2 Trillion Net Profits
“Our net profits significantly declined last year, with one-off costs amounting to 1.2 trillion won [US$1.1 billion], but we will record a net profit of at least two trillion won this year,” said POSCO chairman Kwon Oh-joon, adding, “We are looking to maintain our dividend payments at about 8,000 won [US$7.36] per share in spite of the adverse business conditions and our sluggish performance for last year, and we will share the fruit with shareholders once our business performance gets better.”
He also said that his company is striving to set foot in the Indian market as early as possible. “India is expected to surpass China sooner or later in terms of the economic growth rate, and we are currently focusing downstream, where profits can be realized in the near future,” he mentioned, continuing, “Although upstream investment is being delayed these days, it is we, not the Indian government, that have the say, and we will make it perfect based on close cooperation with our local business partners and NGOs there.”
POSCO recently set up a cold rolling mill in India and is planning to supply steel sheets to car manufacturing factories in the country. The mill, which has an annual production capacity of 1.8 million tons, is located in the Vile Bhagad Industrial Complex in Maharashtra.
POSCO is going to collaborate with SAIL, one of the largest steel producers in India. “The chairman of SAIL has shown much interest in our Finex technology, and he is planning to visit POSCO in March to learn more about the technology,” chairman Kwon added.