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Energy Minerals

SK Innovation Co., Ltd.

  • 195,000.00 KRW
  • -4,000.00
  • -2.01%
  • South Korea
    Aug 16, 2018
  • Ticker
    KRX(096770)
  • Prev. close
    199,000
  • Market cap (KRW)
    18,400.64B
  • Market cap (USD)
    16,284.47M
  • Shares
    92.46M

Company Background

SK Innovation is a leading oil and chemical company in South Korea, and a core business of the SK group, the country's third-largest conglomerate. It deals with a wide range of businesses, from petroleum development to batteries and information electronics materials. It has also extended its efforts to the development of nonconventional energy resources, such as shale-derived resources.

The company's origins date back to the establishment of Korea Oil, the country's first oil refining company, in 1962. In addition to the business of its own, SK Innovation has widened its business through its subsidiaries. These include: SK Energy for oil refinery and wholesale; SK Lubricants for production of lubricating oil for leading automakers worldwide, including BMW of Germany; and SK Global Chemical for chemical products.

The company is engaged in a large-scale project in the U.S. state of Oklahoma, where it has acquired a stake in an oil producing field. As the first attempt ever among South Korean businesses, the company is preparing to produce oil and gas from the field's shale layers. The company expects the production of shale-derived energy to eventually reach about 15% of total capacity in the field.

The company is also actively involved in new businesses. It has signed with Chinese businesses, including a leading automaker, to form a joint venture in China to produce battery packs for electric vehicles, with a capacity target of 20,000 units by 2017.

In addition, SK Global Chemical has agreed with Saudi Basic Industries to launch a joint effort to produce and market Nexlene, a high-performance polyethylene originally developed using SK's own technology.

Business Summary

SK Innovation Co., Ltd. engages in the development and production of petroleum products. It operates through the Petroleum Development and Battery Businesses. The Battery business provides cell, module, pack, and battery management system. The company was founded on July 3, 2007 and is headquartered in Seoul, South Korea.

Financial Highlights

Dec 2017 KRWUSD
Revenue46,260.93B40,920.40M
Gross Profit5,355.71B4,737.42M
Operating income3,234.36B2,860.98M
Income before tax3,234.76B2,861.33M
Net income2,114.33B1,870.25M
EBITDA4,134.43B3,657.13M
Diluted EPS22,574.4619.96
Dividends Per Share8,0007.07
Total Assets34,243.60B31,986.92M
Total liabilities14,934.27B13,950.09M
Total equity18,085.77B16,893.91M
Operating cash flow2,188.61B1,935.95M
Currency in KRWCurrency in USD

Historical Data

 Dec 2013Dec 2014Dec 2015Dec 2016Dec 2017
Revenue 66,669.52B 65,860.71B 48,356.32B 39,520.53B 46,260.93B
Gross Profit 3,226.31B 1,616.33B 4,159.47B 4,911.47B 5,355.71B
Operating income 1,382.89B -182,803.24M 1,979.56B 3,228.33B 3,234.36B
Income before tax 979,929.58M -585,231.07M 1,605.11B 2,337.98B 3,234.76B
Net income 729,919.72M -484,760.56M 944,798.75M 1,671.33B 2,114.33B
EBITDA 2,052.16B 602,152.75M 2,931.09B 4,142.69B 4,134.43B
Diluted EPS 7,832 -5,875.69 8,744.55 17,934 22,574.46
Dividends Per Share 3,200 0 4,800 6,400 8,000
Total Assets 35,288.86B 35,101.31B 31,359.83B 32,581.33B 34,243.60B
Total liabilities 18,373.61B 19,040.25B 14,313.49B 14,276.28B 14,934.27B
Total equity 15,839.45B 15,000.34B 15,889.74B 17,103.15B 18,085.77B
Operating cash flow 1,378.98B 927,140.70M 4,085.70B 3,518.19B 2,188.61B
 Dec 2013Dec 2014Dec 2015Dec 2016Dec 2017
Revenue 60,898.61M 62,566.08M 42,725.01M 34,063.86M 40,920.40M
Gross Profit 2,947.04M 1,535.48M 3,675.08M 4,233.33M 4,737.42M
Operating income 1,263.18M -173.65M 1,749.03M 2,782.59M 2,860.98M
Income before tax 895.10M -555.95M 1,418.19M 2,015.17M 2,861.33M
Net income 666.73M -460.51M 834.77M 1,440.57M 1,870.25M
EBITDA 1,874.53M 572.03M 2,589.75M 3,570.70M 3,657.13M
Diluted EPS 7.15 -5.58 7.72 15.45 19.96
Dividends Per Share 2.92 0 4.24 5.51 7.07
Total Assets 33,438.07M 31,934.96M 26,744.98M 26,975.76M 31,986.92M
Total liabilities 17,409.97M 17,322.70M 12,207.15M 11,820.07M 13,950.09M
Total equity 15,008.72M 13,647.21M 13,551.44M 14,160.58M 16,893.91M
Operating cash flow 1,259.61M 880.76M 3,609.90M 3,032.43M 1,935.95M

Valuation Measures

Dec 2017
PER9.05
ROA6.32%
ROE12.01%
Operating margin6.99%
Profit margin4.57%

Key executives

  • President, Chief Executive Officer & Director: Jun Kim
  • Head-Operational Support: Jong-Rin Park
  • Head-Finance: Jin-Seok Cha
  • Head-Finance II: Jang-Woo Kim
  • Executive Board Member: Young-Gyun Jeong

Shareholders

  • SK Holdings Co., Ltd. (33.4%)
  • National Pension Service of Korea (10.0%)
  • SK Innovation Co., Ltd. (5.3%)
  • The Vanguard Group, Inc. (1.6%)
  • BlackRock Fund Advisors (1.4%)
  • Dimensional Fund Advisors LP (1.4%)
  • Schroder Investment Management Ltd. (1.3%)
  • Norges Bank Investment Management (0.9%)
  • JXTG Holdings, Inc. (0.9%)
  • APG Asset Management NV (0.6%)

Contact Details

Related Companies

  • Dow Chemical Co. /Poly Vinylidence Chloride Bus/
  • SK GC Americas, Inc.
  • SK Battery Systems Co., Ltd.
  • Sk Lubricants Cop Ltd.
  • SK Incheon Oil Co. Ltd.
  • SK Global Chemical Co., Ltd.
  • SK E&P America, Inc.
  • Sk Energy Co. Ltd. /Petroleum & Chemical Businesses/
  • SK Energy International Pte Ltd.

Competitors

  • Hyundai Heavy Industries Co., Ltd.
  • Total SA
  • BP p.l.c.
  • Royal Dutch Shell Plc Class B
  • Chevron Corporation
  • Exxon Mobil Corporation
  • China Petroleum & Chemical Corporation Class H
  • PetroChina Company Limited Class H
  • GS Holdings Corp.
  • S-Oil Corporation
  • Neste Corporation
  • Hyundai Heavy Industries Holdings Co., Ltd.
  • Formosa Chemicals & Fibre Corporation
  • ISU CHEMICAL CO. LTD.
  • Electrovaya Inc.
  • Hengdian Group DMEGC Magnetics Co., Ltd Class A
  • HeunguOil Co., Ltd.
  • TechnipFMC Plc
Last Updated on 16 Aug, 2018

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