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POSCO
- 354,500.00 KRW
- +5,000.00
- +1.43%
South Korea
Apr 20, 2018Ticker
KRX(005490)Prev. close
349,500Market cap (KRW)
30,471.80BMarket cap (USD)
28,551.70MShares
87.18M
In the news
- Nikkei Asia300 Index rises after China's central bank cuts RRR Apr 18, 2018
- Posco chief to step down after political pressure Apr 18, 2018
- Moon credentials hit by South Korean financial head debacle Apr 11, 2018
- Posco looks for charge from electric vehicle batteries Mar 24, 2018
- Asia Inc. comes roaring back in 2017 Mar 16, 2018 See more articles on POSCO
Company Background
Posco, South Korea's largest steelmaker, produced 41.48 million tons of crude steel in 2014. That made it No. 5 in the world.
Domestic production is concentrated at two integrated mills with blast furnaces, located in the cities of Pohang, North Gyeongsang Province, and Gwangyang, South Jeolla Province.
The company also set up Southeast Asia's first blast furnace in the western part of Java, Indonesia, in a joint venture with Indonesian state-run enterprise Krakatau Steel.
The Pohang steelworks, South Korea's first plant with a blast furnace, came onstream in 1973. It was primarily funded with grants and soft loans provided by Japan in lieu of war reparations, based on the countries' 1965 treaty on basic relations.
Since the plant opened, Posco has underpinned South Korea's industrialization efforts. In 2000, the company was fully privatized after government-affiliated Korea Development Bank sold its entire stake.
For years, Posco was the dominant supplier of high-end steel plate to domestic customers. Today, the company is locked in a rivalry with Hyundai Steel, which belongs to the Hyundai Motor group and runs three domestic blast furnaces.
The competition centers on steel plate for automobiles and planks for ships.
In response to a surge in Chinese steel production, Posco has sought other revenue sources in recent years, such as trading and energy. Acquisitions, however, swelled the company's debt. Chairman Kwon Oh-joon, who took office in March 2014, said the company would reconsider its diversification strategy and refocus on steelmaking.
Posco is looking to land more orders from not only South Korean companies but also Japanese, European and other global automakers. It aims to leverage its Chinese and Mexican plants for hot-dip galvanized steel plate, used in cars.
The company supplies magnesium sheet, a new type of material, to German automaker Porsche.
Business Summary
Financial Highlights
| Dec 2017 | KRW | USD |
| Revenue | 60,655.10B | 53,652.85M |
| Gross Profit | 8,473.42B | 7,495.22M |
| Operating income | 4,523.65B | 4,001.42M |
| Income before tax | 4,179.69B | 3,697.17M |
| Net income | 2,757.05B | 2,438.77M |
| EBITDA | 7,821.07B | 6,918.18M |
| Diluted EPS | 34,464 | 30.48 |
| Dividends Per Share | 8,000 | 7.07 |
| Total Assets | 79,024.95B | 73,817.15M |
| Total liabilities | 32,557.87B | 30,412.28M |
| Total equity | 42,735.95B | 39,919.62M |
| Operating cash flow | 5,539.52B | 4,900.02M |
| Currency in KRW | Currency in USD |
Historical Data
| Dec 2013 | Dec 2014 | Dec 2015 | Dec 2016 | Dec 2017 | |
| Revenue | 61,864.65B | 65,098.44B | 58,192.34B | 53,083.51B | 60,655.10B |
| Gross Profit | 7,001.40B | 7,363.33B | 6,616.42B | 6,794.74B | 8,473.42B |
| Operating income | 2,885.06B | 3,117.15B | 2,262.42B | 2,830.77B | 4,523.65B |
| Income before tax | 2,125.98B | 1,678.03B | 686,811.66M | 1,521.53B | 4,179.69B |
| Net income | 1,358.08B | 593,050.50M | 147,617.24M | 1,330.08B | 2,757.05B |
| EBITDA | 5,570.61B | 6,355.70B | 5,480.67B | 6,020.60B | 7,821.07B |
| Diluted EPS | 17,409 | 7,432 | 1,845 | 16,627 | 34,464 |
| Dividends Per Share | 8,000 | 8,000 | 8,000 | 8,000 | 8,000 |
| Total Assets | 84,455.40B | 85,252.17B | 80,408.75B | 79,762.99B | 79,024.95B |
| Total liabilities | 39,630.29B | 40,957.72B | 36,335.45B | 34,921.51B | 32,557.87B |
| Total equity | 41,049.11B | 40,590.44B | 40,238.43B | 41,376.51B | 42,735.95B |
| Operating cash flow | 4,858.13B | 3,342.38B | 7,534.10B | 5,201.32B | 5,539.52B |
| Dec 2013 | Dec 2014 | Dec 2015 | Dec 2016 | Dec 2017 | |
| Revenue | 56,509.65M | 61,841.95M | 51,415.59M | 45,754.16M | 53,652.85M |
| Gross Profit | 6,395.36M | 6,994.98M | 5,845.91M | 5,856.57M | 7,495.22M |
| Operating income | 2,635.33M | 2,961.22M | 1,998.95M | 2,439.92M | 4,001.42M |
| Income before tax | 1,941.96M | 1,594.09M | 606.82M | 1,311.44M | 3,697.17M |
| Net income | 1,240.52M | 563.38M | 130.42M | 1,146.43M | 2,438.77M |
| EBITDA | 5,088.42M | 6,037.76M | 4,842.42M | 5,189.32M | 6,918.18M |
| Diluted EPS | 15.90 | 7.06 | 1.63 | 14.33 | 30.48 |
| Dividends Per Share | 7.30 | 7.59 | 7.06 | 6.89 | 7.07 |
| Total Assets | 80,025.97M | 77,561.90M | 68,575.97M | 66,039.89M | 73,817.15M |
| Total liabilities | 37,551.80M | 37,263.09M | 30,988.40M | 28,913.32M | 30,412.28M |
| Total equity | 38,896.21M | 36,928.94M | 34,317.02M | 34,257.75M | 39,919.62M |
| Operating cash flow | 4,437.61M | 3,175.18M | 6,656.72M | 4,483.16M | 4,900.02M |
Valuation Measures
| Dec 2017 | |
| PER | 9.64 |
| ROA | 3.47% |
| ROE | 6.55% |
| Operating margin | 7.45% |
| Profit margin | 4.54% |
Key executives
- Chairman & Co-Chief Executive Officer: Oh-Joon Kwon
- Co-President, Co-CEO & Director: Jeong-Woo Choi
- Co-President, Co-CEO & Director: In-Hwan Oh
- Managing Director & Head-Finance: Duk-Il Yoon
- Vice President: Jong-Jin Choi
Shareholders
- National Pension Service of Korea (10.7%)
- POSCO (8.2%)
- Nippon Steel & Sumitomo Metal Corp. (3.3%)
- Saudi Arabian Monetary Agency (Investment Management) (2.3%)
- BlackRock Fund Advisors (2.0%)
- The Vanguard Group, Inc. (1.7%)
- POSCO Employee Stock Ownership Association (1.6%)
- BlackRock Asset Management North Asia Ltd. (1.1%)
- Woori Bank (1.0%)
- Dimensional Fund Advisors LP (0.9%)
Contact Details
- Website:http://www.posco.com
- Address: POSCO Center, 892 Daechi 4-dong, Seoul, 06194, South Korea
- Phone: +82.2.3457.0114
Related Companies
- Sebang Steel Co. Ltd.
- Posco Mexico Human Tech SA de CV
- HKT Bearings Ltd.
- POSCO China Suzhou Processing Center Co., Ltd.
- POS-Minerals Corp.
- POSCO Australia GP Pty Ltd.
- Posteel Co., Ltd. (South Korea)
- POSCO Vietnam Holdings Co. Ltd.
- Posco ES Materials Co., Ltd.
- Posmateinsure Insurance Broker Co., Ltd.
- POSBRO Co., Ltd.
- Chuncheon Clean Water Load Co., Ltd.
- Poscoenc Housing Planning Co., Ltd.
- POSPlate Co., Ltd.
- NRT Korea Co., Ltd.
- Suncheon Eco Trans Co., Ltd.
- Blue O&M Co., Ltd.
- PoHang Fuel Cell Co., Ltd.
- Pohang Scrap Recycling Center Co., Ltd.
- Mapo Hibroad Parking Co., Ltd.
- Basys Industry Co., Ltd.
- Cheongna IBT Co., Ltd.
- Posco MESDC SA de CV
- Posco MAPC SA de CV
- POSCO Vietnam Processing Center Co. Ltd.
- Posco India Steel Distribution Centre Pvt Ltd.
- POSCO (Wuhu) Automotive Processing Center Co. Ltd.
- POSCO-India Delhi Steel Processing Centre Pvt Ltd.
- POSCO Guangdong Automotive Steel Co. Ltd.
- POSCO-TISCO (Jilin) Processing Center Co. Ltd.
Competitors
- ArcelorMittal SA
- Hyundai Steel Company
- Severstal PAO
- Hoa Phat Group JSC
- Iljin Materials Co., Ltd.
- Dongbu Corporation
- KCC Engineering & Construction Co., Ltd
- Metalurgica Gerdau SA Pfd
- Ternium S.A. Sponsored ADR
- Hanjin Heavy Industries & Construction Co., Ltd
- Hanjin Heavy Industries & Construction Holdings Co., Ltd.
- Kumho Industrial Co., Ltd.
- Dongkuk Industries Co., Ltd.
- Yieh United Steel Corp.
- Kye-Ryong Construction Industrial Co., Ltd.
- Seohee Construction Co., Ltd.
- Magnitogorsk Iron & Steel Works PJSC
- SeAH Holdings Corporation
- Outokumpu Oyj
- DB Inc.
- G Steel Public Co., Ltd.
- PT Gunawan Dianjaya Steel Tbk
- Samsung Heavy Industries Co., Ltd
- Great New Wave Coming Co., Ltd.
- Orbite Technologies Inc. Class A
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