Hanwha Ocean Co., a major South Korean shipbuilder, said Tuesday it returned to the black in the second quarter from a year earlier, backed by increased working days and a larger share of high-value ship orders.
In the three months ended June, the company swung to a net profit of 148.5 billion won (US$106.7 million) from a net loss of 27.4 billion won in the same period last year, it said in a regulatory filing.
“An increased ratio of value-added liquefied natural gas (LNG) carriers was reflected in the quarterly results. Additional working days also contributed to improved performance year-on-year,” a company spokesperson said.
Hanwha Ocean posted an operating profit of 371.7 billion won in the second quarter, also shifting from an operating loss of 9.7 billion won a year ago.
Sales rose 29.9 percent to 3.29 trillion won from 2.54 trillion won over the cited period.
“The company is focused on enhancing productivity through a stable production system and improving profitability via companywide cost-cutting initiatives,” the company said.
In the first half of the year, net income jumped to 364.2 billion won from 23.6 billion won a year earlier.
Operating profit surged to 630.3 billion won from 43.4 billion won during the cited period, while sales climbed 33.6 percent to 6.43 trillion won from 4.81 trillion won.
Hanwha Ocean is the shipbuilding unit of Hanwha Group, a major South Korean conglomerate with businesses spanning the chemicals, energy and defense industries.
Source: Υonhap