Hyundai Steel Reports Sales of 6.1073 Trillion Won, Up 6.4% from Previous Quarter

Operating Profit Improves to 57.7 Billion Won
"Profitability Expected to Improve in the Second Half"

Hyundai Steel announced on August 3 that its consolidated sales for the second quarter of this year reached 6.1073 trillion won, with operating profit of 57.7 billion won.

A Hyundai Steel representative stated, "Sales increased by 6.4% quarter-on-quarter, and operating profit improved, mainly due to higher sales volume of bar & shape steel products and price increases for key products." The representative added, "Starting in the second half of the year, profitability is expected to improve as the construction market gradually recovers, driven by increased investment in domestic high-tech industries."

Regarding borrowings and the debt ratio, the company explained, "There was a temporary uptick due to new investments in a U.S. steel plant, but we will continue our efforts to enhance financial soundness from a mid- to long-term perspective."

With its results having improved from the previous quarter, Hyundai Steel plans to focus on strengthening profitability and securing new growth engines in the second half and beyond. The company will intensify its expansion of sales of core AI and energy industry materials, which are seeing rapid growth.

Hyundai Steel is also targeting infrastructure construction demand linked to the recently announced "Korea’s Three Mega Projects," aiming to expand the supply of steel materials for core AI infrastructure.

For semiconductor fabs, the company plans to secure additional orders by offering a full portfolio of required steel products and leveraging its track record as the domestic leader in supply, in line with plans for early completion and additional investment.

The company is also beginning to see tangible results in the power infrastructure sector. At the beginning of the year, Hyundai Steel established an organization dedicated to power infrastructure such as data centers and succeeded in winning orders for steel products for seven new data centers. Based on these orders and its material competitiveness, the company intends to win batch orders for steel products needed for construction of large-scale data centers and expansion of power infrastructure.

Hyundai Steel is also proactively responding to growing demand in the energy industry. In response to increased next-generation nuclear power plant demand, the company completed the development and mass production system for high-specification plates used in containment vessels, and plans to supply samples to customers in the third quarter this year.

The company is steadily expanding new demand through domestic production of high value-added new materials. Hyundai Steel succeeded in localizing materials for powertrains to address growing demand for high-strength and high-durability gears amid rising hybrid vehicle sales. These materials offer superior durability and price competitiveness compared to imported substitutes, have been successfully applied to certain models, and the company plans to further expand their application.

Additionally, a Hyundai Steel representative commented, "We have developed high-strength crane rails with quality levels equal to imports, and will expand supply to replace imported products for major ports and steelworks, further contributing to the company’s profitability."

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