FY2023 1Q Earnings

KOREA NO.1 RETAILER

2023. 05. 11
 Table of Contents

· FY2023 1Q Earnings (Consolidated)

· FY2023 1Q Earnings (Separate)

[ Appendix ]
- Stores / Ownership Structure / Financial Position
- Disclaimer

2
· FY2023 1Q Earnings (Consolidated)

✓ Net sales 7,135bn KRW(+1.9%), Operating profit 14bn(-60.2%)

 Separate OP : 64bn (-27bn yoy) * Key changes : Hypermarket -28bn, Traders -6bn, Specialty +8bn
SSG.COM +10bn, Gmarket +9bn, Hotel +11bn
 Consolidated Subsidiaries OP : -9bn (+1bn yoy)
* Amortization of PPA (Acquisition of SCK, Gmarket) : -40bn

(Unit : KRW Billion)

1Q 2023 1Q 2022 YoY

Net Sales 7,135 7,004 +131 1.9%

Gross Profit 1,997 2,000 -3 -0.1%

(%) (28.0) (28.6) (-0.6)

SG&A 1,983 1,966 +17 0.9%

(%) (27.8) (28.1) (-0.3)

Operating Profit 14 34 -20 -60.4%

(%) (0.2) (0.5) (-0.3)

[ E B I T D A ] [339] [356] [-17] [-4.7%]

Pre-tax Profit 5 1,097 -1,092 -99.5%

(%) (0.1) (15.7) (-15.6)

Net Profit 3 806 -803 -99.7%

(%) (0.0) (11.5) (-11.5)
(Owners of Parents) (11) (811) (-800) (-98.6%)
3
· FY2023 1Q Earnings (Separate)
✓ Gross sales 4,110bn KRW(-2.6%), Operating profit 64bn(-29.8%)
- [Hyper, TR] Continuous improvement in GPM +0.2%p YoY
- [ Specialty ] Nobrand, ongoing robust performance in sales and OP (Sales +7.7%, OP +129% YoY)
※ Under pressure from less holidays (-3 days YoY), early start of store renewal (Yeonsu, Kintex branch)
(Unit : KRW Billion)

1Q 2023 1Q 2022 Y o Y

Gross Sales 4,110 4,219 -109 -2.6%

(Net Sales) (3,772) (3,876) (-104) (-2.7%)

Gross Profit 1,009 1,023 -14 -1.4%

(%) (24.6) (24.3) (+0.3)

SG&A 945 931 +14 1.4%

(%) (23.0) (22.1) (+0.9)

Operating Profit 64 92 -28 -29.8%

(%) (1.6) (2.2) (-0.6)

Pre-tax Profit 105 1,185 -1,080 -91.1%

(%) (2.6) (28.1) (-25.5)

Net Profit 96 885 -789 -89.2%

(%) (2.3) (21.0) (-18.7)

4
【 Business Overview 】
(Unit : KRW Billion)

1Q 2023 1Q 2022 YoY

Gross Sales 4,110 4,219 -109 -2.6%

Hypermarket 3,017 3,093 -76 -2.5%
Traders 818 841 -23 -2.7%
Specialty Stores 273 281 -8 -2.8%

Gross Profit 1,009 1,023 -14 -1.4%

Hypermarket 800 813 -13 -1.6%
Traders 144 146 -2 -1.5%
Specialty Stores 64 63 +1 +1.4%

Operating Profit 64 92 -28 -29.8%

Hypermarket 47 75 -28 -37.0%
Traders 9 15 -6 -44.4%
Specialty Stores 8 0.5 +8 +1,975%
* minor business excluded

✓ SSSg -0.7% YoY (3 less holidays, Yeonsu, Kintex branch renewal in 1Q)
✓ GPM +0.2%p YoY / Increased SG&A ratio: +1.1%p YoY (23.8% → 24.9%)

✓ SSSg -6.1% YoY (3 less holidays)

✓ GPM +0.2%p YoY / Increased SG&A ratio +1.0%p YoY (15.6% → 16.6%)

✓ Nobrand : Increased OP +5bn YoY

5
【 Key Consolidated Subsidiaries 】
(Unit : KRW Billion)
1Q 2023 1Q 2022 YoY
 SSG.COM, Gmarket : Improvement in OP
Net Sales 3,818 3,590 +228 6.3% [ SSG.COM ] 22.1Q -26bn → 23.1Q -16bn, +10bn YoY

[ Gmarket ] 22.1Q -20bn → 23.1Q -11bn, + 9bn YoY

S S G . C O M 421 425 -4 -0.9%
G m a r k e t 303 316 -13 -4.2%
 SCK Company : Continuous expansion of stores,
SCK Company 683 602 +81 13.4% SSSg plus growth (+3.7%)
e m a r t 2 4 501 484 +17 3.5% - GPM affected by cost burden due to strong US dollar

E v e r y d a y 338 332 +6 1.7% - # of stores : +36 (Total 1,813)

P r o p e r t y 70 60 +10 18.0%  Emart 24: Continuous expansion of stores,

PK Retail Holdings 453 433 +20 4.5% SSSg -4.5%
- # of stores : +170 (Total 6,512)
S . F o o d 349 324 +25 7.8%
Hotel&Resort 119 91 +28 31.6%
 Everyday: Decrease in OP (YoY -3bn)
O P -9 -10 +1
S S G . C O M -16 -26 +10  S.Property: Increase in OP (YoY +12bn)
G m a r k e t -11 -20 +9
SCK Company 21 29 -8  PKRH(USA): Decrease in OP (YoY -4bn)
e m a r t 2 4 -4 -0.4 -4
E v e r y d a y 2 5 -3  S.Food: Cost reduction, increase in OP (YoY +1bn)

P r o p e r t y 3 -9 +12
PK Retail Holdings -2 2 -4  Hotel&Resort: Increase in occupancy rate, Turnaround
S . F o o d 5 4 +1
※ Key consolidation adjustments
Hotel&Resort 4 -7 +11 : Amortization PPA 40bn (Gmarket 24bn, SCK company 16bn)
6
【 Non-operating Profit and Loss 】

(Unit : KRW Billion)

1Q 2023 1Q 2022 YoY

Operating P/L 14 34 -20 -60.2%

Interest P/L -75 -54 -21

Equity-method P/L 4 6 -2

Others* 62 1,111 -1,049

Pre-tax P / L 5 1,097 -1,092 -99.5%

* Tangible asset P/L includes gain on disposal of Sungsu branch 1,083bn in 2022. 1Q

✓ Key equity-method subsidiaries

(Unit : KRW Billion)

Starfield Hanam Starfield Ansung

1Q 2023 1Q 2022 1Q 2023 1Q 2022

N e t S a l e s 33 33 18 16

O P / O L 19 19 5 4

( E B I T D A ) (22) (23) (10) (9)

N e t I n c o m e 14 12 3 2

(Equity Value) (7) (6) (2) (1)

7
[ Appendix ]
Stores(domestic/overseas) 【 Current Number of Stores 】

147 148 150 156 158 159 158 158 160 158 157 157
139
(FY20) (FY21) (FY22) (FY23) 133
126
139 140 142 142 142 140140 140 138
 Domestic 141 → 138 → 136 → 136 133 133 133
121 123 122 123 125
114 116 119
 TRADERS
WHOLESALE CLUB
19 → 20 → 21 → 21 103
109 113 113 112 112 111

90 95
U S A 51 → 52 → 53 → 53
69
 Mongolia 3 → 3 → 3 → 3
`09 `10 `11 `12 `13 `14 `15 `16 `17 `18 `19 `20 `21 22 23
 Vietnam 1 → 1 → 2 → 2
Emart Homeplus Lotte mart

【 Net Increase of Domestic Hypermarket 】 【 Number of Traders 】

19
19 20 21 21
18
14
14 15
10 10 11
9 9 9
8
7 7 7 9 10
6 6 6 7 7
5
4 4
3
2 2 1
1 1 1 1 1
0 0

`10 `11 `12 `13 `14 `15 `16 `17 `18 `19 `20 `21 '22 `23
-2 -2 -2
-3 -3
`93`94`95`96`97`98`99`00`01`02`03`04`05`06`07`08`09`10`11`12`13`14`15`16`17`18`19`20`21'22'23 8
 [ Appendix ]

Ownership Structure
[Offline retail] [Online retail] [FOOD & BEVERAGE] [OVERSEAS]

100% Shanghai
Emart Trading
99.3% 45.6% 100% 46.9%
100% Emart America
Emart SSG.COM W.CONCEPT SHINSEGAE
Everyday 100% Emart Europe
KOREA Food
GmbH
100% Emart HongKong
100% Trading
emart 24 100% 80.0% 100% 100%
Emerald SPV PK Retail
Apollo Korea Smoothie Holdings
King Korea 100%
100% 100% Good Food Holdings

SHINSEGAE Gmarket 100%

Property 100% New Seasons Market
Serin
[Hotel & Resort] Food [INFRA / IT/ Culture]
51.0% 51.0% 99.9%
Starfield Starfield Starfield
Hanam1) Goyang2) Cheongna 42.7% SHINSEGAE E&C
99.9% 100%
Josun Hotel 49.0%
99.3% 51.0% 50.0% SHINSEGAE
& Resort Pohang Primus PFV
SP Starfield Starfield L&B
Cheongju Anseong3) Suwon4)
35.7% SHINSEGAE I&C

80.0%
100% 80.0% 90.0% 67.5%
PLGRIM
Starfield Shinsegae Shinsegae SCK
Changwon Dong Seoul Hwasung 100%
COMPANY
PFV Electroman Ltd
Specialized in Cultural IND.
51.0% 50.0% 1) Taubman Asia(TPA Hanam Union Square Holdings LP) holds 49% of shares of Starfield Hanam
2) IGIS Asset management holds 49% of shares of Starfield Goyang
SP SMPMC 100%
3) Taubman Asia(TPA Hanam Union Square Holdings LP) holds 49% of shares of Starfield Anseong
Namyangju-Byeollae 4) KT&G holds 50% of shares of Starfield Suwon SHINSEGAE
PFV
Baseball Club 9
 [ Appendix ]

Statements of Financial Position

【 Separate 】 (Unit : KRW Billion) 【 Consolidated 】 (Unit : KRW Billion)

1Q 2023 FY 2022 YoY 1Q 2023 FY 2022 YoY

Assets 20,250 20,130 120 Assets 32,995 33,202 -207

(Lease) (917) (932) (-15) (Lease) (3,126) (3,182) (-56)
Current 2,365 2,107 258 Current 5,833 5,849 -16
Cash 257 14 243 Cash 1,408 1,269 139
Financial Instrument 120 120 - Financial Instrument 626 595 31
Receivables 478 535 -57 Receivables 1,344 1,665 -321
Non-current 17,886 18,023 -137 Non-current 27,162 27,353 -191
PP&E 6,906 7,217 -311 PP&E 11,811 11,940 -129

Liabilities 9,857 9,709 148 Liabilities 19,645 19,719 -74

(Lease) (942) (952) (-10) (Lease) (3,573) (3,641) (-68)
Current 4,941 5,028 -87 Current 10,014 9,942 72
Payables 776 923 -147 Payables 2,741 3,079 -338
Borrowings 1,493 1,537 -44 Borrowings 3,051 2,663 388
Non-current 4,916 4,681 235 Non-current 9,631 9,777 -146
Borrowings 3,671 3,397 274 Borrowings 4,649 4,685 -36

Equity 10,393 10,421 -28 Equity 13,350 13,483 -133

Capital Stock 139 139 - Owners of Parent 11,118 11,207 -89
Hybrid Bond 399 399 - Capital Stock 139 139 -
Retained Earnings 5,212 5,168 44 Non-controlling 2,232 2,276 -44
10
 [ Appendix ]

Disclaimer

It is not intended that this presentation contains forward-looking statements. If statements contained anywhere in this presentation,
including statements regarding events and financial trends that may affect future operating results, financial position and cash flows,
may be found to constitute forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995,
other U.S. federal or other securities laws, all such statements are based on assumptions and estimates by E-MART Inc. and are
subject to risks and uncertainties. You can identify these forward-looking statements by the use of words like "strategy," "expects,"
"plans," "believes," "may," "will," "estimates," "intends," "should," "anticipates," "projects," "goals," "targets" and other words of similar
meaning or the negative or other variations of those terms. You can also identify them by the fact that they do not relate strictly to
historical or current facts. These statements involve known and unknown risks, uncertainties and other important factors that could
cause the actual results and performance of E-MART Inc. or its affiliates to differ materially from any future results or performance
expressed or implied in the forward-looking statements. These risks, uncertainties and other factors include, among others: general
economic and business conditions in Korea (or any market where E-MART Inc. or its affiliates derive a significant portion of their
income).

The Company does not make any representation or warranty, expressed or implied, as to the accuracy or completeness of the
information contained in this presentation, and nothing contained herein is, or shall be relied upon as, a promise or representation,
whether as to the past or the future.

Therefore, this presentation contained herein should not be utilized for any legal purposes in regard to investors’ investment results.
The Company hereby expressly disclaims any and all liability for any loss or damage resulting from the investors’ reliance on the
information contained herein.

This presentation only speaks the information as of the date they are made, and the Company undertakes no obligation to update
publicly any of them in light of new information or future events.

The financial information in this document are consolidated earnings results based on K-IFRS. It is suggested to use this material only
as a reference, as it contains information and data that are subject to changes without prior notice due to uncertainties, changes in the
organizational structure, redefinition of accounting policies. It may cause the actual results to differ from those stated or implied in this
material.

11