DAISHIN SECURITIES on the 19th said it sees strong expectations for earnings growth at HanmiGlobal on the back of stabilization in its Korea business and an expansion in overseas orders.
HanmiGlobal is Korea's first corporations specializing in construction management (CM/PM). For about 30 years, it has carried out a variety of projects at home and abroad, including industrial plants, commercial facilities, and data centers. It was rated the No. 8 company in the global CM/PM field last year.
As of the first half of this year, sales by region were Korea 43%, the United States 26%, the United Kingdom 13%, Saudi Arabia 9%, and China 1%. In particular, it is showing rapid growth in the North American and Middle Eastern markets. Based on stable technology and professional talent, it is continuously expanding its business areas such as data centers and nuclear power plants.
Kim Ah-young, a DAISHIN SECURITIES researcher, said, "The Korea division, which had been constrained by a slowdown in front-end demand for semiconductors and a slump in the real estate market, is gradually normalizing," and noted, "Samsung Electronics' new Pyeongtaek plant and major semiconductor line expansion projects are planned, and order wins tied to these are becoming visible." The industry also expects signs of a recovery in the domestic real estate market, with increased orders in the reconstruction and redevelopment segments.
It also sees benefits from the expansion of overseas business. Kim said, "As U.S. reshoring policies spur large domestic conglomerates to ramp up local investment, HanmiGlobal is seeing more opportunities to participate," and added, "In particular, large-scale construction in semiconductors and batteries is expected to continue, while Saudi Arabia's mega new-city projects and the issue of entering nuclear power plant construction are also medium- to long-term growth momentum."
HanmiGlobal's backlog on a separate basis in the first half of this year was 342.8 billion won (Korea 283.8 billion won, overseas 41.0 billion won). Kim explained, "During the boom in large Middle Eastern projects in 2015–2017, overseas backlog was around 70.0 billion won, and the company has entered a phase of gradual recovery."
Accordingly, DAISHIN SECURITIES projected this year's revenue and operating profit at 472.2 billion won and 35.5 billion won, respectively. Kim said, "This year saw a recovery in high-tech orders in Korea and an increase in data center projects," and evaluated, "With projects expanding in the United States and Saudi Arabia, sales growth is expected, and as HanmiGlobal D&I, a real estate developer that had been weak on a consolidation basis, narrows its losses, group-level profitability is likely to gradually improve."