[Special Stock] Taewoong Logistics, Shipping Freight Increase Triples Profits... Aggressive Sales Impact

[Asia Economy Reporter Hyungsoo Park] The stock price of Taewoong Logics, a comprehensive logistics service company, is on the rise.

At 11:42 a.m. on the 17th, Taewoong Logics was trading at 10,650 KRW, up 13.9% from the previous trading day.

Taewoong Logics recorded consolidated sales of 150.2 billion KRW, operating profit of 10.5 billion KRW, and net profit of 8.8 billion KRW in the first quarter of this year. Compared to the same period last year, sales increased by 103.96%, while operating profit and net profit rose by 207.58% and 88.81%, respectively. On a separate basis, sales were 136.2 billion KRW, operating profit 10.2 billion KRW, and net profit 8.6 billion KRW.

A company official stated, "While sales increased due to rising freight rates, selling and administrative expenses showed little change, resulting in a significant increase in operating profit and operating profit margin," adding, "The project business division also performed well, contributing to the improvement in results."

Taewoong Logics has accumulated logistics know-how based on continuous relationships with major companies in the petrochemical sector for over 20 years. Through the establishment of human and physical infrastructure, stable volume procurement is possible, and freight rate competitiveness has been secured through a network with many shipping companies.

Jaedong Han, CEO of Taewoong Logics, said, "Last year, freight rates rose sharply, making it difficult for exporters to secure space and bear high freight costs," adding, "As a result of aggressive sales leveraging competitiveness in securing space, new customers were acquired, and the effects appeared in the first quarter." He continued, "We will continue to provide comprehensive logistics services tailored to customer needs and steadily increase cargo volume."

Taewoong Logics is actively investing domestically and internationally to strengthen logistics business capabilities and diversify its business. Last year, it incorporated GLS Korea, a specialized overseas moving company, and Sejung Comprehensive Logistics, a freight transportation company based in Busan, as affiliates. It also acquired shares in Haize Aviation and Blue Pine. Overseas, it operates 10 local corporations, including establishing subsidiaries in Kazakhstan and Uzbekistan, and is steadily expanding its logistics business area.