HONMA Golf Limited (“HONMA”; HKEx: 6858), one of the world’s most prestigious golf brands, announced its consolidated interim results for the six months ended September 30, 2025 (the “Period”), highlighting an exceptional growth surge in the Korean market and a firm commitment to long-term strategy amidst a slowing global economy.

While overall revenue saw an 18.1% year-on-year decline on a constant currency basis to JPY7,867.5 million (USD53.9 million), reflecting "a slowing global economy, heightened policy uncertainty and intensified competition," the Group maintained a resilient gross profit margin, improving by 0.5 percentage points to 53.5%. This was primarily supported by significant margin gains in Korea and Greater China.

Korea Powers Ahead with Explosive Growth

The Korean market emerged as a vital growth engine, delivering an "exceptional performance" and defying broader industry trends.

• Comparable sales growth in Korea reached an impressive 44.9% during the Period.
• Retail sales from self-operated stores surged by 70.8% on a constant currency basis, driven by continuous improvements in retail operations and a renewed distribution arrangement.
• Gross profit margin in Korea expanded sharply to 65.6%, underscoring the success of HONMA’s channel strategy in this premium-performance golf market.

Mixed Performance in Key Markets

Outside of the Korean success story, results were mixed across other major regions:

• China (including Hong Kong and Macau): Sales remained subdued, recording a marginal decline of only 0.4% on a constant currency basis.
• Japan: Sales posted a 33.1% decrease on a constant currency basis, attributed to the impact of wholesale channel restructuring.

Product Innovation Resonates with Global Golfers

Despite the broader revenue decline, the Group's new product launches demonstrated strong demand, reinforcing HONMA’s reputation for Japanese craftsmanship.

• Country-specific clubs recorded a solid comparable growth of 36.9%.
• Putter sales increased by 39.0%.
• The high-performance Tour World series gained significant traction, with sales soaring by 130.4% in the US, 19.3% in the Chinese Mainland, and 19.1% in Europe.

Furthermore, efforts to engage digitally-savvy younger golfers have paid off, with e-commerce sales growing by 5.1% in the Chinese Mainland and 25.6% in the Taiwan market.

Strong Foundation for Future Growth

Mr. LIU Jianguo, Chairman of the Board, President, and Executive Director of HONMA Golf Limited, emphasized the Group’s resilience and strategic focus.

“Despite ongoing market challenges, HONMA has demonstrated resilience, maintained strong gross margins, and expanded its direct-to-consumer channels. By anchoring our strategy around the super-premium and premium-performance segments, enhancing digital capabilities, and optimizing our distribution network, we have established a solid foundation for sustainable growth and are well-positioned to deliver long-term value for our stakeholders,” Mr. Liu stated.

The outlook remains strategically focused on long-term growth, with key priorities including:

• Consolidating leadership in the super-premium segment and driving progress in the fast-growing premium-performance category.
• Expanding complementary non-club product lines for a complete golf lifestyle experience.
• Delivering sustainable growth in North America and Europe through updated product and distribution strategies.
• Maintaining positive net operating cash flow, which stood at JPY1922.9 million (USD13.2 million) for the Period.