By Kwanwoo Jun
S-Oil's net profit fell from a year earlier in the final quarter of 2023, as narrower refining margins and lower oil prices weighed on revenue growth.
Net profit for the quarter ended December was 209.84 billion won ($157.8 million), down 8.3% from the same quarter a year earlier, said the South Korean oil refiner controlled by Saudi Aramco.
That missed a FactSet-compiled consensus forecast for net profit of KRW237.70 billion.
Revenue during the quarter fell 7.2% year-over-year to KRW9.830 trillion, resulting in operating profit of KRW7.57 billion following an operating loss a year ago.
The company attributed the weak quarterly results to lower oil prices and narrower refining margins amid seasonally weak demand and mild winter temperatures.
For the full year of 2023, revenue fell 16% to KRW35.727 trillion, operating profit slumped 58% to KRW1.419 trillion and net profit dropped 53% to KRW998.17 billion.
The company expects steady oil demand in 2024 even though uncertainties exist over new refining facilities preparing to enter the global oil market.
Write to Kwanwoo Jun at kwanwoo.jun@wsj.com
(END) Dow Jones Newswires
02-01-24 2103ET
