DL Co. said on the 3rd that it posted 1.6679 trillion won in sales and 256.5 billion won in operating profit on a consolidation basis in the second quarter. Compared with the same period a year earlier, sales rose 26% and operating profit jumped 256%, marking record quarterly highs for both metrics.
The company said the results came as profits in the petrochemical institutional sector surged, led by DL Chemical and Kraton, while major subsidiaries such as DL Energy and Glad also performed well.
DL Chemical maintained high margins in the polybutene (PB) institutional sector, while the polyethylene (PE) institutional sector also reflected higher product prices, lifting operating profit 160% from a year earlier. Kraton also saw operating profit increase by more than 100 billion won from a year earlier in both the polymer and chemical institutional sectors, driven by higher sales volumes, rising product prices, and wider spreads. DL said, "Strengthening cost competitiveness through ongoing management efficiency and the supply stability of North American and European facilities contributed to improved profitability."
DL Energy achieved peak-season-level results even in a seasonal off-peak period, helped by higher power sales at major plants and the impact of increased capacity charges at U.S. plants. Thanks to growing global electricity demand, sales rose 74% and operating profit 121% from a year earlier. In particular, DL Energy is driving results in the U.S. market by holding the Niles and Fairview power assets.
Glad recorded a high operating margin of 33.1% as both average daily rate and occupancy rose on the back of increasing foreign tourists. Both sales and operating profit were record highs for a second quarter. Average daily rate and occupancy also exceeded the levels of last year's third and fourth quarter peak season, extending strong results.
A DL Co. official said, "We achieved record quarterly results as the competitiveness of the petrochemical business centered on specialty products combined with the steady growth of major subsidiaries."