Hanshin Gongyeong Secures 7 Trillion Won Order Backlog... "Stable Order Acquisition Strategy Yields Results"

Order Backlog for Urban Renewal Projects Reaches 3.0572 Trillion KRW
Operating Profit Increases 2.52 Times Year-on-Year

Hanshin Engineering & Construction announced on the 2nd that it has secured an order backlog worth approximately 7.1 trillion KRW as of the end of last year, continuing its stable growth.

According to the Financial Supervisory Service's electronic disclosure system, Hanshin Engineering & Construction held a total order backlog of 7.0849 trillion KRW as of the end of last year. Of this, the public sector accounted for 2.081 trillion KRW (29.4%), and the private sector accounted for 5.003 trillion KRW (70.6%). In the private sector, the order backlog for urban renewal projects, including reconstruction and redevelopment, recorded 3.0572 trillion KRW, driving performance.

Hanshin Gongyeong Office Building.

A representative from Hanshin Engineering & Construction explained, "This result was achieved through a strategy to strengthen orders in the public sector and urban renewal projects in response to the sluggish sales market."

Operating profit on a consolidated basis last year was approximately 37.3 billion KRW, a 2.52-fold increase compared to the previous year (14.8 billion KRW). This is attributed to a sharp increase in cash inflow following the start of occupancy for the 'Hanshin The Hue Pentacity A2·A4 Blocks' (2,192 households) in Pohang, Gyeongbuk, which was developed as an independent project.

Sales increased by 13.9% to 1.4904 trillion KRW compared to the previous year (1.309 trillion KRW). Net profit for the period was recorded at 14.8 billion KRW. The debt ratio decreased by 31.3 percentage points from the previous year (227.9%) to 196.7%.

A representative from Hanshin Engineering & Construction stated, "We have further strengthened our order capabilities in the public sector and urban renewal projects to avoid being shaken by short-term market changes," adding, "We will continue to expand a stable growth foundation through thorough risk management and strategic order activities."