Hyundai Steel Reports Q1 Sales of 5.74 Trillion Won, Operating Profit of 15.7 Billion Won

Operating Profit Down 63.7%
Impact of Exchange Rates and Rising Costs

On April 24, Hyundai Steel announced through a public disclosure that its consolidated sales for the first quarter of 2026 reached 5.7397 trillion won, with operating profit totaling 15.7 billion won.

The company explained that sales increased by 4.6% compared to the previous quarter due to a rise in product sales volume, but operating profit decreased by 63.7% owing to the effects of a higher exchange rate and increased raw material prices. However, Hyundai Steel expects profitability to gradually improve after the second quarter, citing the anticipated reduction in low-priced imports and the positive impact of product price increases as the reasons.

The company added that the increases in borrowings and debt ratio were temporary, resulting from investments such as capital contributions to its steel mill in the United States.

To enhance profitability, Hyundai Steel plans to focus on securing new demand. The company aims to preempt the market in response to the growth of the power infrastructure industry and is building both standard models and customized products to target the steel market for data centers.

Additionally, Hyundai Steel is strengthening its global market strategy with a package supply approach that combines sheet and long products, while also working on the development of high-performance structural steel for ESS enclosures and expanding supply to the North American market.

Furthermore, the company is expanding orders for steel products used in power grid infrastructure, such as structural steel and heavy plates for transmission towers, and increasing the production of steel sheets with reduced carbon emissions through a hybrid process that combines electric arc furnaces and blast furnaces.

Through this process, Hyundai Steel is mass-producing products with approximately 20% lower carbon emissions compared to conventional blast furnaces and is expanding supply to global automakers.

A company representative stated, "We will pursue profitability improvement by responding to the demand for power infrastructure and low-carbon steel."

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