Dongkuk Steel Group's newly established companies after the split, Dongkuk Steel and Dongkuk CM, announced their first performance results after the split on the 11th.
Both companies were newly established through a spin-off on June 1 of this year. The announced results cover the one-month period from June 1 to June 30.
Hot-rolled business unit Dongkuk Steel recorded separate sales of 430.5 billion KRW, operating profit of 51.5 billion KRW, and net profit of 39 billion KRW during the period. Despite weak demand due to the economic downturn, Dongkuk Steel achieved a double-digit operating profit margin (12.0%) through a profitability-focused production and sales strategy. Although concerns remain about steel industry stagnation due to slowing economic recovery and worsening construction conditions, the company plans to explore export expansion strategies in overseas markets, such as obtaining global certification for long products and developing new special thick plate steel products.
Cold-rolled business unit Dongkuk CM recorded separate sales of 187.6 billion KRW, operating profit of 5.6 billion KRW, and net profit of 3.1 billion KRW during the period.
Despite the downturn in demand from upstream industries, sales volume of cold-rolled galvanized steel sheets remained stable. Sales volume of color-coated steel sheets increased compared to the previous quarter, driven by expectations of demand recovery in the second half due to improvements in industries such as home appliances and construction. Dongkuk CM plans to continue profitability-focused sales activities centered on high value-added premium products such as Luxsteel and Appsteel.
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