DL Co., Ltd. announced on the 30th that it expects sales of 581.2 billion won and operating profit of 47.4 billion won in the second quarter of 2021 on an IFRS consolidated basis through an interim earnings announcement.
Sales and operating profit increased by 62% and 125%, respectively, compared to the same period last year. Net profit was 450.6 billion won, and excluding one-off factors caused by the spin-off, it is expected to rise 98% from the same period last year to 126 billion won.
DL Chemical, a wholly owned subsidiary of DL Co., Ltd., led the earnings improvement. Operating profit of KRW 33.3 billion, an increase of 81% compared to the same period of the previous year, was achieved thanks to the effect of operating the PE plant, which was expanded at the beginning of this year, and the increase in sales of PB products due to recovery in global lubricant demand.
Cariflex achieved an operating profit of KRW 11.6 billion while maintaining 100% operation due to solid demand for surgical gloves after 50 days of regular maintenance was completed in the first quarter. DL Motors and GLAD, respectively, succeeded in turning to black with an operating profit of KRW 1.1 billion in the second quarter, respectively, thanks to an improvement in the defect rate of secondary battery parts and an improvement in profits in the hotel division following the increase in domestic travel demand.
Equity-method companies Yeocheon NCC and PolyMirae recorded equity-method gains of W70bn and W8.8bn, respectively. In particular, Yeocheon NCC contributed significantly to net profit growth following last quarter as products and margins in Asia were strong due to supply issues caused by power outages in Texas, USA. Meanwhile, equity-method gains and losses of W13bn were additionally reflected in the quarter due to the impact of a 20% stake in DL E&C acquired through a rights offering in May.
An official from DL Co., Ltd. said, “With the launch of the holding company system this year, we have completed the reorganization of the governance structure centered on the construction, petrochemical, and energy businesses through capital increase. We plan to maximize it.”
Reporter Lee Ho [email protected]
Source: 전체 – 넥스트데일리 by www.nextdaily.co.kr.
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