Hanwha Solutions said on the 28th that first-quarter sales on a consolidation basis came to 3.882 trillion won, with operating profit of 92.6 billion won. Sales rose 25.4% from the same period a year earlier (3.0945 trillion won), and operating profit surged 205.5%.
The latest results were driven by the renewable energy institutional sector centered on solar. In the first quarter, the renewable energy business posted sales of 2.1109 trillion won and operating profit of 62.2 billion won, swinging to a profit. Factory utilization recovered with the normalization of U.S. customs clearance, module sales increased, and the average selling price (ASP) rose. In addition, about 218 billion won was reflected thanks to the advanced manufacturing production tax credit (AMPC) under the U.S. Inflation Reduction Act (IRA).
The chemical institutional sector also rebounded. Sales increased to 1.3401 trillion won, and operating profit turned to a profit at 34.1 billion won. Cost reductions from expanded direct power purchases, wider spreads for some products, and improved profitability at overseas business sites had an impact. However, with Middle East–driven geopolitical risks and the release of additional Chinese capacity occurring simultaneously, future market volatility remains a variable.
The advanced materials institutional sector also showed an improving trend. Sales increased to 285.6 billion won, and operating profit turned to a profit at 12.2 billion won. Expanded U.S. sales of solar materials and increased exports of lightweight composite materials for automobiles were cited as key factors.
Net profit, however, remained in the red. Net loss came to 38.2 billion won, with the deficit widening slightly from a year earlier.