管理層發言
Greetings, everyone. Thank you for coming to attend the conference call for POSCO Holdings earnings release. Today, we will have a presentation from POSCO Holdings first, and then we will have a Q&A with all of you. So now I'd like to begin the POSCO Holdings 2026 Second Quarter Earnings Release.
Greetings, everyone. I'm Head of Finance and IR Division at POSCO Holdings. My name is Kim Seung-Jun. Despite the harsh heat, thank you for attending the second quarter earnings for POSCO Holdings. My sincere thanks go to the investors and the analysts. In the second quarter, the Middle East conflict triggered energy supply risk intensified, while the Korean won continued to lose value, and the business faced headwinds. Nevertheless, POSCO Holdings recorded consolidated revenue of KRW 19.3 trillion and KRW 820 billion in operating profit, keeping the rising profit curve. Gains were recorded against the previous quarter in all key sectors of steel, rechargeable battery materials and energy. Most notable is our Argentina lithium business that turned a first-ever quarterly profit. So the general RBM sector transitioned to a surplus for the first time in nine quarters. Our steelmaking affiliate, POSCO, registered its separate operating profit of KRW 270 billion, a KRW 60 billion gain over the previous quarter.
On the third quarter outlook, what is most notable is that POSCO will make more visible performance gains. While some raw material costs will climb, increased production will offset fixed costs. Through efforts made to increase sales and sales price, we expect the rise to continue. In the rechargeable battery materials sector, following its first ever quarterly surplus in the second quarter, a temporary slowdown may be observed in the third quarter. Located in the Southern Hemisphere, it is winter in Argentina. This seasonal factor causes pond evaporation to dwindle. By leveraging this off-season, we plan to replace the LP dryer equipment. Hence, a temporary drop in production volume seems inevitable. Starting in the fourth quarter, however, the plant will run at full operation. Additionally, in Q4, a long-term supply agreement will kick in, allowing us to deliver certified products. Therefore, we anticipate a more meaningful level up in Q4.
Besides the performance gains, the first half of this year demonstrated marked progress in building for future growth. One is Gwangyang's first EAF operation and the other the HyREX demo plant construction start. POSCO Holdings is committed to upholding the two pillars of growth, which are profit enhancement by sector and strategic investment for future growth. We'll do our best to continue to grow our corporate value. Now I will give the floor to our IR Office Head to offer more second quarter details.
Next, we will move on to Page 3 of the materials, and I will brief you on the business performance of the second quarter 2026. The consolidated revenue of the second quarter was KRW 19.3 trillion, which is a KRW 1.4 trillion increase on quarter. The operating profit stood at KRW 819 billion, a 16% increase on quarter. The quarterly EBITDA stood at KRW 1.9 trillion and CapEx of KRW 2 trillion was administered this quarter, totaling KRW 3.7 trillion of CapEx for the first half. Now let me elaborate by business. First, Steel business profits improved on quarter by KRW 58 billion. The Middle East conflict impacted logistics and energy costs and foreign exchange rate driving up short-term cost volatility. However, production and sales volume growth and partial price increase offset the headwinds that lowered profits at the end of last year to drive recovery. The RBM business had for the past eight consecutive quarters operated in the red.
However, this quarter, we recorded operating profit of KRW 41 billion swinging to an operating surplus. Until last year, there was a quarterly deficit of around KRW 50 billion at POSCO Argentina. But this quarter, the subsidiary swung to an operating profit. In infrastructure, the highest recorded quarterly profit was recorded by POSCO International, driving a profit growth of 22% on quarter. The divestment of PZSS and Chinese subsidiaries are now complete, registering one-off divestment profit for this quarter's net profit. Next, I'd like to report on our safety index. Every year and every half year, POSCO Holdings transparently releases updates on our safety metrics and progress made on our policies. In June, we suffered another fatality at POSCO E&C, our construction affiliate. The company takes this very seriously. They are putting all efforts into inspecting and strengthening their safety management system.
POSCO Safety Solution in collaboration with dss+, a global safety solution provider, we are assessing the safety of 33 group affiliates across four key areas. By October, we plan to sort safety risks and identify corrective action plans. You can find more detail on our safety initiatives on Page 4. Now Page 5, the key business activities in the second quarter. With Australia-based Mineral Resources, we signed the investment agreement on April 30. The JV is planned to be established by October. For Lithium DLE demonstration, we are working with Anson Resources. The demo plant cooperation contract was signed in June, and the plant is scheduled to come online in 2027. POSCO Future M's LFP CAM business is in motion. First, we have Future M's Pohang NCM CAM lines that are being recalibrated for LFP production with plans to be commercially ready by next January. Future M, Fino and CNGR's JV, CNP New Materials began construction of a new LFP plant to begin commercial production by the end of 2027.
Next, Page 6. POSCO Holdings has 100% share of POSCO Air Solutions, whose high-purity rare gas plant was completed on June 17 in Gwangyang. To generate profit, it requires certification processes, which will take time. But by using materials from the steelworks oxygen plant, it can meet some of the rare gas demand for the chip industry with good prospects for profit. At POSCO International, a rare earth agreement and business partnership was signed with the U.S.-based ReElement Technologies last May. Total project cost is estimated at $200 million for commercial production by 2028. POSCO's 2.5 million tonne EAF was completed by June. In its early operation stage, we plan to mix molten iron from the blast furnace and EAF to produce general purpose steel. At the same time, we will continue testing and development to produce high-grade steel. We aim to boost quality to the level of blast furnace-based products, developing refining and rolling technologies to ultimately produce automotive and electrical steel, which will help us respond to CBAM and other environmental regulations.
Next page is on updates about our restructuring projects. In the first half of this year, there were 12 restructuring projects that generated KRW 475.4 billion in additional cash. The largest impact was from divesting steel operations in China that made the bulk of our losses. They include PZSS, QPSS and the STS processing center. Our restructuring effort targets underperforming businesses and noncore projects. By selling these assets, we seek to improve long-term performance and enhance our capital efficiency. By '28, we expect to generate KRW 3.5 trillion of cash resulting from these projects. Next, let's discuss earnings by each division. POSCO recorded operating profit of KRW 274 billion in the second quarter, representing an increase of KRW 61 billion compared with the previous quarter. While profitability improved quarter-over-quarter, the operating margin remained at 2.9%, which is still below our historical average.
Both crude steel production and product sales increased from the previous quarter, demonstrating a relatively stable operating performance. However, profitability was affected by higher costs. Key raw material costs rose by approximately 6% quarter-over-quarter, while increases in oil prices, foreign exchange rates, logistics expenses and maintenance costs also placed additional pressure on earnings. Nevertheless, the average selling price of carbon steel products increased from KRW 920,000 per tonne in the first quarter to KRW 962,000 per tonne in the second quarter. This price improvement helped partially offset the increase in raw material costs. Looking ahead to the third quarter, operations have stabilized following the completion of the major hot rolling mill overhaul and no significant maintenance shutdowns are currently scheduled. Accordingly, we are targeting crude steel production of approximately 9 million tonnes, which would represent our maximum production level.
The domestic steel market, which had experienced deteriorating profitability since 2024, is also showing initial signs of stabilization. As a result, the proportion of domestic sales, which had declined to approximately 51% over the past several years, increased to 55.5% this quarter. Although cost pressures remain elevated, we will continue to mitigate their impact through enhanced production efficiency, ongoing cost reduction initiatives and price negotiations with customers. Taking these factors into consideration, despite the continued uncertainty in the business environment, we expect POSCO's profitability to maintain its quarter-over-quarter improvement in the third quarter. Turning to Page 9. I will now discuss the performance of our overseas steel operations. Overall, the performance of our major overseas subsidiaries remained broadly stable. Although currency depreciation in several markets and weaker export conditions created challenges, we were able to partially offset these pressures through selling price increases and cost reduction measures.
Lastly, please note that our Zhangjiagang operation in China was excluded from the consolidated financial statements beginning this quarter following the completion of its divestment. Page 10, POSCO Future M. Second quarter POSCO Future M operating profit margin rate was 3.9%, a 1.6 percentage point quarterly improvement. Owing to the rise in oil price-linked chemical product sale prices, the impact served as a tailwind for base materials profits. Energy Materials also registered a small profit. Next is Page 11 on our lithium affiliates. At POSCO Argentina, sales volume rose 160% against the previous quarter and revenue by 290%. By registering quarterly operating profit of KRW 11 billion, this quarter became the first ever since the company was incorporated to achieve an operating surplus. Multiple clients have signed supply agreements with us, and we are seeking certification procedures and new clients as well.
While this upward trend is projected to continue in the second half, as the CFO already mentioned, on a quarterly basis, we may see some shifts. POSCO Argentina in July is undergoing some interim repairs such as the replacement of the LP dryer. Once completed, we'll bring it back up to full operation in Q4. From Q4 also, the sale of certified products will phase in. Based on market circumstances, uncertified products can be sold at approximately a 10% discounted price. Therefore, once the certified product sales kick in, profits are likely to make additional gains. In the meantime, Plant 2 is in an initial operating stage bracing for its full commissioning scheduled in October. In summary, the third quarter may appear to be a slight slowdown. However, in the fourth quarter, Plant 1 will be able to not only offset Plant 2 initial ramp-up costs, it is also expected to outdo its second quarter performance by another notch.
POSCO Pilbara Lithium Solutions improved its margins owing to higher price and expanded sale of certified products. Second quarter revenue hit KRW 102 billion, an increase over the previous quarter. Operating losses were also reduced to around KRW 1 billion. As mentioned in the previous quarter, P-PLS margins are highly impacted by the price spread of spodumene and lithium hydroxide. Currently, the price spread is not in our favor, so we face profit pressures in the second half. We will continue to monitor the market and take measures as necessary. POSCO HY Clean Metal maintains plant operations close to 100% despite challenges in acquiring feedstock since December 2025, and that has kept up steady monthly profit gains. Again, this is owing to an operational rate of almost 100%, and so it is able to keep up speed even with some headwinds. Page 12, POSCO International. For POSCO International, energy and materials segments both grew, recording the highest quarterly and half year operating profit.
In energy, Myanmar gas field saw selling price rise along with higher FX. And the Senex gas field was expanded. And in materials, Indonesian pond production was newly acquired, and this helped improve performance. Page 13, POSCO E&C. POSCO E&C recorded a surplus of KRW 44 billion this quarter. So it wrapped up the first half with operating profit of KRW 97 billion. And once again, this shows recovery from the KRW 452 billion temporary deficit it suffered last year. And this concludes the 2026 second quarter earnings briefing. We will now move on to the Q&A.
分析師問答
The first question comes from Hyundai Motor Insurance.
My name is Park Hyun-Wook. I have three questions. The first is regarding the second half steel market outlook as well as the direction POSCO will be taking, especially in automotive, shipbuilding and home electronics. And how will you negotiate price in the second half of this year? Second question is starting in July, Europe will begin its quota system. So what will be the proportion of sales made to Europe against these trends? And of course, there are some temporary tariffs that are being imposed although temporary, this is something that will apply to hot-rolled products as well. So I wonder what your countermeasures are against these tariffs. And third question is, this was also discussed in the Investor Day conference. For overseas investments as well as repairs that are going on in the steelworks, I think all of these are going to be happening in parallel. But PTKP 1 is not in a good situation. And of course, there are different stories being told about the automotive industry. But looking at the profits, how do you intend to generate profit?
My name is Nho Song Mae, Marketing Office Chief. So you asked for market outlook for the second half of this year. Due to fuel costs and raw materials costs that went up in the first half, of course, this impacted our prices, but this did also impact our own cost. And so we will consider market situations and make sure to apply what needs to be applied to our price. But because of the Iran conflict, there are volatilities in the raw materials costs as well as external variables due to anti-dumping and other trade actions. So we will have to continue to closely monitor the client situation as well as the markets and our adjacent markets as well. Rather than take a rapid rise in price, I think we will be more gradual in our measures. Looking at the automotive industry, we are negotiating based on Formula 1. Despite these oil price hikes and other volatilities, a lot of these did not actually get applied to our price. So in the second half, we will gradually phase these variables into the price. And in shipbuilding, this is not based on formula index, but because we have a strong demand, we will continue to adjust and reflect these variables to our final price. In home electronics, we continue to transfer our production base to Southeast Asia. And so the prices remain very conservative. But there are costs that need to be applied to our final price.
I will answer the second question on EU quota reductions. By bracing against these measures, there are some safeguards that were put in place. And of course, we cannot avoid all impact, but through government negotiations, we are trying to minimize the quota reduction for Korea. And so compared to our competition, we believe we have a much more favorable position. With quota reduced, we will be entering that market with more high-margin products. And through World Steel Association as well as fair trade agreement clauses, we want to be able to keep the European market favorable to us. If there is a reduction or a cut in our sales volume, we will make some transitions to be able to make up for these losses. EU proportion for POSCO will vary by each year, but it's about 10% to 15% of our total exports. Japan, Southeast Asia and Europe make up our key exporting markets. In regards to Japan and the tariffs, as you mentioned, in August last year, we began an investigation and the investigation is still ongoing.
So in June of this year, for Korean and Taiwan cold-rolled products, they launched parallel investigations on all products. So these are things that are still ongoing. On coated products anti-dumping that was announced on July 24, because there was excessive intervention on the part of the investigating authority, we believe that the anti-dumping determined as a result of that assessment is what we are seeing today. So we will be very clearly looking into all of the unfair and irrational reasons that apply to these decisions, and we will make sure to make adjustments necessary for our operations.
I would like to respond to your question about PTKP in Indonesia. So PTKP Phase 1 is not highly profitable—profits were very small. When it initially went into operation, most of the products were plates and semi-finished products, and we were devoid of customers when we began. So in the initial stage, yes, our profits were very slim. But let's look at it in five-year interim stage intervals. We are currently profitable, and we are able to generate cash flow. That is where we are now. About 90% of total invested CapEx has been recovered through EBITDA. And the reason we want to invest in Phase 2 is because this isn't something that came out of the blue. We've had an expansion plan from the very beginning, but we waited until conditions would be more favorable because we have improved conditions now, and we've been able to add more detail to our expansion plan. Exactly when we will begin to build or construct has not been determined yet. And Phase 2 is different from Phase 1 because we are targeting the automotive steel sheet market in Southeast Asia. In each Southeast Asian economy, I'm sure they have their own plans to supply their own automotive steel sheets. The hot-rolled products from PTKP is what differs because most of the Southeast Asian nations are producing cold-rolled products. So compared to the competition, ours will be much more profitable.
We will move on to the next question. The next question is from iM Securities, Mr. Kim Yoon Sang.
I am Kim Yoon Sang from iM Securities. I have three questions for you. First is related to lithium. You demonstrated good performance this quarter. And recently, at the Investor Day, you mentioned guidance for the expected profit for lithium in the next few years. I would like to ask what is the profitability for brine and hard rock lithium. And if there are any plans to improve profitability, I'd like to hear about them. And the last question related to lithium is the price outlook. Recently, there is news of various mines coming from Australia, which have affected the prices. But with the reutilization of these mines, do you expect the price to fall? Or do you not expect it to impact the prices as much? The second question is related to rare earth. Also at the Investor Day, you provided some guidance, but what is your plan regarding rare earths? And there, you will need technology and the raw materials to dive into this business. I would like to ask what is going on with the preparation. The third part is related to steel. And recently, the long products demand has been in the news quite often. It's not one of POSCO's major key products, but I would like to ask your plans regarding this.
I am Yoon Tae-il from Energy Materials Business Management Office. At the Investor Day, we provided a long-term outlook and long-term vision. When we announced these visions, many organizations predict the price to be over $30,000 per tonne. For brine lithium we think we can achieve about 80% operating profit under our long-term assumptions. And the second is plans for expansion for Phase 3 and Phase 4, and we have a performance projection for 2035. P-PLS and Argentina Plant 1 will have depreciated by then. And so that depreciation has been applied in our projections. For hard rock lithium, we made an investment in Mineral Resources, and so that CapEx is applied here. Because some mines are coming back into operation, how will that impact our prices? I think that's already been worked into this plan. Of course, you've seen lithium prices fluctuate wildly in the past. And so those price dynamics and those impacts have been worked into this formula.
This is based on long-term contracts and our estimations. This estimates 100,000 tonnes per year production, and this is a large volume equivalent to about 5% of total demand. And because there's a lot of development going on in Australia, looking into the future, lithium price falls have already been accounted for in our plan. The only thing that we think could change is the price of spodumene, which could drop quite a bit. In Argentina, that is not positive for Argentina. But for the hard rock lithium business, this could be favorable.
I am Kim Min-su from Infrastructure Business Management Office. Regarding rare earths and raw materials, we are reviewing sourcing them from Southeast Asia. And from the U.S. and Southeast Asia, we are planning for a joint venture. In the U.S., we are also reviewing another business opportunity there. In rare earths, there is the mining, the processing in between and producing permanent magnets and all these sections—each link in the value chain requires a lot of experience and technology. That's why in order to make sure that the business settles in rapidly, we are working with experts. In this process, POSCO International will be working with us in raw materials and other partnerships. We are also working with partners to establish JVs to acquire the technology to expand the business. Especially in technology, the important part is the separation and refining. Separation and refining technology needs to be internalized. For this, we are currently conducting R&D at the POSCO N.EX.T hub, the Research Institute. And with these partnerships, both inside and outside, we will be able to acquire the technology necessary.
Regarding the third question on long products and demand from data centers: there is a lot of demand around data centers, and this is leading to a lot of expectations. Regarding data centers, concrete and metal rods and structural steel used to be the demand in the past. But right now, what we are seeing is data centers being built at scale. So internally, we think that the structural steel related to thick plates may be more competitive. So regarding data centers and ESS, the new demands, we are making various reviews. And to gain an upper hand in the market, we are making plans to take the necessary actions. Going forward, not only the exterior steel products needed to build buildings, PosMAC, electrical steel and interior steel demand is also expected to increase. So we will systematically address these demands.
Next question is from Heungkuk Investment Securities (Korea Investment & Securities), Choi Moon Sun.
My name is Choi Moon Sun. This is finally a good result in a long time. I'd like to ask a question about the steel sector. Chinese security firms have reported today that the government has put out a supply policy. Because profitable companies in China are limited, steelmakers continue to suffer in China. That is the reason why we believe a new supply agreement may come out of the Chinese government. In association with this piece of news, how do you project the steel market?
China has continued to cut production. I think they're also putting in some additional measures to deal with excess supply. Rather than cut production broadly, I think they'll focus on reducing low-grade steel and replacing it with high-grade premium steel. I think this is what the Chinese government is focused on implementing. POSCO is the same, no different. Because of the construction industry slowdown, we are of course challenged. But because of other industries in Korea, such as the automotive and shipbuilding industries, we are able to focus more on premium steel. Overseas as well, there are some trade barriers. But despite these headwinds, we are inventing programs to be able to make up for those losses. We're not trying to cut exports anywhere. We want to sell and export as much as possible. That's our position.
The next question is from Meritz Securities.
I am Jang Jae Hyeok from Meritz Securities. At the CEO Investor Day, POSCO Argentina Phase 3 and 3.4 and there are also plans to expand hard rock lithium production to 30,000 tonnes. Are there already permits or decisions made on the expansion? If the decisions haven't been made yet, when do you expect them to be made? And for hard rock lithium, the background for the business only mentioned partnership with OEM companies. I'd like to ask for more detail. And when will you be able to receive approval for the business? Another question is related to shareholder returns. You've decided to fix that at 50% and that includes 10% shareholder returns and other percentages for other programs. Do you have a definitive principle for this rule? And you've decided to sell off the equities at your affiliates by the end of the year. How will this fare into shareholder returns?
First, regarding expanding the lithium business. At the Investor Day, we mentioned that the Argentine brine lithium will be increased to 100,000 tonnes. There are Phase 3 and Phase 4 for the Argentine lithium business. Regarding this expansion, up to now, we have been producing lithium hydroxide as our final product. But for Phase 3 and Phase 4, our goal is to produce lithium carbonate. The decision has not yet been made. We will be undergoing the PFS, the pre-feasibility study to decide what process will be applied by the end of this year, and the FID will be done by the end of next year. Expanding our lithium business using hard rock lithium: because the spodumene prices are high, there is a profitability issue. So we will be considering the market conditions, our client positions and our lithium producer partners. The decision will be made at the end of next year, and we will be responding flexibly. That is our plan.
Regarding the 10% adjustment ratio for shareholder returns, let me explain. At CEO Investor Day, we said that a certain percentage of the equity shares that we own at affiliates will be sold and about 90% of proceeds will go to CapEx. The other 10% will contribute to shareholder return. We estimated that would generate about KRW 3.5 trillion of cash, and that implies about KRW 350 billion will be used for shareholder returns. But once we sell those equities off, we are selling off controlling shares. And so this can lead to a decrease in dividend payment as well. We simulated without seeing an increase in operating profits, and the reduction in equity we hold in affiliates amounts to about KRW 200 billion. Because we have set aside 35% to 40% of net profit of controlling interest for dividends, this means about KRW 80 billion reduction in dividend payment each year. So equity divestment, with 10% of that proceeds going into dividends and shareholder returns, when measured against the losses incurred by selling off those equity shares, our simulation shows a disparity begins to appear in about four years.
What will happen four years down the road? Based on our plant operation experience, it takes about four years for any plant to get to full scale operation. By our estimation, we will have profits from the plants that we are building now. In summary, in four years, there will be profits that come from our affiliates as well as profits that come from our lithium business—so which will be bigger between the two? It boils down to that question. As we mentioned during Investor Day, when lithium is $20,000 per tonne, our operating profit rate is about 40%. As the holding company, we have the authority to shift our portfolio and to realign our businesses. So from that perspective, 90% of the equity divestment will go into CapEx and 10% to shareholder returns. That is an informed decision that we made. Liquidating or monetizing our equity stake in our affiliates will go through the Board and the market will react. We will follow rules and regulations and provide public disclosure when actions are taken.
The next question is from KB Securities.
I am Hyun Choi Yong from KB Securities. Regarding the steel business, I have a question. In the third quarter, you mentioned that it will continue to improve compared to the second quarter. Does this include the cost from the EAF utilization? Does this include the projections regarding Gwangyang operation, the costs associated with it? Of course, it helps to reduce carbon emissions, but this also entails increased costs. So if there is any miss in your business projection, this could be quite impactful. I wonder how the Gwangyang EAF is going to fare into your business projections in the future.
I am the Head of Finance Office. First, the second half of 2026 projections of course include Gwangyang operations and the costs incurred from the EAF. There is a history of showing low profits at the early stages of EAF operations. We are implementing a hot metal mixing technique to produce high-end or high-grade steel. This is our plan. As of now, the utilization rate is low. But once this rate goes up and we can produce high-grade steel, we will be able to secure profitability.
Let me add a little. From June, we began operation of the EAF to produce carbon-reduced steel. However, the carbon-reduced steel market is still in its initial stages. So we are currently focusing on promoting this product to potential clients. In particular, there are global OEM companies and energy companies. For them, we are currently doing test supply for customer verification to expand potential sales. The cost increase due to EAF is something that can be addressed with the creation of a premium market. But right now, the market hasn't developed enough, and there isn't a global standard for it. We believe that we will be able to make up for the costs, and beginning next year, we will continue to ramp up utilization rate to improve profitability and production volume.
Next is from DB Securities, Ahn Hoe Soo.
My name is Ahn Hoe Soo from DB Securities. I'd like to ask a question about lithium. Your process is different from the conventional method. I wonder what the margin rate is. And Pilbara Lithium is very much dependent on the price spread of spodumene and lithium hydroxide. So what are the cost and profit implications in the hard rock (ore) lithium business?
Let me address Argentina first. Phase 1 at POSCO Argentina is lithium hydroxide production. Phase 2 aims at TGLC (technical grade lithium carbonate) or similar carbonate products. These are all based on index prices. Our cost is about $3 higher than TGLC, but so it's profitable under our assumptions. Once Phase 1 and Phase 2 complete, then our profitability should improve. Phase 2 uses established processes widely used in the region. In Chile and Argentina, there is a standard profit structure that we are projecting, and I don't think it's hard to achieve that. Whether the process will impact profitability is not the primary variable; it's actually the demand for ESS that is impacting our profitability. In ore lithium, the key is how much of the price of spodumene contributes to the price of lithium hydroxide. Historically it is around 4% to 5% of the final product price in certain calculations.
Given yields of about 85% and conversion factors, raw material costs can constitute roughly 35% of total price under normal conditions. But recently raw material shares rose; at some points it got as high as 56% and even higher in extreme conditions. Pilbara's difficulties this year come from raw material cost spikes. At these levels, profitability is under pressure. Our current profit structure depends on whether large-scale mines restart operation and whether Australia develops new mines. If that occurs at scale, then margins can recover and we can increase production in consultation with our OEM clients.
The next question is from Shinhan Investment Securities.
I am SeungHun Han from Shinhan Investment Securities. In China, people are saying that sodium-ion batteries will be made commercially available by next year. I'm curious if POSCO is also making efforts in that direction.
Yes, sodium-ion batteries (SIB) have generated significant attention. But as you would probably know, the outlook varies by organization: some are optimistic, some are conservative. Regarding sodium-ion batteries, we are considering the outlook and the uncertainties, and we are working closely with our partners on R&D. We can't discuss all details publicly, but we have plans to launch CAM and AAM alongside our customers' plans. Regarding anodes, we have an agenda to continue R&D and development work.
Do you have any additional questions? It doesn't appear that we have any more. It's almost 1:00 here. Barclays and DKAM have given us online questions. I took a brief look, and it looks like we've answered most of them, but some parts remain unanswered. I wonder if we at the IR Office could reach out to you with answers to those remaining questions. So I'd like to close the earnings release meeting today. Thank you, everyone. Statements in English on this transcript were spoken by an interpreter present on the live call.