SeAH Steel Holdings Reports Record Q2 Performance... Surge in Energy Steel Pipe Demand

[Asia Economy Reporter Oh Hyung-gil] SeAH Steel Holdings achieved its highest quarterly performance in the second quarter.

SeAH Steel Holdings announced on the 16th that its consolidated sales for the second quarter reached 1.0344 trillion KRW, and operating profit was 148.5 billion KRW, marking increases of 45.0% and 37.5% respectively compared to the same period last year.

It explained that although product demand increased due to the boom in the North American oil and gas market, tight local supply conditions led to a significant rise in sales and operating profit.

SeAH Steel (on a standalone basis) recorded sales of 480.8 billion KRW, up 33.8% from the same period last year, and operating profit increased by 87.9% to 68.3 billion KRW.

Active sales strategies such as raising selling prices due to increased raw material costs and significantly improved profitability of energy pipes due to rising exchange rates and international oil prices contributed to the results.

SeAH Steel expects strong demand for North American energy pipes to continue, realizing high profits through the second half of this year and into next year.

A SeAH Steel official said, "As drilling activities in North America continue to increase, strong demand for steel pipes is sustained," adding, "Especially with the recent passage of the U.S. Inflation Reduction Act, investment across energy infrastructure is being promoted, and the trend of increasing demand for energy pipes is expected to become structural."