Korea Zinc announced on the 12th that its earnings for the third quarter this year recorded sales of 3.2066 trillion won and an operating profit of 149.9 billion won. Sales increased by 39.8% compared to the same period last year, but operating profit decreased by 6.5%. During the same period, net income increased by 96.5% to 152.8 billion won.
The company analyzed that the decline in operating profit was due to the exchange rate and the fall in prices on the London Metal Exchange (LME). The price of lead, which holds the second highest proportion of sales, averaged $2,038 per ton in the third quarter, more than $130 down from the same period last year. The maintenance costs for the Onsan smelter facilities, which were reflected in the third quarter, also affected profitability.
A representative from Korea Zinc commented, “Despite the unfavorable external environment and the inclusion of maintenance costs, we succeeded in achieving strong performance,” adding, “Particularly, as we enter the fourth quarter, both the exchange rate and LME prices are showing positive trends, and performance improvement is expected in the fourth quarter.”