SeAH Besteel Holdings Posts 60.5 Billion Won Operating Profit in Q2, Up 35% Year-on-Year

Sales Increase Driven by Major Subsidiaries

Expanding Focus on Eco-Friendly Vehicles and Semiconductors in the Second Half

SeAH Besteel Holdings announced on the 30th that its consolidated sales for the second quarter of this year reached 1.1363 trillion won, with operating profit of 60.5 billion won.

SeAH Besteel Holdings logo. SeAH Besteel Holdings

This represents an increase of 17.8% and 35.9%, respectively, compared to the same period last year.

SeAH Besteel Holdings explained that both sales and operating profit rose due to factors including an increase in sales volume from major subsidiaries such as SeAH Besteel and SeAH Changwon Special Steel, improvement in product mix centered on high value-added products, and higher selling prices stemming from the rise in major raw material prices. The recovery in demand, entering the seasonal peak period, also supported the performance.

SeAH Besteel posted sales of 598.9 billion won and operating profit of 24.6 billion won in the second quarter. Despite a rise in imports of low-priced Chinese special bar steel, the company strengthened its business capabilities in growth industries such as oil & gas, defense, and renewable energy, resulting in increased sales and profitability.

SeAH Changwon Special Steel recorded a year-on-year increase in sales and operating profit of 15.9% and 81.7%, respectively. Although demand was sluggish in front-end industries such as industrial machinery and chemical/plant stainless steel sectors, performance improved significantly thanks to expanded investment in artificial intelligence (AI) data centers and increased demand for stainless steel in the energy and power generation sectors.

SeAH Aerospace & Defense Materials, responsible for special materials for aerospace and defense, saw sales rise quarter-on-quarter due to robust demand. However, operating profit declined slightly owing to increased cost burdens resulting from a sharp rise in aluminum prices.

SeAH Besteel Holdings plans to continue expanding sales of high value-added products focusing on eco-friendly vehicles, semiconductors, defense, and the energy sector in the second half of the year.

In addition, the company intends to enhance cooperation between domestic affiliates and its U.S. special alloy manufacturing subsidiary, SeAH Super Alloy Technologies, in order to strengthen the supply chain competitiveness for aerospace, space, and defense special metal materials.

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