Posco Holdings Inc. · KRX:005490
Posco — Q3 2021 Earnings Presentation
14 slides from Posco's earnings presentation, Oct 26, 2021
Slide 1: 2021 3Q Earnings Release
2021 3Q Earnings Release Oct 25, 2021 Exhibit 99.1
Slide 2: Disclaimer
Disclaimer This presentation was prepared and circulated to release the informations regarding the company’s business performance to shareholders and investors prior to the completion of auditing for the period of the third quarter of 2021. As figures in this presentation are based on unaudited fina
Slide 3: 3Q 2021 Earnings Release Contents
3Q 2021 Earnings Release Contents Business Performance (Parent/Consolidated) Financial Structure Subsidiary Performance Appendix 2021 Business Outlook
Slide 4: Business Performance_Sales/Production (Parent)
3Q20 2Q21 3Q21 9,498 8,903 +255 +95 QoQ 9,018 9,448 9,703 9,113 8,894 8,999 53.6 59.9 9,022 61.2 QoQ +23 +1.3%p 3Q20 2Q21 3Q21 ○ Crude steel production went up as major maintenance completed in 2Q, and product production increased to meet the demand from CR and coated products Sales volume (QoQ, k t
Slide 5: Business Performance_Parent/Consolidated
+2,038 +688 +3.0%p 3Q20 ○ Rewrote the highest quarterly operating profit record due to price hike, despite increased raw material cost 2Q21 9,277 3Q21 11,315 5 +2,345 +916 +3.1%p 14,261 18,292 20,637 3Q20 2Q21 3Q21 ○ Recorded highest quarterly result, backed by continuing steel market uptrend from h
Slide 6: Financial Structure
(billion KRW) 3Q20 2Q21 3Q21 QoQ Liabilities ratio 71.8% 64.1% 68.4% +4.3%p EBITDA 1,567 3,090 4,008 +918 ○ EBITDA improved due to better profit led by steel sector, whereas liabilities ratio edged up QoQ due to exchangeable bond issuance from POSCO (billion KRW) 3Q20 2Q21 3Q21 QoQ Liabilities ratio
Slide 7: Subsidiary Performance_Domestic
7 394 350 572 +222 +59 QoQ 80 5 64 Operating profit edged up as electricity unit price jumped entering the peak season, despite LNG spot price hike - Electricity unit price increase : [SMP] +18%, [CP] +203% 3Q20 2Q21 3Q21 Revenue continued to rise supported by stable steel product sales, while opera
Slide 8: Subsidiary Performance_Overseas
8 PT. Krakatau POSCO 709 369 619 Reached record-high operating profit level as price kept its uptrend due to continuing positive steel market sentiment - Sales volume (k tons) : 2Q21) 804 → 3Q21) 726 (△78) - Product price increase (QoQ) : +26% △5 POSCO Maharashtra +90 +77 QoQ 129 206 Operating profi
Slide 9: 2021 Business Outlook
9 4.2 5.6 21.1 8.3 39.7 74.2 * CAPEX execution rate : Parent 58.5%, Consolidated 47.1% 2021 Business Outlook Parent Consolidated CAPEX (trillion KRW) Revenue (trillion KRW) Debt (trillion KRW) Crude Steel Production 38.2 million tons Product Sales 35.6 million tons
Slide 10: Appendix: Summarized Financial Statements
Summarized Financial Statements Appendix Summarized F/S_Parent (IS, BS) Summarized F/S_Consolidated (IS, BS)
Slide 11: Summarized F/S_Parent Income Statement
11 3Q20 2Q21 3Q21 QoQ Crude Steel Production (thousand tons) 9,498 9,448 9,703 +255 Product Sales (thousand tons) 8,894 8,999 9,022 +23 STS 451 480 505 +25 Carbon Steel Sales Price (thousand KRW) 634 901 1,097 +196 Revenue 6,578 9,277 11,315 +2,038 Cost of Goods Sold 6,064 7,412 8,713 +1,301 Gross P
Slide 12: Summarized F/S_Parent Balance Sheet
12 3Q20 2Q21 3Q21 QoQ Current Assets 20,873 21,058 24,843 +3,785 Cash Balance* 12,905 10,371 11,747 +1,376 Accounts Receivable 3,687 4,920 6,108 +1,188 Inventories 3,853 5,325 6,528 +1,203 Current Ratio 369.7% 393.8% 396.2% +2.4%p Non-Current Assets 37,452 37,943 38,511 +568 Other Long-term financia
Slide 13: Summarized F/S_Consolidated Income Statement
13 Summarized F/S_Consolidated Income Statement (billion KRW) 3Q20 2Q21 3Q21 QoQ Revenue 14,261 18,292 20,637 +2,345 Gross Profit 1,207 2,823 3,779 +956 (Gross Margin) (8.5%) (15.4%) (18.3%) (2.9%p) SG&A 540 623 662 +39 Operating Profit 667 2,201 3,117 +916 (Operating Margin) (4.7%) (12.0%) (15.1%)
Slide 14: Summarized F/S_Consolidated Balance Sheet
14 Summarized F/S_Consolidated Balance Sheet (billion KRW) 3Q20 2Q21 3Q21 QoQ Current Assets 38,249 40,182 45,691 +5,509 Cash Balance* 17,887 16,683 18,567 +1,884 Accounts Receivable 8,894 9,422 10,468 +1,046 Inventories 9,021 11,427 13,810 +2,383 Current Ratio 207.7% 226.4% 235.5% +9.1%p Non-Curren