▶ First financial results since the launch of the integrated entity: Revenue of KRW 2.3049 trillion, Operating Profit of KRW 190.7 billion ▶ Revenue growth driven by synergy between Hyundai and DEVELON brands via the "Regional Head System" ▶ Even growth across advanced and emerging markets; Engine business maintains double-digit operating profit margins HD Construction Equipment, formed earlier this year through the merger of HD Hyundai Construction Equipment and HD Hyundai Infracore, is realizing the effects of "One Team Synergy" following its integration. On the 27th, HD Construction Equipment announced that it recorded revenue of KRW 2.3049 trillion and an operating profit of KRW 190.7 billion for the first quarter of 2026. Compared to the same period last year, revenue rose by 22.1%, while operating profit experienced a substantial increase of 88.3%. Revenue showed a robust upward trend, driven by the complete recovery of global demand for construction equipment and accelerated growth in the industrial and defense engine sectors. Operating profit also grew significantly year-over-year, driven by improved profitability in the construction equipment division and steady earnings from the engine business. Analysts indicate that this growth results from "One Team Synergy" aligning with the market recovery since the integrated legal entity's launch on January 1st. HD Construction Equipment drove revenue growth through agile market responses from both the Hyundai and DEVELON brands, supported by a system of eight regional heads in the sales division. Furthermore, all departments—including production, sales, procurement, and R&D—secured cost competitiveness as a single team. By operating integrated assembly and delivery centers in Europe and North America, the company shortened lead times by 30% and reduced costs by 20%, enhancing both global customer responsiveness and profitability. Additionally, Chinese production bases were consolidated from the previous dual-site system (Jiangsu and Yantai) to a single site in Yantai, strengthening production and cost efficiency. Looking at performance by business segment, the Construction Equipment division recorded revenue of KRW 1.9275 trillion, a 26.9% increase from the previous year. Operating profit reached KRW 148.6 billion, achieving an operating profit margin of 7.7%. Growth was particularly driven by a balanced increase in revenue across all global regions. In emerging markets such as the Middle East&Africa, and Latin America, revenue grew sharply by 68.1% and 46.3% year-over-year, respectively, fueled by sales of ultra-large mining equipment and expanded infrastructure investment. Revenue in advanced markets, including North America and Europe, rose by 26% and 59%, respectively. In China, revenue increased by 17% compared to the previous year, driven by rising equipment demand following the expansion of overseas projects by Chinese construction firms. The Engine business division recorded revenue of KRW 336.1 billion, a 10% increase from the previous year, supported by growing sales of industrial engines and stable growth in defense engines. Operating profit reached KRW 47.3 billion, an 8% increase from the previous year, maintaining robust profitability with a double-digit operating profit margin of 14.1%. An official from HD Construction Equipment stated, "We will continue our sustainable growth by expanding construction equipment sales based on One Team Synergy and diversifying revenue streams through engines and the Aftermarket (AM) business."