Hanwha Ocean Reports Operating Profit of 52.9 Billion KRW in Q1, Achieves Turnaround to Profitability

Sales of 2.2836 trillion KRW... 58.6% increase YoY
"LNG carrier construction performance from high-priced orders to be reflected"

Hanwha Ocean recorded an operating profit of 52.9 billion KRW in the first quarter of this year, successfully turning a profit.

Sales reached 2.2836 trillion KRW, an increase of 58.6% compared to the same period last year. Net profit also turned positive at 51 billion KRW.

Hanwha Ocean explained, "The improvement in business performance was due to increased sales and profit improvement from higher production of high value-added ship types such as LNG carriers, as well as exchange rate effects," adding, "All three business sectors?merchant ships, special ships, and offshore?achieved both sales growth and a turnaround to profitability."

This year, Hanwha Ocean's business performance is expected to fully reflect the construction results of LNG carriers ordered at high prices. Hanwha Ocean will build a record 22 LNG carriers this year. Next year, 24 LNG carriers are scheduled to be constructed.

Hanwha Ocean Reports Operating Profit of 52.9 Billion KRW in Q1, Achieves Turnaround to Profitability

Hanwha Ocean Geoje Shipyard View
Photo by Hanwha Ocean

A Hanwha Ocean official stated, "Since the launch of Hanwha Ocean, we have focused on improving profitability through continuous selective order strategies and innovation activities such as cost efficiency across all business sectors," and added, "We will do our best to expand sales in each business sector based on ongoing innovation activities to maintain a solid performance trend like that of the first quarter."

As of this month, Hanwha Ocean has secured orders for a total of 17 vessels worth approximately 3.39 billion USD, including 12 LNG carriers, 2 ultra-large crude oil carriers, 2 ammonia carriers, and 1 ultra-large LPG carrier.