Overseas Orders in Dubai Early This Year
Debt Ratio Also Reduced to the 150% Range
Ssangyong Engineering & Construction's operating profit last year is expected to come in at around 60 billion won, putting the company on track to post a surplus for the third consecutive year.
According to Ssangyong Engineering & Construction on February 9, last year's revenue is projected to reach 1.8 trillion won. The company explained, "Since joining the Global SEAH Group in 2022, the expansion of our overseas business and the results of our financial restructuring have begun to materialize."
At the beginning of the year, Ssangyong Engineering & Construction won the approximately 370 billion won "Avenue Park Tower" project ordered by WASL, a state-owned real estate developer in Dubai, United Arab Emirates (UAE), as well as a construction project worth about 100 billion won in Equatorial Guinea.
Overseas orders also reached approximately 938.4 billion won last year, more than eight times higher than in 2022 (about 112.1 billion won).
Domestic business orders are continuing as well. In the building construction segment, the company successfully completed the 300 billion won ASML Hwaseong Campus in December last year. In addition, it is pursuing a strategy of steadily expanding orders, including projects such as the Yeouido 63 Building exhibition hall and restoration work for the Banyan Tree Hotel in Busan.
In the civil engineering segment, starting with the award of two sections of the Southern Inland Railway project with a total project cost of 450 billion won early this year, the company plans to further expand its entry into the renewable energy business.
The order backlog stood at around 9 trillion won as of last year, an increase of nearly 50% compared with 2022 (6.335 trillion won).
Ssangyong Engineering & Construction's debt ratio is expected to drop sharply to the 150% range last year. This was largely driven by a 150 billion won rights issue by the Global SEAH Group in 2023 and capital expansion through the issuance of 50 billion won in hybrid securities in 2024.
The company’s construction capability evaluation ranking has also risen, climbing 10 notches over the past three years to reach 23rd place. It is also accelerating talent acquisition. Ssangyong Engineering & Construction plans to hire around 30 new employees next month.
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