This year, Hyundai E&C's sales in the first half decreased compared to last year, but operating profit increased.
On the 18th, Hyundai E&C announced that its consolidated preliminary results for the first half of the year showed sales of 15.1763 trillion won and operating profit of 430.7 billion won.
Sales decreased by 11.6% compared to the same period last year. In contrast, operating profit rose by 8.2%.
A representative from Hyundai E&C said, "The construction sites that began during the surge in construction costs are being completed in succession, and as key processes that secure revenue have become more established, we have seen a significant recovery in operating profit this year."
In the domestic business, the Ulsan S-Oil Shahin project, Hillstate The Unjeong, and DH Clast led the performance. Overseas, projects such as the Saudi Amiral Package (PKG) 4 and Panama Metro Line 3 have been progressing steadily, achieving 49.9% of the annual sales target of 30.4 trillion won.
The total orders recorded 16.7344 trillion won, an increase of 0.4% compared to the same period last year, focused on competitive products. By the end of the first half of this year, 53.7% of the annual order target of 31.1 trillion won has been achieved.
There were many orders centered around urban maintenance projects such as the Gaepo Jugong 6 and 7 complex reconstruction and Busan Beomecheon District 4 redevelopment, as well as high-value-added projects like the Timbuktu Data Center. The order backlog stands at 94.7613 trillion won, ensuring approximately 3.1 years of work.
Cash and cash-equivalents (including short-term financial products) amount to 3.5410 trillion won, with a liability ratio of 167.9% and a liquidity ratio of 145.3%. The credit rating is at AA-, which is the highest level in the industry, indicating stable financial structure.
This year, Hyundai E&C also plans to continue securing project orders focused on technology and high value-added projects to overcome the uncertain global business environment. The company is set to embark on discovering future new growth engines to secure new value chains.
A representative from Hyundai E&C noted, "We are accelerating the diversification of our business model based on our overwhelming technological capabilities and construction performance," and added, "This year, we will lay the groundwork for innovations in sustainable energy sectors such as large-scale nuclear power, small modular reactors (SMR), and solar power."
He added, "We will continue to discover new projects that can transcend the existing construction industry's boundaries, such as data centers and offshore wind power, and transform into a leading corporation in the global construction market."