S-OIL Q3 Earnings Announcement This Year... Operating Loss of 414.9 Billion KRW
Published 04 Nov.2024 16:44(KST)
Operating Profit Turns Negative... Impact of Falling International Oil Prices and Exchange Rates, One-Time Gains and Losses
Shahin Project on Track... 42% Progress Achieved as of End of October
S-OIL's third-quarter performance deteriorated due to the decline in oil prices and exchange rates, as well as the narrowing of chemical product spreads.
S-OIL recorded sales of 8.8406 trillion KRW and an operating loss of 414.9 billion KRW in the third quarter of this year.
Sales decreased by 1.8% compared to the same period last year, and the company turned to a loss due to one-time factors such as inventory effects from the decline in oil prices and the drop in exchange rates.
By business segment, the refining division posted third-quarter sales of 6.8944 trillion KRW and an operating loss of 573.7 billion KRW.
The petrochemical division achieved third-quarter sales of 1.2016 trillion KRW and an operating profit of 5 billion KRW. The lubricants division recorded sales of 744.6 billion KRW and an operating profit of 153.8 billion KRW.
S-OIL expects refining margins to slightly recover in the fourth quarter due to seasonal demand increases such as year-end jet fuel and winter heating oil demand.
An S-OIL official stated regarding the Shahin project, "The project is progressing smoothly with the goal of mechanical completion in the first half of 2026."
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