Korea Zinc Company (010130) Q2 2025 earnings summary

Executive summary

• Achieved record-high quarterly consolidated revenue in 2Q25, driven by strong precious metal prices and robust rare metal sales despite weak zinc and lead prices.

• Operating profit and net profit increased significantly year-over-year, with net profit up by KRW 155 billion compared to 2Q24.

• Cost reduction initiatives, including LNG and solar power, resulted in substantial savings and CO2 emission reductions.

Financial highlights

• Consolidated sales reached KRW 3,825 billion in 2Q25, up 25.1% year-over-year.

• Gross profit was KRW 390 billion, up 7.7% year-over-year; operating profit was KRW 259 billion, down 3.7% year-over-year.

• Net profit surged to KRW 330 billion, a 102.9% increase year-over-year.

• EBITDA for 2Q25 was KRW 353 billion.

Outlook and guidance

• Profit-focused strategy to maintain stability amid U.S. tariff uncertainties.

• Revenue and profitability expected to improve in 3Q25 due to stable operations and deferred sales volume.

• High rare metal prices likely to persist due to China’s export restrictions.