Poongsan Holdings second-quarter net income rises 63 percent on dividend gains

Poongsan Holdings said Friday its standalone net income for the second quarter rose 63 percent to 6.87 billion won ($4.81 million), fueled by substantial dividend receipts from its subsidiaries.

Standalone revenue climbed 58.7 percent to 77.8 billion won ($54.4 million), with dividend income accounting for 18.1 billion won ($12.7 million) of the total. Operating profit increased 38.1 percent to 8.49 billion won ($5.94 million). Beyond dividends, product sales generated 92 billion won ($64.4 million) and service revenue contributed 19.5 billion won ($13.7 million), while trademark licensing added 6.88 billion won ($4.81 million).

The strong performance at the holding level mirrored growth across its consolidated operations, where major subsidiaries expanded sales in strategic materials. Consolidated revenue for the period jumped 32 percent to 162.8 billion won ($114 million), pushing operating profit up 39 percent to 41.3 billion won ($28.9 million).

Poongsan Special Metal drove much of this expansion as camera module makers and battery producers increased orders for copper, nickel, and clad materials. The subsidiary also benefited from rising sales of stainless steel and titanium hinges to key clients, which improved production yields.

Other units contributed to the group's momentum as well. DAK and NexPo turned profitable after securing larger orders for lead tabs used in energy storage systems and achieving higher facility utilization rates.

Looking ahead, Poongsan Holdings forecasts standalone third-quarter revenue of 52.5 billion won ($36.7 million) and pre-tax profit of 5.9 billion won ($4.13 million). For the first nine months of the year, cumulative revenue is expected to reach 190.3 billion won ($133 million) with pre-tax earnings of 37 billion won ($25.9 million).