News Markets & Companies
Songwon reports Q2/2025 revenue decline amid ongoing margin pressure
South Korea’s Songwon Industrial Group posted a 3.0 % year-on-year revenue drop and a loss of KRW 1.48 billion in Q2/2025. While Industrial Chemicals faced weak demand, Performance Chemicals achieved solid growth.
Songwon Industrial Group has released its financial results for Q2 and the first half of 2025. The company generated consolidated sales of KRW 265,408 million in the second quarter, down 3.0 % compared to Q2/2024 (KRW 273,521 million). Half-year sales reached KRW 541,161 million, a 2.2 % increase over the same period last year. The Group posted a Q2 loss of KRW 1.48 billion, compared with a profit of KRW 10.58 billion a year earlier, while half-year profit fell by 80.4 % to KRW 3.38 billion. The gross profit margin stood at 14.6 % in Q2/2025.
Challenging market conditions persisted, driven by subdued global demand, ongoing margin pressure and higher labour costs following a court ruling in Korea. Industrial Chemicals posted Q2 sales of KRW 191,019 million, down 7.6 % year-on-year, while half-year sales remained stable at KRW 399,152 million. Performance Chemicals increased its quarterly sales by 11.5 % to KRW 74,389 million and achieved a 9.5 % rise in half-year revenues.
Diverging performance across business divisions
Within Industrial Chemicals, Polymer Stabilisers remained close to last year’s turnover despite lower demand and geopolitical uncertainties. Fuel & Lubricant Additives reported lower volumes and revenues, whereas Coatings expanded market share, particularly in Europe and Asia.
Performance Chemicals faced weaker demand for Tin Intermediates and PVC, but higher tin prices and stable raw material costs in Thermoplastics and Polyurethanes supported profitability. TPU export sales grew in line with expectations.
