Young Poong (000670) Q2 2024 earnings summary

Executive summary

• Revenue for the first half of 2024 was ₩1,493.5 billion, with operating loss of ₩43.1 billion and net income of ₩45.5 billion, showing a turnaround from the previous year's net loss.

• The company operates in zinc smelting, electronic components (PCB, FPCB), semiconductor packaging, and related sectors, with significant domestic and overseas subsidiaries.

• Environmental investments and compliance remain a focus, with ongoing projects for zero wastewater discharge and resource recycling.

Financial highlights

• Revenue for H1 2024: ₩1,493.5 billion (down from ₩3,761.7 billion in FY2023).

• Operating loss: ₩43.1 billion (vs. operating loss of ₩169.8 billion in FY2023).

• Net income: ₩45.5 billion (vs. net loss of ₩83.4 billion in FY2023).

• Cash and cash equivalents at period end: ₩192.4 billion.

• Total assets: ₩5,583.8 billion; total equity: ₩4,328.9 billion.

Outlook and guidance

• Zinc prices declined 7% YoY in H1 2024 due to weak demand in China and global oversupply concerns.

• The company expects continued volatility in zinc prices, with potential upside from Chinese production cuts and U.S. demand.

• Environmental and regulatory compliance, as well as ongoing litigation, may impact future operations.