Yeongpoong Paper, 40.8 Billion KRW Sales in H1... "Aiming for Turnaround in H2"

Paper manufacturing company Youngpoong Paper (CEO Jo Sang-jong) announced its first half performance for this year through a disclosure on the 9th.

Based on consolidated financial statements, Youngpoong Paper recorded cumulative sales of 40.857 billion KRW in the first half of this year. Operating loss and net loss for the period were 615 million KRW and 1.341 billion KRW, respectively.

For the second quarter, sales increased by 13.68% compared to the first quarter (19.112 billion KRW), reaching 21.736 billion KRW, and operating profit turned positive at 116 million KRW.

Youngpoong Paper explained that since the major shareholder change in November last year, the introduction of a systematic system led to an increase in sales volume of its main production item, paper, resulting in a slight increase in sales compared to the first quarter. However, they added that costs incurred for repairing aging existing facilities and equipment during the period caused operating profit to grow relatively slowly. This was addressed as an internal improvement measure for the company’s mid- to long-term sales growth and profit enhancement, and they expect to accelerate performance improvement in the second half of the year.

A company representative stated, “From the acquisition in November last year until the first half of this year, we focused on strengthening the internal foundation by supplementing the insufficient systems and repairing aging facilities. Since we originally planned to concentrate on generating sales from the second half, future performance improvements will be visibly confirmed.”

Youngpoong Paper aims to secure stable sales through the distribution channels of its existing main product, paper, while also expanding market share in the corrugated cardboard sector through its subsidiary Youngpoong Package, acquired in the first half of this year. By establishing an efficient system, they plan to simultaneously secure supply and distribution networks and strengthen market dominance, expecting not only quantitative expansion but also excellent profitability.

This content was produced with the assistance of AI translation services.