POSCO INTERNATIONAL : Shows a 'Remarkable Growth' after Joining the POSCO Group

Shows a 'Remarkable Growth' after Joining the POSCO Group

- Sales increased by 1.7 times and profits by 3.6 times over the past decade after being incorporated into the group, leaping to a super blue-chip company

- POSCO INTERNATIONAL CEO Joo Si-Bo emphasized the development of signature businesses and the establishment of a solid business portfolio through his speech celebrating the 55th anniversary of the company

POSCO INTERNATIONAL (formerly Daewoo Co., Ltd.) celebrating its 55th anniversary has been showing a remarkable growth since its incorporation into the POSCO Group in 2010.

In 2011 right after joining the POSCO Group, POSCO INTERNATIONAL recorded sales of 19.45 trillion KRW, an operating profit of 162.5 billion KRW, and a net profit of 210.7 billion KRW. However, a decade later in 2021, it grew into a super blue-chip company as it generated 33 trillion 948.9 billion KRW in sales, 585.4 billion KRW in operating profit, and 356.5 billion KRW in net profit, achieving sales growth of 1.7 times and operating profit of 3.6 times than previous records. In terms of sales, POSCO INTERNATIONAL ranks second in the group next to POSCO and 17th among KOSPI-listed companies as of 2021.

One of the reasons for POSCO INTERNATIONAL's exceptional growth is due to its balanced business portfolio that nurtures various new growth businesses. In 2011, POSCO INTERNATIONAL generated most of its operating profits from trading while it recorded operating profits of 30% each in trading, energy, and investment corporation businesses in 2021. The company reformed its corporate structure so that it can generate steady profits even in the rapidly changing global business environment.

Furthermore, it also achieved significant results in stabilizing financial structures such as debt ratio and rapid growth in sales and profits. Its debt ratio amounting to 366% in 2011 decreased to 206% by 2021 while increasing total assets from 8 trillion 904.2 billion KRW to 10 trillion 770.7 billion KRW as its capital was expanded as a result of the accumulated business profits.

POSCO INTERNATIONAL has laid the foundation for a sustainable company by steadily pursuing expansion into the energy sector leveraging its solid business foundation as POSCO's direct trading company. It is also strategically fostering agro commodity and traction motor core as one of its core businesses, making them stepping stones for future growth.

"With the launch of POSCO Holdings, we have to create a competitive business structure as a forerunner in global business to walk in step with the world," emphasized CEO Joo Si-bo in his speech for the company's anniversary on the 22nd of this month while pointing at the establishment of a solid business portfolio, development of signature businesses, establishment of a flexible corporate culture, and realization of the value of symbiosis as its future direction.

The establishment of a solid business portfolio means creating a business portfolio that leads to stable performance even in rapidly changing circumstances with a balanced proportion of trading, resource development, and investment corporation business. The development of signature businesses is a plan to create new businesses by reflecting the latest trend. The establishment of a flexible corporate culture is creating a corporate culture that gives ample opportunity to demonstrate collective intelligence. Lastly, the realization of the value of symbiosis is a commitment to growing into a more mature company that contributes to the betterment of humanity by actively practicing ESG management.

POSCO INTERNATIONAL revealed that it is currently creating a new vision to leap into a greater company over the next decade. According to the POSCO Group's policy of being an eco-friendly future material company, it will expand its prospective businesses into various areas, such as eco-friendly car parts business, e-commerce steel business, PT.BIA palm oil business in Indonesia, and cotton-producing business in Uzbekistan along with the acquisition of Senex Energy, an Australian natural gas company. This is a strategy aimed at achieving higher growth than the last decade.

Meanwhile, the board of directors in POSCO INTERNATIONAL reappointed Joo Si-Bo as its CEO in the 22nd shareholders general meeting. In addition, Noh Min-Yong was reappointed as the Executive Director; Chon Jung-Son the Non-Executive Director; Hong Jong-Ho and Lee Haeng-Hee the Outside Directors.