South Korean steelmaker Hyundai Steel (Hyundai) has announced its financial results for 2023.
Accordingly, Hyundai Steel has posted a net profit of KRW 450 billion ($339.72 million) for the full year, compared to a net profit of KRW 1.04 trillion in 2022, due to downturn in global economy.
Last year, the company’s sales revenues decreased by 5.2 percent year on year to KRW 25.92 trillion ($19.57 billion), while its operating profit totaled KRW 807 billion ($609.25 million), compared to an operating profit of KRW 1.62 trillion in 2022.
In 2023, Hyundai’s long steel production amounted to 6.35 million mt, decreasing by 4.5 percent year on year, while its flat steel production rose by 12.7 percent compared to the previous year to 11.66 million mt. In addition, total sales volume totaled 18.55 million mt, up by 1.4 percent year on year. The company stated that its long sales declined due to a sluggish construction market and flats sales increased on base effect of labor strike.
According to Hyundai, high interest rates, geopolitical issues and ongoing inflation will continue to impact global economic growth. The company expects that demand from construction and infrastructure sectors in developing countries will help steel demand to recover.