MOSCOW (MRC) -- LG Chem's operating profit rose by 23.9% year on year in the third quarter amid strong earnings at its advanced materials and energy solution business units, as per Pulsenews.
Sales at the advanced materials business grew on the back of higher shipments of battery materials and sales prices, the company said in a statement.
Petrochemical earnings fell in the third quarter due to worsened spreads as a result of poorer demand amid growing gas prices and global inflation.
"It is expected that market conditions will be tough in Q4 due to the ongoing slack in global demand and increased supply, but it is expected that it will hit bottom in the second half of this year and the market will gradually begin to recover," the company said.
South Korea’s LG Chem Ltd. and its standalone battery maker LG Energy Solution Ltd. closed the third quarter with record quarterly revenue after the stellar performance by its battery and advanced materials businesses more than offset loss from its mainstay petrochemical business.
We remind, LG Chem, a major South Korean manufacturer of petrochemical products, closed production at its Bisphenol A (BPA) plant in Yeosu (Yeosu, South Korea) on October 14 for scheduled repairs. The company closed three lines with a total capacity of 165,000 tonnes of PC per year in Yeosu for about two months.