Posco Holdings Posted Net Loss in Fourth Quarter

By Kwanwoo Jun

Posco Holdings posted a net loss in the final quarter of 2023, ending its three-quarter streak of consecutive net profits.

The South Korean steelmaker said Wednesday that lower prices for carbon steel and lithium products weighed on its flagship steel business and new battery-material business.

The company's net loss for the quarter ended December was 321 billion won ($241.5 million), according to Posco officials. That compared with net profit of KRW550 billion in the previous quarter and a net loss of KRW737 billion a year earlier, when flood damage hobbled its main steel mill, according to figures from FactSet.

For the full year of 2023, revenue fell 9.0% to KRW77.127 trillion, operating profit dropped 27% to KRW3.531 trillion and net profit slumped 48% to KRW1.846 trillion.

Posco officials told a post-earnings conference call Wednesday that they don't expect any meaningful increase in steel sales in 2024.

The company aims to sell about 33 million tons of steel this year, a similar level to 2023, they said.

Write to Kwanwoo Jun at kwanwoo.jun@wsj.com

(END) Dow Jones Newswires

January 31, 2024 03:40 ET (08:40 GMT)

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