SKC

●​ Q3 earnings release published on the 31st··· KRW 550.6B in sales & 44.7B in operating loss

●​ Decided to sell off SK Pucore·fine ceramics business and cranked up on its business model (BM) innovation, acquiring ISC and investing in Chipletz

●​ Securing investment funding resources of 900 billion won in the second half in combination with over 1 trillion won in cash to prepare for new growth shored up by financial stability 

● Rated A+ by the KCGS··· enhancing ESG business practices in the midst of a business overhaul

SKC (CEO: Woncheol Park) announced Q3 sales of 550.6 billion won and operating loss of 44.7 billion won on the 31st. In spite of declining revenue due to the worsening business landscape both at home and abroad, SKC is cranking up on business model innovation and a new growth platform, selling off non-core businesses, acquiring ISC, launching silicon anode on a commercial scale, and building a semiconductor glass substrate plant.

Witnessed by management leaders like CEO Lim Eui-jun of SK PIC Global, CEO Lee Jae-hong of SK Nexilis, CEO Choi Du-hwan of SK Pucore who also serves as CFO of SKC, CEO Kim Jong-woo of SK Enpulse, Director Shin Jeong-hwan of the Business Development Division at SKC, and CEO Oh Joon-rok of Absolics, SKC announced its Q3 earnings release as described above at its head office in Jongro-gu. 

Closing the sale of its film business known to be the mother of all SKC businesses last year, SKC is putting business innovation in higher gear this year. In the second half alone, SKC finalized the sales of SK Pucore producing raw materials for polyurethane, its fine ceramics business and chip washing operations one after another, securing investment funding resources close to 1 trillion won.

At the same time, SKC is taking a series of steps in preparation for new growth. SKC’s EV battery material business added new mid to long-term copper foil supply contracts in the fourth quarter and commissioned a highly cost-competitive copper foil plant in Malaysia in a bid to significantly boost profitability. In addition, the completion of a pilot silicon anode line will wrap up preparation for further expansion of its EV battery material business.

SKC’s semiconductor business has gone through the most drastic change this year. After selling its fine ceramics, chip washing and wet chemical operations one after another, SKC took onboard ISC, a chip test solution provider, as a new mainstay subsidiary. SKC will also complete a semiconductor glass substrate plant by yearend. SKC also made a strategic investment in Chipletz, a US chip packaging solution provider, this September to enhance global competence of its semiconductor downstream operations. SKC will also win more customers for high-value pre-process products such as CMP pad and blank mask to name a few.

SKC has also established Haiphong City, Vietnam as the global production base of its eco-friendly biodegradable materials, accelerating their commercialization drive. Furthermore, SKC has invested in Halio, a smart glass manufacturer, to expand its reach to energy-saving solutions.

SKC also continues to foster ESG management practices. SKC was rated A+, the highest level ever given to companies covered in the annual ESG assessment conducted by the Korea Institute of Corporate Governance and Sustainability (KCGS). Rated A for two consecutive years from 2021 to 2022, SKC has been persistent in fostering ESG management, even in the midst of continuous business overhaul focused on EV battery, semiconductor and eco-friendly materials. SKC was also uprated by the MSCI from BBB of last year to A this August.

“We are restructuring our businesses rapidly to fund stable growth going forward,” CFO Choi Du-hwan of SKC said. “Drawing upon stable growth, we will diversify our revenue models and pave way for high growth by stockpiling proprietary technology.”

l  SKC Earnings by Quarter (In: 1 won)

l  SKC Preliminary Earnings in Q3 by Business
Unit (In: 1 won)