HD Construction Equipment said on the 6th that HD Hyundai Construction Equipment posted revenue of 3.7765 trillion won and operating profit of 170.9 billion won last year. Compared with the same period a year earlier, revenue rose 20%, while operating profit fell 10.3%. Net profit in the same period increased 1.2% to 87 billion won.
By region, revenue in Europe and China rose 18% and 26%, respectively, showing growth. In emerging markets, continued mining and infrastructure development pushed revenue up 21% from a year earlier.
HD Hyundai Infracore recorded revenue of 4.5478 trillion won and operating profit of 286.4 billion won last year. Year over year, revenue and operating profit increased 10.5% and 55.5%, respectively.
By business segment, in the construction equipment segment, increased demand for infrastructure investment and resource development in emerging markets centered on Latin America and Africa drove revenue growth. Advanced markets such as North America and Europe also saw revenue increase from a year earlier due to economic recovery and base effects. China rose 56% from the previous year thanks to business restructuring effects.
The engine segment also maintained growth on the back of broad-based demand across categories such as generators, defense, and vehicles. Last year, it posted revenue of 1.3264 trillion won and an operating margin of 14.3%.
HD Hyundai Construction Equipment and HD Hyundai Infracore merged on the 1st of last month to launch the integrated entity HD Construction Equipment.
A HD Construction Equipment official said, "Keeping pace with the global industry's recovery, we will strengthen integration synergies and regional sales strategies," adding, "Along with securing future technological competitiveness for sustainable growth, we will do our best to diversify revenue sources, including the high-potential AM (After Market), engines, and compact businesses."