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Lotte Chemical Corp.
- 347,500.00 KRW
- +7,500.00
- +2.21%
South Korea
Aug 14, 2018Ticker
KRX(011170)Prev. close
340,000Market cap (KRW)
11,653.64BMarket cap (USD)
10,331.70MShares
34.27M
In the news
- Singapore stocks post first weekly fall in six as real-estate firms edge lower Feb 2, 2018
- 42 South Korean companies to invest $17bn in US by 2021 Nov 9, 2017
- THAAD-hit South Korea stocks up as Seoul-Beijing ties warm Oct 31, 2017
- Singapore stocks rise to two-month highs, Malaysia equities decline Oct 26, 2017
- Singapore shares post first gain in 3 days, Malaysia equities extend fall Oct 2, 2017 See more articles on Lotte Chemical Corp.
Company Background
Lotte Chemical is a core unit of Lotte group, the fifth-largest conglomerate in South Korea.
In terms of sales, Lotte Chemical ranks behind only LG Chem in the domestic chemical industry. It is one of the world's largest producers of chemical products such as polyethylene and ethylene.
Lotte Chemical began as Honam Petrochemical, which was established in 1976 through technological collaboration between companies including Japan's Mitsui group. Lotte group acquired the business in 1979. Honam became Lotte Chemical in 2012, when its management was integrated with Kp Chemical.
In South Korea, Lotte Chemical has the world's biggest ethylene capacity. Its plants in Yeosu, South Jeolla Province, and Seosan, South Chungcheong Province, each have 1 million-ton production systems.
The company is also expanding its international presence.
In 2018, it plans to open a joint plant with U.S. company Axiall in the state of Louisiana. The facility is to produce ethylene from shale gas. This stands to boost Lotte Chemical's ethylene capacity to 3.7 million tons.
In 2010, the South Korean company acquired Malaysia's Titan Chemicals, now called Lotte Chemical Titan Holding.
Seeking to reduce its heavy reliance on commodity chemicals, Lotte Chemical intends to reinforce its water treatment business. In addition, it has research-and-development programs focused on large-scale battery products, such as energy storage systems.
Business Summary
Financial Highlights
| Dec 2017 | KRW | USD |
| Revenue | 15,874.51B | 14,041.89M |
| Gross Profit | 3,775.37B | 3,339.53M |
| Operating income | 2,930.11B | 2,591.84M |
| Income before tax | 3,084.68B | 2,728.57M |
| Net income | 2,243.87B | 1,984.83M |
| EBITDA | 3,621.27B | 3,203.22M |
| Diluted EPS | 65,625 | 58.04 |
| Dividends Per Share | 10,500 | 9.28 |
| Total Assets | 19,550.97B | 18,262.54M |
| Total liabilities | 7,296.20B | 6,815.37M |
| Total equity | 11,489.62B | 10,732.45M |
| Operating cash flow | 3,152.43B | 2,788.50M |
| Currency in KRW | Currency in USD |
Historical Data
| Dec 2013 | Dec 2014 | Dec 2015 | Dec 2016 | Dec 2017 | |
| Revenue | 16,438.93B | 14,858.96B | 11,713.33B | 13,223.54B | 15,874.51B |
| Gross Profit | 903,935.83M | 793,158.06M | 2,060.10B | 3,249.80B | 3,775.37B |
| Operating income | 487,376.48M | 350,527.50M | 1,611.31B | 2,545.61B | 2,930.11B |
| Income before tax | 402,002.36M | 275,893.22M | 1,444.77B | 2,415.92B | 3,084.68B |
| Net income | 287,921.10M | 146,855.71M | 992,512.35M | 1,835.81B | 2,243.87B |
| EBITDA | 994,411.90M | 843,391.30M | 2,098.98B | 3,174.76B | 3,621.27B |
| Diluted EPS | 8,546 | 4,359 | 29,458 | 54,488 | 65,625 |
| Dividends Per Share | 1,000 | 1,000 | 2,500 | 4,000 | 10,500 |
| Total Assets | 10,687.66B | 10,322.65B | 11,467.80B | 15,866.83B | 19,550.97B |
| Total liabilities | 4,393.20B | 3,853.65B | 3,912.22B | 6,466.01B | 7,296.20B |
| Total equity | 6,256.11B | 6,437.09B | 7,524.75B | 9,363.11B | 11,489.62B |
| Operating cash flow | 311,205.77M | 275,420.29M | 2,601.78B | 2,680.54B | 3,152.43B |
| Dec 2013 | Dec 2014 | Dec 2015 | Dec 2016 | Dec 2017 | |
| Revenue | 15,015.98M | 14,115.66M | 10,349.26M | 11,397.74M | 14,041.89M |
| Gross Profit | 825.69M | 753.48M | 1,820.19M | 2,801.09M | 3,339.53M |
| Operating income | 445.18M | 332.99M | 1,423.66M | 2,194.13M | 2,591.84M |
| Income before tax | 367.20M | 262.09M | 1,276.52M | 2,082.35M | 2,728.57M |
| Net income | 262.99M | 139.50M | 876.92M | 1,582.33M | 1,984.83M |
| EBITDA | 908.33M | 801.20M | 1,854.54M | 2,736.41M | 3,203.22M |
| Diluted EPS | 7.80 | 4.14 | 26.02 | 46.96 | 58.04 |
| Dividends Per Share | 0.91 | 0.94 | 2.20 | 3.44 | 9.28 |
| Total Assets | 10,127.12M | 9,391.48M | 9,780.22M | 13,136.97M | 18,262.54M |
| Total liabilities | 4,162.79M | 3,506.03M | 3,336.50M | 5,353.54M | 6,815.37M |
| Total equity | 5,928.00M | 5,856.43M | 6,417.42M | 7,752.20M | 10,732.45M |
| Operating cash flow | 284.26M | 261.64M | 2,298.79M | 2,310.43M | 2,788.50M |
Valuation Measures
| Dec 2017 | |
| PER | 5.60 |
| ROA | 12.67% |
| ROE | 21.52% |
| Operating margin | 18.45% |
| Profit margin | 14.13% |
Key executives
- Co-President, Co-CEO & Director: Gyo-Hyeon Kim
- Co-President & Director: Soo-Young Huh
- Chief Financial Officer: Seong Taeg Cho
- Executive Board Member & Head-Research VI Team: Gyeong-Bo Kang
- Head-Legal & Compliance Support: Sung-Gi Kim
Shareholders
- LOTTE Holdings Co., Ltd. (40.5%)
- HOTEL LOTTE Co., Ltd. (12.6%)
- National Pension Service of Korea (9.7%)
- BlackRock Fund Advisors (1.1%)
- The Vanguard Group, Inc. (1.0%)
- APG Asset Management NV (0.7%)
- Norges Bank Investment Management (0.7%)
- Dimensional Fund Advisors LP (0.6%)
- Robeco Institutional Asset Management BV (0.5%)
- UBS AG (Investment Management) (0.4%)
Contact Details
- Website:http://www.lottechem.com
- Address: 7-11/F, Lotte Tower Building, 51 Boramae-ro 5-gil, Seoul, 07071, South Korea
- Phone: +82.2.829.4114
Related Companies
- LTC Chemical Pty Ltd.
- Lotte Chemical Alabama Corp.
- Lotte Advanced Materials Co., Ltd.
- LOTTE CHEMICAL (Jiaxing) Corp.
- Lotte Chemical Trading (Shanghai) Corp.
- Lotte Chemical Pakistan Ltd.
- Sambark Co., Ltd.
- Lotte Chemical Corp. ESOA.
- Lotte Chemical Titan Holding Berhad
Competitors
- Hanwha Chemical Corporation
- LyondellBasell Industries NV
- Korea Petro Chemical Ind. Co., Ltd.
- Daelim Industrial Co., Ltd
- S-Oil Corporation
- TK Chemical Corporation
- Hanwha Corp
- LG Chem Ltd.
- Sumitomo Chemical Co., Ltd.
- Formosa Chemicals & Fibre Corporation
- Covestro AG
- PT Lotte Chemical Titan Tbk
- Trinseo SA
- Lion Chemtech Co., Ltd.
- Samyang Corporation
- Siam Cement Public Co. Ltd.
- Samyang Holdings Corporation
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