OREANDA-NEWS. November 13, 2014. POSCO held an investor relations conference call on October 23 where it announced 2014 Q3 profit of 878.7 billion won, from sales of 16,269.8 billion won.

The comparative stabilization in the global steel industry and the improved profitability in the energy sector have helped its sales increase by 7.4%, pushing up profit by 38.9% compared to the same period last year. It recorded 5.4%, which increased by 0.4% from the last quarter.

Overall, the total profit rate of the steel sector was 5.3%, propelled by the stabilization of overseas steel industry. The results show that POSCO achieved a surplus in the third quarter, with expansions in its sales base for the electric grater plant in India.

Also, with the phased increase in production of the gas field in Myanmar of Daewoo International, the profit from the gas field in Myanmar increased by 20% and the profit of POSCO Energy increased by 138% compared to the same period last year, primarily thanks to the increase of generation quantity.

POSCO itself yielded 7,290.1 billion won in sales and 635.0 billion won in profit.

The increase in production sales and profit was in large part due to the rise in exports to overseas production bases, with profit this year consequently increasing by 43.3% compared to the same period last year, while the profit rate climbed 1.1% to 8.7% compared to the last quarter.

POSCO is expanding the sales of automotive steel plate in the strategic demand growth area by connecting overseas production and sales networks. With the continuous expansion in the sales of global automotive steel plates through five automotive steel plate plants in strategic areas such as the United States and China, as well as its 47 coil centers, the total sales volume of automotive steel plates is on course to increase to 8.17 million tons this year.

POSCO`s customer-oriented solution marketing activities are centered around enhancing the competitiveness of its steel, with the marketing campaign already bearing fruit, having achieved a sales increase in high value products through product development and production. The sales volume of solution marketing products recorded in addition to the development of high-strength TWIP steel, super corrosion resistant stainless steel and lightweight new materials for vehicles, magnesium panels, was 410,000 tons, up 59% compared to the last quarter.

With steel demand expected to increase slightly in the fourth quarter compared to the last quarter due to a revitalized auto industry and seasonal factors, POSCO decided to push forward with its expansion of customer solution marketing activities for high value-added products.

Meanwhile, with an eye on the emissions trading scheme due to come into force from 2015, POSCO is planning to reduce carbon emissions by building eco-friendly and highly efficient combined power facilities to expand the recycling of waste gas. Furthermore, it continues to make every effort to reduce greenhouse gases by developing and selling high-tensile steel plate to reduce vehicle weight.