SK Innovation, the holding company of SK Group’s energy units, including SK Energy, said Friday its net income swung to the red from a year earlier due to a weak refining margin and foreign exchange losses.

Net loss reached 23 billion won ($22.33 million) in the April-June period compared with a year ago when the company logged 267 billion won of net profit, the company said in a regulatory filing.

The company also posted an operating deficit of 23 billion won, while its sales dropped 2.1 percent to 16.49 trillion won in the period.

The fall in quarterly operating profit mainly derived from a sluggish performance in petroleum business which was a result of an unfavorable foreign exchange rate, and maintenance of No.1 residue fluidized catalytic cracker, or RFCC.

Moreover, continued weak market conditions in aromatic product related chemical industry also has contributed to the fall, the company said. (Yonhap)