[Market Focus] Hanwha Solutions Surges Over 7% on First-Quarter Return to Profit

Hanwha Solutions, which succeeded in turning an operating profit in the first quarter of this year, is seeing strong stock performance. As of 9:10 a.m. on April 25, Hanwha Solutions was trading at 29,150 won, up 2,050 won (7.56%) from the previous trading day.

The previous day, Hanwha Solutions announced that its consolidated operating profit for the first quarter of this year reached 30.3 billion won. This marks a turnaround from an operating loss of 216.6 billion won in the same period last year.

Revenue increased by 31.49% to 3.0945 trillion won, and net loss narrowed to 30.2 billion won. By business segment, the renewable energy division posted revenue of 1.5992 trillion won and operating profit of 136.2 billion won. The U.S. residential energy business led the improvement in profitability.

On this day, IBK Investment & Securities raised its target price for Hanwha Solutions from 32,000 won to 37,000 won. Lee Dongwook, a researcher at IBK Investment & Securities, explained, "Operating profit far exceeded the market expectation of a 60.7 billion won loss," adding, "Although the chemical and advanced materials divisions continued to post losses, improved results in the renewable energy division were the main driver of the strong performance."