SKC Announces Q1 2025 Results: Clear Sign of Recovery in Battery Materials Business
● Recorded KRW 438.5 billion in revenue and KRW 74.5 billion in operating loss in Q1 2025● Battery copper foil sales rebounding on increased demand; global customer contracts underway● Semiconductor test socket sales growth to accelerate in Q2; U.S. subsidy for Absolics anticipatedSKC (CEO Woncheol Park) announced its consolidated financial results for the first quarter of 2025 on April 30, reporting revenue of KRW 438.5 billion and an operating loss of KRW 74.5 billion. Despite continued weakness in downstream industries, revenue rose by approximately 3% and the operating loss narrowed by about 10% compared to the previous quarter.By business segment, the battery materials division showed clear sign of recovery. Copper foil sales rebounded on growing demand for electric vehicle (EV) batteries, with Q1 sales volume increasing by 14% quarter-over-quarter and 8% year-over-year. Notably, sales in the North American market surged 69% from the previous quarter and 149% from the same period last year, significantly contributing to the segment's performance. In addition, the operating loss narrowed by 18% quarter-over-quarter, driven by a sharp rise in the utilization at the Malaysia plant.In the semiconductor materials segment, sales of test sockets for non-memory applications temporarily declined due to adjustments in customers’ R&D and mass production schedules. Nevertheless, the segment maintained a solid operating margin of over 20%, demonstrating stable performance. The chemicals business achieved revenue growth from the previous quarter, despite continued weakness in styrene monomer (SM) spreads. Sales of its key product, propylene glycol (PG) remained stable, particularly in high-value markets such as North America and Europe.SKC plans to focus on improving profitability in the battery materials business, driving stable revenue growth in its semiconductor test sockets, and commercializing its glass substrates business in 2025.The battery materials business is expected to continue its upward momentum into Q2, driven by increasing utilization rates at customer battery plants in North America. In particular, SKC plans to finalize multiple supply agreements with global battery manufacturers during the quarter, which—together with the full-scale ramp-up of its Malaysia plant—will further enhance profitability.In the semiconductor segment, sales growth is expected to accelerate in Q2, led by increased demand from North American customers and the resumption of R&D orders from major global tech companies. In addition, U.S. government subsidies for Absolics’ manufacturing operations under the CHIPS Act are expected to be disbursed during the quarter.An SKC representative said, “We are seeing a clear recovery in copper foil sales within the battery materials business. Meanwhile, our test socket business continues to show stable performance, and preparations for the commercialization of glass substrates are proceeding as planned. We will further accelerate our efforts to strengthen the fundamentals of existing businesses while making tangible progress in new growth areas to support a performance rebound.”
2025-04-30
SKC Launches Biodiversity Conservation Initiative My Green Nature at ISC in Seongnam
● SKC unveils its new CSR initiative My Green Nature linked to biodiversity conservation● Water quality improvement activities carried out at Tancheon Stream in Seongnam, where SKC’s semiconductor test solution portfolio company ISC is located● Program to expand nationwide to sites of portfolio companies, including Jeongeup and Ulsan – invasive species removal planned in Jeongeup this MaySKC (CEO Wonchoel Park) has launched a new corporate social responsibility (CSR) program titled My Green Nature, which focuses on biodiversity conservation. The initiative, being implemented for the first time this year, engages employees in ecological restoration efforts in areas where the company and its affiliates have operations.The program was developed to raise awareness of the value of biodiversity and the importance of restoring healthy ecosystems. Biodiversity refers to the harmonious coexistence of diverse species and ecosystems, which provides the foundation for all life—including humans—to thrive sustainably.The first biodiversity conservation activity under the My Green Nature initiative, held on April 25, was led by ISC, a semiconductor test solution investee company of SKC. The event took place at Tancheon Stream in Bundang-gu, Seongnam, where ISC is headquartered, and was conducted in collaboration with the Environment Action Association.Participants created and released 1,500 EM (Effective Micro-organisms) mud balls into the stream near Geumtocheon Bridge in Tancheon. Made by mixing beneficial microorganisms with red clay, these natural purifiers gradually dissolve in water, helping break down pollutants. Following the water purification activity, participants also took part in a plogging session to clean up the surrounding environment.SKC is expanding its biodiversity conservation activities, beginning in Seongnam, to communities across Korea where its portfolio companies operate, including Jeongeup in North Jeolla Province and Ulsan. In May, the company will conduct an invasive species removal program in Jeongeup, where SK nexilis is located.Previously, in 2022, SKC launched My Green Place, a gamified platform designed to promote proper plastic waste separation, as part of its efforts to foster an eco-friendly culture. The company has also been running My Green School, an educational program that uses My Green Place to teach elementary school students about resource circulation.An SKC official said, “We believe that My Green Nature, which encourages active employee participation, will help enhance environmental awareness,” adding, “In line with SK Group’s commitment to sustainable management, we will continue to prioritize social and environmental responsibility alongside economic value creation, contributing to the realization of a more sustainable society”
2025-04-28
SKC Launches 3rd Year of “My Green School” to Promote Recycling Education for Elementary Students
● Kickoff ceremony held on April 28 for 3rd Year of “My Green School”, aimed at educating elementary students on proper waste sorting● SKC employees and university student volunteers to lead programs at elementary schools in Jeongeup, Ulsan, and other regions nationwide● In collaboration with SK Square, reviewing program expansion and introducing new sessions for employees’ familiesSKC (CEO Wonchel Park) is launching this year’s activities for “My Green School”, a resource circulation education program that began in 2023 to raise environmental awareness and promote proper waste sorting among elementary school students.On April 28, SKC held the kickoff ceremony for the 2025 edition of “My Green School” at its headquarters in Jongno-gu, Seoul. The event was attended by key figures from SKC and partner organizations, including Yoo Ji-han, Head of Corporate Support at SKC, and Song Seong-ho, Secretary General of the Happy School Foundation.“My Green School” is one of SKC’s flagship CSR programs, in which employees and university student volunteers team up to visit elementary schools near SKC’s business sites and teach proper waste sorting practices. The program will run through October, with sessions held at schools in areas including Seongnam, Jeongeup, and Ulsan.The program incorporates “My Green Place”, a plastic waste separation information platform launched by SKC in 2022. Through the “My Green Place” app, students learn accurate sorting methods by practicing how to separate plastic waste according to product type.“My Green School” is expanding its scope through stronger collaboration within the SK Group and broader engagement of participants. This year, SK Square—a specialized investment company in the AI and semiconductor sectors—joined the initiative, recognizing the value of the “My Green Place” platform and supporting its wider use in environmental education programs.SKC is also partnering with Naejangsan National Park to co-host an environmental experience program in connection with “My Green School”. The program will offer plastic waste separation education to elementary school students in Jeongeup, home to the SK nexilis business site, helping them better understand the importance of environmental protection. In addition, SKC plans to launch a new family-friendly program called “My Green Life,” which invites employees’ children to the headquarters and regional business sites for hands-on environmental education.An SKC official stated, “We will continue to expand practical environmental education programs that serve as a foundation for a sustainable society, enabling future generations to naturally learn and practice the value of environmental protection.” They added, “We will make continued, comprehensive efforts to foster a culture of sustainability.” [End]
2025-04-25
SKC Holds Annual General Meeting of Shareholders "Strengthening Business Competitiveness to Meet Shareholder Expectations"
● The meeting was held on March at the company’s headquarters in Jongno-gu, Seoul, with enhanced accessibility via online live streaming and an IR briefing session● Continued efforts to secure financial soundness; glass substrate business on track for timely mass production after obtaining certification from multiple customers● New appointments include Kim Ki-dong as a non-executive director and Jeong Hyun-wook as an independent director. Chae Eun-mi appointed as SKC’s first female chairpersonSKC (CEO Woncheol Park) held its 52nd Annual General Meeting of Shareholders on March 26 at the company's headquarters in Jongno-gu, Seoul.SKC once again enhanced accessibility by live streaming its Annual General Meeting of Shareholders. Notably, this year’s meeting was followed by a shareholder briefing session that provided updates on key business initiatives.Park Won-cheol, CEO of SKC and chair of the meeting, stated, "We have completed the first phase of our portfolio rebalancing, centered on our three core businesses: EV batteries, semiconductors, and eco-friendly solutions." He also mentioned, "In line with this, we launched our new glass substrate business and acquired ISC, a global leader in semiconductor test solutions, to further strengthen our semiconductor portfolio."He continued, "To ensure financial soundness, we worked to bolster our fundamentals by divesting low-growth, non-core businesses, including the film and polyurethane sectors." He emphasized, "Going forward, we will focus on enhancing our business competitiveness to meet shareholder expectations."SKC also announced plans to generate tangible results in its highly anticipated glass substrate business by obtaining certifications from multiple customers within the year.CEO Park stated, "Georgia Plant 1, the world’s first mass production line for glass substrates, is currently in the commissioning phase with the goal of commencing mass production on schedule." He added, "We have secured multiple top-tier global customers in the field of high-performance computing, AI servers, and high-frequency wireless communications, and are also engaged in discussions with various partners across the value chain." Regarding the copper foil business, he projected, "Based on the mid- to long-term sales contracts signed with multiple customers last year, we expect a stable recovery in sales volume this year."At the board meeting held immediately after the Annual General Meeting of Shareholders, the motion to appoint Chae Eun-mi, an independent director, as SKC's first female chair of the board was approved. Appointed as an independent director in 2023, Chair Chae previously served as the first Korean Manager of FedEx Korea, a global express delivery company. Leveraging her expertise in labor relations and global management, she has contributed to strengthening the board's effectiveness by providing strategic guidance and oversight on major decisions at SKC.Additionally, Woncheol Park, CEO of SKC, was reappointed as an executive director, while Kim Ki-dong, CFO of SK Inc., was newly appointed as a non-executive director. Furthermore, Jeong Hyun-wook, a certified public accountant at Kim & Chang Law Firm, was appointed as an independent director. Other agenda items, including the approval of financial statements and the limit of directors’ remuneration, were also approved as originally proposed. [End]
2025-03-26
SKC Makes its Debut at MWC, Showcasing Vision for Key AI Data Center Solutions
l Exhibiting real semiconductor glass substrates at MWC 2025, highlighting key AI data center solutionsl Reducing power consumption and thickness by more than 50% compared to conventional substrates while enhancing data processing speed by 40%l Pioneering world’s first commercialization of glass substrates by year-end, driving advancements in AI technology SKC (CEO Woncheol Park) will showcase its glass substrates at Mobile World Congress 2025 (MWC2025), the world’s largest mobile exhibition, taking place from March 3 to 6 (local time).SKC will exhibit its glass substrates in the AI DC (AI Data Center) zone within the exhibition hall operated by SK Telecom. Under the theme “Innovative AI Accelerates the Future,” the exhibition will feature key technologies related to AI data centers (AI DC) and the latest research advancements in AI-powered communication infrastructure.Glass substrates will be showcased as a key technology essential for processing large-scale data in the AI DC zone. Notably, they will be exhibited alongside SK hynix’s high-bandwidth memory (HBM3E) and high-performance SSD storage for data centers, presenting a comprehensive AI solution.Glass substrates enable the implementation of ultra-fine circuits and can incorporate various components, such as MLCCs, allowing large-capacity central processing units (CPUs) and graphics processing units (GPUs) to be mounted on their surface. When applied to semiconductor packaging, glass substrates reduce power consumption and package thickness by more than half while increasing data processing speed by 40% compared to conventional substrates.An SKC representative stated, “As the world’s first company to commercialize semiconductor substrates, we are proud to showcase our technological excellence on the global stage at MWC 2025, following our successful appearance at CES 2025”. They added, “We look forward to contributing to the advancement of AI technology, which is capturing global attention, through the successful commercialization of glass substrates by the end of the year.” [End]
2025-03-04
SKC Announces 2024 Earnings… "Full Efforts to Restore Fundamentals"
l Announced 2024 results on February 11, reporting a 15% YoY revenue increase despite challenging market conditionsl Strengthening core business competitiveness while accelerating the foundation for new business growthl Prioritizing long-term sustainability through the accelerated implementation of Operation Improvement (O/I) SKC (CEO Woncheol Park) reported on February 11 that the company’s consolidated revenue reached 1.72 trillion KRW for 2024, with an operating loss of 276.8 billion KRW.Despite challenging conditions in downstream industries, revenue grew by approximately 15% year-over-year, though operating losses widened. SKC has continued to strengthen the foundation for a performance rebound, focusing on its three key growth pillars: EV batteries, semiconductors, and eco-friendly materials.SK Nexilis, an investee specialized in copper foil production for EV batteries, has concentrated on increasing the utilization rate of its cost-competitive Malaysian plant and securing new supply contracts in Greater China. Additionally, the company achieved financial milestones, including improving its debt structure and securing subsidies from the Polish government.SKC successfully restructured its semiconductor business, shifting to high-value-added materials and components. ISC, the test socket investee acquired in 2023, drove overall performance with a 25% increase in revenue and a 320% surge in operating profit year-over-year. The glass substrate business, recognized as a next-generation technology, is progressing smoothly based on the world’s first mass production facility in Georgia, USA. Additionally, the company secured U.S. government semiconductor subsidies, further validating its industry-leading technological capabilities.The commercialization of the eco-friendly materials business is progressing as planned. The biopolymer (PBAT) production facility in Vietnam, with an annual capacity of 70,000 tons, is set for completion in the second half of this year, while the company accelerates efforts to establish its sales infrastructure.SKC is fully committed to enhancing its core competitiveness by boosting revenue in its key businesses and solidifying the foundation for new ventures. Additionally, the company aims to enhance financial stability through company-wide cost reduction initiatives and Operation Improvement (O/I) activities, which have been in place since last year.The copper foil business aims to achieve more than double the sales volume compared to the previous year, driven by the full-scale revenue generation from major customers in Greater China and the gradual increase in utilization rates of existing customers. With the rise in production capacity at the Malaysian plant, a recovery in quarterly profitability is also anticipated.Absolics, the investee for the glass substrate business, is on track to achieve concrete results by completing certifications with multiple global big-tech customers within the year. ISC is anticipated to continue its robust growth through the expansion of sales of AI test sockets to global clients. An official at SKC stated, "Despite a slower-than-expected market recovery last year, we will lay the groundwork for a recovery in performance by strengthening the fundamentals of existing businesses and through the commercialization of the glass substrate business, alongside achievements in other new ventures." [End]
2025-02-12
SK Nexilis Develops Current Collectors for All-Solid-State Batteries with Enhanced Fire Safety
l Successfully develops a new current collector for the high-safety ‘Dream Battery’… Performance verified through collaboration with battery manufacturersl Accelerating the development of tailor-made current collectors for next-generation batteries… Focusing on high-performance solutionsl Advancing joint development with multiple companies… Strengthening R&D efforts to lead the next-generation battery market SK Nexilis, an SKC (CEO: Woncheol Park) subsidiary specializing in copper foil for EV batteries, has successfully developed a current collector for all-solid-state batteries with significantly enhanced fire safety.All-solid-state batteries replace conventional liquid electrolytes with solid electrolytes, earning the reputation of the "dream battery" due to their superior safety. Solid electrolytes are known for their stability against temperature fluctuations and their ability to eliminate leakage risks caused by external shocks, making them significantly less prone to fire hazards. SK Nexilis has newly developed current collectors for all-solid-state batteries, including nickel (Ni) foil, nickel-plated (Ni) foil, and nickel-alloy (Ni-Alloy) foil. These products are specifically designed for all-solid-state batteries to address corrosion issues that may occur in battery components. Moving forward, SK Nexilis plans to collaborate with OEMs and battery manufacturers to complete the validation of product performance and application feasibility, aiming to secure an early market advantage and expand its presence.SK Nexilis is also accelerating the development of current collectors for lithium metal (Li-Metal) batteries, another leading next-generation battery technology alongside all-solid-state batteries.SK Nexilis aims to complete the development of high-performance current collectors exclusively for lithium metal (Li-Metal) batteries by 2026, leveraging its proprietary recipe technology. To achieve this, the company is participating in a government-led national project for next-generation battery development, collaborating with multiple companies through a battery and materials alliance.An SKC representative stated, "Leveraging SK Nexilis' unparalleled manufacturing expertise, we will deliver top-tier products that meet the demands of next-generation battery customers. Moving forward, we will continue our research and development (R&D) efforts to diversify our products lineup and overcome the EV chasm—a temporary slowdown in electric vehicle demand." [End]
2025-02-12
SKC Showcases Glass Substrates for AI Data Center at CES 2025
l
Exhibiting actual semiconductor glass substrates at CES 2025, showcasing
their potential as a key material for AI data centers.l
Highlighting advanced glass substrate technology for AI semiconductors
and participating in presentation sessions.l Reaffirming its technological leadership as
the world’s first to commercialize glass substrates.
SKC (CEO Woncheol Park) will unveil its glass
substrates, widely regarded as a “game changer” in the semiconductor industry,
at CES 2025—the world’s largest consumer electronics and IT exhibition—scheduled
to take place from January 7 to 10 (local time) in Las Vegas, USA.
SKC exhibits actual glass substrates in the AI Data Center (AI DC) zone
of the exhibition hall jointly operated by four SK Group affiliates (SKC, SK
hynix, SK telecom, and SK enmove). Operated under the theme of “Innovative AI, Sustainable Tomorrow,” the SK
exhibition hall is divided into three zones: AI DC, AI Services, and AI
Ecosystems.
During the exhibition, glass substrates will be presented as a solution
to enhance the speed of AI servers handling large-scale data. A visualization
of their application in AI data centers will provide visitors with a tangible
understanding of how the substrates are utilized in practice.
In addition to the exhibition, a presentation will highlight the
advantages of glass substrates. Absolics, an SKC-invested affiliate in the glass
substrate business, will participate in a session titled “Cutting-edge Hardware
and Software for AI Semiconductors,” offering insights into the future
development of AI solutions driven by glass substrate technology.
Glass substrates offer several advantages, including the ability to
implement ultra-fine circuits and house various components, such as MLCCs, enabling
large-capacity CPUs and GPUs to be mounted on their surface. This leads to a
40% increase in data processing speed compared to conventional substrates,
while reducing power consumption and package thickness by over 50%. Applying glass substrates to AI data centers can significantly
reduce their physical footprint and energy consumption.
SKC has completed the world’s first mass-production facility in Georgia,
USA, and is accelerating its commercialization efforts. Last year, SKC secured USD
75 million in production subsidies and USD 100 million in R&D grants from the
U.S. government, recognizing its technological innovation.
An
SKC representative stated, “As the first company in the world to commercialize
semiconductor substrates, CES provides an opportunity to once again showcase our
technological excellence on a global stage.” They added, “We will further
solidify our technological edge through glass substrates amid the increasingly
fierce competition in the semiconductor industry.” [End]
2025-01-10
SK Nexilis Secures KRW 195 Billion Subsidy from Polish Government Under EU TCTF
● KRW 195 billion cash subsidy confirmed by the Polish government under EU TCTF, the first case among Korean battery materials companies.● Fostering the ecosystem through industry-academia cooperation and R&D while building a mid- to long-term partnership with the Polish government.● Preparing for the post-chasm market by meeting recovering European demand through the flexible operation of the first plant.SK Nexilis, a copper foil business invested in by SKC (CEO Woncheol Park), has secured a KRW 195 billion subsidy from the Polish government under the Temporary Crisis and Transition Framework (TCTF), part of the EU’s Green Deal policy.This establishes SK Nexilis as the first Korean battery materials company to receive the EU’s TCTF subsidy and the recipient of the largest-ever cash subsidy granted by the Polish government for a single investment.On December 26, SK Nexilis announced that it had finalized a subsidy of approximately PLN 545 million (approximately KRW 195 billion) from the Polish government. As part of this agreement, SK Nexilis and the Polish government will collaborate to strengthen their mid- to long-term partnership, including industry-academia cooperation and R&D, centered on the factory under construction in Stalowa Wola, Eastern Poland.In March last year, the EU introduced the Temporary Crisis and Transition Framework (TCTF), easing regulations on subsidies for EV and battery companies contributing to decarbonization efforts. Major European countries, including Italy, Spain, and Germany, have already been providing subsidies to companies operating production facilities within their countries.The cash subsidy is expected to serve as a foundation for SK Nexilis to significantly improve its local factory operations strategy. The company’s copper foil factory construction in Stalowa Wola, Poland, is nearing completion, with plans to establish a phased supply chain following the completion of client certification processes.An SKC executive stated, “This subsidy will serve as a foundation for building an ecosystem of industry-academia-research cooperation with the Polish government,” and added, “With the resulting boost to our financial stability, we will respond to the post-chasm market by promptly initiating factory operations to meet the recovering demand in Europe.” [End]
2024-12-26
SKC Recognized for Excellent in Governance by the Korea Institute of Corporate Governance and Sustainability (KCGS)
● Building a robust governance system: Managing mid- to long-term strategies through the ESG Committee under the Board of Directors.● Promoting diversity and independence in the Board: Achieving 50% representation of female outside directors.● Expanding ESG efforts to invested companies: ISC showed remarkable improvement, rising two levels in this year’s KCGS evaluation.SKC (CEO Woncheol Park) has been recognized for excellence in the governance category in the ESG evaluation conducted by the Korea Institute of Corporate Governance and Sustainability (KCGS).On December 5, SKC announced that it was awarded for excellence in the governance category at the 2024 Excellent Companies Awards hosted by KCGS. KCGS, the most influential ESG evaluation agency in South Korea, annually assesses the sustainability management practices of listed companies and honor outstanding performers. This year, a total of 13 companies were selected, including one honorary company, seven in the governance category, and five in the ESG category.SKC was acknowledged for its continuous efforts to enhance governance, including the establishment and operation of a robust governance system. Since the ESG Committee was newly organized under the Board in 2021, SKC has managed mid- to long-term strategies and reviewed major decisions related to environmental, social, and governance issues.Continued efforts have also been made to increase gender diversity and transparency on the Board. Starting with the appointment of the first female outside director in 2021, an additional female outside director was appointed to achieve female representation of 50%. Ongoing efforts have also been made to enhance the soundness of the company’s governance by publishing Activity Reports on the Board’s activities, evaluation methods, and compensation systems and disclosing information transparently.In 2022, an outside director was appointed as the Board’s chairperson, through which SKC further strengthened the independence of the Board. Outside directors comprise the majority of SKC’s directors, and the company plans to gradually increase this ratio. Along with the advancement of the governance system, SKC’s ESG management efforts have expanded to invested subsidiaries. For example, ISC is a semiconductor test solution provider invested by SKC, which jumped two levels in this year’s KCGS evaluation and obtained an overall “B” grade. An SKC representative stated, “We will continue to strengthen our governance system amidst rapidly changing business environments and set an example by fulfilling our social responsibilities,” adding, “We hope you will continue to follow SKC as we pursue innovation rooted in sustainable governance.” [End]
2024-12-05
