CORRECTED-S.Korea POSCO's Q1 profit rose 120%, in line with company forecast

(Corrects third paragraph to say first quarter, not third quarter)

SEOUL, April 26 (Reuters) - South Korean steelmaker POSCO reported a 120% rise in first-quarter operating profit, in line with company forecast as steel prices rose sharply due to demand outpacing supply.

POSCO, the world’s fifth-largest steelmaker, said on Monday its consolidated operating profit for the January-March quarter was 1.55 trillion won ($1.39 billion), matching the 1.55 trillion won the company forecast earlier this month. It reported 705 billion won in operating profit a year earlier.

First-quarter revenue rose 11% to 16.1 trillion won.

$1 = 1,114.1300 won Reporting by Joyce Lee; Editing by Tom Hogue