SK Gas Targets Average Annual Pretax Profit of KRW 450 Billion Through 2030, Expands Global Business
Held CEO Investor Day
Unveils growth strategy for the next 10 years
Diversifies product range by adding ethane
SK Gas set a target of generating average annual pretax profit of more than KRW 450 billion from 2027 through 2030.
SK Gas said it held its "CEO Investor Day" on the 14th at the Conrad Seoul in Yeouido, Seoul, for domestic and international institutional investors and analysts, where it presented its growth strategy and capital allocation plan for the next 10 years. SK Gas CEO Yoon Byungseok made the presentation in person.
SK Gas President Yoon Byung-seok announced the company’s growth strategy and capital allocation plan for the next 10 years at its CEO Investor Day event at the Conrad Seoul in Yeouido, Seoul, on the 14th. SK Gas
View original imageOver the past 10 years, SK Gas has increased its profitability by diversifying its business structure. Average annual pretax profit more than tripled, rising from about KRW 100 billion in 2015-2019 to the KRW 300 billion range in 2020-2025. Over the same period, cash dividends per share rose 4.5-fold, from 2,000 won to 9,000 won, while the average annual total shareholder return (TSR) exceeded 17% over the past 10 years.
The company cited "optionality" as the driving force behind this growth. Its business model generates additional earnings by flexibly combining its sourcing and supply methods in response to market conditions. Building on this model, the company plans to secure average annual pretax profit of more than KRW 450 billion in 2027-2030.
Its future growth strategy will focus on three pillars: expanding power generation solutions, expanding its global supply and sales network, and diversifying its product portfolio.
First, the company plans to use existing infrastructure, including its Ulsan LNG and LPG terminals and dual-fuel power plants, to meet rising electricity demand driven by the expansion of artificial intelligence (AI). It will also explore upstream investment opportunities, including in North American gas fields, and seek to expand its overseas customer base by leveraging its trading capabilities and power generation business model.
The company also plans to expand its product range. By adding ethane to its existing LPG and LNG businesses, it aims to build a product portfolio spanning methane (C1) to butane (C4). This is expected to give the company greater flexibility in sourcing and sales in response to market conditions.
SK Gas has designated 2027-2030 as a period for deploying growth investments and expects earnings from new businesses to begin contributing in earnest from 2031. It plans to pursue growth investments, including mergers and acquisitions (M&A), alongside shareholder returns. The KRW 90 billion share buyback and cancellation announced on the 13th is also part of this capital allocation strategy.
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CEO Yoon said, "The past 10 years have proved that SK Gas can turn market changes into opportunities. Building on our stronger earnings capacity, we will prepare for another leap forward and continue to grow together with our shareholders."
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