Refining Margins Drive Earnings Surge: GS Corporation Posts 870.6 Billion Won Operating Profit in Q3

Operating Profit Up 79% Year-on-Year
Petrochemicals Struggle Amid Oversupply
Power Division Hit by SMP Drop... Recovery Expected in Q4

With international oil prices stabilizing and refining margins continuing to recover, GS Corporation maintained a solid performance in the third quarter of this year. The refining division drove profits, but the petrochemical division continued to struggle due to a decline in global trade volume and oversupply. Power generation subsidiaries were also affected by a drop in the system marginal price (SMP) for electricity, but the company announced that a recovery is expected in the fourth quarter thanks to seasonal peak demand effects.

A GS Caltex exhibition hall is set up at the 2025 Asia-Pacific Economic Cooperation (APEC) CEO Summit held in Gyeongju, Gyeongsangbuk-do. GS Caltex

On November 6, GS Corporation reported consolidated sales of 6.5359 trillion won, operating profit of 870.6 billion won, and net profit of 407.7 billion won for the third quarter of 2025. Compared to the same period last year, when sales were 6.3859 trillion won and operating profit was 631.6 billion won, these figures represent increases of 2.4% and 37.8%, respectively. Compared to the previous quarter, sales rose by 10.2% and operating profit by 79.1%.

On a cumulative basis (January to September), the company recorded sales of 18.6968 trillion won, operating profit of 2.1599 trillion won, and net profit of 787.6 billion won. Compared to the same period last year, sales decreased by 0.8%, operating profit by 12.0%, and net profit by 0.3%. However, the decline was mitigated by improved refining margins.

A GS official stated, "Performance improved year-on-year due to better refining margins and stabilized oil prices." The official added, "However, the petrochemical division continued to face weak margins due to uncertainties in U.S. tariff policy, a decline in global trade volume, and oversupply." The official further explained, "Although the profitability of power generation subsidiaries decreased due to the drop in SMP, we expect a recovery in the fourth quarter as we enter the peak season and SMP rises."