DL Co. said on the 8th in a preliminary earnings release that on a consolidation basis, it expects first-quarter 2026 revenue of 1.2828 trillion won and operating profit of 112.9 billion won.
Compared with the same period a year earlier, revenue decreased by 103.8 billion won, down 7.4%, and operating profit increased by 7.5 billion won, up 7.1%. Quarter over quarter, revenue rose by 52.3 billion won and operating profit by 101.1 billion won, surging 858% in particular compared with the previous quarter.
The company said the results stemmed from its major subsidiaries' portfolio sophistication strategy translating into improved profitability. In particular, a trend of better results centered on the petrochemical and energy institutional sector led a recovery in profitability.
The petrochemical institutional sector maintained a stable revenue structure despite overall industry weakness, backed by competitiveness in specialty products and diversification of overseas business bases. DL Chemical sustained high margins in the polybutene (PB) institutional sector, while the polyethylene (PE) institutional sector also saw profitability improve as product price increases were reflected. Kraton shook off the year-end off-season, with utilization recovery and higher sales, and turned to profit aided by the effect of rising materials and supplies prices. In particular, it is expected that the improvement trend will continue by leveraging the supply stability of facilities in North America and Europe as a source of competitive advantage.
Energy institutional sector results also improved. DL Energy entered the seasonal peak, with utilization of domestic and overseas power generation asset and power sales margins both rising, recording operating profit of 37 billion won, up 43.4% from the previous quarter. GLAD recorded an operating margin of 27.7% despite the seasonal off-season, as demand from foreign tourists and corporations continued steadily.
A DL Co. official said, "Even in a difficult market environment, we will continue to strengthen profitability and cash generation by steadily pursuing cost reductions, operational efficiency improvements, and a portfolio shift toward high value-added products," adding, "Even in a disrupted global supply chain environment, we will focus on maximizing results and securing mid- to long-term competitiveness by diversifying major overseas business portfolios."