Posco International (047050) Q2 2025 earnings summary

Executive summary

• Year-over-year profit declined due to strong E&P but weak power generation business.

• Financial stability improved with lower debt and net debt ratio.

• Completed the absorption merger of POSCO Energy, integrating LNG value chain and enhancing operational efficiency and growth foundation.

• Maintained a global network with 44 subsidiaries (5 domestic, 39 overseas) and expanded into energy, steel, food, and new growth sectors.

• Introduced interim dividends and continued a stable dividend policy, with a payout ratio of 50% for the half-year.

Financial highlights

• Sales for 2Q 2025 were KRW 8,144B, down 1.7% YoY.

• Operating profit for 2Q 2025 was KRW 314B, down 10.3% YoY.

• Net income for 2Q 2025 was KRW 91B, a 52.3% YoY decrease.

• EBITDA for 2Q 2025 was KRW 442B, up 8.7% YoY.

• Consolidated H1 2025 revenue: KRW 16,297.8 billion; operating income: KRW 583.9 billion; net income attributable to controlling interest: KRW 289.5 billion.

Outlook and guidance

• Ongoing growth in energy business through full value chain integration, including Myanmar gas field expansion and LNG shipping.

• Strategic alignment with government renewable energy policies, with expansion into offshore wind, solar, and hydrogen projects.

• Palm oil refinery in Indonesia to commence commercial operations by end of 2025, supporting future profit growth.

• Plans to invest an additional KRW 0.6 trillion by end-2025, focusing on LNG terminal expansion, gas production, and renewable energy.

• Targeting further growth as a global energy specialist, with continued investments post-2026.