OCI will stop producing solar polysilicon in Korea. Due to falling international prices, it decided not to withstand the sharp increase in deficit.
OCI announced on the 11th that its consolidated operating loss recorded 18.7 billion won last year. Compared to last year's operating profit of W15.87bn, the company turned to the red. During the same period, sales fell 16.3% to 2.65 trillion won. Net loss is W89.3bn. 4Q operating loss stood at W64.3bn. The deficit increased more than 20 billion won from last year's 43.2 billion won. Revenue and net loss were 66.3 billion won and 66.2 billion won, respectively.
The deterioration in OCI earnings is attributable to falling prices in the PV polysilicon division. The company explained that the company's poor performance due to the deterioration of the solar industry market and the recognition of asset impairment loss were explained.
OCI will stop producing photovoltaic polysilicon at the Gunsan plant this year to improve business efficiency. The plant will turn into a polysilicon production base for semiconductors. The company plans to produce solar polysilicon in Malaysia to reduce costs by more than 25%. OCI expects to make stable profits after business reorganization.
OCI will be shut down on the 20th. Starting May 1, the company plans to restart production to polysilicon production line for semiconductors and produce 1000 tons this year. It plans to expand production to 5000 tons by 2022.
Meanwhile, Hanwha Solution is reportedly considering the withdrawal of the solar polysilicon business.
Staff Reporter Yoon Hee Seok email@example.com