HJ Shipbuilding & Construction posted an eightfold increase in operating profit from a year earlier in the first half of this year, helped by improved results in the shipbuilding sector.
HJ Shipbuilding & Construction said in a filing on the 12th that on a consolidation basis for the first half, revenue came to 1.2713 trillion won and operating profit to 89.4 billion won. Revenue rose 38.5% from the same period last year, and operating profit jumped 727.8%. Net income was 88.1 billion won, swinging to a profit from an 1.1 billion won net loss a year earlier.
The improvement was led by the shipbuilding sector. First-half shipbuilding revenue was 678.6 billion won, up 75.5% from 386.6 billion won a year earlier, and operating profit surged from 4.452 billion won to 81.7 billion won, more than 18 times.
HJ Shipbuilding & Construction said revenue in the commercial ship sector increased as construction of eco-friendly, high value-added container ships ramped up, and profitability in special vessels such as defense ships was reflected in the results.
The construction sector posted first-half revenue of 584.4 billion won and operating profit of 7.8 billion won. The company said it remained in the black while carrying out public works and housing and civil engineering projects.
HJ Shipbuilding & Construction plans to continue selective orders with profitability in mind, along with process and risk management in the second half, and to proceed with national projects such as the Shinbundang Line and the metropolitan area express railway (GTX), as well as redevelopment and reconstruction works.
An HJ Shipbuilding & Construction official said, "The order strategy focused on profitability that we have steadily pursued over the past several years, along with process efficiency and cost-reduction efforts, is now bearing fruit," and added, "We will continue our growth trend in the second half by winning orders for eco-friendly, high value-added ships in shipbuilding and managing a stable portfolio in construction, thereby enhancing the company's mid- to long-term competitiveness and shareholder value together."