Korea Pohang steel company 2-quarter growth significantly, the combined net profit of 220 billion won, about $194 million, rose 88%, benefited from increased sales and higher steel prices.
By parent companies, POSCO's profit of 310 billion won, rose 47.6%, indicating that it still weighed down by subsidiaries. POSCO engineering and construction subsidiary (PoscoE&C) loss of 180 billion won loss, mostly from its turn-key projects--steel POSCO Brazil joint venture cost overruns of the CSP.
2 quarter, POSCO steel output from 1 quarter of 9.06 million tons and 9.3 million tons last year from 9 million tons, production decreases the influence of the Gwangyang plant 5th blast furnace reconstruction (February-June production during 112 days). Carbon steel prices rose an average of 9% from 1 quarter 551,000 won/t (US $484 per tonne) rose to 557,000 won per ton ($ 489/tonne). Domestic sales of 4.78 million tons, up 8.5% exports 6% to 4.2 million tons.
Pohang, Gwangyang plant, 4th modification effect of cold rolling mill, steel used for car sales over the same period last year to 41.6% from 37.9%. Automobile consumption tax at the end of the end of June, 3 quarter Korea automobile sector will slow demand, but POSCO expects auto sales will reach 9.1 million tons of steel, rose 5.8%.