Songwon Industrial shares surged after the company released preliminary first-quarter results, hitting a new 52-week high.
As of 2:40 p.m., the stock was trading at 14,270 won, up 3,070 won (27.41%) from the previous session, according to the Korea Exchange. Shares jumped after the results were disclosed at 12:55 p.m., and rose as high as 14,560 won during the session, marking a 52-week high.
On a consolidated basis, Songwon Industrial posted preliminary net profit of 18.091 billion won for the first quarter, up 272.5% from a year earlier. It swung to profit from a net loss of 2.736 billion won in the fourth quarter of last year.
Operating profit came to 26.558 billion won, up 142.8% from a year earlier.
Songwon Industrial supplies additives and raw materials to manufacturers in petrochemicals and PVC processing, synthetic leather and coatings. About 85% of its revenue comes from overseas markets, including Europe and North and South America.
The company previously attributed last year’s weak performance to worsening market conditions, saying “continued demand slowdown, ongoing margin pressure in key regions, and exchange-rate fluctuations negatively affected results across business divisions.” It added that in the fourth quarter, “oversupply in the market, weakened consumer sentiment, and intensified price competition compounded the difficulties.”
* This article has been translated by AI.
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