HK Co., Ltd. Returns to Operating Profit in Q3 as Revenue Jumps 56%; U.S. Reshoring Benefits Come Into View

HK Co., Ltd., a company specializing in laser processing machines, returned to operating profitability in the third quarter of 2026. The turnaround was driven by increased product sales in overseas markets, including the United States, while domestic demand for equipment remained stable. The company also expects expanded investment in equipment, spurred by the reshoring of U.S. manufacturing, to provide an additional growth driver.

HK Co., Ltd. announced on November 11 that it recorded consolidated revenue of KRW 17.5 billion and operating profit of KRW 340 million in the third quarter of 2026. Revenue rose approximately 56% year over year, and the company returned to operating profitability.

However, it posted a net loss of KRW 3.5 billion, swinging to a loss. The company attributed this to foreign exchange losses caused by recent exchange-rate fluctuations and a decline in the domestic stock market, as well as lower income related to investment assets. It added that the loss did not involve an actual cash outflow and could fluctuate in the future.

The improvement in results was driven by stable demand in the domestic market and expanded sales in overseas markets, including the United States. Growth was particularly strong in the U.S. market. Through September 2026, the U.S. subsidiary's cumulative revenue reached KRW 18.15 billion, up approximately 37% year over year.

The United States is increasing investment in domestic production facilities to strengthen its manufacturing competitiveness. As a result, demand for manufacturing equipment could rise across a range of industries, including semiconductors, automobiles, shipbuilding and energy. The laser processing machines that HK Co., Ltd. primarily supplies are machine tools that cut and process metal materials to produce parts and equipment.

HK Co., Ltd. is stepping up its efforts to penetrate the North American market by building out its sales, technical support and after-sales service (A/S) systems, centered on its U.S. subsidiary. The company plans to secure new demand by leveraging its capabilities in supplying equipment to local customers and responding to maintenance needs.

The company is also working to expand its product lineup. It plans to broaden its business beyond its existing focus on laser cutting machines to include related equipment such as press brakes, welding machines and deburring machines, in order to meet equipment investment demand across a variety of manufacturing industries.

An HK Co., Ltd. representative said, "With domestic demand for equipment remaining stable and product sales performing well in the U.S. market, we achieved revenue growth and returned to operating profitability in the third quarter. Growing demand for equipment as U.S. manufacturing reshoring expands is also contributing positively to improved results."

The representative added, "Building on the sales and service capabilities we have established through our U.S. subsidiary, we will step up our efforts to penetrate the North American market and increase our global market share by expanding supplies of a diverse range of products, including high-power laser processing machines."

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