■ Revenue of 5.248 trillion KRW and operating loss of 111.2 billion KRW in the 2Q of 2024.
■ LOTTE Chemical stated, "We are actively advancing the portfolio of our five strategic business units: Basic Chemicals, Advanced Materials, Fine Chemicals, Battery Materials, and Hydrogen Energy"…Also added, "We will improve our financial soundness by enhancing accounts payable liquidity and optimizing working capital."

LOTTE Chemical announced on the 8th that it recorded consolidated revenue of 5.248 trillion KRW and an operating loss of 111.2 billion KRW for the second quarter of 2024.

The performance of LOTTE Chemical in the 2Q 2024 is as follows:

The Basic Chemicals segment (including LOTTE Chemical’s Basic Chemicals Division, LC Titan, LC USA, and LOTTE GS Chemical) reported revenue of 3,606.9 billion KRW and an operating loss of 139.2 billion KRW. Despite an expanded product spread due to the peak season and positive exchange rates, profitability slightly declined due to opportunity costs from simplified maintenance and increased inventory valuation losses. While gradual improvement in supply and demand is expected with reduced new production volumes, profitability is anticipated to remain stable due to delayed recovery of demand and rising freight costs.

The Advanced Materials segment reported revenue of 1,134.4 billion KRW and an operating profit of 75.7 billion KRW. Improved sales and profitability were driven by increased demand in end-use industries, expanded product spreads, and favorable exchange rates. However, profitability is expected to remain almost stagnant due to the influx of new production volumes and rising maritime freight costs.

LOTTE Fine Chemical reported revenue of 422.1 billion KRW and an operating profit of 17.1 billion KRW. Sales and profitability improved due to increased sales from expansion of chlorine-based products and green materials for industrial use. The increase in international prices and sales volume of chlorine-based products, along with expanded sales of green materials for industrial use and food and pharmaceutical products, is expected to further boost revenue.

LOTTE Energy Materials reported revenue of 262.7 billion KRW and an operating profit of 3 billion KRW. Despite a slowdown in the electric vehicle market, the company achieved its highest quarterly revenue by diversifying customer base and expanding market share with strategic North American clients. Although a decrease in demand from end-use industries and increased fluctuation of policies are expected to slow revenue growth, the company plans to diversify its portfolio by expanding global clients, diversifying applications for ESS/hybrid systems, and developing next-generation AI accelerator copper foil.

"We are actively advancing the portfolio of our five strategic business units: Basic Chemicals, Advanced Materials, Fine Chemicals, Battery Materials, and Hydrogen Energy," stated LOTTE Chemical. They also added, "We will improve our financial soundness by enhancing accounts payable liquidity and optimizing working capital."