Hyosung Operating Profit Up 77.7%... Hyosung Heavy Industries Sets New Record for Highest-Ever Performance

Improved Performance at Major Subsidiaries
Hyosung Heavy Industries Sees Global Power Equipment Sales Rise

On January 30, Hyosung announced that its consolidated sales last year reached 2.4317 trillion won, with operating profit at 393 billion won. These figures represent increases of 7% and 77.7%, respectively, compared to the previous year.

The 200MW-class HVDC system supplied by Hyosung Heavy Industries to Korea Electric Power Corporation's Yangju Substation. Hyosung

A Hyosung official stated, "Profit increased due to equity method gains stemming from improved performance at business subsidiaries such as Hyosung Heavy Industries, as well as profitability improvements at subsidiaries like Hyosung TNS." The official added, "This year, we also expect profit growth driven by strong results at Hyosung Heavy Industries due to expanding demand in the power market, and improved spandex prices at Hyosung TNC."

By affiliate, Hyosung Heavy Industries recorded sales of 5.9685 trillion won and operating profit of 747 billion won last year, up 21.9% and 106% year-on-year, respectively. Notably, fourth-quarter sales reached 1.743 trillion won and operating profit was 260.5 billion won, setting new quarterly records for the second consecutive quarter.

The heavy industries division achieved record annual sales and operating profit, thanks to improved global power equipment sales. Orders increased in major advanced markets, including the United States and Europe (the United Kingdom, Sweden, and Spain), due to growing demand for power grid expansion driven by the growth of the artificial intelligence (AI) industry. Going forward, the company plans to solidify its mid- to long-term growth foundation by expanding production capacity, such as the planned expansion of the Memphis plant in the United States, and advancing its proprietary high-voltage direct current (HVDC) technology.

Hyosung Heavy Industries commented, "The construction division is maintaining performance through strict selective order taking," and added, "We expect to secure high-quality projects and continue risk management."

Hyosung TNC posted sales of 7.6949 trillion won and operating profit of 251.5 billion won last year, down 1.0% and 7.1%, respectively, from the previous year.

The textile division saw improved profit due to increased sales volume from expanded spandex sales in China and Europe. However, the trading division experienced a decline in profit, affected by factors such as reduced steel quotas in Europe.

Last year, Hyosung Chemical recorded sales of 2.3407 trillion won, down 17.5% from the previous year. Operating loss was 160.5 billion won, narrowing the deficit compared to the previous year's operating loss of 170.5 billion won.