth in both B2C and B2B (business-to-business) sectors."