POSCO reports improved performance for Q1 2026 despite rising raw material costs

Tuesday, 05 May 2026 11:51:15 (GMT+3)   |   Istanbul

South Korean steelmaker Pohang Iron and Steel Co. (POSCO) has announced its consolidated financial results for the first quarter of 2026.

The company has reported an operating profit of KRW 707 billion ($479.67 million) for the quarter, compared to the operating profit of KRW 13 billion in the fourth quarter of 2025 and decreasing compared to the operating profit of KRW 568 billion in the same quarter of 2025. In the first quarter this year, POSCO’s sales revenue increased by 6.1 percent compared to the previous quarter and were up by 2.5 percent year on year to KRW 17.87 trillion ($12.23 billion), while its net profit amounted to KRW 543 billion ($36.41 million), decreasing compared to a net profit of KRW 344 billion in the same period of 2025 and compared to a net loss of KRW 311 billion in the fourth quarter last year.

In the first quarter, POSCO produced 8.82 million mt of crude steel, rising by 1.1 percent quarter on quarter and by 1.9 percent year on year. In the given quarter, the company’s finished steel sales increased by 1.6 percent year on year to 8.28 million mt.

Despite overall earnings growth, the steel segment faced margin pressure due to higher raw material costs, increased freight expenses and foreign exchange volatility. Operating profit declined in the steel segment despite higher selling prices, reflecting rising input costs.

The company expects demand from infrastructure, energy transition and battery materials to remain strong, supporting future growth. However, POSCO noted that profitability will continue to depend on raw material prices, global steel demand and macroeconomic conditions.


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