HDC Hyundai Development Company is solidifying market trust based on a sound financial structure and an operations strategy focused on fundamentals. It has further strengthened its financial base through maintaining a stable credit rating, improving the liability ratio, and achieving asset efficiency, and it proved investor confidence by recording oversubscription in the recent book-building for its corporate bonds.
HDC Hyundai Development Company presented a sales guidance of 4.3059 trillion won for this year. Large-scale development projects such as Cheonan I'Park City, Seoul One I'Park, and Unjeong I'Park Forest are entering full swing, raising expectations for stable growth. In particular, the company is increasing performance visibility through the sale of more than 10,000 households and the supply of a brand town with more than 6,000 households.
This year's new order target is 4.6981 trillion won, and the company actively pursued urban complex development and urban renewal projects. By winning major renewal projects such as the Yongsan maintenance depot front section zone 1 in the first half, cumulative urban renewal orders reached 3.7874 trillion won, far exceeding last year's results. In addition, cumulative new orders through the third quarter, including urban renewal projects, totaled 4.4344 trillion won. This is 94% of the 4.6981 trillion won start-of-year outlook presented by HDC Hyundai Development Company as of the third quarter of 2025. HDC Hyundai Development Company plans to achieve guidance and continue long-term growth based on a stable order backlog.
◇ Sales and operating profit recovery continues; guidance on track this year
HDC Hyundai Development Company is continuing qualitative and quantitative growth in both sales and operating profit. Third-quarter operating profit rose about 53.8% from a year earlier, with an operating margin of 6.9%. Cumulative operating profit through the third quarter this year was 207.3 billion won, up 45.1% from the cumulative 142.9 billion won a year earlier, demonstrating financial management capabilities.
Despite a difficult market environment, including higher raw material prices and labor costs, performance improved largely because revenue recognition began in earnest at major self-developed business sites such as Seoul One I'Park and Cheongju Gagyeong I'Park complex 6, as well as from completion-based revenue recognition at Suwon I'Park City complexes 10–12.
HDC Hyundai Development Company said, "We will maintain financial soundness through systematic cost ratio management and expansion of revenue from self-developed projects. We also expect revenue recognition from large business sites such as Unjeong I'Park Forest and Cheonan I'Park City complex 2, which was recently offered for sale, allowing us to continue a stable uptrend in results." The company added, "In the fourth quarter and in 2026, we expect sales expansion centered on Seoul One I'Park and Cheongju Gagyeong I'Park complex 6," and noted, "Based on proven establishments such as Cheongju Gagyeong I'Park and Cheonan I'Park City, we will continue steady supply of more than 10,000 households nationwide and maintain stable presales."
◇ Corporate bond book-building strong; total 232 billion won in investor demand
The positive results of HDC Hyundai Development Company's financial soundness can be seen in the market. In the corporate bond book-building conducted in June, HDC Hyundai Development Company secured investor demand totaling 232 billion won, proving stable funding capability. This book-building was split into two- and three-year tranches seeking 70 billion won and 50 billion won, respectively. The results drew 168 billion won for the two-year notes and 64 billion won for the three-year notes, for a final average competition rate of 1.9 to 1.
Accordingly, HDC Hyundai Development Company increased the originally planned 120 billion won corporate bond to a finalized issuance size of 151 billion won. The two-year notes were issued at 98 billion won and the three-year notes at 53 billion won, with coupon rates of 3.647% for the two-year and 4.195% for the three-year. The spreads versus market average yields were +4 bp and +31 bp, respectively, indicating rate competitiveness despite uncertainties across the construction sector.
◇ HDC Holdings Co. secures more than four times demand in public corporate bonds
HDC Holdings Co. also confirmed market trust by achieving better-than-expected results in its first public corporate bond issuance in four years. In the recent book-building, total orders of 223 billion won far exceeded the 50 billion won offering, securing more than four times investor demand. By tranche, 121 billion won participated in the two-year notes against a 30 billion won offering, and 102 billion won in the three-year notes against a 20 billion won offering. The target spread band was -50 to +50 bp versus the A0 market average, while actual orders formed at -5 bp and -4 bp, respectively. This is significant as it confirms solid demand in the market. This year, HDC Hyundai Development Company and Tongyeong Eco Power also successfully completed corporate bond issuances, leading to assessments that funding stability has strengthened across the group.
An HDC Hyundai Development Company official said, "Even as uncertainty persists across the construction industry, HDC Hyundai Development Company is sustaining a solid recovery in results based on a developer-centered business portfolio and a stable financial structure," adding, "We will strengthen financial soundness and capital efficiency on the back of market trust and consistently execute our mid- to long-term growth strategy."
The official added, "Upgrades in credit ratings, strong corporate bond book-building, and improving results show that the market highly values HDC Hyundai Development Company's resilience and growth potential," and said, "We will continue to strengthen our core business competitiveness in urban complex development and urban renewal, and build a sustainable revenue structure to enhance shareholder value while fulfilling our social responsibility."