Samsung Engineering forecasts slight fall in Q3 operating profit

2023.10.30 11:01:02 | 2023.10.30 17:13:04

[Courtesy of Samsung Engineering]이미지 확대

[Courtesy of Samsung Engineering]

Samsung Engineering on Monday reported that its third-quarter preliminary operating profit declined 4.4 percent on year to 153.4 billion won ($113.3 million) on sales of 2.47 trillion won, up 0.8 percent. Net profit decreased by 3.9 percent to 155.9 billion won.

The company said it focused on improving profitability despite uncertain external factors, while projects in overseas locations such as Mexico, Malaysia, and Saudi Arabia, as well as stable performance in the industrial environmental sector, contributed to its robust financial performance.

Although Samsung Engineering’s Q3 operating profit was slightly below market expectations, the company appears poised to meet its annual targets. Year-to-date figures show total cumulative revenue of 7.8 trillion won, operating profit of 723.3 billion won, and net profit of 583.2 billion won. With an annual operating profit target of 765 billion won, the company currently maintains a 94.5 percent achievement rate.

In the third quarter, new orders amounted to 2.94 trillion won, with the year-to-date total reaching 6.76 trillion won. The order backlog stands at around 18 trillion won.

Samsung Engineering secured a significant project in September, winning a contract for the basic design (FEED) of a petrochemical plant from Saudi Aramco. Building on this strong order backlog, the company plans to focus on securing profitable projects with a strategy that centers on the Middle Eastern and Southeast Asian markets.

“We will leverage innovative technologies to enhance our execution systems, ensuring a competitive edge, while exploring new ventures such as hydrogen and carbon neutrality to reinforce the foundation for sustainable growth in this era of energy transition,” a company official said.

By Pulse

[ⓒ Pulse by Maeil Business Newspaper &, All rights reserved]