SK Innovation posts Q2 losses, SK On’s 11-quarter profit drought continues

Industry

SK Innovation posts Q2 losses, SK On’s 11-quarter profit drought continues

Published: 01 Aug. 2024, 10:59 Updated: 01 Aug. 2024, 11:00

SARAH CHEA
chea.sarah@joongang.co.kr

SK logo is shown at SK Seorin Building in Jongno District, central Seoul, where SK Innovation is headquartered. [NEWS1]

SK Innovation remained in the red due to weak oil prices in the second quarter, with its battery-making arm, SK On, failing to turn a profit for the 11th consecutive quarter.

The oil refiner posted operating losses of 45.8 billion won ($34 million) for the April-to-June period, compared to losses of 106.8 billion won during the same period a year earlier.

The results fell significantly short of the market consensus of 97 billion won in operating profit, as compiled by FnGuide.

Revenues rose by 0.4 percent to 18.8 trillion won but also missed analyst estimates of 19.2 trillion won.

SK On reported operating losses of 460.1 billion won due to the low operation rate of overseas plants amid stalled global EV demand.

The Korean battery maker has yet to turn a profit since its establishment in October 2021.

BY SARAH CHEA [chea.sarah@joongang.co.kr]