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Non-Energy Minerals

POSCO Holdings Inc.

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

POSCO Holdings Inc. engages in the production of steel products. It operates through the following divisions: Steel, Engineering & Construction and Trading. The Steel division produces cold rolled, hot rolled and stainless steel products, plates, wire rods and silicon steel sheets. The Engineering & Construction division engages in the planning, designing and construction of industrial plants, civil engineering projects, commercial and residential buildings. The Trading division exports and imports steel products and raw materials. The company was founded by Tae-Joon Park on April 1, 1968 and is headquartered in Pohang, South Korea.

Financial Highlights

Dec 2022 KRWUSD
Revenue84,800.00B65,629.51M
Gross Profit----
Operating income4,900.00B3,792.27M
Income before tax----
Net income----
EBITDA----
Diluted EPS----
Dividends Per Share15,00011.60
Total Assets----
Total liabilities----
Total equity----
Operating cash flow----
Currency in KRWCurrency in USD

Historical Data

 Dec 2018Dec 2019Dec 2020Dec 2021Dec 2022
Revenue 64,977.77B 64,366.84B 57,792.79B 76,332.34B 84,800.00B
Gross Profit 8,176.93B 6,396.30B 4,810.52B 11,995.31B --
Operating income 5,479.50B 3,788.53B 2,349.38B 9,246.45B 4,900.00B
Income before tax 3,562.82B 2,779.53B 1,891.78B 8,766.50B --
Net income 1,672.89B 1,828.41B 1,595.45B 6,610.56B --
EBITDA 8,747.13B 7,249.64B 5,971.12B 12,825.89B --
Diluted EPS 20,910.98 22,822.75 20,164.81 85,376.75 --
Dividends Per Share 10,000 10,000 8,000 17,000 15,000
Total Assets 78,248.26B 79,058.66B 79,086.97B 91,471.61B --
Total liabilities 31,688.09B 31,463.33B 31,611.76B 36,866.05B --
Total equity 43,171.87B 44,272.48B 44,131.96B 50,227.97B --
Operating cash flow 5,823.55B 5,988.16B 8,669.19B 6,242.87B --
 Dec 2018Dec 2019Dec 2020Dec 2021Dec 2022
Revenue 59,042.90M 55,194.40M 48,981.60M 66,656.52M 65,629.51M
Gross Profit 7,430.08M 5,484.81M 4,077.10M 10,474.79M --
Operating income 4,979.02M 3,248.65M 1,991.19M 8,074.38M 3,792.27M
Income before tax 3,237.40M 2,383.44M 1,603.36M 7,655.26M --
Net income 1,520.09M 1,567.86M 1,352.21M 5,772.61M --
EBITDA 7,948.19M 6,216.55M 5,060.75M 11,200.10M --
Diluted EPS 19.00 19.57 17.09 74.55 --
Dividends Per Share 9.08 8.57 6.78 14.84 11.60
Total Assets 70,127.49M 68,363.23M 72,803.98M 76,947.73M --
Total liabilities 28,399.44M 27,206.83M 29,100.39M 31,012.45M --
Total equity 38,691.40M 38,283.09M 40,625.94M 42,252.76M --
Operating cash flow 5,291.65M 5,134.83M 7,347.47M 5,451.53M --

Valuation Measures

Dec 2022
PER--
ROA--
ROE--
Operating margin5.77%
Profit margin--

Key executives

  • Chairman & Co-Chief Executive Officer: Jeong-Woo Choi
  • Co-Chief Executive Officer & Director: Jung-Son Chon
  • Co-President, Co-CEO & Director: In-Hwa Chang
  • Senior Managing Director & Head-Finance: Seung-Kyu Lim
  • Head-Legal & Compliance Support: Seong-Wook Lee

Shareholders

  • POSCO Holdings Inc. (9.8%)
  • National Pension Service of Korea (8.4%)
  • GIC Pte Ltd. (Investment Management) (4.5%)
  • NIPPON STEEL CORP. (3.4%)
  • The Vanguard Group, Inc. (2.2%)
  • BlackRock Fund Advisors (2.2%)
  • POSCO Holdings Inc. Employee Stock Ownership Association (1.9%)
  • Fidelity Management & Research Co. LLC (1.9%)
  • Samsung Asset Management Co., Ltd. (0.8%)
  • ARGA Investment Management LP (0.7%)

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

  • Posco Venture Capital Co Ltd
  • POSCO
  • NEH Co., Ltd
  • POSCO /Logistics Bus/
  • POSCO CHEMICAL Free Zone Enterprise
  • POSCO Argentina SAU
  • DAESAN (CAMBODIA) Co., Ltd.
  • PGSF LP
  • PT POSCO Indonesia Inti
  • POSCO Mauritius Ltd.
  • POSCO WA Pty Ltd.
  • POSCO NCR Coal Ltd.
  • POSCO America Alabama Processing Center Co. Ltd.
  • POSCO TNPC Otomotiv Celik San. ve Tic. AS
  • POSCO India Processing Center Pvt Ltd.
  • POSCO RU LLC
  • PT Krakatau POSCO Social Enterprise
  • POSMATE-China Co., Ltd.
  • POSCO-Mexico Villagran Wire-rod Processing Center
  • POSCO-Italy Processing Center
  • POSCO Africa (Pty) Ltd.
  • Hunchun Posco Hyundai Logistics
  • IMP Fund I
  • Posco New Growth
  • POSCO O&M CO., Ltd.
  • Uitrans Co., Ltd.
  • POSCO Research & Technology
  • POSCO Coated Steel (Thailand) Co., Ltd.
  • Incheon-Gimpo Highway Co., Ltd.
  • Tera Technos Co. Ltd.

Competitors

  • Baoshan Iron & Steel Co., Ltd. Class A
  • GS Holdings Corp.
  • NIPPON STEEL CORP.
  • ArcelorMittal SA
  • Hyundai Steel Company
  • POSCO M-TECH Co., Ltd.
  • Korea Electric Power Corporation
  • Korea Gas Corporation
  • PJ Metal Co., Ltd.
  • S-Oil Corporation
  • SK Inc.
  • KUMHO Engineering & Construction Co., Ltd.
  • Dongbu Corporation
  • Dongkuk Industries Co., Ltd.
  • HJ SHIPBUILDING & CONSTRUCTION CO. LTD
  • POSCO Chemical Co., Ltd.
  • Kye-Ryong Construction Industrial Co., Ltd.
  • Ternium S.A. Sponsored ADR
  • SeAH Holdings Corporation
  • Daiyang Metal Co., Ltd.
  • Chosun Refractories Co., Ltd
  • DAE DONG STEEL Co., Ltd.
  • Moonbae Steel Co., Ltd.
  • PBG S.A.
  • Outokumpu Oyj
  • Hanchang Corp.
  • Galan Lithium Limited
  • Nickel Industries Limited
  • Orbite Technologies Inc. Class A
  • Peabody Energy Corporation
Last Updated on 27 Jan, 2023

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