Core Perspective - A group of South Korean farmers, led by Hwang Seong-yeol, has filed a lawsuit against Korea Electric Power Corporation (KEPCO) and its subsidiaries, claiming that their reliance on fossil fuels has exacerbated climate change, leading to agricultural losses [3][4][9]. Group 1: Lawsuit Details - The lawsuit is the first of its kind in South Korea, questioning the quantification of power companies' contributions to climate change and the resulting agricultural damage [4]. - The plaintiffs are seeking initial damages of 5 million won ($3,400) per farmer, with a symbolic request for 2,035 won ($1.4) each to advocate for the phase-out of coal power by 2035 [11]. - KEPCO produced approximately 30% of South Korea's greenhouse gas emissions from 2011 to 2022, which corresponds to about 0.4% of global emissions [10]. Group 2: Impact on Agriculture - Farmers are experiencing significant crop damage due to increasingly erratic weather patterns attributed to climate change, with Hwang expecting a yield reduction of 20% to 25% this year [6][8]. - The South Korean government reported that extreme weather events in 2024 led to "agricultural disasters," affecting thousands of hectares of cropland, particularly rice [8]. - Farmers are facing higher production costs and must use more labor and pesticides to manage the impacts of climate change on their crops [17]. Group 3: Energy Transition Challenges - South Korea's energy mix in 2024 included only 10.5% renewable energy, with KEPCO subsidiaries relying on coal for over 71% of their electricity production [11]. - Experts highlight that KEPCO's significant debt, exceeding 200 trillion won ($137 billion), limits its ability to invest in renewable energy and modernize the power grid [12]. - The slow transition to renewable energy in South Korea may hinder the country's ambitions in advanced technology sectors, as global pressure mounts for cleaner energy operations [16].

Financial Data and Key Metrics Changes - The consolidated operating profit for Q3 2025 was KRW 11.541.4 trillion, with sales revenue increasing by 5.5% to KRW 73 trillion [4][5] - Electricity sales revenue reached KRW 70 trillion, up by 5.9%, while other revenue, including overseas business income, decreased by 0.9% to KRW 3.115 trillion [4][5] - Cost of sales and SG&A expenses totaled KRW 62.205 trillion, down by 2.7%, with fuel costs decreasing by 16% to KRW 14.026 trillion [5] Business Line Data and Key Metrics Changes - Electricity sales volume in Q3 reached 419.9 terawatt hours, up 0.4% year-over-year, primarily due to a summer heat wave [6] - For the full year of 2025, electricity sales are projected to decline slightly due to lower economic growth and a downturn in the manufacturing sector [6] Market Data and Key Metrics Changes - The bituminous coal price was around $105 per tonne, while LNG prices based on JKM were approximately $1,000 per tonne [7] - The generation mix for nuclear power increased due to new nuclear power plants coming online, while coal generation remained stable and LNG generation decreased slightly [7][8] Company Strategy and Development Direction - The company expects an increase in nuclear generation and a decrease in coal generation for 2025, with a maintained LNG mix [8] - The company is closely monitoring interest rate volatility and its impact on short-term corporate bonds, indicating a proactive approach to financial management [13] Management's Comments on Operating Environment and Future Outlook - Management highlighted the need for further investments in the power grid to support renewable energy and stable electricity supply, reinforcing the necessity for tariff increases [19] - The company is exploring opportunities in the U.S. nuclear market and is looking into various options for participation [23] Other Important Information - As of 2025, borrowings stood at KRW 86.1 trillion on a separate basis [9] - The RPS costs for 2025 were KRW 2.876 trillion on a consolidated basis [8] Q&A Session Summary Question: Impact of interest rate volatility on corporate bonds - Management acknowledged monitoring the situation closely but reported no special signs detected yet [13] Question: Introduction of localized marginal pricing - The wholesale pricing system is expected to be introduced in 2025, followed by retail pricing in 2026 [14] Question: Basis for potential electricity tariff increases - Management indicated that the need for investments in grid expansion and achieving greenhouse gas reduction targets would be strong bases for tariff increases [19] Question: Updates on nuclear power projects in the U.S. - Management stated they are exploring various options for participation in the U.S. nuclear market [23] Question: Status of HVDC project and its impact on transmission capacity - The first phase of the HVDC project is expected to be completed by October 2026, providing an additional four gigawatts of transmission capacity [23] Question: Exchange rate volatility and its impact on fuel costs - Management confirmed that they have an open position regarding foreign exchange rates and settle LNG prices based on average exchange rates [34] Question: Future directions for shareholder return policy - Management stated that the dividend policy will consider the net profit of the year, but specific details could not be disclosed at this time [40]

IR Newsletter (Results for 3Q 2025) Nov. 2025 2 Ⅰ. Earnings Results ◎ Overview (KRW bn) 354.5 312.5 42.0 33.9 393.7 346.2 47.5 42.7 Sales Operating Expenses Operating Profit Net Profit 3Q 2024 3Q 2025 +5.5bn(+13.1%) +8.8bn(+26.0%) +33.7bn(+10.8%) +39.2bn(+11.1%) 3 Ⅱ. Earnings Review Contents Ⅰ. Earnings Results ------------------------------------------------- 3 Ⅱ. Earnings Review ------------------------------------------------- 4 Ⅲ. Consolidated financial statements ------------------------------ 6 Ⅳ. Pla ...

Core Insights - Saudi Power Procurement Co. has awarded five renewable energy projects with a total capacity of 4,500 MW and investments exceeding SAR 9 billion ($2.4 billion) [2] - The projects are part of the sixth phase of the National Renewable Energy Program, overseen by the Ministry of Energy [2] Wind Power Project - The Dawadmi wind energy project has a capacity of 1,500 MW and achieved a production cost of 5.01760 halalas/kWh ($1.33803/kWh), setting a new world record for the lowest levelized cost of energy (LCOE) for wind power [3][7] Solar Energy Projects - The Najran solar energy project has a capacity of 1,400 MW and an LCOE of 4.11307 halalas/kWh ($1.09682/kWh), marking the second-lowest global cost for solar power generation [4][7] - The Ad Darb solar PV IPP plant has a capacity of 600 MW and an LCOE of $1.36070/kWh (5.10262 halalas/kWh) [5] - The Samtah solar PV IPP has a capacity of 600 MW with a production cost of 5.57544 halalas/kWh ($1.48678/kWh) [5] - The As Sufun Solar PV IPP plant has a capacity of 400 MW and a production cost of 5.65074 halalas/kWh ($1.50686/kWh) [6] Future Projections - By the end of 2025, the total renewable energy capacity tendered is expected to reach 64 GW, with 43.2 GW of power purchase agreements already signed, including 12.3 GW that are commissioned and connected to the national grid [8]

Core Insights - The article emphasizes the investment opportunities in the Clean Energy economy, particularly focusing on nuclear energy as a key area for growth [1]. Group 1: Company and Industry Overview - The investment group Green Growth Giants is led by Manika Premsingh, a macroeconomist with over 20 years of experience in investment management, stock broking, and investment banking [2]. - The subscription service offers access to a Nuclear Energy Portfolio and regular updates on portfolio stocks, highlighting the potential for high performance in this sector [1]. Group 2: Market Positioning - The coverage includes rare stocks within the nuclear energy sector and rankings of ETFs based on proprietary methodologies, indicating a comprehensive approach to identifying investment opportunities [1].

Core Insights - The Pulau Indah Power Plant is a significant advancement in Malaysia's energy sector, showcasing collaboration between federal and state levels to achieve energy security and sustainable growth [1][2][3] - The project is part of Malaysia's National Energy Transition Roadmap, emphasizing the shift from coal to cleaner energy sources [2][3] - The plant, with a capacity of 1,200 megawatts, utilizes advanced turbine technology to lower emissions and supports future expansions in solar, hydro, and hydrogen energy [3][5] Project Details - The Pulau Indah Power Plant is a combined-cycle gas turbine facility located in Pulau Indah, owned by a joint venture between Worldwide Holdings Berhad and Korea Electric Power Corporation [5][6] - The plant commenced commercial operations on March 1 under a 21-year Power Purchase Agreement with Tenaga Nasional Berhad, creating over 2,500 job opportunities during its development [5] - The project is situated on a 60-acre reclaimed site and is classified as a High-Impact Project under the First Selangor Plan [6] Future Directions - The Deputy Prime Minister encouraged further exploration of opportunities in hydrogen and floating solar technologies, as well as green power purchase agreements to enhance sustainability [4] - The project is seen as a foundation for developing an energy ecosystem that aligns with global sustainability standards [4]

Group 1 - The research service "Asia Value & Moat Stocks" targets value investors looking for Asia-listed stocks with significant discrepancies between price and intrinsic value, focusing on deep value balance sheet bargains and wide moat stocks [1][2] - Korea Electric Power Corporation (NYSE: KEP) is currently rated as a "Buy," with anticipated triggers for re-rating including an increase in electricity prices and a new nuclear-related joint venture [1]

Financial Performance - KEPCO's total sales for the first half of 2025 reached 46,174 billion Won, an increase of 2,408 billion Won or 5.5% compared to the same period in 2024[15]. - Operating profit for the first half of 2025 was 5,889 billion Won, up 130.9% from 2,550 billion Won in the first half of 2024[15]. - Net income for the first half of 2025 increased to 3,538 billion Won, a rise of 398.3% compared to 710 billion Won in the same period last year[15]. - Electricity sales increased from 42,995 billion Won in the first half of 2024 to 45,462 billion Won in 2025, reflecting a growth of 5.7%[10]. - Nuclear generation sales surged from 6,094 billion Won to 8,206 billion Won, marking a significant increase of 34.6%[10]. - The company reported a significant increase in revenue, achieving $1.5 billion in Q1 2025, representing a 20% year-over-year growth[24]. - User data showed a 15% increase in active users, reaching 10 million by the end of Q1 2025[24]. - The company provided an optimistic outlook for the next quarter, projecting a revenue growth of 25%[24]. - New product launches are expected to contribute an additional $200 million in revenue by Q2 2025[24]. - The company aims to improve operational efficiency, targeting a 5% reduction in costs by the end of 2025[24]. Financial Management and Governance - The company plans to enhance its mid-to-long-term financial management plan for 2025-2029, which was approved by the board of directors[22]. - Approval of forming Director Nomination Committee and evaluation standards for non-standing director candidates was unanimously supported[23]. - Approval of the revised relocation plan for the Gyeonggi Materials Management Center received full support from directors[23]. - The safety management plan for 2025 was approved with unanimous consent from all directors[23]. - The annual management report for commercial papers in 2024 was presented as an agenda item[23]. - The headquarters organizational enhancement plan was reported as an agenda item[23]. - The annual general meeting of shareholders for fiscal year 2024 was called for approval[23]. - Consolidated and separate financial statements for fiscal year 2024 were approved, with some directors absent during the vote[23]. - The maximum aggregate amount of remuneration for directors in 2025 was approved with unanimous support[23]. - Reports on internal control over financial reporting for fiscal year 2024 were presented as agenda items[23]. - Audit results for 2024 were reported as an agenda item[23]. Assets and Liabilities - KEPCO's total assets as of June 30, 2025, were 249,900 billion Won, up 3,092 billion Won from 246,808 billion Won at the end of 2024[15]. - Current assets as of June 30, 2025, totaled W 29,255,205 million, compared to W 28,950,092 million at the end of 2024, showing a slight increase of about 1.1%[61]. - Total liabilities as of June 30, 2025, were W 206,232,333 million, a marginal increase from W 205,444,962 million at the end of 2024[62]. - Total equity as of June 30, 2025, was W 43,667,339 million, up from W 41,362,833 million at the end of 2024, reflecting an increase of approximately 5.6%[62]. - The company reported finance income of W 2,150,192 million for the six-month period ended June 30, 2025, compared to W 1,698,386 million in 2024, marking an increase of about 26.6%[63]. - The cost of sales for the six-month period ended June 30, 2025, was W 38,776,486 million, a decrease from W 39,763,950 million in 2024, indicating a reduction of approximately 2.5%[63]. - The company’s retained earnings increased to W 21,195,909 million as of June 30, 2025, compared to W 18,523,337 million at the end of 2024, representing a growth of about 14.4%[62]. - The company’s cash and cash equivalents as of June 30, 2025, were W 2,382,979 million, an increase from W 1,925,749 million at the end of 2024, reflecting a growth of approximately 23.7%[61]. Investments and Acquisitions - The company reported a total of 9,925 intellectual property rights, including 5,315 patents as of June 30, 2025[13]. - The company is expanding its market presence in Saudi Arabia, with plans to invest $300 million in local infrastructure[24]. - A strategic acquisition of a competitor is anticipated to enhance market share by 10%[24]. - The company is focusing on R&D for new technologies, allocating $50 million for innovation in renewable energy solutions[24]. - The company has a 100% ownership in several subsidiaries involved in power generation, indicating a strong control over its core operations[159]. - KEPCO's commitment to renewable energy is reflected in its various power generation subsidiaries, including the 100% owned Yeong Yang Corporation Co., Ltd.[161]. - The Group acquired a 14.3% equity interest in Commerce and Industry Energy Co., Ltd. during the reporting period[163]. - The company has a 100% ownership in Korea Power Exchange, with a book value of W 270,924 million and an acquisition cost of W 127,839 million[181]. Legal and Regulatory Matters - KEPCO and its subsidiaries are engaged in 724 lawsuits as defendants, claiming 1,064 billion Won[41]. - The Government of the Republic of Korea holds 18.20% of shares, while Korea Development Bank holds 32.90%[35]. - The company plans to file the Form 20-F for the fiscal year 2024 with the U.S. Securities and Exchange Commission[33]. - Significant restrictions on subsidiaries include limitations on capital expenditures and dividend payments, requiring prior consent from financial institutions[176]. Employee and Director Information - Attendance rate for standing directors was 75% for the six-month period ended June 30, 2025[26]. - Total remuneration for standing directors amounted to 433,286 thousand Won, averaging 72,214 thousand Won per person[37]. - Total number of employees is 22,653, with average salaries of 44,391 thousand Won per person[39]. - The average service year for employees is 14.9 years[39]. Sustainability and Corporate Responsibility - The company is committed to sustainability, with plans to reduce carbon emissions by 40% by 2025[24].

Group 1 - Two stocks in the utilities sector are signaling potential warnings for momentum-focused investors [1] - The Relative Strength Index (RSI) is a key momentum indicator, with values above 70 indicating overbought conditions [2] - Major overbought stocks identified in the sector include Korea Electric Power Corp and Genie Energy Ltd [3] Group 2 - Korea Electric Power Corp has frozen electricity rates for Q3, resulting in a 20% stock increase over the past five days, with a 52-week high of $12.68 and an RSI value of 82.7 [6] - Genie Energy reported a first-quarter adjusted EPS of 42 cents, up from 33 cents a year ago, with a stock gain of around 30% over the past month and a 52-week high of $28.00, having an RSI value of 91.2 [6]

[FORM 6-K Report of Foreign Private Issuer](index=1&type=section&id=FORM%206-K%20Report%20of%20Foreign%20Private%20Issuer) [Signatures](index=2&type=section&id=Signatures) The report was signed by Joo, Hwa-Sik, Vice President, on June 17, 2025, under the Securities Exchange Act of 1934 - The report was signed by **Joo, Hwa-Sik, Vice President**, on **June 17, 2025**[5](index=5&type=chunk) [Table of Contents](index=3&type=section&id=Table%20of%20Contents) [Independent Auditors' Review Report](index=5&type=section&id=Independent%20Auditors'%20Review%20Report) Auditors reviewed Q1 2025 interim financial statements under K-IFRS 1034, concluding fair presentation without an audit opinion - The condensed consolidated interim financial statements for the three-month period ended March 31, 2025, were reviewed in accordance with **K-IFRS No. 1034, 'Interim Financial Reporting'**[9](index=9&type=chunk)[10](index=10&type=chunk)[13](index=13&type=chunk) - The auditors did not express an audit opinion, as the scope of a review is substantially less than an audit[12](index=12&type=chunk) - Comparative financial statements for March 31, 2024, were reviewed by another auditor, and the consolidated statement of financial position as of December 31, 2024, was audited by another auditor with an unmodified opinion[15](index=15&type=chunk)[16](index=16&type=chunk) [Consolidated Interim Statements of Financial Position](index=7&type=section&id=Consolidated%20Interim%20Statements%20of%20Financial%20Position) Total assets, liabilities, and equity increased as of March 31, 2025, with assets at **W249,913,097 million** and equity at **W43,111,122 million** Consolidated Interim Statements of Financial Position (March 31, 2025 vs. December 31, 2024) | Category | March 31, 2025 (millions of won) | December 31, 2024 (millions of won) | Change (millions of won) | Percentage Change | |:---|:---|:---|:---|:---|\ | **Assets** | | | | | | Total current assets | 30,029,891 | 29,255,205 | 774,686 | 2.65% | | Total non-current assets | 219,883,206 | 217,552,590 | 2,330,616 | 1.07% | | **Total assets** | **249,913,097** | **246,807,795** | **3,105,302** | **1.26%** | | **Liabilities** | | | | | | Total current liabilities | 63,424,570 | 63,968,789 | (544,219) | -0.85% | | Total non-current liabilities | 143,377,405 | 141,476,173 | 1,901,232 | 1.34% | | **Total liabilities** | **206,801,975** | **205,444,962** | **1,357,013** | **0.66%** | | **Equity** | | | | | | Total equity | **43,111,122** | **41,362,833** | **1,748,289** | **4.23%** | - Current financial assets, net, increased significantly from **W3,494,717 million** to **W5,104,546 million** (**46.06% increase**)[19](index=19&type=chunk) - Property, plant and equipment, net, increased from **W182,982,763 million** to **W183,845,454 million** (**0.47% increase**)[19](index=19&type=chunk) - Non-current financial liabilities increased from **W88,352,359 million** to **W89,994,826 million** (**1.86% increase**)[20](index=20&type=chunk) [Consolidated Interim Statements of Comprehensive Income](index=9&type=section&id=Consolidated%20Interim%20Statements%20of%20Comprehensive%20Income) Profit for the period surged to **W2,361,708 million** for Q1 2025, driven by higher sales, gross profit, and lower finance expenses, with basic EPS rising to **W3,627** Consolidated Interim Statements of Comprehensive Income (March 31, 2025 vs. March 31, 2024) | Indicator | March 31, 2025 (millions of won) | March 31, 2024 (millions of won) | Change (millions of won) | Percentage Change | |:---|:---|:---|:---|:---|\ | Sales | 24,223,984 | 23,292,743 | 931,241 | 4.00% | | Cost of sales | (19,756,944) | (21,303,187) | 1,546,243 | -7.26% | | Gross profit | 4,467,040 | 1,989,556 | 2,477,484 | 124.53% | | Operating profit | 3,753,607 | 1,299,343 | 2,454,264 | 188.89% | | Finance income | 413,301 | 987,226 | (573,925) | -58.14% | | Finance expenses | (1,231,655) | (2,001,253) | 769,598 | -38.46% | | Profit before income tax | 3,231,874 | 737,785 | 2,494,089 | 338.06% | | Income tax expense | (870,166) | (141,850) | (728,316) | 513.45% | | **Profit for the period** | **2,361,708** | **595,935** | **1,765,773** | **296.30%** | | Total comprehensive income for the period | 2,204,170 | 915,202 | 1,288,968 | 140.84% | | Basic and diluted earnings per share (won) | 3,627 | 875 | 2,752 | 314.51% | - Sales of goods increased by **W958,701 million** (**4.20%**) from **W22,850,748 million** to **W23,809,449 million**[22](index=22&type=chunk) - Cost of sales of goods decreased by **W1,850,310 million** (**-8.79%**) from **W21,045,353 million** to **W19,195,043 million**[22](index=22&type=chunk) [Consolidated Interim Statements of Changes in Equity](index=11&type=section&id=Consolidated%20Interim%20Statements%20of%20Changes%20in%20Equity) Total equity increased from **W41,362,833 million** to **W43,111,122 million** as of March 31, 2025, primarily due to profit for the period Consolidated Interim Statements of Changes in Equity (March 31, 2025 vs. January 1, 2025) | Indicator | January 1, 2025 (millions of won) | March 31, 2025 (millions of won) | Change (millions of won) | Percentage Change | |:---|:---|:---|:---|:---|\ | Equity attributable to owners of the controlling company | 39,915,236 | 41,956,591 | 2,041,355 | 5.11% | | Non-controlling interests | 1,447,597 | 1,154,531 | (293,066) | -20.25% | | **Total equity** | **41,362,833** | **43,111,122** | **1,748,289** | **4.23%** | | Profit for the period attributable to owners of the controlling company | - | 2,328,246 | - | - | | Remeasurement of defined benefit plans, net of tax (attributable to owners) | - | (94,441) | - | - | | Dividends paid (attributable to owners) | - | (136,738) | - | - | | Repayment of hybrid bond (non-controlling interests) | - | (230,000) | - | - | - Profit for the period attributable to owners of the controlling company was **W2,328,246 million** for the three-month period ended March 31, 2025[26](index=26&type=chunk) - Remeasurement of defined benefit plans, net of tax, resulted in a loss of **W94,441