LG Chem Q3 operating profit declines 15%

[THE INVESTOR] LG Chem, South Korea’s top chemicals firm, reported a 15.6 percent fall in quarterly operating profit and slowing sales due to the local currency’s increase compared to the U.S. dollar and seasonal factors, the company said in a regulatory filing on Oct. 18. 

The company logged an operating profit of 460.91 billion won (US$407.10 million) in the third quarter ended on Sept. 30. Its revenue decreased 2.4 percent to 5.54 trillion won from a year earlier.

Source : LG Chem to post Q3, 2016 Earnings

LG Chem said its operating profit suffered a decline due to seasonal factors and the strong won, but its electric car battery business division managed to improve its bottom line.

The firm said its basic material business division is expected to show solid profitability in the fourth quarter as production of naphtha will be boosted and market conditions for its key products are likely to improve.

Operating profit of basic material business division reached at 517.2 billion won, up 6.8 percent from a year ago.

By Park Han-na (hnpark@heraldcorp.com)