Dongbu Corporation topped 1 trillion won in revenue in the first half of this year. Net profit more than doubled from the same period last year, achieving both top-line growth and improved profitability.
Dongbu Corporation said on the 14th that on a consolidation basis for the first half, it posted 1.0307 trillion won in revenue, 28.2 billion won in operating profit, and 39.1 billion won in net profit. Compared with a year earlier, revenue rose 24.3%, operating profit 69.2%, and net profit 266.5%.
Second-quarter revenue on a consolidation basis was 596.1 billion won, up 44.3% from a year earlier. Operating profit was 18 billion won, more than 10 times the 1.6 billion won a year earlier, and net profit was 23.1 billion won, swinging to a profit from a loss in the second quarter of last year.
The improvement was driven by higher revenue from public civil engineering and building, dwellings, and industrial facilities including semiconductors. As work ramped up at public infrastructure sites such as roads, railways, and ports and at public building sites, expanded revenue from dwelling sites and advanced industrial facility projects such as semiconductor production and support facilities supported top-line growth. In particular, the dwellings institutional sector contributed to improved profitability and earnings stability as the cost ratio improved alongside revenue growth.
Returns on the HJ Shipbuilding & Construction investment also bolstered results. Dongbu Corporation's first-half equity-method gains and losses swung from a loss of 14.1 billion won last year to a profit of 18.2 billion won this year, an improvement of about 32.3 billion won. Dongbu Corporation said the results reflected in associates' earnings came from HJ Shipbuilding & Construction's expansion of high value-added ship revenue, selective orders focused on profitability, and cost-control performance in the construction institutional sector.
Dongbu Corporation plans to maintain public infrastructure and public dwellings as a stable business base in the second half while expanding the share of advanced industrial facilities such as semiconductors and high-profit private projects.
A Dongbu Corporation official said, "First-half results reflect both the growth of the core business centered on public works and advanced industrial facilities and the investment returns from strong results at HJ Shipbuilding & Construction," adding, "In the second half, we will continue the growth trend based on profitability-focused operations and a balanced order portfolio."