Ulsan, South Korea – Songwon’s sales rose by 3.9% in 2024, increasing to KRW1070bn ($736m) in the year, up from KRW1030bn in 2023. Net profits were up sharply, from the previous year’s KRW34.8bn to KRW45.1bn in 2024, an increase of 29.4%.
The company said the start of the year was slow, with macroeconomic challenges and global political tensions persisting. The result was weak demand, supply chain issues and fluctuation market conditions in the first half of the year, impacting performance.
However, it said, demand started to improve at the end of the second quarter, with strong demand through the third quarter helping to offset the weaker performance in the first and fourth quarters of the year.
In its performance chemicals division, which includes polyurethanes, revenues were up by 2.7% year-on-year, rising from KRW264bn in 2023 to KRW271bn in 2024. Fourth quarter revenues were higher for the division than in the third quarter. In particular, both volumes and sales for its SPU and TPU products were up, driven by robust export sales and high demand in core markets, it said.
Continued political instability and increased uncertainty across various regions make it difficult to predict what the year ahead will bring, it said. Demand volatility, geopolitical challenges and logistics hurdles will persist.
“As a result, Songwon will continue executing its current strategy, enhancing operational processes for greater efficiencies and implementing measures to navigate dynamic market conditions effectively,” the company said. “Confident in its resilient business model, Songwon remains focused on achieving its financial objectives, capitalising on opportunities and securing long-term sustainable growth.”
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