South Korea Steel Producer--POSCO Post Record Profit

POSCO, the world’s fifth-largest steelmaker posted $11 billion in revenue and about $2.5 billion in net income during the first half of the year due to increased product prices. This is a record high for half-year performance.
The brisk performance is unlikely to continue. A close look at POSCO’s performance in the first half shows that it hit its peak in the first quarter and fell off in the second.

Some feel that the company profits for the next two quarters may suffer.

Chinese steel plants went into full operation this year, five years after they started construction, causing a glut that has hurt steelmakers around the world. POSCO as a result reduced its sales target for this year slightly.

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