New Risk • Mar 30
New major risk - Revenue and earnings growth Earnings have declined by 7.3% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (19% operating cash flow to total debt). Earnings have declined by 7.3% per year over the past 5 years. Minor Risks Paying a dividend despite being loss-making. Market cap is less than US$100m (₩19.4b market cap, or US$12.8m). Announcement • Mar 24
STO Co., Ltd. (KOSDAQ:A098660) announces an Equity Buyback for KRW 1,000 million worth of its shares. STO Co., Ltd. (KOSDAQ:A098660) announces a share repurchase program. Under the program, the company will repurchase up to KRW 1,000 million worth of its common stock. The purpose of the program is stabilization of stock price and enhancement of shareholder value. The program will expire on December 30, 2026. As of March 23, 2026, the company had 362,483 shares available for acquisition within the dividend-eligible range and 1,245 shares from other stocks. Upcoming Dividend • Dec 22
Upcoming dividend of ₩40.00 per share Eligible shareholders must have bought the stock before 29 December 2025. Payment date: 27 April 2026. The company is not currently making a profit but it is cash flow positive. Trailing yield: 2.3%. Lower than top quartile of South Korean dividend payers (3.6%). In line with average of industry peers (2.4%). 
