[EQUITIES] ‘SKC to post solid Q2 earnings’
[THE INVESTOR] SKC’s earnings in the second quarter will be solid, said NH Investment and Securities on July 11, raising the target price to 55,000 won (US$49.10) from 50,000 won.
Its chemical business is advancing on the back of propylene oxide and propylene glycol while film sector will turn around reflecting cost rise of the product prices, said analyst Hwang Yu-sik forecasting its second-quarter operating profit will gain 16.8 percent on-year to 51.7 billion won.
This will be the first time in three years for its quarterly operating profit to surpass 50 billion won. In the latter half, its growing businesses including semiconductor will show significant results and its semiconductor parts maker subsidiary SKC Solmics will improve following the facility expansion in July, he said.
In the third quarter, its operating profit will reach 53.7 billion won on the back of solid demand for chemical products, high season demand for films and increasing shipment of semiconductor materials, said Hwang.
By Hwang You-mee (firstname.lastname@example.org)