Asia Paper Q3 Operating Profit 22.3 Billion KRW... 5% Decrease YoY

Corrugated cardboard in production. [Photo and text content are unrelated]

Aseajeji announced on the 14th that its consolidated sales for the third quarter of this year reached 225.9 billion KRW, with an operating profit of 22.3 billion KRW. Compared to the same period last year, sales and operating profit decreased by 11% and 5%, respectively.

An Aseajeji representative explained the third-quarter performance, stating, "Due to ongoing inflation and economic recession, various external adversities caused a decline in shipments in the paper and cardboard business," adding, "Increased energy costs and expenses related to major equipment maintenance during the summer also impacted the results."

For the fourth quarter, uncertainties such as rising prices, global consumption contraction, and the Israel-Palestine conflict are expected to slow global demand for corrugated cardboard. They also noted that reduced production activity in manufacturing has led to a decrease in waste paper, a raw material for corrugated cardboard, posing a purchasing price risk. The recent additional increase in industrial electricity costs is another adverse factor. The Aseajeji representative stated, "As demand weakness and cost burdens persist, we will focus on improving profitability through intensive management efficiency."

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