Posco Holdings Inc. · KRX:005490
Posco — Q3 2014 Earnings Presentation
18 slides from Posco's earnings presentation, Oct 23, 2014
Slide 1: 2014 3Q Earnings Release
Exhibit 99.1 2014 3Q Earnings Release Posco October 23, 2014
Slide 2: 3Q Performance Major Figures
3Q Performance Major Figures CertainBusiness contents in this presentation Activities in this presentation 2014 are based Business are onsubject unaudited Plan to change financial during statements the course of the ofcompany. auditing process.
Slide 3: Operating profit surged as profitability in steel and energy improved
“Operating 2014.2Q 1,050.6Revenue 151Trade 31 18 A432014.3QV 6,132 7profit7,970 Operating surged %.7,809 Net as Profit profitability profit 51 108Net dropped 93Profit(billion 71 in 96 QoQ steel 31Eand due &KRW)2013.3Q energy to C forex-related 2,571sector 2,581improved”^ 2014.2Q 2,322 losses, 110occ
Slide 4: Revenue and profit by segment
%. Revenue (billion 2013.3Q Steel Trade E IEnergy /Otm/M31’1 C&Net TC11,716 255 6,132 2,571 profit 676 KRW) 2014.2Q Operating 273 571 7,970 12,564 2,581 894 dropped 258 704 821 2014.3Q 7,809 22 2,322 Profit 12,622 51 784 14 QoQ 35 51 8110 Net 37 778 2013.3Q 413 due 108 335 51 41 Profit 2 to 643 93 3
Slide 5: Consolidated financial structure
H Consolidated 87’6% 2014.3Q 83,340 2013.3Q C^Financial ‘‘” 2014.2Q ^ ^ Liabilities Structure 2014.3Qto“Liabilities v45 ) \ 604 ) \ ) Equ’ty 5 to POSCO Equity ‘ 45Earnings ratio 271 45,285 slightly Release 39went 296 | October up, 39,652 due 23, to 37,736 increased 201439,296 jDOSOO debt 1^1ofHll su
Slide 6: 3Q Performance Major Business Activities
3Q Performance Major 2014 Business BusinessPlan Activities
Slide 7: Expanded automotive steel sales and overseas processing centers
“Expanded -H [2015 US (Growth **Thailand s3,634 ¦vHn Japan 0 ^Americas in * Expanded BJgp(+5-3%) ^jdja(+10,4%) (Production Number China Stronger Growth thousand) China SE 7,358 1| Outlook I+8% Asia rate,%) 1,030 1,240 Japan of Steel sales CGL: sales 7,650 processing automotive mSm 1QI unit, of SW 1,
Slide 8: Improved light-weight and high-strength steel solutions
“Improved light-weight tons) in elongation * “Replace improved Mpa: an automobile [Sales 1 MPa parts product cooled product-mix volume material sustains in TWIP(Twinning premium after - Sc’hedi.il^cfsupply - for Reduced 10kg being through auto, refrigerator” of boiled 30% 400kg weight solution Induc
Slide 9: Group-level effort to reduce carbon emissions
“Continued group-level 2014.3Q tons/yr weight 8,542 Mvehicles , ,783 1”^^ , *based effort 6,396 2013 andto on 8,252 2014.3Q energy-efficient lower reduce in-house Hcarbon carbon Business Combine standards emission and electrical Activities and indirect * Cut re-gather steel) steel indirect greenhous
Slide 10: Stabilized mill operations and overseas resource and energy businesses
“Stabilized mill billion decline field Indian Outputentered OPelectrical KRW (mn planned 36 overseas 4MWh) <>- DWI 57,8 [Production steel resource 535 :3.1 Continued steel mill 3.8 661development businesses :V(billion Turned volume/OP ) Vgrowth J 10 KRW) profit and POSCO in ofofenhanced resource in
Slide 11: 3Q Performance Major Business Activities / 2014 Business Plan
3Q Performance Major Business Activities / 2014 Business Plan
Slide 12: 2014 Business Plan targets
¦Consolidated -HCrude Product POSCO Investment Steel Sales Revenue Investment Production business (trillion (“) (“)(“) KRW) target (million Revenue tons)(trillion KRW)
Slide 13: Appendix: Business Environment and Financial Statements
1.Steel -Appendix 2. Business Financial Demand, Environment Statements Raw Materials
Slide 14: Steel demand
STEEL HH “Sustain increase (miMion tons) 578 US EU 524 China 19.4 India SE Global 14.1 “Steel Wfl (thousand 2012 1Q Nominal Export Production Import Incl. * World POSRI(October, Asia 2Q 96 139 HHH cCI- 23456789 Semi-Product 2013 2012 72 698 demand 96 3Q 30,485 12,502 1,475 DEMAND 140 59 Steel in 74
Slide 15: Raw Materials Price
Raw Materials Price China’s CFR economy season, 2014 China 4Q : Fine however, production IQ and (Quarter Ore 2Q slow ^3Q CFR wthe recovery Monthly drop 4Q Spot price U$91/ton” IQduring Avg.) 2Q will average of3Q China’s remain winter Appendix Price 4Q(f) price will weak season economy, \ / No.l: dro
Slide 16: Summarized Statements of Income
H Summarized (11.4%) A50 Margin) A37Selling (3.7%) A41 a4Statements (2.9%) &Equity-accounted Admin. (1.4%) Expenses of Income Owners investees 915 (billion of973 the Finance 980 Controlling KRW)+7 2013.3Q Operating Income Company 189 2014.2Q Profit 160 “ ^633 A398 2014.3Q 511839 238 A558 879 a273 Qo
Slide 17: Summarized Financial Position
Summarized Receivable 35,500 (Interest-bearing Financial POSCO 35,362 Earnings Goods 11,187 Statements A138 :Debt) Release Cash 12,276 Total 25,585 and ofAssets |12,076 Financial October cash 26,974 equivalents, 83,340 A200 23, Position 27,726 2014 Inventories 84,567 Short-term 752 (billion 84,937 E
Slide 18: Earnings October I posco
2014 Earnings October Iposco 5000 V^/ 1 ^10,000 3Q 1 23, ^Release 1 2014 15,000 20,000 25,000 2012 2013 2014(F)