Daewoo Engineering & Construction Q3 Operating Profit Jumps 224% YoY to 183.2 Billion Won

Cumulative operating profit of 671.1 billion won... Operating margin of 11.5%

Daewoo Engineering & Construction announced on October 27 that its operating profit for the third quarter of this year was 183.2 billion won on a consolidated, provisional basis, up 223.7% from the same period last year.

Third-quarter revenue was 1.8424 trillion won, down 7.4% over the same period. By business segment, revenue was 1.3001 trillion won from the building business, 316.1 billion won from the civil engineering business, 187.1 billion won from the plant business, and 39.1 billion won from other consolidated subsidiaries.

Cumulative revenue through the third quarter was 5.8373 trillion won, down 7.9% from the same period last year. Cumulative operating profit through the third quarter was 671.1 billion won, up 131.3% year over year. The operating margin was 11.5%, an increase of 6.9 percentage points from the same period last year. A company official said, "Revenue declined somewhat as the number of ongoing project sites fell, but our focus on sound management led to significant improvements in cumulative operating profit and the operating margin."

Daewoo E&C's Euljiro headquarters. Photo provided by the company.

Cumulative new orders through the third quarter totaled 12.4782 trillion won, up 11.9% from the same period last year. Domestic building projects made up most of the third-quarter orders, including the M5 block of the Cheongna International Business Complex (818.1 billion won), redevelopment near Sinimun Station (529.2 billion won), the Cheonho A1-1 redevelopment project in Seoul (372 billion won), and the Cheongpa District 1 redevelopment project in Seoul (355.6 billion won).

At the end of the third quarter, the order backlog stood at 54.855 trillion won, equivalent to 6.8 years of work based on annual revenue. This was up 8.4% from the backlog at the end of last year. A Daewoo Engineering & Construction official said, "We are nearing contract awards for major large-scale projects, including the Papua New Guinea LNG CPF and Mozambique's Rovuma LNG project." The official added, "We will focus our capabilities on securing high-quality orders and managing risks during the remainder of the year to meet our annual target."

This content was produced with the assistance of AI translation services.