Posco International reports record quarter despite Myanmar
Posco International on Friday reported 92.9 billion won ($83 million) in net profit in the first quarter, up 44.5 percent on year and an all-time high.
Its revenue was up by 28.6 percent to 7.09 trillion won, while the operating profit was down 12.9 percent during the same period to 126.9 billion won.
Posco International is a trader of steel and grains and produces natural gas and crude oil.
The company said its profit increased as a result of a strong performance in steel trading and by trading subsidiaries. Its Indonesia palm oil production business was helped by a rise in the price of crude palm oil. The cotton wool business in Uzbekistan also contributed to the growth, the company said.
“High demand for steel products and raw materials are expected to continue as the production rate of global auto manufacturers and steel manufacturers recover,” reported the company.
It said the impact of the coup in Myanmar was limited on its sales volume, but its operating profit generated from Myanmar gas was down by almost 70 percent.
“Despite the concerns about the impact of Myanmar incident on the company earnings, we achieved record-high quarterly earnings,” said a spokesperson for the company in a statement. But the spokesperson added that Covid-19 has delayed its business plans in Myanmar.
BY JIN MIN-JI [firstname.lastname@example.org]