HHI posts Q1 profit of $410m


Embattled Hyundai Heavy Industries (HHI), presently undergoing a restructuring, has posted a profit for the first quarter of 2017, making it the fifth consecutive quarterly profit for the group.

Net profit for the first quarter ended 31 March 2017 was recorded at KRW462.3bn ($409.6m), a surge of 89.1% from the gain of KRW244.5bn in the previous corresponding quarter.

The quarterly revenue dipped to KRW10.08trn compared to KRW10.27trn in the year-ago period.

The South Korean shipbuilder attributed the quarterly profit to better earnings from the shipbuilding business due to the increase in the building volume of high value-added ships that HHI has competitive edge on, as well as stabilisation of manufacturing processes and cost reduction efforts.

An HHI official said: “We have been active in improving profitability and fiscal health with preemptive and comprehensive restructuring measures since 2014. With five consecutive quarterly profits, we will redouble our efforts to continue to report stable profits with technology and quality-oriented management.”

In the first four months of this year, the group landed 39 shipbuilding orders worth $2.3bn, which is its largest ship orders for the comparable period in three years.   

Copyright Ships & Ports Ltd. Permission to use quotations from this article is granted subject to appropriate credit given to www.shipsandports.com.ng as the source.