WCP, a company specializing in separators for secondary batteries, announced on August 1 that it recorded sales of 38.2 billion KRW and an operating loss of 26 billion KRW in the second quarter. Sales increased by 134% compared to the previous quarter's 16.3 billion KRW. Although the company continued to post an operating loss following the previous quarter's 30.4 billion KRW loss, the loss margin improved.
The company explained, "The performance, which had struggled due to global demand adjustments and reduced production efficiency, rebounded in the second quarter thanks to a recovery in demand for small batteries and cost reduction efforts." A company representative stated, "We are moving out of the temporary adjustment phase seen up to the first quarter, and entering a phase of performance stabilization as market demand recovers. Based on the competitiveness of our small battery products, deliveries to customers are gradually returning to normal."
WCP expects the solid demand trend for small product lines to continue in the second half of the year. In addition, the company predicted that supply expansion will continue, especially for global customers, as demand for large battery product lines increases.
The company also viewed positively the fact that regulations on the use of Prohibited Foreign Entities (PFE) and components from countries of concern, newly introduced under the U.S. Inflation Reduction Act (OBBB), are being strengthened.
The company explained that it has already secured technology based on non-Prohibited Foreign Entity materials, and is simultaneously pursuing a strategy to diversify raw materials in preparation for changes in the allowable ratio of components from countries of concern, which is scheduled to be reduced from 40% in 2026 to 15% in 2030.
WCP forecasts that its sales volume will grow more than fivefold within the next five years, and has established a mid- to long-term strategy with the goal of achieving 1 trillion KRW in sales by 2030. The company plans to raise the share of sales to North America to over 60% of its total sales, and to secure future growth engines by entering new businesses such as ion exchange membranes.
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