OCI posts third consecutive quarterly profit as solar momentum builds

OCI Holdings posted consolidated operating profit of 108 billion won ($72.9 million) in the second quarter, swinging to a profit from a loss in the same period last year, the company announced Thursday. The result marks three consecutive quarters of profitability since the fourth quarter of last year.

Sales for the same period rose 31.8% to 1.02 trillion won.

The strong results were driven by OCI Enterprise, the US solar holding company. OCI Energy, a subsidiary of OCI Enterprise, monetized a 500 MW solar project through a sale. The project, set to break ground later this year, is expected to generate ongoing power sales revenue through a power purchase agreement (PPA) with a major US technology company.

OCI Energy currently holds a solar project pipeline of 6.5 GW centered in Texas, comprising 3.4 GW of solar and 3.1 GW of energy storage systems (ESS).

OCI Terasource, the Malaysia-based production subsidiary, narrowed its losses quarter-on-quarter. The unit completed legal restructuring of its solar polysilicon production line in the first quarter, stabilizing costs through normal operation. After recently signing a long-term supply agreement (LTA) with a new US customer for solar polysilicon, its existing annual capacity of 35,000 tons is now fully booked.

OCI Holdings plans to pursue a 35,000-ton capacity expansion to meet surging US AI infrastructure demand in the second half of the year. Once the expansion is completed in 2029, total production capacity will double from the current 35,000 tons to 70,000 tons.

NeoSilicon Technology, a Vietnam-based wafer producer, also plans to build total capacity of 11.5 GW through phased expansion by 2029, having already secured long-term supply agreements of a comparable scale. NeoSilicon Technology has completed construction of 2.7 GW of wafer production capacity and is currently supplying customers. Supply to new US customers is set to begin next year.

OCI Holdings Chairman Lee Woo-hyun said growing power demand from AI data centers is further strengthening solar energy's growth momentum in the US market. "We will expand investment across the solar value chain on the strength of our differentiated competitiveness, and proactively respond to shifts in the global supply chain," he said.