South Korean steelmaker Pohang Iron and Steel Co. (POSCO) has announced its financial results for the second quarter this year, reporting a net profit of KRW 487.1 billion ($470.2 million), increasing by 102 percent compared to the same quarter of the previous year.
In the second quarter of the current year, POSCO's sales revenue amounted to KRW 16.7 trillion ($16.12 billion), up 7.1 percent year on year. Meanwhile, its operating profit for the given quarter amounted to KRW 839.11 billion ($810.14 million), falling seven percent compared to the corresponding period of 2013.
In the given quarter of the current year, POSCO produced 9.26 million mt of crude steel, increasing by 4.6 percent, while the company's steel product sales amounted to 8.54 million mt, up 1.5 percent, both year on year.
POSCO expects that as the global steel demand shows annual raises of three percent and supply-demand balance is restored with the rapid economic recovery of advanced countries such as the US and inventory adjustment of China, the price of steel will see a slight increase in the third quarter.
However, steel demand in Korea is expected to decrease due to a slowdown in exports, weak domestic demand and seasonal factors. To counter this and increase sales, POSCO is planning a customer-oriented marketing campaign for its high-value added products.