Corporate revenue in South Korea reduced in the third quarter due to lower oil prices that pulled down prices of export products, central bank data showed Thursday. Corporate revenue fell 1.6 percent in the third quarter from a year earlier after reducing 4.3 percent in the second quarter, according to a sample survey conducted by the Bank of Korea (BOK) on 3,065 companies.
Sales among big corporations dipped 3.4 percent, with those for small companies slumping 6.5 percent. Revenue among manufacturers decreased 2.1 percent. The revenue fall came as lower crude oil prices pulled down prices of export products.
By industry, sales in the oil and chemical industry plunged 17.7 percent, with those in the metal products and electricity & gas sector sinking 8.1 percent and 13.3 percent respectively. Lower oil prices improved corporate profitability as it reduced energy costs.
The ratio of operating profit to sales came in at 5. 6 percent in the third quarter, up from 4.5 percent tallied a year earlier. The operating profit-to-sales ratio among manufacturers posted 6 percent in the third quarter, advancing from 4.1 percent a year earlier.
The profitability ratios for big and small companies registered 5.2 percent and 7.1 percent each during the quarter.
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