Thanks to the improvement of battery quality rate in the new factory, SK On's profit improved in the third quarter.

November 7, according to foreign media reports, SK On, the battery business subsidiary of SK Innovation, increased its revenue significantly in the third quarter of this year, making a profit for the first time before interest, tax, depreciation and amortization.

The latest South Korean media reports show that the improvement in SK On's profits in the third quarter is due to the improvement in the rate of battery quality in their new factory.

SK Innovation reported that its battery business, SK On, had revenue of 2.19 trillion won in the third quarter, up 168.6% from a year earlier and 70.3% from a month earlier, with an operating loss of 134.6 billion won, down sharply from 326.6 billion in the same period last year. Profit before tax, interest, depreciation and amortisation was 9.4 billion won.

According to the results released by SK Innovation, SK On, a subsidiary of the battery business, saw a sharp increase in revenue and improved profits in the third quarter, not only due to an increase in the quality rate of the new factory, but also a 140.9% year-on-year increase in selling prices, which was also an important factor in boosting performance. Sales rose 63% in the quarter compared with the same period last year.

The increase in the quality rate at the new factory mentioned in foreign media reports refers to SK On's first plant in the United States and its second plant in Hungary, both of which began commercial production in the first quarter of this year. Although they encountered challenges in achieving the quality rate initially planned, they successfully increased production after starting mass production.