[Asia Economy Reporter Jang Hyowon] DK Lock announced on the 31st that it recorded consolidated sales of 28.6 billion KRW and operating profit of 4.9 billion KRW in the third quarter of this year. Both sales and operating profit increased by 50% and 206%, respectively, compared to the same period last year.
Despite ongoing domestic and international economic uncertainties such as the Russia-Ukraine war and interest rate hikes, the company achieved record-high sales thanks to the booming oil and gas industries in North America, Europe, and the Middle East. Following 28.4 billion KRW in the second quarter, this marks the highest quarterly sales ever, and it is expected to record the highest annual sales in history, continuing from the previous year.
A DK Lock official stated, “We recorded the highest performance in the third quarter, which has traditionally been considered an off-season, and we expect the momentum to continue into the fourth quarter. We plan to maintain the improving performance while focusing on securing profitability.”
They added, “The profitability improvement is attributed to multiple factors including increased export volume, improved product mix, price hikes, and favorable exchange rate conditions. With the stabilization of raw material prices, business conditions are improving further,” and emphasized, “We will focus on enhancing productivity and efficiency until the end of the year to drive higher profit growth.”
Furthermore, the official explained, “We expect 2023 to be a major turning point for the company’s structural growth. We are preparing the business to achieve another growth next year and plan to accelerate structural growth strategies and secure new growth engines with a target year of 2030.”
Meanwhile, the company has been steadily working to expand supply to the North American oil and gas industry this year. In October, it completed registration as a global supplier for Dow Chemical in the U.S., as well as registrations with Marathon Petroleum, a subsidiary of Marathon Oil, including its refinery. The registration process with QatarEnergy in the Middle East is in its final stages, and the addition of these major clients is expected to significantly contribute to future growth.
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