Price hikes, higher-value product mix drive rebound
Seasonal slowdown, holidays weigh on sales
US steel mill, H-beam unified brand target new demand
![An electric arc furnace at Hyundai Steel's Incheon factory [Hyundai Steel]](https://wimg.heraldcorp.com/news/cms/2026/10/30/news-p.v1.20260904.ac6edb4bbed846daab42dcd85aa96536_P1.png)
Hyundai Steel posted an operating profit of 87.1 billion won ($65.2 million) on a consolidated basis in the third quarter, the company disclosed Friday. The figure fell 6.5 percent from the same period last year but rose 51.0 percent from the previous quarter.
Sales for the period came to 5.9 trillion won, up 2.8 percent year-on-year but down 3.4 percent quarter-on-quarter. The operating profit margin stood at 1.5 percent, slipping 0.1 percentage point from a year earlier while rising 0.6 percentage point from the prior quarter.
Net profit for the period reached 84 billion won, surging 371.9 percent year-on-year and 594.2 percent quarter-on-quarter.
Hyundai Steel said the sequential decline in sales reflected the impact of the seasonal off-peak period and public holidays. However, operating profit grew as selling prices for key products rose and the share of high-value-added products such as automotive steel sheets expanded.
The company expects profitability to improve further in the fourth quarter. "We anticipate additional improvement in profitability in the fourth quarter as the full effect of key product price increases is reflected and raw material prices are expected to stabilize at lower levels," Hyundai Steel said.
Hyundai Steel said it plans to focus its efforts on securing global growth bases, strengthening the competitiveness of high-value-added products and expanding its global customer reach.
The company has chosen Louisiana as its overseas hub. In September, Hyundai Steel held a groundbreaking ceremony in Louisiana for an integrated electric arc furnace steelworks specializing in automotive steel sheet production.
The new mill is designed to boost profitability through high-value-added products centered on automotive steel sheets and to produce low-carbon steel using electric arc furnace technology to meet growing demand for greener materials. Hyundai Steel plans to enter the market with automotive steel sheets by leveraging its existing local business network, then expand its customer base into future mobility and advanced industries.
In South Korea, Hyundai Steel is strengthening its competitiveness in construction steel to keep pace with rising infrastructure investment in advanced industries such as AI and semiconductors. As demand for high-specification H-beams has grown with the surge in data center and semiconductor fab construction, the company recently launched "H One," a unified brand covering both rolled and welded H-beams.
H One is built on a supply system that offers both rolled and welded H-beams, providing products and solutions tailored to individual customer requirements. The company said the brand can meet the structural design demands of large buildings that require high structural performance, large cross-sections and special specifications. Hyundai Steel has also obtained Korean Industrial Standards certification for seismic- and fire-resistant H-beams.
The company is also broadening its overseas customer base. It is developing and certifying products tailored to customer needs in markets including New Zealand and Taiwan, and is holding "Customers' Day" events for major overseas clients to introduce next-generation automotive steel sheet technology and pursue joint technical cooperation.
"We are actively identifying new demand by securing global growth bases, strengthening the competitiveness of high-value-added products and expanding our customer base," a Hyundai Steel official said. "We will continue to expand product sales and improve profitability on the strength of sustainable competitiveness."
eyre@heraldcorp.com
