Posco Future’s energy materials unit swings to loss

About this update from Posco Future M Co., Ltd.

Posco Future M Co. (Gyeongsang, South Korea) has reported a 47% year-over-year decline in second-quarter revenue to 506 billion South Korean won ($230 million) for the company’s energy materials business, as per Chemweek.The unit posted an operating loss of 8.1 billion won, compared with an operating profit of 1.3 billion won in the corresponding period of the previous year.In the cathode subsector, revenue fell 50% year over year to 273.1 billion won. There was a decrease in sales of high-Ni cathode materials on a quarter-over-quarter basis.In the anode subsector, Posco Future M recorded lower sales of 42.3 billion won, down 16% year over year. Sales of NG anodes increased sequentially, primarily driven by demand from overseas customers.Despite the increase in NG anode sales, overall profitability in the cathode subsector deteriorated. This decline was primarily due to lower operating rates. Additionally, the company faced inventory valuation losses.Posco’s other business is basic materials, including refractories, furnace maintenance/construction and quicklime/chemicals.mrchub.com

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