POSCO
- 262,500.00 KRW
- +2,000.00
- +0.77%
South Korea
Apr 25, 2019Ticker
KRX(005490)Prev. close
260,500Market cap (KRW)
22,712.16BMarket cap (USD)
19,570.17MShares
87.18M
In the news
- South Korean blue chips bruised by Chinese slump Feb 16, 2019
- South Korea court greenlights seizure of Nippon Steel shares Jan 9, 2019
- Wartime laborers file for asset seizure against Nippon Steel Jan 3, 2019
- No solution in sight to South Korean wartime labor cases Dec 26, 2018
- Lawyers give Nippon Steel deadline for wartime labor ruling Dec 5, 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 2018 | KRW | USD |
| Revenue | 64,977.77B | 59,042.90M |
| Gross Profit | 8,176.93B | 7,430.08M |
| Operating income | 5,479.50B | 4,979.02M |
| Income before tax | 3,562.82B | 3,237.40M |
| Net income | 1,672.89B | 1,520.09M |
| EBITDA | 8,747.13B | 7,948.19M |
| Diluted EPS | 20,910.98 | 19.00 |
| Dividends Per Share | 10,000 | 9.08 |
| Total Assets | 78,248.26B | 70,127.49M |
| Total liabilities | 31,688.09B | 28,399.44M |
| Total equity | 43,171.87B | 38,691.40M |
| Operating cash flow | 5,823.55B | 5,291.65M |
| Currency in KRW | Currency in USD |
Historical Data
| Dec 2014 | Dec 2015 | Dec 2016 | Dec 2017 | Dec 2018 | |
| Revenue | 65,098.44B | 58,192.34B | 53,083.51B | 60,655.10B | 64,977.77B |
| Gross Profit | 7,363.33B | 6,616.42B | 6,794.74B | 8,473.42B | 8,176.93B |
| Operating income | 3,117.15B | 2,262.42B | 2,830.77B | 4,523.65B | 5,479.50B |
| Income before tax | 1,678.03B | 686,811.66M | 1,521.53B | 4,179.69B | 3,562.82B |
| Net income | 593,050.50M | 147,617.24M | 1,330.08B | 2,757.05B | 1,672.89B |
| EBITDA | 6,355.70B | 5,480.67B | 6,020.60B | 7,821.07B | 8,747.13B |
| Diluted EPS | 7,432 | 1,845 | 16,627 | 34,464 | 20,910.98 |
| Dividends Per Share | 8,000 | 8,000 | 8,000 | 8,000 | 10,000 |
| Total Assets | 85,252.17B | 80,408.75B | 79,762.99B | 79,024.95B | 78,248.26B |
| Total liabilities | 40,957.72B | 36,335.45B | 34,921.51B | 32,557.87B | 31,688.09B |
| Total equity | 40,590.44B | 40,238.43B | 41,376.51B | 42,735.95B | 43,171.87B |
| Operating cash flow | 3,342.38B | 7,534.10B | 5,201.32B | 5,539.52B | 5,823.55B |
| Dec 2014 | Dec 2015 | Dec 2016 | Dec 2017 | Dec 2018 | |
| Revenue | 61,841.95M | 51,415.59M | 45,754.16M | 53,652.85M | 59,042.90M |
| Gross Profit | 6,994.98M | 5,845.91M | 5,856.57M | 7,495.22M | 7,430.08M |
| Operating income | 2,961.22M | 1,998.95M | 2,439.92M | 4,001.42M | 4,979.02M |
| Income before tax | 1,594.09M | 606.82M | 1,311.44M | 3,697.17M | 3,237.40M |
| Net income | 563.38M | 130.42M | 1,146.43M | 2,438.77M | 1,520.09M |
| EBITDA | 6,037.76M | 4,842.42M | 5,189.32M | 6,918.18M | 7,948.19M |
| Diluted EPS | 7.06 | 1.63 | 14.33 | 30.48 | 19.00 |
| Dividends Per Share | 7.59 | 7.06 | 6.89 | 7.07 | 9.08 |
| Total Assets | 77,561.90M | 68,575.97M | 66,039.89M | 73,817.15M | 70,127.49M |
| Total liabilities | 37,263.09M | 30,988.40M | 28,913.32M | 30,412.28M | 28,399.44M |
| Total equity | 36,928.94M | 34,317.02M | 34,257.75M | 39,919.62M | 38,691.40M |
| Operating cash flow | 3,175.18M | 6,656.72M | 4,483.16M | 4,900.02M | 5,291.65M |
Valuation Measures
| Dec 2018 | |
| PER | 11.62 |
| ROA | 2.12% |
| ROE | 3.89% |
| Operating margin | 8.43% |
| Profit margin | 2.57% |
Key executives
- Chairman & Co-Chief Executive Officer: Jeong-Woo Choi
- Co-President, Co-CEO & Director: In-Hwa Chang
- Head-Legal & Compliance Support: Seong-Wook Lee
- Inside Director & Senior Executive Vice President: Jung-Son Chon
- Director & Vice President: Hag-Dong Kim
Shareholders
- National Pension Service of Korea (10.7%)
- POSCO (8.1%)
- Nippon Steel Corp. /New/ (3.3%)
- BlackRock Fund Advisors (2.4%)
- The Vanguard Group, Inc. (1.8%)
- POSCO Employee Stock Ownership Association (1.5%)
- Samsung Asset Management Co., Ltd. (1.3%)
- Dimensional Fund Advisors LP (1.0%)
- BlackRock Asset Management North Asia Ltd. (1.0%)
- Woori Financial Group, Inc. (1.0%)
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
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- POSCO Philippine Manila Processing Center, Inc.
- HONG KONG POSCO E&C (CHINA) Investment Co. Ltd.
- Clean Po-hang Co., Ltd.
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- 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.
- 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.
Competitors
- ArcelorMittal SA
- Hyundai Steel Company
- Severstal PAO
- Iljin Materials Co., Ltd.
- Hanjin Heavy Industries & Construction Holdings Co., Ltd.
- Dongbu Corporation
- JSW Steel Limited
- KCC Engineering & Construction Co., Ltd
- Ternium S.A. Sponsored ADR
- Hanjin Heavy Industries & Construction Co., Ltd
- Hoa Binh Construction & Real Estate Corp.
- Kye-Ryong Construction Industrial Co., Ltd.
- Kumho Industrial Co., Ltd.
- Yieh United Steel Corp.
- Magnitogorsk Iron & Steel Works PJSC
- DB Inc.
- SeAH Holdings Corporation
- Dongkuk Industries Co., Ltd.
- Outokumpu Oyj
- PBG S.A.
- Sims Metal Management Limited
- Great New Wave Coming Co., Ltd.
- Orbite Technologies Inc. Class A
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Last Updated on 25 Apr, 2019