South Korean steel giant POSCO achieved a total production of approximately 380,000 tons of stainless steel in the last quarter of 2023, marking a 3.6% decrease compared to the previous quarter. Despite the decline in the preceding quarter, the company experienced a notable 151% increase on an annual basis. This significant growth was attributed to the flood damage caused by Typhoon Hinnamnor in the same period of 2022.
The company aims to maintain steel sales at a similar volume in 2023 and has set a sales target of around 33 million tons for the year 2024. This goal reflects the company's determination to sustain steel sales despite facing challenges in a more challenging period compared to previous years.
However, there is also a negative aspect. In the fourth quarter of 2023, the company reported a net loss of 321 billion won. This figure represents a decrease compared to the 550 billion won net profit in the previous quarter and the 737 billion won net loss in the same period a year ago. POSCO Holdings Inc. is grappling with various challenges due to fluctuations in steel production and the impact of natural disasters during a financially challenging period.
The company noted that its financial performance was also affected by low prices of carbon steel and lithium products, especially impacting the steel and battery material segments.
For the entire year of 2023, POSCO Holdings' net profit decreased by 48% to approximately 1.85 trillion won, operating profit decreased by 27% to 3.53 trillion won, and revenue decreased by 9% to 77.13 trillion won.
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