Core Points - Hyundai Mobis has set new greenhouse gas (GHG) reduction targets for 2030, achieving approval from the Science Based Targets initiative (SBTi) [1][2][4] - The company aims for a 46% reduction in absolute Scope 1 and 2 GHG emissions by 2030, compared to 2019 levels, and a 55% reduction in Scope 3 emissions per million KRW of value added [5][10] - The approval from SBTi is expected to enhance Hyundai Mobis' competitiveness in global orders, particularly in the electric vehicle sector [6][10] GHG Reduction Strategy - Hyundai Mobis' GHG reduction plan aligns with global sustainability policies and is a step towards achieving carbon neutrality by 2045 [2][4] - The company plans to increase the share of renewable energy used at its facilities to 65% by 2030 and 100% by 2040, implementing the RE100 initiative [7][12] - Efforts include installing solar power generation facilities at key sites in Korea and expanding installations overseas [8][9] Supply Chain Management - Hyundai Mobis is supporting partners in systematizing GHG management and expanding the purchase of low-carbon raw materials [10][11] - The company has broadened its supply chain scope to include overseas partners for GHG emissions verification [10] Corporate Vision - The company has declared a vision of "Green Transformation to 2045 Net-Zero," establishing a roadmap for environmental management [12] - Regular reporting of renewable energy transition targets and performance is conducted to strengthen implementation efforts [12]

Financial Performance - Sales increased to $301.0 million, a 2.7% increase compared to $293.2 million in Q1FY25 [13] - Same-store sales increased by 5.7% compared to a decrease of 9.9% in Q1FY25 [11, 13] - Gross margin decreased by 170 bps to 35.5% [13] - Adjusted diluted EPS remained flat at $0.22 [13] Strategic Initiatives - Successfully closed 145 underperforming stores by the end of May [6] - Expects store optimization plan to reduce total sales by approximately $45 million in fiscal 2026 [19] - Reduced inventory levels by approximately $10 million [11] Capital Allocation and Liquidity - Received approximately $3 million in divestiture proceeds [17] - Capital expenditures totaled approximately $7 million [17] - Principal payments for financing leases amounted to approximately $10 million [17] - Paid approximately $9 million in dividends [17] - Availability under the credit facility was approximately $398 million, with cash and equivalents of approximately $8 million as of June 2025 [17]

Financial Performance - Sales decreased by 4.9% to $295.0 million in Q4FY25 compared to $310.1 million in Q4FY24 [13] - Comparable store sales increased by 2.8% in Q4FY25, adjusted for selling days [11, 13] - Gross margin decreased by 250 bps to 33.0% in Q4FY25 [13] - Operating margin decreased by 1,140 bps to -8.1% in Q4FY25 [13] - Adjusted diluted EPS decreased by 142.9% to $(0.09) in Q4FY25 [13] Strategic Initiatives - The company identified 145 underperforming stores for closure in fiscal 2026 [6] - Store closures are expected to reduce total sales by approximately $45 million in fiscal 2026 [19] - The company is working to improve customer experience and selling effectiveness [6] - The company is narrowing the breadth of core tire assortment to simplify the in-store selling process [6] Financial Position and Outlook - The company generated approximately $132 million in operating cash flow in fiscal 2025 [17] - The company expects comparable store sales growth in fiscal 2026 [19] - The company expects to incur store closure costs of approximately $10 million to $15 million in fiscal 2026 [19]