SKC Reports Q2 Sales of 645.4 Billion Won... Operating Loss Improves by 50%

EBITDA Reaches 29.1 Billion Won, Records Surplus for Second Consecutive Quarter

SKC announced on July 27 that it recorded sales of 645.4 billion won and an operating loss of 14.4 billion won in the second quarter of this year.

Compared to the previous quarter, sales increased by approximately 30%, and the scale of the operating loss improved by about 50%. Earnings before interest, taxes, depreciation, and amortization (EBITDA), an indicator of cash generation, reached 29.1 billion won—about three times higher than the prior quarter—marking a surplus for two consecutive quarters. In addition, the company successfully completed a rights offering totaling 1.1647 trillion won, which led to a significant improvement in both net borrowings and the debt ratio.

An SKC representative explained, "This quarter's results were largely driven by a recovery in profitability in our chemical business." The chemical business posted sales of 317.8 billion won and operating profit of 30.5 billion won, up 218% from the previous quarter. Despite declines in production and sales volume due to global supply chain uncertainties, increased prices for propylene glycol (PG) and propylene oxide (PO) boosted overall sales. In addition, the company maximized profitability by expanding sales of high-value-added products, intensively driving cost improvements since early this year, and streamlining processes.

The copper foil business achieved a quarterly record with sales of 254 billion won. The sales portion in the North American market expanded to 67%, while copper foil sales for energy storage systems (ESS) and electric vehicles (EV) grew by 76% and 28%, respectively, driving the overall growth. In the second half of the year, the company plans to further enhance cost-saving effects by focusing on a Malaysia-centered production and sales system.

The semiconductor materials business recorded sales of 72.9 billion won and operating profit of 21.3 billion won. Sales of test sockets for AI data centers increased by 66% year-on-year, maintaining a growth trajectory, while expanding high-value-added product sales helped sustain solid profitability. In the second half, SKC plans to expand production capacity by leveraging the expansion of its first factory in Vietnam and proactively address increasing customer demand.

For the glass substrate business, the company plans to successfully complete reliability testing of embedded products in the second half and steadily prepare for the proof-of-concept (POC) of non-embedded products.

An SKC official added, "In the second half of the year, we will continue to improve profitability by enhancing operation efficiency, while also strengthening the technological competitiveness of new businesses to further solidify our foundation for mid- to long-term growth."

This content was produced with the assistance of AI translation services.