South Korea’s top shipbuilder Hyundai Heavy Industries Co. said Tuesday its second-quarter net profit plunged 49 percent from a year earlier on lower profitability.
Net profit for the three months that ended June 30 slumped to 69.2 billion won (US$62 million) from 137.5 billion won a year earlier, the shipbuilder said in a regulatory filing.
“Lack of high-end and profitable vessels was the main reason that cut into the quarterly bottom line,” a company spokesman said over the phone.
Operating profit fell 13 percent to 151.7 billion won in the second quarter from 175.7 billion won a year ago. Sales were down 23 percent to 4.629 trillion won from 6.076 trillion won during the same period, it said.
Shipbuilders have been struggling with declining orders amid a prolonged economic slowdown following the 2008 financial crisis.