Hyundai Rotem, the rail, defense, and plant affiliate of Hyundai Motor Group, posted its highest-ever quarterly results in the third quarter this year.
Hyundai Rotem said in a filing on the 3rd that its operating profit for the third quarter this year was tentatively tallied at 277.7 billion won. That was up 102.1% from a year earlier. It beat the securities consensus of 265.6 billion won compiled by FnGuide.
Third-quarter revenue rose 48.1% from a year earlier to 1.6196 trillion won. Net profit came to 198.4 billion won, up 91.2%. Revenue, operating profit, and net profit all hit record highs on a quarterly basis. Hyundai Rotem said both sales and profit improved as it ramped up production for export volumes.
Hyundai Rotem's order backlog stood at 29.6088 trillion won as of the third quarter this year, up 36.8% (7.9702 trillion won) from the second quarter. In particular, by signing a second execution contract for K2 tanks with the Polish Armament Agency at the end of Aug. worth $6.5 billion (9 trillion won), the defense institutional sector's order backlog exceeded 10 trillion won.
Hyundai Rotem maintained its "no-borrowing management" stance in the third quarter this year, with borrowing fund at 61.9 billion won and cash equivalents at 673.5 billion won. The liability ratio reached 128%.