SONGWON Announces FY2024 Financial Results

SONGWON Industrial Group reported its financial results for FY 2024. The group achieved revenues of 255,148 million KRW ($176.4 million) in the fourth quarter of 2024, 3.8% higher than revenues achieved in the final quarter of 2023. In Q4/2024, the group achieved a net profit of 16,359 million KRW ($11 million), 465.5% higher than the prior-year quarter.

SONGWON reported strong consolidated sales of 1,070,200 million KRW ($740 million) in FY2024, a 3.9% rise when compared to FY2023, and a gross profit margin of 16.5% (FY 2023: 14.6%).

As anticipated, SONGWON experienced a slow start to the year as complex macroeconomic challenges and ongoing global political tensions from 2023 persisted into the new year. For SONGWON’s divisions, weak demand, coupled with geopolitical instability, ongoing supply chain issues and fluctuating market conditions throughout the first half of 2024, created significant headwinds that impacted performance.

However, demand began to improve at the end of Q2/2024 and together with strong demand throughout Q3/2024, this helped to offset the weaker performance in the first and fourth quarters of the year, leading to solid results for the divisions in 2024 overall.

For FY2024, Division Industrial Chemicals achieved 798,719 million KRW ($552 million) in revenues, corresponding to an increase of 4.3% over the previous year. In Q4/2024, Division Industrial Chemicals noted weaker conditions, with an oversupply in the market and falling demand due to customers’ traditional end-of-year destocking. In keeping with typical seasonality, Coatings noted weaker demand in the final quarter of 2024 but a change in product mix contributed to an increase in both volume and revenue compared to Q3/2024.

Looking to the coming year, the group anticipates continued political instability and increased uncertainty across various regions. As a result, SONGWON will continue executing its current strategy, enhancing operational processes for greater efficiencies and implementing measures to navigate dynamic market conditions effectively.