[Breaking] Hyundai Steel Posts Q2 Operating Profit of 545.3 Billion KRW... Highest Performance Since Establishment

Record Highest Operating Profit Since Q2 2015

[Asia Economy Reporter Hwang Yoon-joo] Hyundai Steel has recorded its highest-ever performance since its establishment.

Hyundai Steel announced on the 27th that its consolidated operating profit for the second quarter of this year reached 545.3 billion KRW, a 3795% increase compared to the same period last year. Sales increased by 36.7% to 5.6219 trillion KRW. The operating profit margin also showed remarkable growth in profitability, rising sharply from 0.3% in the same period last year to 9.7%.

Hyundai Steel explained that these results were due to "an overall increase in product prices following the improvement in the global steel market and the recovery of demand industries, and focusing on expanding sales volume accordingly." Despite the partial suspension of some facilities in May, the company actively responded to the increase in steel demand by expanding production across divisions.

Furthermore, as the recovery of demand industries is progressing rapidly, Hyundai Steel stated that it will strive to stabilize supply and demand so that major customers do not face difficulties in steel supply. In fact, Hyundai Steel is currently implementing supply stabilization measures by expanding production through minimizing downtime, such as reducing major repairs, to compensate for recent production disruptions.

In the announcement, Hyundai Steel also expressed a positive outlook on the global steel market in the second half of the year. The company expects global economic growth to accelerate further due to vaccine distribution and economic stimulus measures centered on advanced countries, and anticipates a positive trend in the second half of the year accordingly.

Additionally, Hyundai Steel forecasts that steel demand will continue to show strong momentum due to the recovery trend in demand industries such as construction, automobiles, and shipbuilding, projecting that favorable performance will continue for the time being.