S Oil : Second-Quarter Net Loss Narrowed; Operating Loss Widened

By Kwanwoo Jun

S-Oil Corp.'s second-quarter net loss narrowed from a year earlier, though its operating loss widened on weak oil prices and refining margins amid the global pandemic.

Net loss was 66.89 billion Korean won ($55.7 million), compared with net loss of KRW147.41 billion in the same quarter a year earlier, the South Korea-based oil refiner said Friday. This beat a FactSet consensus forecast for net loss of KRW147.20 billion.

Revenue fell 45% to KRW3.452 trillion, while operating loss widened to KRW164.31 billion from KRW90.52 billion.

S-Oil said oil demand, which had been suppressed by the pandemic, is recovering, thanks to the easing of business lockdowns and stimulus measures from major economies.

The company expects refining margins to improve gradually from the third quarter.

S-Oil shares fell 0.6% after the release of second-quarter earnings.

Write to Kwanwoo Jun at [e-mail]