Shinsung ENG Reports 802% Increase in Operating Profit Year-on-Year Last Year

[Asia Economy Reporter Park Hyungsoo] Sinsung ENG achieved its highest-ever performance last year. Thanks to the overseas business of the secondary battery dry room, it is expected to continue its strong performance this year as well.

Sinsung ENG announced on the 3rd that its sales last year reached 664.2 billion KRW, a 46% increase compared to the previous year. Operating profit during the same period was 21.5 billion KRW, an 802% increase year-on-year. This is the first time since the 2016 merger that operating profit has exceeded 20 billion KRW. Net profit also turned positive at 35.4 billion KRW.

The Clean Environment (CE) business, boasting 46 years of experience, drove the performance. The CE business division manufactures cleanroom and dry room facilities for semiconductors, displays, and secondary batteries. Last year, sales and operating profit were 544 billion KRW and 19.4 billion KRW respectively, up 55% and 26% from the previous year.

As domestic secondary battery-related companies expanded factory investments in Europe and Southeast Asia, results were achieved mainly overseas. Overseas business division sales were 195.4 billion KRW, and operating profit was 9.7 billion KRW, growing 51% and 39% year-on-year respectively.

The Renewable Energy (RE) business division, which manufactures solar modules and conducts EPC (Engineering, Procurement, and Construction) projects, recorded sales of 119.6 billion KRW, about a 15% increase compared to the same period last year. Operating profit was 4.7 billion KRW, marking a profit for the first time in seven years since 2015.

With continued orders for small-scale domestic solar projects and OEM (Original Equipment Manufacturer) orders for the U.S., operating profit margins have improved since the first quarter of last year. Expanding application areas such as RE100 consulting for domestic companies and the launch of building exterior BIPV modules is expected to sustain growth.

A Sinsung ENG official said, "As secondary battery production facilities are being built in Eastern Europe, such as Hungary and Poland, and Southeast Asia, overseas sales of dry rooms are increasing." He added, "Starting this year, we will fully operate the Jeungpyeong plant, a production facility for air conditioning equipment, to respond to market demand.”