Shinsung ENG succeeded in turning its performance around in the second quarter of this year, laying the foundation for a full-fledged rebound in the second half.
On August 7, Shinsung ENG announced that, based on its consolidated financial statements, it recorded sales of 140 billion KRW and an operating profit of 3.4 billion KRW in the second quarter of this year. Sales increased by 20% compared to the previous quarter, and the company returned to profitability in terms of operating profit.
Performance improved as the company focused its capabilities on overseas business. With semiconductor fab-related projects in the United States entering full swing, overseas sales increased by 83% compared to the previous quarter.
The company operates branches and subsidiaries in major regions such as the United States, Southeast Asia, and Europe, carrying out numerous projects. The overseas business segment accounted for 50% of total sales last year, maintaining solid growth momentum.
The renewable energy (RE) division recorded sales of 10.1 billion KRW and an operating loss of 1.5 billion KRW in the second quarter, continuing its sluggish performance from the first quarter. This is attributed to delays in some EPC projects and a decline in factory utilization rates. However, the accumulated order volume for the first half reached approximately 50 billion KRW, matching the full-year order performance of last year in just half a year, marking a significant achievement.
From the second half of the year, expectations for performance improvement are rising, driven by increased module manufacturing utilization rates, the full-scale reflection of EPC results, and additional contributions from the newly promoted hydrogen fuel cell business.
The previously challenging solar power business environment is also gradually turning more favorable due to recent government policies such as the expansion of solar power in RE100 industrial complexes, which is expected to act as a positive factor for the recovery of the RE division's performance.
Kim Shinwoo, Executive Director of Shinsung ENG, stated, "Despite difficult internal and external conditions, we were able to overcome the sluggishness of the first quarter and return to profitability in the second quarter by focusing our capabilities on overseas business and pursuing strategic expansion."
He added, "Although uncertainties such as tariff issues still remain, we plan to focus on securing stable profits in the second half by keeping pace with the recent trend of expanding infrastructure investment both domestically and internationally."
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