Posco returns to profit in Q3
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Update time : 2020-10-23 20:09:47
South Korean steelmaker Posco and its affiliates posted an operating profit of 666.7 billion won ($588.6 million) in the third quarter, down 35.9 percent from the same time a year earlier. The total revenue reached 14.26 trillion won in the same period, down 10.8 percent on-year, and the net profit stood at 514 billion won, up 3.5 percent, the company said.
While the quarterly performance stands short of the year before, the operating profit still jumped 297.5 percent on-quarter.
Looking at Posco’s independent score, the company said it posted 6.57 trillion won in revenue, with an operating profit of 261.9 billion won and a net profit of 180.8 billion won in the third quarter. When compared to the same quarter last year, revenue decreased by 15 percent, operating profit decreased by 60.5 percent and net profit dropped by 63.8 percent.
Affected by the COVID-19 pandemic, Posco independently recorded its very first operating loss of 108.5 billion won in the second quarter this year.
For the improved profitability in the third quarter, Posco explained that its production volume and sales recovered to the time before the COVID-19 pandemic, and it was able to reduce fixed costs. The company also said that while the price of iron ore rose, coal prices dropped, and the company made efforts to reduce other costs.
