SGC Energy's Q3 operating profit jumps 57% on power generation rebound

SGC Energy posted sales of 575.6 billion won ($434 million) and operating profit of 39.9 billion won in the third quarter, the company announced Thursday. Sales fell 3.9 percent from a year earlier, while operating profit surged 57.1 percent.

On a nine-month cumulative basis, the company recorded sales of 1.76 trillion won and operating profit of 120.5 billion won. Sales declined 3.9 percent year-on-year, while operating profit rose 56.5 percent.

SGC Energy said improved performance in its power generation segment drove the rebound in operating profit. Third-quarter operating profit from power generation jumped 147 percent from a year earlier. The company expects the segment's strong performance to continue into the fourth quarter, as seasonal demand growth is anticipated to push up the system marginal price — the wholesale electricity benchmark.

The construction segment has maintained a steady capacity to generate operating profit through SGC E&C's shift toward a profitability-focused business structure. The glass segment is working to improve earnings by expanding sales channels for its Glasslock brand products in global markets.

Building on its core businesses, SGC Energy plans to accelerate its push into AI data centers as a new growth engine. The first phase, a 60 MW project, has already broken ground, and the company intends to step up preparations for the second phase. SGC Energy aims to announce a detailed blueprint for the second phase by the first half of next year.

"We will continue to strengthen the competitiveness of our core businesses in a rapidly changing environment and prove SGC's resilience," Chief Executive Lee Woo-sung said. "We will concentrate our company-wide capabilities on securing a leading position in the AI infrastructure market to build a stable foundation for mid- to long-term growth."