SKC said on the 27th that, on a consolidation basis, its operating loss in the first quarter of this year was 28.7 billion won, a narrowed deficit compared with 74 billion won a year earlier, based on a preliminary tally.
Revenue was 496.6 billion won, up 13.4% from a year earlier. The net loss was 75.6 billion won, narrowing the deficit.
Earnings before interest, taxes, depreciation and amortization (EBITDA), an indicator of cash generation capacity, came to 10 billion won, marking the first quarterly profit since the second quarter of 2023.
By business, the secondary battery materials business led the improvement in results. Revenue in the business was 156.9 billion won, up from the previous quarter and the same period a year earlier. The gains were driven by higher copper foil sales to North America and increased sales for energy storage systems (ESS).
The semiconductor materials business posted 68.3 billion won in revenue and 23.6 billion won in operating profit. The operating margin was 34.5%, the highest on a quarterly basis. The company said demand expansion for artificial intelligence (AI) data centers and increased sales of memory products were reflected in the results.
The chemicals business recorded 270.8 billion won in revenue and 9.6 billion won in operating profit, returning to the black. A spillover effect from supply-demand instability due to Middle East geopolitical risks and expanded sales of the high value-added product propylene glycol (PG) led to improved profitability.
SKC is currently conducting a rights offering of about 830 billion won through a general public offering of forfeited shares after allotment to shareholders.
A company official said, "We expect gradual performance improvement under a business operation stance focused on cash generation and profitability," adding, "We also plan to successfully complete the ongoing rights offering to enhance financial stability and accelerate efforts to secure future growth engines."