SK Innovation swung back to profitability in the fourth quarter, posting an operating profit of 159.9 billion won ($120.8 million) compared to a loss in the previous quarter, as refining margins improved and its merger with SK E&S bolstered results.
The Korean energy company’s revenue reached 19.41 trillion won in Q4, driven by its refining segment which generated 11.69 trillion won in sales. The refining unit’s profit surge to 342.4 billion won came from higher heating oil demand and favorable exchange rates.
However, challenges persisted in key segments. The battery division reported a 359.4 billion won operating loss despite receiving 81.3 billion won in U.S. tax credits. The petrochemical unit lost 84.2 billion won as product spreads narrowed.
The merger with SK E&S, completed in November, contributed 123.4 billion won to operating profit. The company’s CFO Seo Kun-ki expects synergies from combining oil and LNG operations but warned of uncertainties in global energy markets.
The board approved a dividend of 2,000 won per share, pending shareholder approval in March.
